[2020] KEHC 3292 (KLR)
The court held that since the public auction sale of the motor vehicle had not been set aside and the interested party was the bona fide purchaser, the court was empowered to issue a vesting order to complete the transfer of ownership. The objection that the interested party needed leave to join the suit was...
Source-derived case information.
- Citation
- [2020] KEHC 3292 (KLR)
- Parties
- Judgment Debtor: Zakhem International Construction Limited; Decree Holder: Quality Inspectors Limited; Interested Party: Martin Kinuthia Chege
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Commercial Courts)
- Jurisdiction
- Kenya
- Case Number
- Miscellaneous Civil Case E112 of 2018
- Procedural Posture
- Miscellaneous Application / Ruling on Application for Vesting Order Following Auction Sale
- Outcome
- application allowed
- Judges
- DAS Majanja
- Legal Topics
- Execution of Judgments, Public Auction Procedure, Vesting Orders
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Zakhem International Construction Limited
Judgment Debtor
Quality Inspectors Limited
Decree Holder
Martin Kinuthia Chege
Interested Party
Procedural Posture
Miscellaneous Application / Ruling on Application for Vesting Order Following Auction Sale
Legal Issues
- 1 Whether the interested party is entitled to a vesting order for the motor vehicle purchased at public auction.
- 2 Whether the court has jurisdiction to grant a vesting order in execution proceedings without the interested party obtaining leave to join the suit.
Ratio Decidendi
The court held that since the public auction sale of the motor vehicle had not been set aside and the interested party was the bona fide purchaser, the court was empowered to issue a vesting order to complete the transfer of ownership. The objection that the interested party needed leave to join the suit was rejected, as the court in execution proceedings has jurisdiction to deal with all ancillary matters necessary to effectuate its orders, including vesting orders. The sale was a direct result of court-authorized execution, and the interested party's rights as purchaser were to be protected. Accordingly, the vesting order was granted in favour of the interested party, and the Registrar...
Court Disposition
application allowed
Orders
- The Motor Vehicle Registration Number FAW BUS KCG 226A CHASSIS NUMBER FAD 82533, ENGINE NO. 52584453 sold at public auction on 10th February 2020 is confirmed and made absolute in favour of Martin Kinuthia Chege without any encumbrances, restrictions, or charges.
- The Registrar of Motor Vehicles is directed to register the vehicle in the name of Martin Kinuthia Chege at the applicant's cost.
Full Case Text
Judgment text and source record
22 paragraphs
IN THE HIGH COURT OF KENYA AT NAIROBI
MILIMANI COMMERCIAL & TAX DIVISION
CORAM: D. S. MAJANJA J.
MISCELLANEOUS CASE NO. E112 OF 2018
BETWEEN
ZAKHEM INTERNATIONAL
CONSTRUCTION LIMITED.................................................................JUDGMENT DEBTOR
AND
QUALITY INSPECTORS LIMITED ........................................................ DECREE HOLDER
AND
MARTIN KINUTHIA CHEGE ........................................................... INTERESTED PARTY
RULING NO.5
1. This application has been brought by the interested party, Martin Kinuthia Chege, seeking a vesting order for the Motor Vehicle Registration Number FAW BUS KCG 226A CHASSIS NUMBER FAD 82533, ENGINE NO. 52584453 which he purchased at a public auction held on 10th February 2020.
2. By a ruling dated 3rd August 2020, I dismissed the Judgment Debtor’s application seeking to set aside the public auction that took place on 10th February 2020 after advertising the motor vehicle. Although the Judgment Debtor opposed the application on the ground that the interested party ought to have obtained leave to join the suit, I hold that the court dealing with execution is entitled to deal with all ancillary matters including vesting orders. The sale, which the interested party seeks to complete by the vesting order, is a direct result of an attachment and sale authorised by the court through execution proceedings. Since the sale has not been set aside, the vesting shall now issue.
3. I allow the Notice of Motion dated 4th August 2020 and order as follows:
(a) THAT the Motor Vehicle Registration Number FAW BUS KCG 226A CHASSIS NUMBER FAD 82533, ENGINE NO. 52584453 which was sold at a public auction on 10th February 2020 be confirmed and made absolute in favour of MARTIN KINUTHIA CHEGE without any encumbrances, restrictions and charges and the Registrar of Motor Vehicles is directed to register the same at the applicants’ cost.
DATEDand DELIVERED at NAIROBI this9thday ofSEPTEMBER2020.
D. S. MAJANJA
JUDGE
Mr Thuku instructed by Musyoki Benson and Associates Advocates for the Interested Party.
Mr. Makau instructed by Oluoch Olunya and Company Advocates for the Judgment Debtor and Auctioneer.
Mr. Muturi instructed by Mwaniki Gachoka and Company Advocates for the Decree-holder.