BUYER BEWARE: THE LESSONS ON DUE DILIGENCE WHEN PURCHASING LAND
In the complex landscape of real estate, the principle of caveat emptor , buyer beware , serves as the primary shield for any prospective property owner. Acquiring land requires more than just a search at the registry; it demands a rigorous investigation into the history, physical status, and legal character of the property. Failing to conduct comprehensive due diligence can lead to the total loss of investment, as courts are increasingly reluctant to protect purchasers who ignore obvious red flags. This blog post simplifies a landmark supreme court case, Torino Enterprises Limited vs. Hon. Attorney General (SC Petition No. 5 (E006) of 2022) that proved the important of due diligence when purchasing land. FACTS OF THE CASE In 1964, a 5639-acre freehold title (Embakasi L.R No. 11344) was granted to Kayole Estates Limited . In 1971, it was transferred to the Nairobi City Council (NCC) for valuable consideration . In 1973, the land was subdivided, creating ...