Court Orders status quo maintained in Naipa-KCC Ksh.420 million dispute

The High Court has ordered Naipa Supermarket Limited and New Kenya Co-operative Creameries Limited (KCC) to maintain the status quo while it considers an application seeking to preserve the dairy processor’s assets and funds in a Ksh.420 million claim.

In directions issued on October 12, 2026, the court ordered Naipa to serve KCC with the application by close of business on October 14, allowing the dairy processor seven days from the date of service to file and serve its response.

The matter is scheduled for an inter partes hearing on October 22, 2026, when both parties are expected to present their positions.

The status quo order means the existing state of affairs must be maintained as the court considers the application. The court is yet to determine whether to grant the specific preservation orders sought by Naipa.

Yesterday, Naipa Supermarket moved to court through lawyer Phillip Nyachoti, seeking orders to restrain KCC from disposing of its assets or transferring funds from its bank accounts, citing fears that planned restructuring of the dairy processor could jeopardise recovery of its Sh420 million claim.

Source: Citizen Digital