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ELRCDismissedCause (application dated 22.7.2016 within pending suit) - as stated: Application dated 22.7.2016· [2018] KEELRC 1978 (KLR)

Dominic Chungani Muteshi v Sacco Societies Regulatory Authority Board [2018] KEELRC 1978 (KLR)

Industrial Court (Employment and Labour Relations Court)
18 May 2018
1,643 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~7 min to read original · ~4 min brief

The bottom line

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A sacked SASRA manager failed to stop his replacement because the Employment Court found disputed dismissal claims need full trial evidence, not interim orders.

What this practically means

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Executive summary

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This was a ruling on a Notice of Motion dated 22 July 2016 filed by the Claimant, Dominic Chungani Muteshi, under Rule 27(1)(c)(b) of the Industrial Court Rules, 2010 and Sections 1A, 1B, 3A and 63(e) of the Civil Procedure Act, in a challenge to his termination as Chief Manager – Human Resource and Administration of SASRA. The Claimant sought an injunction restraining the Respondent from recruiting a replacement for his former office and an order maintaining him on the same contractual terms pending the hearing of the Cause. He alleged his termination in May 2016 following a National Treasury audit was unfair, unprocedural, carried out by the CEO without board approval, and without a hearing of his appeal. The Respondent, through a replying affidavit sworn by John Mutua Mwaka, opposed the application, asserting there was a valid reason for termination and due process was followed, citing unprocedural hiring and promotion of staff, insubordination, disclosure of official information and negligence. Applying the Giella v Cassman Brown principles, the court held that whether the dismissal was procedural required evidence at trial and could not be decided at the interlocutory stage; that any loss was compensable in damages; and that the balance of convenience favoured refusal since SASRA, a statutory regulator, had been without the relevant manager since early 2016. The application was dismissed with costs in the cause.

Key legal issues

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01

Whether the Applicant established a prima facie case with a probability of success

Holding

No prima facie case established at the interlocutory stage; allegations of unfair and unprocedural termination require evidence at trial

Reasoning

The Applicant alleged unfair and unprocedural termination, while the Respondent insisted the termination was procedural and for valid reason. The court held that whether the dismissal was procedural cannot be determined on affidavits at the preliminary stage but requires evidence to be led by the parties at trial. Accordingly the first limb of Giella v Cassman Brown was not satisfied.

p. 3
02

Whether the Applicant would suffer irreparable damage not compensable in damages

Holding

No; the Applicant can be compensated in damages if the Respondent is found to have acted unfairly

Reasoning

The court reasoned that should the trial court find the Respondent acted unfairly and unjustly in terminating the Claimant, an award of damages would adequately compensate him. Hence the second Giella limb also failed.

p. 3
03

Where the balance of convenience lies

Holding

Balance of convenience favours refusal of the orders sought

Reasoning

The Respondent is a statutory body with oversight functions over Sacco Societies and had been without a Human Resource & Administration Manager since the Claimant's termination in early 2016. Granting the injunction would work to the detriment of the Respondent, so the court found refusal more convenient.

p. 3

Legal principles established

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  • The three-fold Giella v Cassman Brown principles govern the grant of interlocutory injunctions: prima facie case with probability of success, irreparable injury not adequately compensable in damages, and balance of convenience where in doubt
  • Whether a dismissal was procedural is a matter of evidence to be determined at trial, not at interlocutory stage

Court orders

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  1. 1.Orders sought declined and the application dismissed
  2. 2.Costs in the cause

Authorities

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Legislation

  • Civil Procedure ActSections 1A, 1B, 3A & 63(e)
  • Industrial Court Rules, 2010Rule 27(1)(c)(b)
  • Employment Act, 2007Not specified
  • Sacco Society Regulatory Authority (SASRA) Human Resource and Administration Policy Manual, 2012Section C 2(1) and 3.4
  • ConstitutionNot specified

Cases cited (1)

  • Giella vs Cassman Brown
Jurisdiction invoked
Rule 27(1)(c)(b) of the Industrial Court Rules, 2010; Sections 1A, 1B, 3A & 63(e) of the Civil Procedure Act

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, "Dominic Chungani Muteshi v Sacco Societies Regulatory Authority Board [2018] KEELRC 1978 (KLR)", Case Analysis (2018). Cause (application dated 22.7.2016 within pending suit) - as stated: Application dated 22.7.2016. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/1978/eng@2018-05-18

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