Hassan Mohammed Ali v Provide International Hospital [2018] KEELRC 2483 (KLR)
The bottom line
#A Kenyan employment court stopped a lawsuit because the contract required arbitration first, confirming parties must use agreed dispute resolution steps before going to court.
What this practically means
#Executive summary
#Key legal issues
#Enforcement of an arbitration clause in a consultancy contract in an employment cause
The Court stayed the proceedings because the parties had contractually agreed to refer disputes to arbitration and the Claimant had not utilised that route.
Clause 9 of the written contract required disputes not mutually settled to be referred to arbitration. The Court held that a party who has willingly agreed to a dispute resolution avenue must exhaust it before litigating. The Claimant had bypassed the agreed route, and the Court therefore granted the alternative prayer staying the proceedings.
Whether an employer/employee relationship existed between the parties
The Court declined to determine this issue, noting it would require examination of disputed facts, while observing the contract described the Claimant as an independent service provider.
Because the dispute was being stayed for arbitration, the Court found it unnecessary to decide the status question, which would require a deep inquiry into disputed facts. As a passing observation it noted the authority on the definition of an employee and that clause 4 of the contract designated the Claimant an independent service provider.
Legal principles established
#- Parties must exhaust the dispute resolution mechanism they mutually and willingly agreed to in their contract before approaching the Court.
Court orders
#- 1.Stay of the proceedings pending reference of the dispute between the parties to arbitration, as proposed in order 2 of the Respondent's motion
- 2.Costs to abide the arbitration
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction challenged by the Respondent's preliminary motion
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Hassan Mohammed Ali v Provide International Hospital [2018] KEELRC 2483 (KLR)", Case Analysis (2018). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/2483/eng@2018-02-09
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.