Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCDismissedCause No 1519· [2015] KEELRC 1359 (KLR)

Mariana Onica & another v Sky Aero Limited & another [2015] KEELRC 1359 (KLR)

Employment and Labour Relations Court
2 March 2015
3,073 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

#

A Kenyan court ruled that renaming a company with '(IOM)' does not shield its aircraft from being sold to pay a valid judgment.

What this practically means

#

Executive summary

#
The Objector, Sky Aero Limited (IOM), moved the court by Notice of Motion dated 16th February 2015 under section 3A of the Civil Procedure Act and Order 22 Rules 51 and 52 of the Civil Procedure Rules, seeking temporary and permanent injunctions to restrain the claimants from interfering with aircraft 5Y-CDP Macdonnel Douglas DC9, Serial No. 48145, which had been attached in execution of a judgment in the claimants' employment suit against Sky Aero Limited. The Objector, through the affidavit of its director Max Meienberg, asserted it was the registered owner of the aircraft, a company incorporated in the Isle of Man, distinct from the Kenyan judgment debtor with which it shared only a common name. The claimants, through the affidavit of the 1st claimant Mariana Onica, countered that the employment contracts were signed with Sky Aero Limited at the same Isle of Man address as the Objector's registered office, that John Clarke acted as director of both entities, and that the Objector's documents were unauthenticated and its claim economically implausible. The court noted that the pleadings and contracts described the respondent employer as Sky Aero Limited incorporated in the Isle of Man with offices at JKIA Nairobi, and that the Kenya Civil Aviation Authority certificate of registration exhibited by the Objector itself named SKY AERO LIMITED at the Isle of Man address as owner of the aircraft. The court held the Objector was a sheer camouflage of the respondent, that adding (K) or (IOM) to the name could not defeat a valid decree, and that the application was an abuse of the court process. The application was dismissed with costs to the claimants, and the interim orders of 11th February 2015 were preserved pending determination of the application dated 10th February 2015.

Key legal issues

#
01

Whether Sky Aero Limited (IOM) is distinct from the respondent/judgment debtor Sky Aero Limited

Holding

No. On the documents on record, including the certificate of registration and the contracts of employment, the owner of the aircraft and the employer of the claimants is one and the same entity, Sky Aero Limited registered at 3-5 Victoria Road, Douglas, Isle of Man; the Objector is a camouflage of the respondent.

Reasoning

The claimants' statement of claim described the respondent as Sky Aero Limited incorporated in the Isle of Man with an office at JKIA Nairobi. The employment contracts were signed for Sky Aero Limited at the same Isle of Man address given as the Objector's registered office. The KCAA certificate of registration names SKY AERO LIMITED at that address as owner of the aircraft. Whether different directors existed for the Objector and the respondent was immaterial because the respondent named in the suit is Sky Aero Limited, not Sky Aero Limited (K) or (IOM).

p. 5
02

Who owns aircraft 5Y-CDP Macdonnel Douglas Corp DC9-31 Serial No. 48145

Holding

The certificate of registration issued by the Kenya Civil Aviation Authority shows SKY AERO LIMITED as owner, at the Isle of Man address, leased to Aerospace Consortium - the same entity as the respondent employer.

Reasoning

The court resolved the ownership question by reference to the Objector's own affidavit and exhibit MM-2A, B, being Kenya Civil Aviation Authority Certificate no. 2524. That certificate gave the owner's address as 3-5 Victoria Road, Douglas, Isle of Man, the very name and registered office of the Objector, which the court held to be the respondent in the suit. The claimants' evidence of shared directors, addresses and insurance arrangements reinforced this.

03

Whether the property of a stranger to the suit can be attached in execution

Holding

The Objector argued that property of a stranger cannot be attached, but the court found the Objector was not in truth a stranger; it was the judgment debtor under another label, so the objection failed.

Reasoning

The Objector's application was founded on the premise that it was a non-party whose property had been wrongly attached under a mistaken belief that it belonged to the respondent. The court examined the corporate identity question and concluded that the supposed distinction between the Isle of Man and Kenyan companies was a device to circumvent the decree. The application was therefore dismissed as an abuse of process.

p. 5

Legal principles established

#
  • A company on registration becomes a distinct legal person separate from its members and other similarly named entities.
  • A party cannot use a variant of a judgment debtor's name (adding (K) or (IOM)) to defeat execution of a valid decree; the court will look at substance over such labels.

Court orders

#
  1. 1.The application dated 16th February 2015 filed by the respondents as the supposed Objector is dismissed
  2. 2.Costs are awarded to the claimants
  3. 3.The interim orders granted by the court on 11th February 2015 shall remain in force pending hearing and determination of application dated and filed on 10th February 2015

Authorities

#

Legislation

  • Civil Procedure Actsection 3A
  • Civil Procedure RulesOrder 22 Rule 51 and 52
  • Aviation Actnot specified

Cases cited (1)

  • Channan Agricultural Contractors Kenya Ltd v Rosemary Nanjala Oyula & 2 others
    Court of Appeal No. 6 of 2010
Jurisdiction invoked
Jurisdiction as the Employment and Labour Relations Court over an employment claim; jurisdiction previously upheld in a ruling on a preliminary objection, the claimants' place of work being in Kenya

Key timeline

#

Practical implications

#

Frequently asked questions

#

Later judgments citing this (6)

#

Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

#

Cite this brief

Caselaw, "Mariana Onica & another v Sky Aero Limited & another [2015] KEELRC 1359 (KLR)", Case Analysis (2015). Cause No 1519. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/1359/eng@2015-03-02

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