Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
Court of AppealDismissedCivil Appeal (Application) E326 of 2025

Pannju Agencies Company Ltd v Mwai

Court of Appeal
25 September 2026
848 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~3 min to read original · ~4 min brief

The bottom line

#

Kenya's Court of Appeal refused to pause an employment award because the company gave no evidence the winner couldn't repay the money if the appeal succeeded.

What this practically means

#

Executive summary

#
The applicant, Pannju Agencies Company Limited, sought stay of execution of a judgment of the Employment and Labour Relations Court at Nairobi (J.W. Keli, J.) dated 12 February 2025 in ELRC Cause No. E245 of 2023, which dismissed its appeal and allowed the respondent's cross-appeal, enhancing awards for unlawful termination, underpayment and untaken leave. The application was brought under Rule 5(2)(b) of the Court of Appeal Rules, supported by an affidavit of Zenedine Kimamo Njogu. The respondent, though served, did not appear. The applicant argued the appeal was arguable on whether an employer-employee relationship existed, whether the doctrine of continuing injury was wrongly applied to underpayment claims dating to 2016 beyond the Section 90 limitation period, and whether the Judge properly enhanced the magistrate's award; and that the appeal would be nugatory as the respondent could not refund the decretal sum. Applying the Kinyanjui v Ketter principles, the court found the appeal arguable but held the nugatory limb failed: the decree was a liquidated monetary sum and there was no affidavit averment, only a bare submission, that the respondent lacked means to refund. The application was dismissed with no orders as to costs given the respondent's non-appearance. The intended appeal remains pending; the ELRC judgment stands undisturbed.

Questions the Court framed

#

The issues the Court set itself to decide, in its own words.

  1. 1.Whether the intended appeal is arguable
  2. 2.Whether, if stay is refused and the appeal succeeds, the appeal will be rendered nugatory

Key legal issues

#
01

Whether the intended appeal is arguable

Holding

The appeal is arguable; the questions of independent contractor status, employer-employee relationship and enhancement of awards are not frivolous

Reasoning

Applying the Kinyanjui v Ketter principles, the court found the issues raised on the employment relationship and the enhancement of the magistrate's award raised bona fide questions fit for the full appeal, though an arguable appeal need not succeed.

p. 2
02

Whether the appeal would be rendered nugatory without stay

Holding

No; the decree is a liquidated monetary sum and there is no verified assertion that the respondent cannot refund it if the appeal succeeds

Reasoning

The court held that a bare submission that the respondent lacks means, unsupported by any averment in the supporting affidavit, does not discharge the applicant's burden; the respondent's financial ability would then have had to be demonstrated.

p. 2

Legal principles established

#
  • An arguable appeal is not one that must necessarily succeed; it need only not be frivolous
  • On nugatory-ness, a party asserting the decree-holder cannot refund a liquidated sum must support that assertion with evidence; mere submission is insufficient

Court orders

#
  1. 1.Application for stay of execution dismissed
  2. 2.No orders as to costs

The bench

#

One judgment of the whole court — no separate or dissenting opinions.

majority
majority
On appeal from
Employment and Labour Relations Court of Kenya at Nairobi
ELRC Cause No. E245 of 2023
Jurisdiction invoked
Rule 5(2)(b) of the Court of Appeal Rules

Relief refused

#

Stay of execution of the ELRC judgment pending appeal

Appeal arguable but no verified assertion that the respondent could not refund the liquidated decretal sum

p. 2

Costs

No orders as to costs, as the respondent did not appear during the hearing of the application

Quotable passages

#

Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

although we ?nd that the appeal is arguable, we are not satis?ed that the appeal will be rendered nugatory if an interim order is denied
p. 2Nugatory-ness test not satisfied
the application fails and is hereby dismissed with no orders as to costs as the respondent did not appear during the hearing of the application
p. 2Final orders - dismissal and costs
Orders accordingly.
p. 2Disposition

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Pannju Agencies Company Ltd v Mwai", Case Analysis (2026). Civil Appeal (Application) E326 of 2025. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2026/1777/eng@2026-09-25

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