Longonot Gate Development v Equity Bank Limited [2018] KEHC 2472 (KLR)
- Court
- High Court of Kenya
- Case number
- 2472
- Citation
- [2018] KEHC 2472 (KLR)
- Decided
- 24 October 2018
The court found that the Bank had not discharged its burden to demonstrate that a statutory notice had been served on the Plaintiff. The court directed the Bank to serve a statutory power of sale in accordance with the law, but with the condition that the Bank must serve a new statutory notice and follow the statutory timelines.
Facts
The Plaintiff, Longonot Gate Development, sought a conditional injunction against the Defendant, Equity Bank Limited, to prevent the sale of the Plaintiff's property. The Plaintiff claimed that the Bank had not served a statutory notice before attempting to sell the property.
Issues
- Whether the Bank had discharged its burden to demonstrate that a statutory notice had been served on the Plaintiff
- The legality of the Bank's attempt to realize its security without serving a statutory notice
Reasoning
The court held that the sale of the property would run afoul of the statutory scheme and that the Bank had not followed the statutory notice requirement.
Outcome
The appeal is allowed, and the conditional injunction is quashed.
Orders
- The Bank is directed to serve a statutory power of sale in accordance with the law
- The Bank must serve a new statutory notice and follow the statutory timelines
Remedies
- Quashing of the conditional injunction
Authorities cited
Legislation (2)
- Statutory Notice
- Statutory Power of Sale
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