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United Airlines Limited & 2 others v Kenya Commercial Bank Limited (Civil Application E016 of 2021) [2025] KECA 806 (KLR) (9 May 2025) (Ruling)

[2025] KECA 806 (KLR) Court of Appeal
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Court
Court of Appeal
Case number
806
Citation
[2025] KECA 806 (KLR)
Decided
9 May 2025
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeCivil ApplicationPostureApplication for stay of execution pending appealCoramGV ODUNGA, Tuiyott
Holding

The Court dismissed the application for stay of execution pending appeal.

Facts

The 1st applicant, United Airlines Limited, sued the respondent, Kenya Commercial Bank Limited, for a loan facility of Kshs. 12,000,000. The respondent counterclaimed for the sum of Kshs. 33,480,950.70 together with compound interest.

Issues

  1. Whether the intended appeal will be rendered nugatory if execution of the judgement is not stayed.
  2. Whether the applicants are ready and willing to provide a Bank guarantee of Kshs 5,000,000 as a sign of good faith and security.

Reasoning

The Court found that the mere fact that the respondent intends to execute the decree cannot render an intended appeal nugatory. The applicants must establish other factors to show that the execution will irreparably negative their right as the successful party in the appeal.

Outcome

Application dismissed

Orders

  • Order for stay of execution pending appeal

Authorities cited

Cases cited (3)
  • Caneland Ltd & 2 Others v Delphis Bank Ltd (supra)
  • Ugandan Court of Appeal decision in Teddy Sseezi Cheeye v Enos Tumusiime Civil Application No.21 of 1996
  • Meteine Ole Kilelu & 19 Others v Moses K. Nailole (2009) eKLR
Experimental AI summary generated by a language model, not a lawyer. It may contain errors or omissions and must not be relied on for legal decisions — the full judgment below is the authoritative source.
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