Sahel Carriers Limited v A.O. Bayusuf & Sons Limited (Civil Appeal E066 of 2022) [2023] KEHC 17438 (KLR) (15 May 2023) (Judgment)
Neutral citation:
[2023] KEHC 17438 (KLR)
Republic of Kenya
Civil Appeal E066 of 2022
DKN Magare, J
May 15, 2023
Between
Sahel Carriers Limited
Appellant
and
A.O. Bayusuf & Sons Limited
Respondent
(Being a partial appeal of the Judgment of Hon. E. Muchoki delivered on the 4th April, 2022 in Mombasa Civil suit NO. 321 of 2018)
Judgment
1.This is an appeal from the Judgment of the Honourable E. Muchoki given on 4/4/2022 in Mombasa CMCC 321 of 2018. The Appeal is on loss of user of Ksh. 5,200,000 from 4/11/2015 to 23/2/18, for Assessor’s report, towing fees and private investigations.
Duty of the court
2.The duty of the 1st Appellant Court was settled long ago by Clement De Lestang, VP, Duffus and Law JJA, in the locus Classicus case of Selle and another v Associated Motor Board Company and Others [1968] EA 123, where the law looks in their usual gusto, held by as follows; -
3.The Court is to bear in now that if need her seen the witnesses. It is the trial court that has observed the demeanor and truthfulness of those witnesses. However, documents still speak for themselves. The observation of documents is the same as the lower court as parties cannot read into those documents matters extrinsic to them.
4.In Fidelity & Commercial Bank Ltd V Kenya Grange Vehicle Industries Ltd (2017)eKLR , the Court of Appeal, Ouko, Kiage and Murgor JJA held as doth;-
Pleadings
5.The appellant pleaded that an accident did occur on 2/11/2018 involving its motor vehicle registration No. KAV 568D and the defendants motor vehicle registration No. KBD 148F/ M Benz.
6.The plaintiff pleaded various special damages and loss of user from 4/11/15 to today (which turned out to be 21/2/18). The Respondent filed its defence on 12/3/2018 denied occurrence of an accident on 2/11/2017. They however blamed the accident on the appellant.
Evidence
7.On 8/10/2020 PC Julius Kiprono from Mukaaa gave evidence. Further evidence was given by Albert Ngure Mwasanu and Ann George Henry Muta. He stated that the motor vehicle was written off and salvage value was Ksh. 400,000/=. Ann Presesh Pereni testified as a tax consultant. The Defence case was closed without evidence being tendered. The court in its Judgment found the Respondent 100% liable.
8.The court relied on the case of Trust Bank Limited v Paramount Universal Bank Limited & 2 others [2009] eKLR to posit that without defence evidence, the allegations in the defence were just that, in which the court stated as doth: -
9.The court awarded a sum of Ksh. 1,085,064 and dismissed the other claims as they were not pleaded with particularity. The appeal is in respect of 4 of the dismissal special damages, that is: -a.Loss of user 5,200,000/=b.Cost of assessors Report 12,000/=c.Towing fees 78,000/=d.Private investigations fees 20,000/=Total 5,310,000/=
10.The case of David Bagine v Martin Bundi [1997] eKLR settles what is required of special damages. The law Lords posited as follows: -
11.Therefore, the duty to plead specifically lies with the Appellant. Then and only then will they proceed to proof. In this case there are two sets of damages I will addressa.Loss of userb.Others
Loss of user
12.Loss of user is given as the loss which a party suffers as they await repairs. In the case the motor vehicle was written off, with a salvage of Ksh. 450,000. Effectively the vehicle was not to be repaired.
13.The assessor indicated that it could take less than a month to procure another vehicle. This period could be considered. However, there was no proof of the type of loss. I therefore do not find merit in this limb of the Appeal.
Appellant’s submissions
14.The Appellant rightly quotes the decision of Ndugu Transport Company Limited & Another v Daniel Mwangi Waithaka Leteipa [2018] eKLR wherein the Courts stated as follows in respect to loss of user: -
15.The also quote the decision in Nkuene dairy Farmers Co-op Society Ltd & Another v Ngacha Ndeiya [2010] eKLR associated itself with the sentiments of Bowen L.J. in Ratcliffe v Evans [1892] 2 QB 524 wherein the learned Judge sated as follows: -
Respondent’s submissions
16.I have not had sight of these. If they were filed, they are not in the file. I shall therefore mirror their submissions in the court below.
Analysis
17.Without repair of the motor vehicle, the loss of user was unnecessary. Further, there needed to be particulars of what loss of user consisted. As held in David Bagime case(supra), they should not just be thrown to the court. I therefore reject the appeal on loss of user. I uphold the finding of the trial court that it was not pleaded and proved.
18.In South Nyanza Sugar Company Ltd v Donald Ochieng Mideny [2018] eKLR, the court, D.S. Majanja stated as doth: -(15)The next question is whether the appellant was entitled to damages as a result of the breach. As a general principle, the purpose of damages for breach of contract is, subject to mitigation of loss, the claimant is to be put as far as possible in the same position he would have been if the breach complained of had not occurred. This is principle is encapsulated in the Latin phrase restitution in integrum (see Kenya Industrial Estates Ltd v Lee Enterprises Ltd NRB CA Civil Appeal No. 54 of 2004 [2009] eKLR, Kenya Breweries Ltd v Natex Distributors Ltd Milimani HCCC No. 704 of 2000 [2004] eKLR). The measure of damages is in accordance with the rule established in the case of Hadley v Baxendale (1854) 9. Exch. 341 that the measure of damages is such as may be fairly and reasonably be considered arising naturally from the breach itself or such as may be reasonably contemplated by the parties at the time the contract was made and a probable result of such breach (see Standard Chartered Bank Limited v Intercom Services Ltd & Others NRB CA Civil Appeal No. 37 of 2003 [2004] eKLR). Such damages are not damages at large or general damages but are in the nature of special damages and they must be pleaded and proved (see Coast Bus Service Ltd v Sisco Murunga Ndanyi & 2 others, NRB CA Civil Appeal No. 192 of 92 (UR) and Charles C. Sande v Kenya Co-operative Creameries Ltd, NRB CA Civil Appeal No. 154 of 1992 (UR)).
19.This was also reiterated in the decision of South Nyanza Sugar Company Limited v Joseph O. Onyango MGR HCCA No. 10 of 2016 [2017] eKLR, where the same court stated as doth: -
20.The other reason is that once a vehicle is a write off, loss of user is not payable. Further the appellant has a duty to mitigate losses. In the case of Peter Njuguna Joseph & Another v Ann Moraa Civil Appeal No. 23 of 1991 (UR) where it had held that;
21.In the cases of Sabuni v Kenya Commercial [2002] KLR 1 and Ryce Motors Limited & Another v Elias Muroki MSA CA Civil Appeal No. 119 of 1995[1996] eKLR. The Court, Justice Ringera J equally stated as follows: -
22.In this case there was no basis for the dates chosen for loss of user. The Appellant did not mitigate losses. Losses should thus fall where they are due.
23.In D K Njagi Marete v Teachers Service Commission [2020] eKLR, the court stated as follows: -
24.Without mitigation, the appellant cannot be heard that the other side should be loaded with the loss.
Other losses
25.The same were pleaded and receipts produced were as follows: -a.Assessment report exhibit 5b.Court attendance receipt 6.
26.The Appellant had already pleaded cost of the motor vehicle. He did not prove, how much was spent in procuring a new one.
27.The tax consultant produced reports and expenses for some financial years. The same were totally irrelevant to the questions at hand. There is no other exhibit showing that the expenses were proved. I am of the considered view that the court below was correct in all respects. I dismiss these prayers also.
Determination
28.I therefore make the following orders: -a.The entire appeal lacks merit and is hereby dismissed in limine with cost of Ksh. 225,000 to the Respondent.b.The file is closed.c.The judgment be sent upon the trial court.d.The original file be released forthwith to the lower court.e.This file is closed save for execution.
DELIVERED, DATED AND SIGNED AT MOMBASA ON THIS 15TH DAY OF MAY 2023. JUDGMENT DELIVERED THROUGH MICROSOFT TEAMS ONLINE PLATFORM.KIZITO MAGAREJUDGEIn the presence of:Mr Kithome for AppellantNo appearance for the Respondent.Court Assistant - Firdaus