- 1. What is before me is the notice of motion dated 31/3/2023 brought under order 42 rule 6(1) & (2) of the Civil Procedure Rule and section 3A of the Civil Procedure Act. It seeks orders
- Spent.
- That the honourable court be pleased to issue an order staying the execution of the ex-parte judgment delivered in Makueni CMCC No. E170 of 2021 Harrison Bisengi Michieka Vs Hellen Wanjiru Kimani pending inter parties hearing and determination of the application herein.
- That the honourable court be pleased to stay the execution of the ex-parte judgment and order/ruling delivered Makueni CMCC NO. E170 of 2021 Harrisson Bisengi Michieka Vs Hellen Wanjiru Kimani on the 8th June, 2022 and 29th March, 2023 respectively pending the hearing and determination of the application.
- That the honourable court be pleased to stay the execution of the ex-parte judgment and order/ruling delivered Makueni CMCC No. E170 of 2021 and 29th March, 2023 respectively pending the hearing and determination of this appeal.
- That the costs of this application be provided for.
- It is supported by the affidavit of Mary Ng’ang’a, Advocate & legal officer of M/S Jubilee Alliance General Insurance Co. Limited who describes it as “Successor of the Appellant” (I do not know what that means). She also deposes that she has the authority of the “Applicant’s Board to swear the instant application in support of the application.” My concern is that these depositions cannot relate to the Applicant who is one Hellen Wanjiru Kimani. Be that as it may the gist of the application is that Respondent filed Makena MCCC E170/21 seeking compensation following a road traffic accident involving motor vehicle reg. No. KBZ 139P on 5/1/2021.
- The matter proceeded ex-parte and a judgment of Kshs. 10,336,398/= was entered against the applicant on 8/6/2022. (a copy of the decree is annexed)
- Thereafter the Applicant filed an application seeking the setting aside of the ex-parte judgement.
- On 29/3/2023 the trial court refused that application.
- Aggrieved the Applicant filed an appeal on following grounds;
- That the learned trial magistrate erred in law and in fact in dismissing the application dated 19th August, 2022 seeking to set aside the ex-parte judgement.
- That the learned trial magistrate erred in law and in fact in finding that the Applicant had raised a defence of contributory negligence and on the same breadth and in a contradictory finding ruled that the defence constrained mere denials.
- That the learned trial magistrate erred in law and in fact in failing to appreciate that the appellant only needed to demonstrate that there was a triable issue in the draft defence.
- That the learned trial magistrate erred in law and in fact in failing to appreciate that a triable issue need not succeed but that which raises a prima facie defence that ought to be adjudicated on trial.
- That the learned trial magistrate erred in law and in fact in delving into the arena and of the litigants by finding that there was no evidence tabled on the defence of contributory negligence in an application for setting aside the ex-parte judgment.
- That the trial learned magistrate erred in law and in fact in failing to properly appreciate, consider and apply the principles of setting aside ex-parte judgement.
- That the learned trial magistrate erred in law and in fact in failing to properly apply the discretionary power by dismissing the application to set aside the exparte judgment while at the same finding that there was a defence of contributory negligence raised.
It is proposed to ask this honourable court.
- That the ruling of the honourable trial court of 29th March, 2023 dismissing the application to set aside the ex-parte judgment in the suit be and is hereby set aside.
- That the honourable court upon reversing the order of the trial magistrate be pleased to allow the application dated 19th August, 2022.
- That the costs of the appeal be borne by the Respondent
- In opposing the application the Respondent points out that the appeal is not against the judgement of the subordinate court but against the ruling to set aside the judgement - that there can be no stay of execution as there is no appeal against the judgement. 9. That he is advised by his advocate that the Ruling of the subordinate court amounted to a negative order against which there could be no stay order and that a notice of preliminary objection had been issued to the effect that this court has no jurisdiction to stay execution of a negative order.
- That should the court be inclined to grant the orders sought then the decretal sum be deposited in a joint interest earning account as security.
- The advocates agreed to proceed by way of written submissions on 31/7/2023. 12. The matter was mentioned severally for the Applicant to file theirs – on 12/2/2024 counsel (Mr. Karanja) told the court that they had filed submissions on 10/10/2023. The Respondent’s counsel Mr. Muthoki told the court that they had never been served. The court pointed out that the submissions were not on the court file. Counsel committed to have them on the court file by close of business that day but as at the time of writing this ruling I did not find them on the file.
- The Respondent’s submission was filed on 30/8/2023.
- For the Respondent it is submitted that the issues for determination were;
- Whether notice of preliminary objection is merited.
- Whether the application for stay of execution is merited.
- Whether the conditions for stay of execution have been satisfactorily met.
- Whether this is a suitable case for court to exercise its inherent powers.
- Citing Mukisa Biscuit Manufacturing Company Ltd v West End Distributors Ltd [1969] and Panfied Investment Limited (new Eldoret Total Service Station Ltd) vs Sisibo Luxury Shuttle Ltd [2018] eKLR the respondent rely on the following definition of a preliminary objection
“A preliminary objection is in the nature of what used to be demurrer. It raises a pure point of law which is argued on the assumption that all the facts pleased by the other side are correct. It cannot be raised if any fact has to be ascertained or if what is sought is the exercise of judicial discretion.
” “a preliminary objection may be raised at any time before judgment…”
- It is argued that the preliminary objection will dispose of this matter.
- It is argued that the ruling of the trial court merely dismissed the Applicant’s application seeking to set aside the ex-parte judgement. The respondent relied on Western College of Arts and Applied Sciences V Oranga & Others (1976 -80) I KLR, Milca Jeruto vs Fina Bank Ltd [2013] eKLR, Executive Estates Limited vs Kenya Posts & Anor [2005 E. A 53, Co-operative Bank of Kenya Limited v Banking Insurance & Finance Union (Kenya) [2015] eKLR and urged the court to find that the ruling of the subordinate court gave a negative order and therefore the order of stay sought would not serve any purpose. That in re Estate of Yusuf Kipkorir Chepkeitany (deceased [2021] eKLR an application for stay of execution was dismissed with costs as the order in question was a negative order that was not capable of execution.
- However, the applicant argues that should the court be swayed to find otherwise, it is their submission On the application dated 31/3/2023 on whether stay of execution was merited it is submitted that the court has the dissection to issue the but the discretion is fettered by the conditions set under order 42 rule 6 Civil Procedure Rules. On this it is relied upon the following cases Jenny Luesby vs Standard Group Ltd [ 2014] eKLR cited in Medula Academy v Jacklyne Atieno Otieno & Another [2018] eKLR - and Magnate Ventures v Simon Mutua Muatha & another [2018] eKLR to argue that the three conditionalities of substantial loss, time and security are not severable.
- That the Applicant implicated herself and has not demonstrated any state of affairs that will irreparably affect/negate her very existential core to prove substantial loss - see James Wangalwa & Another v Agnes Naliaka Cheseto Bam Misc Appl 42/11. - that the application was brought in good time That according to Gian Franco Manenthi & Anor V Africa Merchant Assurance Company Ltd [2019] eKLR
“The Applicant must show and meet the condition of payment of security for the due performance of the decree … deposit of security for due performance of the decree is not a matter of willingness by the Applicant but for the court to determine.”
- It is submitted that the Applicant has not offered any security and therefore does not deserve exercise of the discretion of this court.
- On the exercise of inherent powers – the Respondent relied on Kenya Power and Lighting Company Limited v Benzene Holdings Limited t/a Wyco Paints [2016] eKLR
- It is submitted that there is no appeal against the exparte judgement, this court cannot proceed to grant stay; that the Applicant seeks stay of execution pending appeal of the ex parte judgment delivered in favour of the Respondent. However, on the face of the memorandum of appeal filed herein, it is clear that the appeal has been preferred against the ruling of the trial court delivered on 29/3/20213 dismissing the Applicants’ application for stay of execution and setting aside on the ex parte judgment. Thus, it is submitted that the court cannot stay execution of the exparte judgment where no appeal has been preferred against it.
Analysis & Determination.
- The issue for determination are whether the preliminary objection has merit - and if not whether the application for stay of execution is merited.
- On the preliminary objection - it is correct that the application before the trial court was seeking the setting aside of the exparte judgement. It is this application that was dismissed. According to the to the memorandum of appeal that is the application the Applicant is appealing against. It is correct that the dismissal of that application did not result in positive order that would to warrant stay of execution and following the cited authorities, there was nothing to stay.
- A perusal of the memorandum of appeal shows clearly that the appeal is against the ruling delivered on 29/3/2023, the grounds are with respect to the said ruling, and the prayers sought with respect to the appeal are with respect to the said ruling. However, the order sought out of the Appeal Are That the ruling of the honourable trial court of 29th March, 2023 dismissing the application to set aside the ex-parte judgment in the suit be and is hereby set aside. That the honourable court upon reversing the order of the trial magistrate be pleased to allow the application dated 19th August, 2022
- The application dated 19/8/2022 seeks not only the setting aside of the ex parte Judgment, but also seeks that the respective parties be afforded the chance to advance their respective cases; that is to say that the ex parte judgement be set aside and the parties be allowed to proceed to present their respective cases in a full hearing.
- It is evident from the pleadings from both sides had not been for the exparte judgement this application, this appeal, and the application below – would not have been filed.
- Hence, while it is correct that the appeal is against the ruling of the subordinate court – one of the prayers sought in the appeal - is to allow the application in CMCC E170/2022 whose prayer were;
- That honourable court be pleased to issue an order for stay of execution of the exparte judgment /decree dated/delivered on 8/6/2022 pending the inter-partes hearing and determination of this application.
- That this honourable court be pleased to set aside the interlocutory judgement, exparte judgment /degree herein dated 8/6/2022 and consequent proceedings and readmit the matter for hearing on merits with the respective parties being afforded a chance to advance their cases
- The honourable court be pleased to grant the Defendant /Applicant leave to file her defence out of time.
24. It is from those facts that I form the view that the application for stay is not for fetched it is with standing - because allowing or refusing the application in the subordinate court would have consequences with regard the ex parte judgement. Hence it is my view that the application for stay of execution of the ex-parte judgement is merited. It was brought in time; The sum involved is substantial and any in any event in the replying affidavit the Respondent offers a middle ground: the deposit of the decretal sum in a joint interest earning account in the name of both advocates; The security would be served by the above proposal if granted.
25. In the circumstances the preliminary objection would have been sustainable had it been that the matter was only about the ruling in the subordinate court. However, there is more than just the negative order. The more is about the ex parte judgement.
26. The application for stay of execution pending the appeal is allowed on the condition:
- That the awarded sum be deposited in a joint interest earning account in the names of the two advocates within 45 days herein: in default the order of stay will lapse automatically and the Respondent will be at liberty to execute.
- The record of appeal be filed and served within 30 days, herein.
- Mention in 45 days, before Deputy Registrar to confirm compliance with respect to the filing of the Record of Appeal.
- The Respondent will have costs of the application either way.
- Parties are at liberty to dispense with the issues herein vide Court Annexed Mediation or any other form of ADR see Article 159 (2) (c) of the Constitution.
- Orders accordingly
Dated and signed on 12th day of April, 2024.
Delivered virtually this 15th day of April, 2024 due to system downtime on 12/4/2024.