GEORGE W. OMONDI V. GUILDERS INTERNATIONAL BANK LIMITED

JUDGMENT OF THE COURT

Sometime in 1997, Guilders International Bank Limited, the respondent herein, extended financial accommodation to George W. Omondi, the appellant herein, and as security for the financial accommodation the appellant charged to the respondent L.R No. 3734/311 (hereinafter “the Lavington property”). The appellant defaulted in the repayment of the said financial facility and by 10^th November, 1997 he owed the respondent in excess of Kshs.10 million inclusive of interest. The default triggered the process of realization by the appellant of its security.

Upon commencement of the said process the parties entered into negotiations with a view to resolving their dispute which negotiations ended with the appellant delivering to the respondent’s advocates, M/s P.L. Mutuli and Co., title documents of L.R No. 209/4401/171/307 (hereinafter “the Makadara property”). A charge was then registered in favour of the respondent in February, 1998.

The parties did not agree on the reason…