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Posta Ordered to Pay Trader Sh20 Million

N

Nyakundi Report

Newsroom 1 min read

This archive report was first published on 25 September 2019.

On September 25, 2019, a Kenyan court made a landmark ruling in favor of a trader who had been wronged by the Postal Corporation of Kenya.

Jerald Kamondo Njuki, trading as Geka General Supplies, had leased a two-acre plot from Posta to develop and rent out to car mechanics. However, the corporation failed to provide the plot, leaving Mr. Njuki with significant financial losses.

High Court commercial division judge Rachel Ng'etich ruled that Posta had breached the contract and ordered the corporation to pay Sh20 million in compensation, which will attract interest at court rates.

The judge also directed Posta to pay the costs of the litigation.

According to the court ruling, Geka General Supplies had expected a monthly income of Sh3,360,000 from renting out the stalls and leasing the garage to car mechanics.

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