Francis Thuo Waireri v Kenya Commercial Bank Limited (Civil Case 327 of 2005) [2005] KEHC 3151 (KLR) (Civ) (12 July 2005) (Ruling)

Facts

The Plaintiff executed legal mortgages over two properties in favor of the Defendant to secure a loan of Kshs. 500,000. The Defendant demanded a further sum of Kshs. 2,813,868.95, which the Plaintiff disputes as the loan has been paid in full. The statutory notice issued by the Defendant was defective as it did not stipulate the expiration of the notice period.

Issues

1. Defectiveness of the statutory notice
2. Validity of the Defendant's statutory power of sale

Reasoning

The statutory notice period should only run from the date of service on the mortgagor, not from the date on the face of the notice. The Plaintiff's application for an injunction is granted.

Outcome

Merit found in the Plaintiff's application; an injunction is issued to restrain the Defendant from selling, alienating, or disposing of the Plaintiff's properties until the suit is determined.