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Feroz Nuralji Hirji v Housing Finance Compnay of Kenya Ltd & another [2015] KEHC 8220 (KLR)

[2015] KEHC 8220 (KLR) High Court of Kenya
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Court
High Court of Kenya
Case number
8220
Citation
[2015] KEHC 8220 (KLR)
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeCivilPostureAppeal from a previous judgmentCoramHavelock, Kasango, Khaminwa, Major, Waweru
Holding

The court held that the interest awarded should be calculated on the basis of compound interest.

Facts

The Plaintiff sued the 1st and 2nd Defendants for interest on a loan. The only outstanding issue is the method of calculating interest.

Issues

  1. Whether the interest awarded should be calculated on the basis of compound or simple interest.
  2. Whether the circumstances of the case warrant the award of compound interest.

Reasoning

The court found that the Civil Procedure Act does not specify a method of computing interest, and that the presumption in other jurisdictions is for simple interest unless expressly stated. The court considered relevant case law and concluded that compound interest should be awarded in this case.

Outcome

Judgment in favor of the Plaintiff on the issue of interest calculation.

Orders

  • To calculate the interest on the decretal sum on a compounded basis.

Remedies

  • To calculate the interest on the decretal sum on a compounded basis.

Authorities cited

Legislation (1)
  • Civil Procedure Act
Cases cited (4)
  • East African Engineering Consultants v Municipal Council of Kisumu
  • Anab Hussein Arab v Small Enterprises Finance Co. Ltd
  • Veleo (K) Ltd v Barclays Bank of Kenya
  • Bank of America Canada v Mutual Trust Co.
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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