MPs annul online land transaction laws

MPs during a session at the National Assembly at the Parliament Buildings. FILE PHOTO | NMG

What you need to know:

  • The MPs cancelled a notice published on April 4 that stopped manual transactions in favour of automation in a switch that had locked out lawyers who charge fees for the service.
  • The Law Society of Kenya (LSK) termed the move illegal, arguing that land transaction documents would be prepared by people without legal education and that Parliament was yet to pass a law that supports online deals.

The Land ministry has suffered a major blow after Parliament annulled laws that would have aided plan to introduce online transactions for property deals.

The MPs cancelled a notice published on April 4 that stopped manual transactions in favour of automation in a switch that had locked out lawyers who charge fees for the service.

According to the Land Registration (Electronic Land Transactions) Regulations 2019, all property transactions including searches, application for registration of documents, transfer of ownership or lease, caution and withdrawal of caution, as well as the issuance of consent and valuation requests was to be done online.

“Pursuant to section 15(1) of the Statutory Instruments Act…and having considered the Land Registration (Electronic Land Transactions) Regulations 2019 against the Constitution, the General Interpretations Act, Land Registration Act and Statutory Instruments Act, the committee recommends that the House annuls in its entirety the said statutory instrument for the aforesaid reasons,” Gladys Shollei who chairs the National Assembly’s Committee on Delegated Legislation said in a report to the House.

The ministry announced in April that it would discontinue manual transactions at both the Nairobi and Central registries, a move that saw lawyers obtain court orders halting the switch.

The Law Society of Kenya (LSK) termed the move illegal, arguing that land transaction documents would be prepared by people without legal education and that Parliament was yet to pass a law that supports online deals.

The regulations, prepared jointly by a task force comprising officials from the Land ministry and LSK sought to provide for the procedure of conducting electronic land transactions, submissions and registration of documents where an e-registry is maintained.

It also sought to provide for electronic submission and registration of documents in-line with the provisions of the Advocates Act that deals with conveyance and the Kenya Information and Communications (Amendment) Act.

The committee threw out the rules after concluding that the Land ministry did not demonstrate it conducted public participation in the development of the regulations contrary to section 5 and 5A of the Statutory Instruments Act.

“The provisions of the regulations are pertinent to the right to own and protection to property, land in particular and right of access to information,” said Ms Shollei.

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