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ELRCPartially AllowedCause No 649 of 2018· [2019] KEELRC 216 (KLR)

Kenya Petroleum Oil Workers Union v National Chairman, Kenya Petroleum Oil Workers Union & 2 others [2019] KEELRC 216 (KLR)

Employment and Labour Relations Court
29 November 2019
2,226 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~9 min to read original · ~4 min brief

The bottom line

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A Kenyan court confirmed that a trade union's registered General Secretary must be added as a mandatory bank signatory, because the Registrar's official register is the authoritative record of union officials.

What this practically means

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Executive summary

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The Employment and Labour Relations Court at Nairobi, per Maureen Onyango J, determined two competing applications arising from a dispute over bank account signatories of the Kenya Petroleum Oil Workers Union following the death of the former General Secretary, Gilbert Amolo. The claimant sought confirmation of ex parte orders issued on 3rd May 2018 directing the bank (3rd respondent) to introduce the new General Secretary, Raphael Ouma Olala, as mandatory signatory, and declaring the 1st and 2nd respondents' letters stopping the introduction illegal. The 2nd Respondent sought to set aside those orders, contending that no valid NEC resolution authorised the change, that the meeting of 7th April 2018 never took place, and that the introduction letter was a forgery. The court framed three issues: the proper signatories of the union accounts, entitlement to the orders sought, and whether the respondents met the threshold for their orders. Relying on Section 35 of the Labour Relations Act, the court held that the Registrar's register is the authentic record of union officials; Olala's registration as General Secretary on 9th March 2018 was unchallenged, and Rule 18.2 of the Union Constitution makes the National General Secretary's signature mandatory. The NEC minutes of 7th April 2018 recorded a unanimous resolution introducing Olala's signature. The 2nd Respondent's application was dismissed and the ex parte orders of 3rd May 2018 were confirmed. No express costs order appears in the judgment.

Key legal issues

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01

Whether Raphael Ouma Olala is the duly registered General Secretary entitled to be a mandatory bank signatory

Holding

Yes. Olala was registered as General Secretary on 9th March 2018, the respondents did not challenge the registration, and Clause 18.2 of the Union Constitution makes the National General Secretary's signature mandatory.

Reasoning

Section 35 of the Labour Relations Act makes the Registrar's register the authentic record of union officials. The respondents never sought a declaration that Olala's registration was unlawful nor objected to the Registrar's extract. The Union Constitution (Rule 18.2) provides that the National General Secretary's signature on union cheques shall be mandatory. A NEC meeting resolution also endorsed his introduction as signatory.

p. 4
02

Whether the 2nd Respondent's application to set aside the ex parte orders should succeed

Holding

No; the application was dismissed as the allegations of a forged introduction letter and absence of a NEC resolution were not established.

Reasoning

The 2nd Respondent alleged that no NEC resolution authorised the change and that the introduction letter was forged. However, the claimant produced NEC minutes of 7th April 2018 recording a unanimous resolution to introduce Olala's signature, and the 2nd Respondent's own affidavit admitted Olala was General Secretary. The respondents failed to challenge the Registrar's extract or registration.

p. 4

Legal principles established

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  • The register of union officials kept by the Registrar is the authentic and official record of the officers of a trade union.

Court orders

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  1. 1.Dismissal of the 2nd Respondent's application dated 8th May 2018
  2. 2.Confirmation of the ex parte orders issued on 3rd May 2018 directing the 3rd respondent to introduce Raphael Ouma Olala as mandatory signatory to the union's bank account at Standard Chartered Bank, Account Number 0102004941500, pursuant to the extract and letter of introduction from the Registrar of Trade Unions

Authorities

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Legislation

  • Labour Relations ActSection 35
  • Employment ActSection 30
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over trade union disputes (not expressly cited in the judgment)

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, "Kenya Petroleum Oil Workers Union v National Chairman, Kenya Petroleum Oil Workers Union & 2 others [2019] KEELRC 216 (KLR)", Case Analysis (2019). Cause No 649 of 2018. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/216/eng@2019-11-29

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