Wanganga & 2 others v Kimani [2025] KEHC 8360 (KLR)
Court
High Court
Case number
Civil Case E001 of 2025
Judge
JM Nang'ea
The High Court struck out a suit challenging a company AGM, finding the defendant was wrongly sued personally and the claim was really a derivative action filed without leave.
The High Court varied interim injunctions in a derivative dispute, allowing company directors to keep managing day-to-day operations while preserving company assets.
Munga & another v Momanyi & 3 others [2025] KEHC 5764 (KLR)
Court
High Court
Case number
Petition E017 of 2023
Judge
PM Mulwa
The High Court dismissed a contempt and interim-relief application, finding no proven deliberate disobedience of earlier orders and refusing to decide substantive issues prematurely.
The High Court declined leave to continue a derivative claim, finding the dispute appeared driven by family grievances rather than bona fide company interests.
The Court of Appeal dismissed an application for stay of execution, finding no arguable appeal and no basis to treat compliance with company-record orders as nugatory harm.
The court found that the plaintiffs failed to establish a prima facie case for leave to file a derivative suit because they did not provide cogent evidence of their status as shareholders or members of Satima Peak Farmers Limited, nor did they particularize or substantiate their allegations of mismanagement, wastage of assets, or breach of directors' duties. The plaintiffs also failed to demonstrate any steps taken to demand an AGM or otherwise address their grievances within the company structure. The court held that mere assertions without evidence are insufficient to meet the statutory thr…
The High Court dismissed a preliminary objection challenging a derivative action, holding that the pleaded claim fell within Section 238 of the Companies Act.
Corner Holiday Inn Limited & 2 others v Wangunyu & another [2024] KEHC 10322 (KLR)
Court
High Court
Case number
Civil Case 104 of 2007
Judge
PM Mulwa
The court found that the 2nd and 3rd plaintiffs were the lawful directors and shareholders of the Company, and that the 1st defendant was not a shareholder as the purported share transfer was never completed due to non-payment. The defendants, as directors, breached their fiduciary duties by incorporating a rival company and withholding company records, contrary to statutory and common law obligations. The evidence established that the defendants acted in conflict with the Company’s interests, failed to keep proper records, and obstructed an audit. The Company’s valuation and entitlement to d…
The court found that the applicants, as shareholders or personal representatives of Nenyon Company Limited, had established a prima facie case by demonstrating that the purported sale of company properties was conducted without proper disclosure or shareholder consent, contrary to the requirements of the Companies Act and company practice. The applicants showed that they would suffer irreparable injury if the injunction was not granted, as they risked losing prime property in Kericho's central business district. The balance of convenience favored the applicants because the sale transaction ha…
Kebenei v African Grain Care Equipment Limited & 2 others [2024] KEHC 6193 (KLR)
Court
High Court
Case number
Miscellaneous Civil Application E183 of 2022
Judge
JRA Wananda
High Court allowed leave to commence a derivative suit over alleged director misconduct, but declined interim restraining orders and left other substantive prayers to the later suit.