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Kenya Tea Development Agency Limited v. Victory Tea Brokers Limited,Kipng'eno Arap Ngeny & Samson K. Ongeri

(2019) JELR 99913 (CA)

Court of Appeal  •  Civil Appeal 171 of 2011  •  8 Feb 2019  •  Kenya

Coram
William Ouko, Patrick Omwenga Kiage, Agnes Kalekye Murgor

Judgement

JUDGMENT OF THE COURT

This appeal arises from a decision of the High Court which discharged Hon. Kipng’eno Arap Ngeny and Hon. (Prof) Samson K. Ongeri, the 2nd and 3rd respondents (the directors) respectively as parties to the suit filed by the applicant the Kenya Tea Development Agency Limited.

Briefly, the appellant, who was the managing agent of the Litein, Kapset, Kiru, Momal and Kapkoros Tea Factories (the tea factories) claimed that at the request of the 1st respondent, Victory Tea Brokers Limited (Victory Tea), it agreed to employ Victory Tea as a tea broker to manage the tea factories and in return Victory Tea would be paid a commission of 0.75% all inclusive. It was alleged that the agreement was made on the fraudulent representations of the 2nd and 3rd respondents who were directors of Victory Tea that the company was of good standing, and could be trusted with the proceeds of tea sales. The appellant further alleged that on diverse dates between 23rd September 2008 and 7th Oc…

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