KeNHA to pay advertising firm Sh70 million compensation

An outdoor advertising firm has been awarded over Sh70 million compensation for the destruction of its billboards in Nairobi by the Kenya National Highways Authority (KeNHA).

IKON Prints Media Company will receive Sh42,778,313 from the authority being replacement value of the steel gantry that was located at Toyota Westlands on Waiyaki Way.

The High Court also ordered that the advertising firm, which was represented by lawyer Patrick Lutta, further receives Sh27,772,993 to carter for its loss of profits for one year following the pulling down of the billboards on October 29, last year.

High Court Judge David Majanja in his verdict said KeNHA violated the firm's right to fair administrative action as a direct result of the agency's failure to issue a notice of breach of approval conditions.

The advertising firm had already applied for renewal of its trade licence and had a three-year advertising contract with East African Breweries Ltd dated March 12, 2012. "I find and hold that KeNHA is fully liable for all the loss and damage caused by removal and damage to the steel gantry," he said.