Starnet Investments Limited v Maple Investment Limited (Environment & Land Case 124 of 2016) [2023] KEELC 562 (KLR) (26 January 2023) (Judgment)
- Court
- Environment & Land Court
- Case number
- 562
- Citation
- [2023] KEELC 562 (KLR)
- Decided
- 26 January 2023
The Court finds that the Plainti has proved its case on a balance of probabilities against the Defendant and issues the following nal orders:
Facts
The Plaintiffs, Starnet Investments Limited, claimed that the Defendant, Maple Investment Limited, was bound to observe the provisions of the lease agreements by the purchasers of sectional properties units. The Plaintiffs also alleged that the Defendant's resolutions and demands were illegal and unenforceable.
Issues
- Whether the resolution Minute 05/2015 as made in the Special General Meeting is valid?
- Whether the demand for Kshs 22,000,000 by the Defendant is valid?
- Whether the Plainti is entitled to the reliefs sought?
Reasoning
The Court considered the pleadings, evidence, and submissions and found that the Special General Meeting was an extraordinary general meeting, and the resolution was protected under the majority principle. The Court also found that the demand for Kshs 22,000,000 was unenforceable due to payments received between 2009-2015.
Outcome
The Plainti is entitled to the reliefs sought.
Orders
- A declaratory order that the defendant is bound to observe provisions of lease agreement dated December 8, 1998.
- A declaratory order that the Resolution Minute No 05/2015 Parking slots made at the Connaught Apartments Westlands in Nairobi in so far as it subjects the Plainti’s right to ownership and use of a second parking bay at Connaught Apartments on LR No 1870/VI/85 Nairobi on payment of Kshs 22,000,000/- Million, is illegal and any action stemming from the said resolution is hereby suspended from implementation.
- A declaratory order that the demand for Kshs 22,000,000/- Million is unclaimable in lump sum by virtue of payments received between 2009-2015 amounting to six hundred and eight nine thousand, ve hundred and fty four thousand and sixty six cents (689,554.66)
- A permanent injunction be and is hereby issued restraining the Defendant by the Plainti’s proprietorship of Apartment Number 62(penthouse) and parking bay 25 and 26 at Connaught Apartments on LR No 1870/VI/85 Nairobi on the basis of non-payment of Kshs 22,000,000/=
- Each party to bear own costs of the suit.
Remedies
- Declaratory orders
- Permanent injunctions
Authorities cited
Legislation (2)
- Sectional Properties Act
- Articles of Association (AOA)
Cases cited (1)
- Foss v Harbottle (1843) 2 Hare 461
Loading judgment…