Ngugi v Chege & another (Tribunal Case E143 of 2022) [2023] KEBPRT 18 (KLR) (Civ) (20 January 2023) (Ruling)
- Court
- Business Premises Rent Tribunal
- Case number
- 18
- Citation
- [2023] KEBPRT 18 (KLR)
- Decided
- 20 January 2023
Ngugi is a tenant protected under the Landlord and Tenant (Shops, Hotels and Catering Establishment) Act cap 301. The increase in rent from Kshs 20,000 to Kshs 40,000 is justifiable and reasonable.
Facts
David Ngugi rented land to start a bar business from Esther Ngendo Chege, who is the landlord. Ngugi has been paying rent for 20 years, but in February 2022, Chege demanded an increase in rent from Kshs 20,000 to Kshs 40,000. Ngugi applied for restraining orders and the tribunal allowed the application.
Issues
- Whether there exists a tenancy relationship between the applicant and the respondents
- Whether the increase in rent payable from Kshs 20,000 to Kshs 40,000 is justifiable
Reasoning
Ngugi has been paying rent for 20 years and the rent increase is justified considering the current market value and prevailing economic circumstances.
Outcome
Ngugi is ordered to pay Kshs 40,000 from the date of filing the suit to the 2nd respondent. The 1st respondent is to hand over possession to the 2nd respondent on behalf of the estate of Nduati. The 2nd respondent is granted leave to issue a fresh notice of 2 months to all tenants in the prescribed format.
Orders
- Tenant to pay Kshs 40,000 from the date of filing the suit to the 2nd respondent
- Tenant and other tenants to negotiate new lease directly with the 2nd respondent
- 1st respondent to hand over possession to the 2nd respondent on behalf of the estate of Nduati
- 2nd respondent to issue a fresh notice of 2 months to all tenants in the prescribed format
Authorities cited
Legislation (1)
- Landlord and Tenant (Shops, Hotels and Catering Establishment) Act cap 301
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