Appeals Court suspends execution of Sh485 million judgment in estate dispute
The Court of Appeal has suspended the execution of a Sh485.8 million judgement issued by the High Court in a family dispute involving the management of a company linked to the estate of the late Samuel Maina Gatonga.
In a ruling delivered on January 16, 2026 a three-judge bench comprising Justices Lydia Achode, Aggrey Muchelule and George Odunga granted a stay of execution pending the hearing and determination of an intended appeal by three brothers, John Kaguma Maina, Charles Kanyuga and Stanley Kariuki Maina.
The applicants had moved to the appellate court challenging a High Court decision by Justice Mongare delivered on April 25, 2025, which ordered them to pay their brothers, Francis Chege Maina, Joseph Macharia Maina and James Muthaiga Maina, a total of Sh485,812,539.40 in special damages.
The High Court had also directed the applicants to render accounts for three bank accounts held at Standard Chartered Bank, Commercial Bank of Africa (now NCBA) and Bank of India.
The dispute centres on the management of Ambassadeur Investment (K) Limited, a family-owned company whose affairs are closely tied to ongoing succession proceedings relating to the Gatonga estate.
In their application, the applicants argued that the intended appeal was arguable, citing several grounds, including allegations that the High Court wrongly held them personally liable as directors and administrators while excluding other directors.
They also faulted the trial court for finding that the respondents had locus standi to sue on behalf of the company and for awarding special damages on issues they said were still pending before the succession court.
They further contended that the decretal sum was colossal and that immediate payment would expose them to severe financial strain.
The 1st and 2nd respondents opposed the application, accusing the applicants of bad faith and delaying tactics.
They argued that the intended appeal was not arguable and was designed to further deny them the fruits of a judgement they had waited over a decade to obtain.
They maintained that they were capable of refunding the money should the appeal succeed and urged the court to allow execution to proceed.
After hearing submissions from both sides, the appellate judges found that the applicants had satisfied the twin principles required for the grant of stay under Rule 5(2)(b) of the Court of Appeal Rules.
The court held that the proposed appeal raised serious and non-frivolous issues, including questions on jurisdiction, locus standi and the propriety of awarding special damages in the circumstances of the case.
The judges said while the decree was a monetary one, the amount involved was colossal by Kenyan standards and could destabilise the applicants financially if execution proceeded.
“Very few individuals will be in a position to pay such sums without being overly destabilised,” the court said.
The court granted a stay of execution of the portion of the judgement ordering payment of Sh485.8 million, directing the applicants to file and serve their appeal within 45 days, failing which the stay will automatically lapse.