The Environment and Land Court at Nyeri has ordered Solio Ranch Limited to execute a contract for the sale of 400 acres of land in Naromoru to James Muchangi Gachemi.
Justice James Olola ruled that the material before him had shown that Solio Ranch’s decision to repudiate the contract that exists between itself and the claimant, Mr Gachemi, was unreasonable.
“An order is hereby made directing and compelling Defendant to forthwith execute all documents and do all acts for purposes of completing the contract between Plaintiff and Defendant for the sale of the property known as L.R Number 11571/36 and delineated in Survey Plan Number 361443 situated West and South West of Naromoru within Laikipia County,” the judge said.
The court also ordered that subject to payment of the Sh49 million by Mr Gachemi within 60 days, Solio Ranch should execute all documents and complete the sale of property L.R Number 11571/37.
Failure to do this, the court ordered that Solio Ranch should refund the Sh11 million deposit at a bank rate of 22 percent per annum from 27 June 2014.
The evidence presented by Mr Gachemi was that on 10 December 2012, he got into a sale agreement with Solio Ranch through its agent, Tysons Limited to purchase 200 acres of land L.R Number 11571/36 for Sh50 million, which he paid in full.
In 2013 Mr Gachemi entered into negotiations with Solio Ranch’s agents, Tysons Limited for another 200 acres of land L.R Number 11571/37 that was adjacent to the first property for Sh60 million for which he paid a deposit of Sh11 million.
Mr Gachemi told the court that despite his effort to fulfil his part of the agreement, Solio Ranch unjustifiably breached its part of the agreement and has refused to transfer title to the parcels of land to him, thereby causing him to suffer loss and damage.
Solio Ranch said there did not exist a sale agreement between the two parties and that there was a letter of offer.
It told the court that the collateral agreement required that Mr Gachemi would purchase the two parcels of land simultaneously and as he failed to do this, it decided to rescind the offer.
