Professional Consultants Limited v SBM Bank (Kenya) Limited [2020] KEHC 10012 (KLR)
- Court
- High Court of Kenya
- Case number
- 10012
- Citation
- [2020] KEHC 10012 (KLR)
- Decided
- 17 August 2020
AI Summary
Beta
Machine-generated — may contain errors. Not legal advice.
TypeInjunctionPosturePlaintiff seeks an injunction to restrain the Bank from selling the suit property by public auction.CoramD. S. MAJANJA
Holding
The Court allows the Notice of Motion and restrains the Bank from exercising its statutory power of sale in respect of the suit property unless it issues a fresh statutory notice.
Facts
The Bank issued an overdraft facility and a term loan secured by a legal charge over the suit property. The Bank later issued a statutory notice demanding payment of Kshs. 34,087,925.51.
Issues
- Whether the Bank's statutory notice included an amount not part of the facility secured by the charged property.
- Whether the Bank can exercise its statutory power of sale without a fresh statutory notice.
Reasoning
The Court finds that the statutory notice included an amount not part of the facility secured by the charged property, thus not meeting the statutory edicts.
Outcome
The Court allows the injunction.
Orders
- The defendant be and is hereby restrained from exercising its statutory power of sale in respect of the property known as LR NO. 13460/71 (Original No. 12460/7/3) unless it issues a fresh statutory notice under section 90 of the Land Act, 2012.
Remedies
- The defendant shall bear the costs of the application.
Authorities cited
Legislation (1)
- Land Act, 2012
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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