Mwatec Enterprises Limited v Equatorial Commercial Bank Limited [2014] KEHC 1987 (KLR)
- Court
- High Court of Kenya
- Case number
- 1987
- Citation
- [2014] KEHC 1987 (KLR)
- Decided
- 7 October 2014
The court finds that the Plaintiff has made a prima facie case regarding the service of the Statutory Notice and the Notification of Sale, and restrains the Defendant from selling the property by public auction or otherwise.
Facts
The Plaintiff, Mwatec Enterprises Limited, applied for an overdraft facility and a term loan secured by a first legal charge over a property. The Defendant, Equatorial Commercial Bank Limited, issued demand notices and a statutory notice for payment of outstanding sums. The Plaintiff failed to service the loan.
Issues
- Notification of change of rate of applicable interest
- Proof of service of the Statutory Notice
- Proof of service of the Notification of Sale
- Auctioneers fees and costs
Reasoning
The court notes that the interest rate in the Letter of Offer is 17%, while the Statutory Notice states 28.5%. The court finds that the address used on the statutory notice is incorrect and raises issues regarding the service of the notice.
Outcome
The Plaintiff's application for temporary injunction is granted.
Orders
- The Defendant is restrained from selling the property by public auction or otherwise and from interfering with the Plaintiff's interest in the property.
Remedies
- Injunction
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