Brought to you by Valarie N. Waswa & Co. Advocates

Dear Briefers,

Welcome to the second edition of The Waswa Brief — a weekly digest spotlighting legal and policy developments shaping Kenya, East Africa, and the continent. Every week we break down what’s changing, why it matters, and where the law is headed next. This edition covers:-

ChatGPT has officially stepped back from giving legal and health advice — apparently, even AI knows its limits. OpenAI’s new policy bans “licensed advice” without a professional involved, meaning the bots are bowing out of the courtroom.

Looks like it’s time for real lawyers to shine again (we’ve been waiting for this moment). After all, no algorithm can replace good old human judgment… or courtroom charm 😉(in a good way, of course haha!)

The High Court has paused the enforcement of Section 27 of the Computer Misuse and Cybercrimes (Amendment) Act 2025, which targets cyber harassment. Justice Lawrence Mugambi issued a temporary order after a petition by the Kenya Human Rights Commission and Reuben Kigame challenged the law’s constitutionality. For now, the section stays frozen while the court decides if it crosses the line on free speech. A short breather for online critics before the next digital showdown.

Artist Collins Okello stirred debate after registering copyright for his viral “Sunset of the Enigma” artwork of the late Rt. Hon, Raila Amollo Odinga. The Kenya Copyright Board confirmed it as a human-made piece, meaning Okello’s creativity, not AI alone, shaped it. Unless proven that he let a bot do all the heavy lifting, his claim stands. For now, human imagination keeps its legal crown in Kenya’s art scene

Under new LPG regulations, gas sellers must store customer details like names and phone numbers for at least two years. The Energy and Petroleum Regulatory Authority says the move will boost safety and traceability across Kenya’s LPG market. Failure to comply attracts a fine of Ksh 20,000 per violation. In short, refill responsibly. Big Gas is watching.

Hackers claiming to be “Kazu” say they’ve stolen 2.15 terabytes of data from M-Tiba, potentially affecting 4.8 million users across Kenya and Tanzania. The alleged leak includes medical and ID details from 700 health facilities. The Office of the Data Protection Commissioner is investigating as M-Tiba’s operator, CarePay, tries to verify the claims. If confirmed, this could be one of East Africa’s biggest health data breaches yet. This is a serious wake-up call for digital health platforms.

The Ministry of Education plans to use drones to deliver national exams and learning materials. The upcoming policy will address cost, security, and efficiency issues caused by floods and poor roads. Drones could replace costly helicopters and reduce human handling risks. If approved, Kenya could soon become Africa’s first country to drop exams from the sky, literally.

Safaricom and Naivas have joined forces to make 5G routers as easy to grab as your groceries. The deal puts Safaricom’s 4G and 5G routers in every Naivas store across Kenya for KSh 2,999. Customers can pick one up and choose a plan, such as 50Mbps for KSh 4,000 a month. The goal is simple: take the internet closer to the people. The move also keeps Safaricom sharp against competitors like Starlink and builds on a similar retail partnership with Quickmart. Expect more Kenyans to shop for both bread and broadband.

Nyaribari Chache MP Zaheer Jhanda wants influencers talking about money, law, or medicine to have actual degrees in those subjects. He says Kenya should “borrow a leaf” from China’s strict influencer rules that require proof of expertise before posting on certain topics. Under the proposal, creators would need recognition from professional bodies like LSK or ICPAK before commenting on specialized fields. The goal? Stop misinformation and make online content credible. The reaction online? Let’s just say the influencers aren’t exactly “liking” this one.

Good news for shoppers! Factory production costs have dropped to their lowest point in two and a half years, according to KNBS data. The Producer Price Index stood at 134.78 in September 2025, last seen in early 2023. If manufacturers pass on the savings, prices for everyday goods could finally ease. Fingers crossed the relief makes it to your local supermarket shelf.

Manufacturing has climbed into Kenya’s top three most tax-compliant sectors, overtaking transport and storage. KRA reports a 77 percent compliance rate in corporate income tax for 2025, driven by renewed industrial momentum. Real estate and finance still top the list, but factories are proving they can play clean too. Maybe the sector’s revival story starts with discipline, not just production.

In a major win for fairness, the High Court ruled that companies shouldn’t face tax penalties caused by government red tape. The case involved German firm HP Gauff Ingenieure, which missed a VAT relief due to delays in Treasury paperwork. The court said it’s unjust to punish taxpayers for administrative errors they didn’t cause. A rare moment when bureaucracy finally takes the blame.

The High Court has told three petitioners, Peter Opiyo, Peter Gacheru, and Denis Nyambati, that they can’t just walk away from their case against KRA. The trio had challenged the taxman’s use of the VAT Special Table, but their attempt to withdraw hit a wall when Justice ruled the case carries major public interest. The court said such cases can’t simply vanish without review, especially since there were signs of “forum shopping” after a similar petition popped up elsewhere. Translation? Once you take on a big public case, you can’t ghost it midway.

If it’s not on iTax, it doesn’t exist; at least according to a new High Court ruling. The court decided that any tax assessment or objection filed outside KRA’s iTax system is invalid. The case involved a Sh1 billion tax dispute and clarified that digital compliance isn’t optional. Emails, letters, or side deals won’t cut it because they don’t leave a proper audit trail. The ruling tightens the digital noose, forcing both taxpayers and KRA to play strictly within the iTax playground.

Tourism players are roaring, and not in celebration, over KWS’s new park fee system. The Kenya Tourism Federation says the change was rolled out without stakeholder input and ignores a court order. The system now accepts only M-Pesa and Visa, adding a 5% “gateway fee” that tour operators call unfair and costly. With bank transfers scrapped, international partners are fuming over disrupted contracts. The industry fears the new fees could make Kenya’s safaris pricier than Tanzania’s. KWS might need to go back to the watering hole on this one.

A tax win for Kenya’s fintechs. Courts have ruled that payment switch companies such as Kenswitch, PesaLink, Switchlink, and Pesapal are exempt from VAT. Their services count as “financial,” not ICT, under the VAT Act. The ruling follows several cases where KRA’s tax demands were overturned. The decision means licensed firms under the National Payment System Act don’t owe VAT on money movement services. For fintechs, it’s a breath of fresh air; one less tax headache in a landscape already crowded with levies and licenses.

Bad news for punters. The Gambling Control Act 2025 now requires a slice of every bet to go toward health insurance and pensions. The new rule empowers the regulator to design a savings scheme tied to every stake. Essentially, every spin, bet, or jackpot now comes with a “future you” contribution. The move aims to make gambling more responsible and, well, more expensive. Looks like Lady Luck just got a new partner - NSSF.

The High Court has ruled that Sendy, the collapsed delivery startup, must pay KSh 82.2 million in VAT after being found to act as the “principal” in transactions, not just a tech platform. This decision could change how KRA taxes gig platforms like Uber and Bolt. The key issue was control, since Sendy oversaw pricing and logistics, it was deemed a transport service provider. The ripple effect? The gig economy might soon face VAT on full customer payments. Suddenly, those “platform fees” look a lot heavier.

Kenya and Senegal have officially removed visa requirements for citizens of both nations. The new agreement allows visa-free stays of up to 90 days for all passport types. Signed during President Bassirou Faye’s visit to Nairobi, the deal aims to boost tourism, business, and cultural exchange. It’s a win for travelers and a fresh boost for pan-African mobility.

The High Court has ordered TotalEnergies Marketing Kenya to pay businessman David Njane Ksh 139 million for breaching a fuel station contract. The court found that TotalEnergies repeatedly failed to supply fuel, neglected equipment maintenance, and allowed fraud-prone systems. The judge noted that no business should benefit from another’s loss. A costly lesson in corporate responsibility- fueling fairness, one case at a time.

Tea has dethroned soda ash as Kenya’s leading export to India, with earnings jumping 73 percent in the first half of 2025 to nearly Sh2 billion. The shift follows weaker demand in traditional markets like Pakistan and Russia. Kenyan tea is now brewing stronger ties with India’s booming market, and proving it’s still the country’s most reliable cash crop.

Ghana is digging deep, literally and financially, with its first nationwide mining audit in ten years. The review, running from November 2025 to June 2026, targets gold giants like AngloGold, Gold Fields, and Newmont. It will track mineral flows, tax payments, and environmental compliance. The move aims to plug revenue leaks and strengthen oversight. West African governments are getting tougher about ensuring locals benefit from their minerals. Think of it as a “health check” for a golden goose that’s been laying eggs a little too quietly.

KCB Group is doubling down on fintech by buying a minority stake in Pesapal, the payments company founded by Agosta Liko. The move expands KCB’s digital reach for SMEs and follows its earlier acquisition of Riverbank Solutions. The deal still needs regulatory nods from CBK and CMA. KCB’s strategy is clear: evolve from a traditional bank into a full digital financial platform. For Pesapal, it’s more muscle and money to scale across East Africa. For customers? Expect more payment options and fewer “network busy” moments.

A secretly recorded meeting helped former Little Cab GM Ronald Otieno win Ksh 98 million in court after proving he was unfairly dismissed to block his 1 percent equity stake. The Employment Court ruled that the audio proved deliberate foul play by Craft Silicon’s management. The case sets a bold precedent for Kenya’s digital workplaces; keep receipts, even if they’re voice notes.

The Environment and Land Court has halted quarrying by Chinese firm Sinohydro and its local partner Vallem Construction in Kilimambogo, Kiambu County. The court cited environmental harm and violation of constitutional rights. The companies must stop all blasting and excavation while the case proceeds. It’s another reminder that Kenya’s courts are taking environmental justice seriously - no shortcuts with Mother Nature.

The Environment and Land Court in Kisumu just shook things up. It ruled that Kibos isn’t officially an industrial zone, a blow to Kibos Distillers’ claims that nearby residential construction was illegal. The company couldn’t prove gazettement by the county, and the judge even pointed out their own title only allowed residential and agricultural use. The ruling means Kisumu County’s greenlight for a 115-unit estate stands. It’s a wake-up call for developers and industries relying on “assumed” zoning. Kisumu’s map is about to get a serious redraw.

In a win for banks, the High Court has ruled that lenders like Co-op Bank can repossess and auction property without auctioneer licenses. Justice Benjamin Njoroge clarified that the Auctioneers Licensing Board can only regulate its members, not banks overseen by the Central Bank of Kenya. Complaints against banks’ repossessions should go to the police, not the Board. The case, filed by professional auctioneers, leaves one big question hanging ;- are bank-led auctions fully legal? For now, lenders can keep swinging the hammer without worrying about dual regulation.

And that’s The Brief - pun very much intended 😉. Stay curious, stay inspired, and keep questioning everything. Catch you next Tuesday!

 — The Waswa Brief | Valarie Waswa & Co. Advocates

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