Alex Okelo Ochola & 99 others v Dominion Farms Limited [2019] KEELRC 131 (KLR)
The bottom line
#Kenya's Employment Court ordered Dominion Farms to pay former workers over Kshs.40 million in admitted terminal dues immediately, without waiting for a full trial.
What this practically means
#Executive summary
#Key legal issues
#Whether an admitted claim for terminal dues can be decided by mandatory injunction without awaiting full hearing
Yes - where liability is admitted and the Respondent is disposing of its assets to a non-party, a clear case for mandatory injunction is made out
The Respondent admitted liability for terminal dues in its Grounds of Opposition. The court found no dispute as to the mandatory orders sought. It noted the Respondent was in the process of selling assets to West Kenya Sugar Company Limited, which is not a party to the suit, making the Claimants' apprehension of a paper judgment real. Applying employment-specific principles on mandatory injunctions, the court granted the orders without awaiting full hearing.
Whether the Respondent's application to set aside/review the exparte orders of 31st October 2018 should succeed
No - the application lacked merit
The orders of 31st October 2018 were granted exparte in default of the Respondent filing a Replying Affidavit. The Respondent had admitted owing the named Claimants terminal benefits and was selling its assets to a third party not joined to the suit. Further, the Respondent had partly paid the decretal sum under those orders. The court found the conditions for setting aside and/or review were not satisfied and dismissed the application.
Legal principles established
#- In employment matters, special regard is to be had in granting mandatory interim injunctions because employment affects a person's livelihood and dignified life, beyond the ordinary principles in Giella v Casman Brown
- Where a claim is admitted and special circumstances such as apprehension of a paper judgment exist, a clear case for mandatory injunction that need not await full trial is made out
Court orders
#- 1.Application dated 2/12/2018 (by the Respondent) dismissed
- 2.Mandatory injunction issued compelling the Respondent to pay the Claimants terminal dues amounting to Kshs.40,557,558 as per the computation set out under prayer (iii) of the Notice of Motion dated 13/11/2018
- 3.Respondent, Dominion Farms Limited, to bear the costs of the suit
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over employment disputes (terminal dues and redundancy compensation); no specific provision cited
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Alex Okelo Ochola & 99 others v Dominion Farms Limited [2019] KEELRC 131 (KLR)", Case Analysis (2019). Cause No. 182 of 2018 (consolidated with Cause No. 374 of 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/131/eng@2019-12-11
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.