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Welcome to Kenyan Lawyer blog, an informative and educative blogs that is meant to educate and inform you on legal development in Kenya and on business issues. You can reach me via mainacy@gmail.com.
Karibu sana.

Friday, August 19, 2011

Applying for Work Permit in Kenya

WORK/ENRTY PERMITS IN KENYA

Introduction
Work permit is a legal document that one is require to have in order to work in a foreign country.
The Kenyan Immigration Act prohibits a foreigner to reside, work or engage in any employment or business in Kenya without a valid work or entry permit issued by the Immigration Department.


Applications for work/entry permit to work or reside in Kenya may be considered when submitted by prospective employers on behalf of their prospective employees. For foreigners intending to be employed in Kenya, their work permit may not normally be approved unless the prospective employer(s) can show evidence that they have been unable to fill the particular post(s) due to lack of suitably qualified personnel in the Kenya Labour Market. Those seeking to work in Kenya must therefore ensure that their prospective employers have secured appropriate Entry/Work Permits before they proceed to Kenya.

For Foreigners who wish to engage either alone or in Partnership in Business, specific trade or profession would have to furnish evidence that they have obtained or are assured of obtaining relevant licence(s), Registration or other authority that may be necessary in order to engage in the contemplated business, trade or profession. In addition, they would be required to prove that they have sufficient capital derived from sources outside Kenya which is certain to be remitted to Kenya for the purpose.

For those foreigners who have attained retirement age and wish to emigrate to Kenya may make application for issue of Entry/Work Permit under Class K.
They should have in their own right and at their full and feel disposition on assured annual income derived from sources outside Kenya and will be remitted to Kenya or derived from property situated, or a pension or annuity payable from a sufficient investment capital to produce such assured income that will be brought into and invested in Kenya. 


Applicants for Entry/Work Permit(s) of this class must undertake not to accept paid employment of any kind should they be granted Entry/Work of this class.

Types of Work Permits and Requirements

 Below are classes of work entry/ permits that can be granted under Kenyan Law and the brief requirements thereof
Class A: A person who is offered specific employment by a specific employer who is qualified to undertake that employment, and whose engagement in that employment will be of benefit to Kenya. Further details on this class of work permit are given below.


Class B: A person who is offered specific employment by the Government of Kenya, the East African Community or any other person or authority under the control of the Government or the Community, and whose engagement in that employment will be of benefit to Kenya.


Class C: A person who is offered specific employment under an approved technical aid scheme under the United Nations Organisation or some other approved agency (not being an exempted person under section 4(3) of this Act), and whose engagement in that employment will be of benefit to Kenya.

Class D: A person, being the holder of a dependant's pass, who is offered specific employment by specific employer, whose engagement in that employment will be of benefit to Kenya.


Class E: A person who is a member of a missionary society approved by the Government of Kenya, and whose presence in Kenya will be of benefit to Kenya.
 
Class F: A person who intends to engage, whether alone or in partnership, in the business of agriculture or animal husbandry in Kenya, and who:
(a) has acquired, or has received all permission that may be necessary in order to acquire, an interest in land of sufficient size and suitability for the purpose; and
(b) has in his own right and at his full and free disposition sufficient capital and other resources for the purpose, and whose engagement in that business will be of benefit to Kenya.

Class G: A person who intends to engage, whether alone or in partnership, in prospecting for minerals or mining in Kenya, and who:
(a) has obtained, or is assured of obtaining any prospecting or mining right or licence that may be necessary for the purpose; and
(b) has in his own right and at his full and free disposition sufficient capital and other resources for the purpose, and whose engagement in that business will be of benefit to Kenya.

Class H: A person who intends to engage, whether alone or in partnership, in a specific trade, business or profession (other than a prescribed profession) in Kenya, and who:
(a) has obtained, or is assured of obtaining, any licence, registration or other authority or permission that may be necessary for the purpose; and
(b) has in his own right and at his full and free disposition sufficient capital and other resources for the purpose (usually not less than KShs. 10,000,000/-) , and whose engagement in that trade, business or profession will be to the benefit of Kenya.

Class I: A person who intends to engage, whether alone or in partnership, in a specific manufacture in Kenya, and who:
(a) has obtained, or is assured of obtaining, any licence, registration or other authority or permission that may be necessary for the purpose;
(b) has in his own right and at his full and free disposition sufficient capital and other resources for the purpose, and whose engagement in that manufacture will be to the benefit of Kenya.

Class J: A member of a prescribed profession who intends to practise that profession, whether alone or in partnership, in Kenya, and who:
(a) possesses the prescribed qualifications under the relevant Kenyan Laws; and
(b) has in his own right and at his full and free disposition sufficient capital and other resources for the purpose, and whose practice of that profession will be to the benefit of Kenya.
 
Class K: A person who:
(a) is not less than 21 years of age; and
(b) has in his own right and at his full and free disposition assured annual income of not less than the prescribed amount being an income that is assured, and that is derived from sources other than any such employment, occupation, trade, business or profession as is referred to in the description of any of the classes specified in the Schedule to the Act, and being an income that either
(i) is derived from sources outside, and will be remitted to Kenya; or
(ii) is derived from property situated, or a pension or annuity payable from, sources in Kenya; or
(iii) will be derived from a sufficient investment capital to produce such assured income that will be brought into and invested in Kenya; and
(c) undertakes not to accept paid employment of any kind should be he be granted an Entry Permit of this class, and whose presence in Kenya will be of benefit to Kenya.


Class L: A person who is not in employment, whether paid or unpaid, and who under the repealed Acts was issued with resident's certificate, or who would have on application been entitled to the issue of such certificate, or who has held an Entry Permit or Entry Permits (whether issued under this Act or the repealed Acts or both) of any of the foregoing classes of Entry Permits A-K for a continuous period of not less than ten years immediately before the date of application, and whose presence in Kenya will be of benefit to Kenya.
 
Applying for a CLASS A WORK PERMIT
1. Requirements
a) Immigration Form 3 to be completed and signed by the employer;
b) Letter from the employer confirming the duration of the employment, and making out a case why the subject is the most suitable person for the job as opposed to a Kenyan. Sometimes, the Immigration department may require proof that the position has been advertised in the local press and a statement from the employer that he cannot find a qualified Kenyan candidate. Moreover, the letter should demonstrate how the presence of the employee will be beneficial to Kenya (e.g. setting up the Organisation, expanding its operations, creating of employment for Kenyans) and must give details of the Kenyans who will be trained by the foreigner.
c) Form 22 which should be completed by the Employer;
d) copy of passport;
e) 2 passport size photos;
f) Detailed CV, signed by the employee and dated;
g) Original and copies of academic and professional certificates (the originals are returned after verification).

2. Process
The application is forwarded to the Immigration Department which will consider it in a meeting. If the application is approved, a Notification of Approval is issued which will state the documents to be availed to facilitate the issuance of the Work Permit. 


Normally, these are:-
a) a bankers’ cheque for the Government fees payable (KShs. 100,000/=) in favour of the Principal Immigration Officer; and
b) Security Bond from an insurance or bank (KShs. 100,000/=).

Once the Work Permit is issued or renewed, it is not released until the applicant attends to registration as an alien at the Immigration Department. The Work Permit is thereafter endorsed in the passport and an application made for a Re-Entry Pass which is endorsed on the passport. The application for Re-Entry Pass is issued as a matter of course at the counter of the Immigration Department and is valid up to a maximum of two (2) years. The fee payable is KShs. 200/= per year.
The whole process normally takes 4-6 weeks.


SPECIAL PASSES
For any non-Kenyan who may need to come into Kenya to work for short periods, he should obtain a Special Pass which will enable him to work in Kenya for a temporary period of 3 months (renewable twice). The requirements for a special pass are a copy of the certificate of registration of the employer and a letter from the employer indicating what the person will be doing in Kenya.
Cost
We usually assist foreign clients to apply for work permits/ entry permits at a fee.

Monday, July 4, 2011

The Process of Replacement of a Lost Title in Kenya

When you title is lost the following is the process that you shall need to go through to get a replacement thereof:

1. A statutory declaration/ affidavit should be signed by the person who has lost the title explaining the circumstances in which the title was lost and effort taking to locate the missing title. The applicant should also undertake to indemnity the government from any liability that may arise as a result of the re-issuance of the title or a provisional certificate of title.

2. A search report should be attached to the duly signed statutory declaration and the application lodged to the relevant Land registrar for approval.

3. The Land Registrar will upon approval write a letter to the Government Printers authorising gazettement. Once gazetted the Gazette Notice is taken to Land Registrar after expiry of 30 days from date of gazettement who will then issue a new title.

4. The process takes at least 60 days to be completed.

You may require to engage an advocate to assist you in the process. if you require any more information or clarification, please do not hesitate to contact me via mainacy@gmail.com



Best regards,

Thursday, June 16, 2011

Extension of Leasehold titles under Kenyan Law

In Kenya, land/immovable property can be registered under three registration regimes viz:-
(a) The Government Lands Act, Chapter 280 of the Laws of Kenya;
(b) The Registration of Titles Act, Chapter 281 of the Laws of Kenya; and
(c) The Registered Lands Act, Chapter 300 of the Laws of Kenya.
Unlike freehold titles, leaseholds titles are issued or granted a limited period of time, usually referred to a the term and this may be 33 years, 50 years or 99 years. When the term for which a leasehold title is issued expires, the land therein comprised in supposed to revert to the state/Government of Kenya or the relevant local authority, after which is available for appropriation to another use or person.
It is usually the case that when one has be granted a leasehold interest; he or she would want to renew the leasehold title after expiry of the initial term, and especially when he/she has developed the land, so that he can recoup his/her investment. To avoid one being caught unaware, the registered proprietor of land or his agent should acquaint himself of the terms and conditions under which the land is held and should keep a record of the expected expiry date of his leasehold interest. Where one intends to renew his leasehold title, he should commence the renewal process interest at least 3-5 years before expiry of the initial term.
Below in the Process of for the renewal of a Leasehold Interest Granted by the Government of Kenya
1. Application to Commissioner of Lands
To initiate the process, the client should engage a qualified advocate or land consultant to assist him in the process. The latter should begin the process by making a formal application to the Commissioner of Lands on behalf the client in which he should request for an extension of the leasehold tile for a further term. Generally, the client will be required to have complied with the terms and conditions of his leasehold title to qualify for an extension of his leasehold title.
Once the Commissioner of Lands has received the application letter, the same is assigned to a specific land officer at the Lands Office, who is supposed to deal with the application.
2. Approval from the relevant Government Departments
The attending land officer attend to the application by first circulate the application to various Government Departments to notify them of the same and to seek their views on the same.
These departments includes:-
(a) relevant local authority;
(b) Director of City Planning; and
(c) Director of Surveys.
Once the requisite approvals have been granted by the above mentioned Departments to the Lands Office, the Commissioner of Lands through the relevant land officer will then issue the applicant with formal letter of acceptance of the renewal application, and his is usually subject to the following conditions being fulfilled:-
(i) Submission of a new Deed Plan of the Property;
(ii) Payment of approval and conveyance fees;
(iii) Surrender of the existing title in exchange of a new grant/title with the extended term;
(iv) Submission of copies of the approved development plans in respect of the existing buildings on the Property; and
(v) New revised land rent and rates etc.
The new Deed Plan for the Property must be prepared by a duly licensed survey and thereafter approved by the Director of Survey, who is based at Survey Department, at Ruaraka. We normally arrange and facilitate this process on behalf of our clients.

3. Issue of new Grant
Upon receipt of the new deed plan of the Property, the following documents are supposed to forwarded to the Commissioner of Lands to enable the issuance of the new Grant/title:-
(a) A duly executed surrender of the original title to the Government;
(b) The original title for the leasehold title;
(c) A banker's cheque for the necessary payments stated in number 2 above;
(d) The new approved Deed Plan for the Property.
The Commissioner of Lands will then cause the Grant to be prepared and this together with the new deed plan for the property (usually annexed thereto) are forwarded to the Director of Surveys for verification and recording. After this process, these documents are returned to the Lands office for registration and thereafter collection by the applicant.
4. Registration of the Replacement Charge
If the property is mortgaged or charged to a financier institution ton secure some banking facilities, the property should be discharge before it is surrender to the Government in substitution of a new grant/title. Most banks will be agreeable to such discharges and renewal provided that the registered owner of the property agrees to creation and registration a replacement mortgage or charge in their favour upon the issuance of a new grant/title.
5. Time Frame
In my experience, the process for an extension of leasehold titles takes about 3-7 months.
Kindly do not hesitate to contact me via mainacy@gmail.com in the event that you require further information or clarification.

Monday, June 13, 2011

Sale of Land in Kenya )- Checklist

Sale of Land

Checklist

1. Check if title RLA/RTA/GLA; (Registered Land Act, Registration of Titles Act or Government Lands Act, Chapters 300, 281 and 280 of the Laws of Kenya, respectively. These statutes have now been repealed and replaced by the Land Act, 2012 and the Land Registration Act, 2012, although the titles and registry under the former laws are still in place.  
2. Conduct search at lands office (for all transactions) and company registry (if necessary);
3. Check user of the property – if user agricultural ( as freehold titles tend to be) land board control consent will be required. The sale transaction will be void is the land board control consent is obtained at all or within the requisite time frame.  After the sale has been concluded, the change of user should be applied for and obtained if the property if intended to be used for another user other than that stated in the title document; 
4. If property is a leasehold, check the conditions endorsed on the original title or lease especially if there are development conditions. It is also important to check the terms of the leasehold title. If only a few years are remaining for the leasehold title to expire, the vendor may be required to apply and obtain an extension of lease.
5. It is common to check if the property is listed in the Ndung’u Lands Report on Illegal and Irregular Land Allocation report but currently the status/effect of that report is unclear;
6. If property is being transferred by administrators of estates of deceased ensure that the requisite procedure are adhered to.  For instance, under RLA, the property has to be transferred to administrator  using Form RL 7 who will then transfer it to the persons entitled under the will (RL 19) who will  then transfer the property to the purchaser.
For RTA titles, the death certificicate and the confirmaton of grant of administration will be endorsed on the title and the administrator will be able to sell the property.
7. When preparing the sale agreement, check if the purchaser is getting a charge over the property in which case the entire amount/balance of purchase price will be secured by an undertaking from the bank or its advocates.  Please also note that escrow agent or account  as well as bank guarantees are becoming common methods of payment of balance of the purchase price and/or deposit, especially where the vendor's lawyer reputation is in doubt or uncertain;
9. If there is an introducing agent’s fee to be paid who will pay and at what stage?  Usually this is paid at the end of the transaction.

Completion Documents

1. Original title to property – in case of change of user new grant issued (RLA/RTA Freehold to leasehold) and original grant surrendered- check that this has been done or that the change of user has been endorsed on the original title or grant – RTA uncommon;
2. the Land Rent Clearance and Rates Clearance Certificate, if applicable;
3. consent to transfer the property from the Commissioner of lands, if applicable;
4. Consent to transfer the property from the relevant land control board, if applicable;
5. Cheque for stamp duty in the name of the commissioner of domestic taxes (a/c of purchaser);
6. stamp duty valuation form duly completed by vendor or his advocate;
7. if change of user obtained PP2 (permission from city council);
8. 3 coloured passport sized photographs/copy of PIN Certificate & ID/Passport Number of transferor and transferee (director and director/secretary in case of company)

It is important for one to use a reputable lawyer or firm of advocates to act for him/her in the sale transaction. Such lawyer will also assist in obtaining the requisite completion documents.

For more information, please do not hesitate to contact me via mainacy@gmail.com