Ruling Reveals How Commercial Tenant Can Lose Millions Over Lease Breaches

A commercial tenant in Kenya can lose millions of shillings despite paying rent if sued by the landlord for unpaid charges or lease violations. On September 22, 2026, the Environment and Land Court in Malindi ordered a tenant to pay Ksh21.9 million, including legal costs and interest, in a lease dispute. The court found that the tenant failed to pay water, electricity, sanitary, and hidden charges, and carried out structural alterations without the landlord’s written consent. The ruling warns tenants that paying rent alone does not fulfill all lease obligations and that they must provide supporting evidence in court.