MATEX COMMERCIAL SUPPLIES LIMITED & another v EURO BANK LIMITED (IN LIQUIDATION) [2007] KEHC 2428 (KLR)
- Court
- High Court of Kenya
- Case number
- 2428
- Citation
- [2007] KEHC 2428 (KLR)
- Decided
- 15 March 2007
The application for injunction is dismissed with costs to the Defendant
Facts
The 1st Plaintiff applied for an overdraft facility of Kshs. 3.4 million from the Defendant, secured by a legal charge over L.R. No.209/10482/75. The 2nd Plaintiff offered the property as security and a charge was registered. The 1st Plaintiff deposited a cheque to discharge the overdraft, but the 2nd Plaintiff claims the security should be discharged and the title released.
Issues
- Whether the 1st Plaintiff is entitled to an injunction against the Defendant to prevent the sale of the property
- Whether the 2nd Plaintiff's property is a matrimonial home and thus protected by an injunction
Reasoning
The court considers the bank's responsibility to recover outstanding debts and the importance of the property as a security. The court dismisses the injunction as the Plaintiffs have not demonstrated good faith and the balance of prejudice tilts in favor of the Defendant.
Outcome
Application for injunction dismissed
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