In a decision that brings a prolonged dispute over the 75-acre property in Gatanga, Murang'a County, closer to an end, the court directed the school to surrender the premises by December 31, 2026.
The judges, however, granted the institution additional time to complete the academic year and facilitate the relocation of learners, teachers and other staff without unnecessarily disrupting education.
At the centre of the dispute was whether Pioneer International Schools had acquired a legal right to occupy the property after taking over the school business previously operated by Goshen Gardens Limited.
Pioneer, associated with businessman Peter Munga, argued that Del Monte was aware of its takeover arrangements and that it had invested substantial resources in rehabilitating facilities, recruiting staff and restoring the institution.
It maintained that the company's conduct and participation in discussions had created an expectation that a fresh lease would eventually be granted.
However, the appellate court rejected the argument, finding that discussions and expectations of a future agreement could not substitute for a legally binding tenancy arrangement.
The judges observed that although Pioneer had committed considerable resources to the school, such investments did not automatically confer rights over property belonging to another party.
The court further noted that Del Monte had not provided clear assurances that it would grant Pioneer a lease.
Dispute dates back to 2013
The dispute dates back to September 2013, when Del Monte leased the 75-acre parcel to Goshen Gardens for eight years to operate a school at an initial monthly rent of Sh550,000, subject to annual increases of five per cent.
Goshen subsequently fell into rent arrears, prompting Del Monte to terminate the agreement in 2015. The company later objected to the transfer of the school operations to Pioneer without its consent.
Pioneer will be required to continue paying monthly occupation charges during the transition period. The court clarified that such payments would not establish a new landlord-tenant relationship.
It also restricted the school from subletting, assigning or making major alterations to the property beyond normal school operations.
The ruling gives Pioneer until the end of December to organise its exit, while allowing Del Monte to reclaim its property after years of litigation.
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