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Case Brief · caselaw.co.ke
ELRCOtherCause No. 433 of 2013· [2015] KEELRC 469 (KLR)

David Odero Orwa v Still Makers Limited [2015] KEELRC 469 (KLR)

Industrial Court of Kenya
23 September 2015
231 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court turned a negotiated termination payout into an enforceable judgment, meaning employers and workers can settle disputes and still get court-backed enforcement.

What this practically means

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Executive summary

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This was an employment dispute before the Industrial Court at Mombasa in which David Odero Orwa (Claimant) sued Still Makers Limited (Respondent) over unfair and unlawful termination. The Claimant filed his Statement of Claim on 5th December 2013 and the Respondent filed its Statement of Response on 16th April 2014. The matter did not proceed to a full hearing on the merits; on 23rd September 2015 the parties informed the Court that they had settled the dispute on agreed terms. The settlement comprised: one month salary in lieu of notice at Kshs. 18,226/=; severance pay for 8 years at Kshs. 72,904/=; annual leave pay for 2 years at Kshs. 36,452/=; and costs of the suit to the Claimant fixed at Kshs. 30,000/=, totalling Kshs. 157,582/=. The parties further proposed that payment be made within 30 days and that in default the Claimant be at liberty to execute. Acting under Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010, Rika J expressed satisfaction that the proposed terms were fair, adequate, regular and made in accordance with the Law, and ordered that an award be entered in terms of the parties' proposal. The award was dated and delivered at Mombasa on 23rd September 2015. The judgment is essentially a consent award recording a negotiated settlement rather than an adjudication of the termination claim on the evidence.

Key legal issues

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01

Adoption of settlement terms as an award of the Court

Holding

The Court adopted the parties' negotiated settlement and entered judgment in the terms proposed, being satisfied the terms were fair, adequate, regular and lawful.

Reasoning

The dispute over unfair and unlawful termination was settled by the parties on 23rd September 2015 on stated terms covering notice pay, severance pay for 8 years, annual leave pay for 2 years, and costs. Under Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010, the Court reviewed the proposal, expressed satisfaction that it was fair, adequate, regular and made in accordance with the Law, and entered an award accordingly with a 30-day payment window and liberty to execute on default.

p. 2

Legal principles established

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  • The Industrial Court may adopt and enter award in terms of parties' settlement where the proposed terms are fair, adequate, regular and lawful.

Court orders

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  1. 1.Award entered in terms of the parties' proposal: one month salary in lieu of notice Kshs. 18,226/=; severance pay for 8 years at Kshs. 72,904/=; annual leave pay for 2 years at Kshs. 36,452/=; costs of the Suit to the Claimant at Kshs. 30,000/=; total Kshs. 157,582/=
  2. 2.Payment to be done within 30 days
  3. 3.In default, the Claimant be at liberty to execute

Authorities

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Legislation

  • Industrial Court (Procedure) Rules 2010Rule 27(1)(a)
Jurisdiction invoked
Industrial Court (Procedure) Rules 2010, Rule 27(1)(a) - recording of a settlement in an issue of unfair and unlawful termination

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, "David Odero Orwa v Still Makers Limited [2015] KEELRC 469 (KLR)", Case Analysis (2015). Cause No. 433 of 2013. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/469/eng@2015-09-23

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