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Court of AppealDismissedCivil Application No. 8 of 2018 (UR. 7/2018)· [2018] KECA 458 (KLR)

Kenya Tea Growers Association Unilever Tea Growers Association v Kenya Plantation and Agricultural Workers Union [2018] KECA 458 (KLR)

Court of Appeal
13 July 2018
1,618 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~6 min to read original · ~4 min brief

The bottom line

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The Court of Appeal refused to suspend an order returning tea workers to their jobs, because the employers could be compensated with money if their appeal later succeeded.

What this practically means

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Executive summary

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This is a ruling of the Court of Appeal at Nairobi (Ouko (P), Warsame and Murgor, JJ.A) on a notice of motion dated 19th January 2018 by the Kenya Tea Growers Association and Unilever Tea Growers Association seeking stay of execution of an order of the Employment and Labour Relations Court at Nairobi (Mbaru, J.) dated 17th January 2018, which directed all employees, including 362 who had been dismissed during a strike, to return to work unconditionally, pending an intended appeal. The dispute arose from strike notices issued by the Kenya Plantation and Agricultural Workers Union, contempt of restraining orders, and a consolidation of suits in the ELRC at Nairobi and Kericho. Applying the settled twin principles under Rule 5(2)(b) of the Court of Appeal Rules, the court found the intended appeal arguable, holding that the applicants' complaints - reinstatement at an interlocutory stage without hearing the clarification application, reinstatement of employees who had disobeyed court orders, and reinstatement absent a formal application - raised serious questions of law. However, the court found the applicants failed the nugatory limb: applying Stanley Kangethe Kinyanjui vs Tony Keter, it held that the applicants would have a remedy in damages even if the appeal succeeded, and that each case depends on its own facts. The application was accordingly dismissed, with costs of the application to abide the outcome of the intended appeal. This is an interlocutory ruling, not a determination of the appeal itself.

Key legal issues

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01

Whether the intended appeal was arguable

Holding

The intended appeal was arguable; the applicants' complaints raised serious questions of law.

Reasoning

The applicants questioned the legality of the learned judge ordering all employees, including those dismissed, to resume work unconditionally at an interlocutory stage before hearing the clarification application; the reinstatement of employees who had disobeyed court orders; and reinstatement absent a formal application. The court found these complaints raised serious questions of law and were not frivolous.

p. 2
02

Whether the intended appeal would be rendered nugatory if stay was not granted

Holding

The appeal would not be rendered nugatory because the applicants would have a remedy in damages if successful.

Reasoning

Applying Stanley Kangethe Kinyanjui vs Tony Keter, the court held that each case must depend on its own facts. Although the applicants claimed the monthly salary of Kshs.10,000,000 could not be recovered from the respondent, the respondent contended this was a monetary decree and the employees were working and could repay. The court found damages an adequate remedy and declined stay.

p. 3

Legal principles established

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  • An applicant under Rule 5(2)(b) must satisfy both twin principles - an arguable appeal and that the appeal would be rendered nugatory absent stay - before the court can exercise its discretion in the applicant's favour.
  • Whether an appeal will be rendered nugatory depends on whether what is sought to be stayed is reversible, or, if irreversible, whether damages will reasonably compensate the aggrieved party.

Court orders

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  1. 1.The notice of motion application dated the 19th January, 2018 is dismissed
  2. 2.Costs of the application shall abide the outcome of the intended appeal

Authorities

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Legislation

  • Appellate Jurisdiction Actsection 3A
  • Appellate Jurisdiction Actsection 3B
  • Court of Appeal RulesRule 5(2)(b)
  • Court of Appeal RulesRule 103

Cases cited (3)

  • Patrick Mweu Musimba vs Richard N. Kalembe Ndile & 3 Others
    [2013] eKLR
  • David Morton Silverstein vs Atsango Chesoni
    Civil application No. Nai 189 of 2001
  • Stanley Kangethe Kinyanjui vs Tony Keter & 5 Others
    [2013] eKLR
On appeal from
Employment and Labour Relations Court at Nairobi
ELRC No. 1578 of 2017 (as consolidated with Nos. 1576, 1579, 2078 and Misc. Nos. 154 and 155 of 2017)
Jurisdiction invoked
Sections 3A and 3B of the Appellate Jurisdiction Act and Rules 5(2)(b) and 103 of the Court of Appeal Rules (application for stay of execution pending intended appeal)

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Kenya Tea Growers Association Unilever Tea Growers Association v Kenya Plantation and Agricultural Workers Union [2018] KECA 458 (KLR)", Case Analysis (2018). Civil Application No. 8 of 2018 (UR. 7/2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2018/458/eng@2018-07-13

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.