“Stick to the Deal” – The Binding Nature of Divorce
Settlement Agreements: The Case of JJM v JLM [2025] KEHC 15576 (KLR)
1. INTRODUCTION
This case reaffirms a key principle in Kenyan family law:
A matrimonial settlement agreement voluntarily executed
by spouses is binding, and courts will not reopen the distribution of
matrimonial property unless vitiating factors are proved.
The decision emphasizes contractual certainty in divorce
settlement agreements and protects parties from attempts to renegotiate after
benefiting from the agreement.
2. FACTUAL BACKGROUND
- The
parties married in 1980 and remained together for over 40 years.
- Their
marriage was dissolved on 29 November 2024 via a Decree Absolute.
- During
their marriage they acquired:
- A Ngong
property (registered in the husband's name).
- Two
parcels in Ndalu/Kipchonge Block (later transferred to their adult
son).
- A Lenana
View Apartment (B4)—allegedly bought using funds sent by the husband
from Namibia.
The Settlement Agreement
On 4 November 2017, the parties executed a Divorce
and Settlement Agreement (DSA) to determine ownership and distribution of
their matrimonial assets.
Dispute
- In
2018, the husband sent an email to their adult son attempting to “rescind”
the settlement agreement, claiming it was skewed in favour of the
wife.
- He
later filed an Originating Summons (2021) asking the Court to
disregard the DSA and redistribute property based on “contribution.”
- He
also withdrew any claim to the two parcels transferred to their son,
leaving the Ngong property as the main contested asset.
3. ISSUES FOR DETERMINATION
- Whether
the Divorce and Settlement Agreement (DSA) is valid and enforceable.
- Whether
the Court should disregard the DSA and redistribute matrimonial property
based on contribution under the Matrimonial Property Act.
- Whether
the husband’s unilateral attempt to rescind the DSA was legally effective.
- Costs
of the suit.
4. COURT’S HOLDING
1. The Settlement Agreement is Valid and Binding
The Court held that the DSA executed by both spouses is a legally
binding contract, enforceable under contract law, even though the
Matrimonial Property Act expressly mentions only pre-nuptial agreements.
2. No Legal Grounds to Invalidate the Agreement
The husband failed to prove any vitiating factors
such as:
- Fraud
- Duress
- Coercion
- Undue
influence
- Misrepresentation
- Manifest
injustice
His reason—that the agreement was skewed—did not
meet the legal threshold.
3. Unilateral Rescission by Email Was Ineffective
The email to the couple’s son did not constitute
lawful cancellation.
Rescission of a contract requires:
- Communication
between the contracting parties, and
- Mutual
consent or court intervention.
4. Estoppel: Husband Approbated the Contract
He benefitted from the DSA by:
- Selling
the Lenana apartment in accordance with the agreement;
- Receiving
and using the proceeds;
- Buying
another property with the proceeds.
Having enjoyed the benefits, he could not later repudiate
the agreement.
5. Originating Summons Dismissed
The Court declined to reopen distribution of the Ngong
property.
The DSA governs all issues of matrimonial property.
Each party was ordered to bear their own costs.
5. COURT’S REASONING
a) Settlement Agreements Are Enforceable
Although the Matrimonial Property Act is silent on
post-nuptial agreements, courts rely on:
- The law
of contract,
- The
principle of party autonomy, and
- Public
interest in finality of disputes.
b) Vitiating Factors Must Be Pleaded and Proved
Courts will not set aside a settlement simply because a
party later regrets signing it.
c) Equity Will Not Help a Party Acting in Bad Faith
The husband:
- Accepted
the DSA,
- Benefited
from it,
- Later
attempted to change his mind.
This violates the principle that a party cannot “approbate
and reprobate”—accept and then reject the same instrument.
d) DSAs Reduce Litigation and Promote Certainty
They encourage amicable settlement and reduce re-litigation
of matrimonial disputes.
6. LEGAL PRINCIPLES ESTABLISHED
- Divorce
Settlement Agreements (DSAs) are binding under contract law, even if
not expressly provided for in statute.
- Courts
will not revisit contribution analysis where a binding DSA exists.
- A
DSA can only be set aside if vitiating factors are proven.
- Parties
who benefit from a DSA are estopped from later challenging
its validity.
- Unilateral
cancellation of a matrimonial settlement is invalid.
- The
principle of finality of settlement agreements is central in
post-divorce property disputes.
7. PRACTICAL IMPLICATIONS & LEGAL ADVICE
A. For clients entering settlement agreements
- Ensure
the terms are fair, clear, and fully understood before signing.
- Obtain
independent legal advice.
- Document
all negotiations and communications.
- Ensure
all parties sign voluntarily and without pressure.
- Remember:
once executed and acted upon, a DSA is very difficult to set aside.
B. For clients seeking to challenge a settlement
A challenge is only viable where there is strong evidence
of:
- Fraud
or forgery
- Undue
influence or coercion
- Threats
or duress
- Material
misrepresentation
- Gross
unfairness amounting to manifest injustice
Mere dissatisfaction or hindsight regret is insufficient.
C. For lawyers drafting DSAs
- Include
clauses on variation, rescission, and dispute resolution.
- Ensure
the agreement covers all assets (real and personal).
- Ensure
proper witnessing and execution.
- Advise
clients on consequences of non-compliance.
D. For ongoing or future matrimonial property disputes
- A
DSA will generally override contribution arguments.
- Courts
favour finality and will avoid reopening concluded agreements.
8. CONCLUSION
JJM v JLM [2025] KEHC 15576 reaffirms that:
When spouses freely execute a divorce settlement
agreement, they are bound by it. Courts will enforce the agreement and will not
assist a party seeking to escape its consequences after enjoying its benefits.
This case strengthens contractual certainty in family law
and underscores the importance of carefully negotiating and drafting settlement
agreements.