A Small Claims Court in Nairobi has ordered Crotons Motors Limited, a car dealer in Karen, to compensate City lawyer Shadrack Wambui with damages totaling Ksh. 55,550 for breaching a sale agreement involving a Mercedes Benz in August 2023.
The court found Crotons Motors guilty of double-dealing and breach of contract after selling the Mercedes Benz to another buyer despite receiving a deposit of Ksh. 200,000 from Wambui. Additionally, Crotons Motors has been instructed to cover the costs of the lawsuit and accrued interest.
Wambui informed the court that he deposited Ksh. 200,000 into Crotons Motors’ Equity bank account on August 5, 2023, after investing in consultations with Mercedes Benz experts and conducting thorough background checks, incurring significant expenses in the process.
According to court documents, Wambui contends that the remaining Ksh. 1.7 million for the vehicle was to be paid after reaching a tripartite agreement. However, Crotons Motors unilaterally canceled the sale, claiming that another buyer had deposited the funds just two minutes before Wambui.
Despite the reimbursement of the deposit, Wambui highlighted the costs he incurred, totaling Ksh. 113,842, including payments to experts for vehicle diagnostics, inspections, due diligence, and transactional expenses.
The court ruled in favor of Wambui, emphasizing the quantifiable loss resulting from the breach of contract and the contractual relationship established between Wambui and Crotons Motors.
