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Land Due Diligence & Bona Fide Purchasers Explained

Essential Guide to Land Due Diligence for Property Ownership in Kenya
By Nicole Moraa, Adroit Law

Investing in land is one of the most important financial decisions you can make. In Kenya, however, owning property isn’t just about having a clean title — it’s about verifying the integrity of the entire ownership chain. With recent landmark rulings, courts have emphasized that due diligence is no longer optional but essential.

Why Is Land Due Diligence So Important?

In the past, buyers considered a certificate of title as conclusive proof of ownership.
A simple search at the Land Registry seemed enough. But recent court decisions
have shown that even a clean title can be invalid if it’s rooted in improper
procedures or fraudulent allocation.

Let’s explore three key court cases that changed the game:

1. Sehmi v Tarabana Company Limited & Others (2025)
This Supreme Court case, as highlighted by the Kenya Law, is centred on a property in Ngara area, Nairobi. The Sehmi family, who had owned the land since 1968, were forcibly evicted by two companies claiming that the lease had expired and the land reverted to the government — which then allocated it to them.

The Court disagreed relying on precedent set in Dina Management, the Court emphasized that a valid title must originate from lawful procedures. In this case, a lands officer (rather than the legally mandated Commissioner of Lands) handled the allocation — rendering
the title invalid. The Court ruled that the respondents could not pass good title, reinforcing the principle that procedural flaws in land allocation cannot be overlooked.

 

2. Dina Management Limited v County Government of Mombasa (2023)
In this case, the Mombasa County Government demolished a perimeter wall on Dina Management’s beachfront property, claiming the land was public. Dina Management asserted it was a bona fide purchaser with a valid title. However, the Supreme Court examined the historical ownership chain and found that the title originated from fraudulent allocation. The land had been intended as public space from the outset. As a result, Dina’s ownership was not protected under Article 40 of the Constitution.

 

3. Chemey Investments Limited v Attorney General & Others (2018)
Here, the Court of Appeal uncovered a scheme to misrepresent public land as private. Chemey Investments actively participated in illegal and irregular transactions. The court ruled that ownership obtained through fraud is not protected by law, regardless of the documents presented.

 

What This Means for You as a Property Buyer in Kenya

These rulings by the Courts clearly demonstrate that due diligence must go beyond surface-level checks. A prospective buyer should take deliberate steps to investigate the property’s full ownership history, ensuring that each transfer of title was lawful and supported by proper documentation. Engaging a qualified legal professional to thoroughly review all documentation is essential, as this helps uncover any inconsistencies or red flags that might otherwise be overlooked. Moreover, one should verify all information directly with the relevant government authorities, rather than relying solely on brokers, hearsay, or basic title searches, which can be misleading or incomplete. Failing to do so could cost you your investment.

Want to know how these legal developments affect your rights in land transactions, our team of legal experts is here to assist you. You can reach us on info@adroit.law or read more on our articles on https://www.adroit.law/legal-insights/