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ELRCPartially AllowedPetition No. 8 of 2019 (consolidated with ELRC Cause No. 1643 of 2018)· [2019] KEELRC 1448 (KLR)

Salome Munubi & 5 others v Muhammad Swazuri & 2 others; Emmanuel Busera (Interested Party) [2019] KEELRC 1448 (KLR)

Employment and Labour Relations Court
24 May 2019
4,798 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~19 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled the NLC Chairman had no power to make directors permanent, but still ordered their contracts renewed because the employees were blameless.

What this practically means

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Executive summary

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The 1st to 3rd Petitioners, directors of the National Land Commission seconded from Government agencies and engaged on contract in 2013, received letters dated May 2018 converting their terms to permanent and pensionable with effect from 1st June 2018. By internal memo dated 4th December 2018 the Commission withdrew those terms and reverted them to five-year contracts, citing its special meeting of 8th May 2018 which had approved renewal of directors' contracts, not conversion. The petitioners sought declarations that they remained permanent and pensionable employees and that the reversion was an unfair labour practice contrary to Articles 41 and 47 of the Constitution. Cause No. 1643 of 2018 by Leonard Omullo (after co-claimants withdrew) was consolidated with the petition, and the 2nd and 3rd respondents' application of 22nd February 2019 seeking to set aside the consent consolidation orders was reserved for determination with the judgment. The court examined the Commission's minutes and found the Chairman acted in excess of his powers in directing the conversion, as the Commission had resolved only to renew directors' contracts; no legitimate expectation can arise from an illegality. However, holding that the petitioners were blameless beneficiaries who acted to their detriment, the court ordered renewal of their contracts per the Commission's resolutions of 8th May and 13th December 2018, without disturbing anti-corruption measures against the 1st and 3rd petitioners. Each party was ordered to bear its own costs.

Key legal issues

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01

Whether the Chairman of the National Land Commission had capacity to convert the directors' contracts to permanent and pensionable terms

Holding

The Chairman acted ultra vires and in defiance of the Commission's resolution of 8th May 2018, which had only renewed directors' contracts for five years; only the Commission, voting by majority, could convert the terms

Reasoning

The court examined the minutes of the special meetings of 8th May 2018 and 13th December 2018. Minute 2/MAY/2018 resolved only that directors' contracts be renewed for five years while staff from Deputy Director and below be converted to permanent and pensionable. The Chairman's memo of 9th May 2018 converting all directors' terms was therefore in excess of his powers and not a decision of the Commission.

p. 7
02

Whether the Memo dated 4th December 2018 reverting the terms was lawful

Holding

The Memo was lawful as it restored the terms to what the Commission had actually resolved and reversed an ultra vires conversion

Reasoning

Since the conversion to permanent and pensionable terms was not a valid decision of the Commission, the withdrawal communicated on 4th December 2018, following the Commission's special meeting of 13th December 2018 declaring the conversion null and void, was lawful. The Petitioners cannot found a claim on an illegality.

p. 8
03

Whether the Petitioners, though unable to rely on the ultra vires conversion, should nevertheless be relieved

Holding

Although the Petition is dismissed, the court ordered renewal of the petitioners' contracts in accordance with the Commission's resolution of 8th May 2018 because they acted to their detriment in good faith and were not to blame

Reasoning

The petitioners did not return to their parent government employments in the belief that they held permanent and pensionable posts at NLC. They are not blameworthy for the infighting among commissioners and should not become victims of it. The court exercised discretion to order renewal of their contracts per the Commission's own resolutions.

p. 8

Legal principles established

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  • No legitimate expectation can arise out of an illegitimate contract or promise; legitimate expectation cannot prevail against express provisions of the Constitution or conduct that offends the law
  • Questions before the National Land Commission are decided by a majority of members as provided in Paragraph 4 of the Fourth Schedule to the National Land Commission Act

Court orders

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  1. 1.The contracts of all the petitioners be renewed according to the resolution of the Commission at its meeting of 8th May 2018 and the subsequent special meeting held on 13th December 2018
  2. 2.The orders do not interfere with the administrative actions taken by the National Land Commission in respect of the 1st and 3rd petitioners pursuant to Anti-Corruption Criminal Case No. 33 of 2018
  3. 3.The application dated 22nd February 2019 by the 2nd and 3rd respondents is adequately addressed by the decision
  4. 4.Each party to bear their own costs

Authorities

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Legislation

  • Constitution of KenyaArticle 41
  • Constitution of KenyaArticle 47
  • Constitution of KenyaArticle 50(1)
  • Constitution of KenyaArticle 253
  • National Land Commission ActSections 7 and 19 and Fourth Schedule Paragraph 4
  • Employment ActSections 10(5), 41 and 45
  • Employment and Labour Relations Court ActSections 12(3), 16 and 20
  • Employment and Labour Relations Court (Procedure) Rules, 2016Rules 17(1), 33 and 34
  • Civil Procedure ActSections 1A and 1B
  • Civil Procedure Rules, 2010Order 45 Rule 1; Order 11 Rule 3(1)(h)
  • Oaths and Statutory Declarations ActNot specified

Cases cited (17)

  • Peter G.N. Nganga & Another Vs Kenya Finance Bank Limited (In Liquidation, Liquidating Agent The Deposit Protection Fund) & 3 Others
    (2014) eKLR
  • Kenya Medical Laboratory Technicians and Technologists Board & 6 Others Vs Attorney General & 4 Others
    (2017) eKLR
  • Republic Vs Isiolo County Public Service Board Exparte Isiolo County Government
    (2016) eKLR
  • Anthony Francis Wareheim T/A Wareheim & 2 Others Vs Kenya Post Office Savings Bank
    Civil Application No. Nai 5 & 48 of 2002
  • Olive Mwihaki Mugenda and Another Vs Okiya Omutata & Others
    CA No. 3 and 11 of 2016
  • New Kenya Cooperative Creameries Ltd Vs Hassan Ali Mboga and 34 Others
    Case of 183 of 2015
  • Nyati Security Guards & Services Limited Vs Municipal Council of Mombasa
    (2004) eKLR
  • Trust Bank Limited Vs Amin Company Ltd & Another
    (2000) KLR 164
  • Diana Kethi Kilonzo & Another Vs Independent Electoral & Boundaries Commission & 10 Others
    (2013) eKLR
  • Peter Kisilu Mutua Vs Panal Freighters Ltd
    (2015) eKLR
  • Ronald Kampa Lugaba vs Kenol Kobil Limited
    (2016) eKLR
  • Dorothy Nchabira Bernard Vs Solution Sacco Society
    (2015) eKLR
  • Mary Nyangasi Ratemo & 9 Others Vs Kenya Police Staff Sacco Limited & Another
    (2013) eKLR
  • Shankar Saklani Vs DHL Global Forwarding (K) Limited
    (2012) eKLR
  • Kenya Union of Commercial Food and Allied Workers Vs Meru North Farmers Sacco Limited
    (2014) eKLR
  • Jared Aimba Vs Fina Bank Limited
    (2016) eKLR
  • Royal Media Services Limited & 2 Others Vs Attorney General & 8 Others
    (2014) eKLR
Jurisdiction invoked
Article 50(1) of the Constitution; Sections 12(3), 16 and 20 of the Employment and Labour Relations Court Act; ELRC (Procedure) Rules, 2016

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, "Salome Munubi & 5 others v Muhammad Swazuri & 2 others; Emmanuel Busera (Interested Party) [2019] KEELRC 1448 (KLR)", Case Analysis (2019). Petition No. 8 of 2019 (consolidated with ELRC Cause No. 1643 of 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/1448/eng@2019-05-24

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