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case studies · 4 min · 30 September 2026

An arguable development appeal did not stop the costs risk

A Nairobi development dispute shows why an arguable appeal does not automatically justify a stay, especially when the remaining exposure concerns taxed costs.

A challenge to a neighbouring development can leave a separate financial exposure even before an appeal resolves the planning questions. In this case, the applicant had an arguable appeal, but that alone did not secure a stay.

On 20 September 2024, the Court of Appeal dismissed the application in Geoffrey Mungai Thiongo v Elsie Ridge Limited and four others, Civil Appeal (Application) E631 of 2023. The ruling concerned interim protection, not a final appellate decision that the development was lawful or unlawful.

The underlying challenge concerned approvals

The applicant had brought proceedings over a development he said lacked the necessary approvals, breached Nairobi City County zoning policy and failed to satisfy environmental-assessment and planning requirements. These were allegations in his suit, not findings adopted by the Court of Appeal (paragraph 2, page 2).

The first and second respondents challenged the Environment and Land Court's jurisdiction. Their objections referred to statutory dispute-resolution mechanisms, an environmental-approval challenge before the National Environment Tribunal and the requirement to exhaust alternative procedures. The ELC upheld the preliminary objections and struck out the suit on 14 March 2023 (paragraphs 1-4, pages 1-3).

For someone assessing a property dispute, that procedural history matters. A suit struck out on jurisdictional grounds is not the same thing as a trial judgment resolving whether each alleged planning breach occurred.

The application sought a pause, but costs drove the concern

The applicant asked the Court of Appeal to stay further ELC proceedings pending his appeal. He argued that the appeal was arguable and that the issues had not been heard on their merits. He also referred to a costs claim exceeding KSh12.7 million and the risk of execution (paragraph 5, page 3).

The second respondent opposed the application, supported by the fifth respondent, Nairobi City County Government. Their arguments included the availability of a taxation reference and the possibility of refunding costs if the appeal succeeded. Those were opposition submissions; they should not all be presented as independent holdings by the appellate court (paragraph 6, pages 3-4).

One requirement was met, but the other was not

The Court of Appeal accepted that the appeal was not frivolous. In particular, the applicant's argument that alternative mechanisms could not effectively resolve the issues raised was arguable. The court expressly distinguished an arguable appeal from one that would necessarily succeed (paragraph 8, page 4).

The difficulty was demonstrating that refusal of a stay would make a successful appeal ineffective. The judges observed that the ELC proceedings appeared to be at an end. They had been informed during the hearing that costs had already been taxed, and the applicant's material did not suggest that those costs could not be refunded if the appeal ultimately succeeded (paragraph 9, pages 4-5).

The application dated 8 February 2024 was therefore dismissed, with costs to the second and fifth respondents (paragraph 10, page 5). The court did not dismiss the substantive appeal in this ruling.

Keep the planning question separate from the costs question

For buyers, developers and advisers, the practical lesson is to track the exact issue each order addresses. An appeal may remain live while a request for interim relief fails. A costs exposure may also require attention independently of the underlying development dispute.

A useful file should distinguish the original allegations, the jurisdictional ruling, the pending appeal and the decision on temporary relief. Ask a Kenyan advocate what each order permits or prevents, and what evidence supports any application to pause enforcement.

Nothing in this historical ruling establishes the property's present approval status, later litigation outcome or current liabilities. No later history was checked for this account.

ArdhiScore screening can help organise available dated evidence and questions for further checks. It does not guarantee approvals, title, recovery of costs or litigation outcomes, and it does not replace official records or professional advice. See how ArdhiScore works.

Primary source: Official Judiciary September 2024 collection, member NAIROBI CIVIL APPEAL (APPLICATION) NO. E631 of 2023 .pdf, paragraphs 1-10, pages 1-5.

kenya-landcourt-casesdevelopment-approvalslitigation-risk

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