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ELRCDismissedCase No. 937 of 2002 (as printed in the judgment; reference cited in Reliance Bank citation) - application for stay of proceedings pending appeal· [2014] KEELRC 1453 (KLR)

Rift Valley Railways Workers Union v Rift Valley Railways (Kenya) Limited & another [2014] KEELRC 1453 (KLR)

Industrial Court (Employment and Labour Relations Court)
10 December 2014
1,269 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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The Industrial Court refused to halt a union recognition ballot, ruling that appealing parties must show a real point of law, not just reargue facts.

What this practically means

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Executive summary

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This is a ruling of the Industrial Court at Nairobi delivered by Linnet J on 10th December 2014 on the 2nd Respondent's Notice of Motion seeking a stay of the Court's orders of 24th September 2014, which had directed a balloting exercise among the 1st Respondent's unionisable employees to establish union membership as between the Claimant and the 2nd Respondent. The court first disposed of three technical objections. It held that the Civil Procedure Rules apply in the Industrial Court where the Industrial Court (Procedure) Rules contain a lacuna, so the application under Order 42 Rule 6(2) was competent. It rejected the Claimant's res judicata objection, finding the earlier dismissed application concerned union dues and agency fees, not recognition, so the subject matters differed. It also held the Claimant's reply valid as grounds of opposition under Rule 16(6), an affidavit being optional. On the merits, the court set out the Order 42 Rule 6(2) conditions plus the case-law requirement of an arguable appeal rendered nugatory, and, since appeals under Section 17(2) of the Industrial Court Act lie only on matters of law, required the applicant to show a point of law. Examining the draft Memorandum of Appeal, the court found no point of law; the first ground even misrepresented the ruling by claiming all employees were to ballot when only unionisable employees were covered. The application was dismissed, the interim stay orders of 10th October 2014 were set aside, the balloting was directed to proceed with time running from the ruling date, and costs were awarded to the Claimant against the 2nd Respondent.

Key legal issues

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01

Applicability of Civil Procedure Rules to the Industrial Court

Holding

The application is competent despite being brought under the Civil Procedure Rules

Reasoning

The Industrial Court is a specialised court, but its own Rules do not cover all procedural matters. Where the Industrial Court Act and its Rules are silent - as on stay of proceedings - the Court has consistently resorted to the Civil Procedure Rules to fill the lacuna. The application under Order 42 Rule 6(2) is therefore properly before the Court.

p. 2
02

Res judicata

Holding

The application is not res judicata

Reasoning

Although an earlier application for stay of proceedings by the 2nd Respondent was heard and dismissed, its subject matter concerned union dues and agency fees, whereas the current application concerns recognition of the Claimant by the 1st Respondent. Different subject matters defeat res judicata; the claimant mischaracterised the doctrine.

p. 2
03

Conditions for stay of proceedings pending appeal

Holding

The conditions were not met; the appeal raises no point of law

Reasoning

Beyond Order 42 Rule 6(2) conditions (substantial loss, no unreasonable delay, security), case law requires an arguable appeal that would be rendered nugatory. Because appeals lie only on matters of law, an applicant must show a point of law. The draft grounds raised only factual or misconceived complaints, notably misstating the balloting order as covering all employees rather than unionisable employees only.

p. 3
04

Form of the Claimant's reply

Holding

The reply is proper as a statement of grounds of opposition

Reasoning

The 2nd Respondent assumed the reply was an affidavit and attacked it for lacking commissioning and an identified signatory. However, Rule 16(6) of the Industrial Court (Procedure) Rules permits response by grounds of opposition, with an affidavit optional. The reply is therefore proper in both form and content.

p. 2

Legal principles established

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  • Where the Industrial Court (Procedure) Rules contain a lacuna, the Civil Procedure Rules may be resorted to
  • A party may respond to an application in the Industrial Court by way of grounds of opposition without an affidavit
  • Stay of proceedings pending appeal in the Industrial Court requires identification of a point of law

Court orders

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  1. 1.The 2nd Respondent's application for stay of proceedings is dismissed for lack of merit
  2. 2.The interim orders issued on 10th October 2014 (stopping the balloting exercise) are set aside
  3. 3.The balloting exercise shall proceed as directed in the orders of 24th September 2014, with time running from the date of the ruling
  4. 4.The 2nd Respondent shall meet the costs of the application

Authorities

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Legislation

  • Civil Procedure RulesOrder 42 Rule 6(2)
  • Industrial Court ActSection 17(2)
  • Industrial Court (Procedure) RulesRule 27(4)
  • Industrial Court (Procedure) RulesRule 16(6)

Cases cited (3)

  • Reliance Bank Limited Vs Noriake Investments Limited
    [2002] 1EA 227 (CAK)
  • Abel Okoth Okello Vs Kenya Medical Research Institute (Kemri)
    [2014] eKLR
  • Rosebell Wambui Muthee Vs Freight in Time
    [2013] eKLR
Jurisdiction invoked
Industrial Court Act, Section 17(2); Industrial Court (Procedure) Rules, Rule 27(4); Civil Procedure Rules, Order 42 Rule 6(2)

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, "Rift Valley Railways Workers Union v Rift Valley Railways (Kenya) Limited & another [2014] KEELRC 1453 (KLR)", Case Analysis (2014). Case No. 937 of 2002 (as printed in the judgment; reference cited in Reliance Bank citation) - application for stay of proceedings pending appeal. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2014/1453/eng@2014-12-10

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