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ELRCDismissedJudicial Review No 34 of 2018· [2019] KEELRC 2111 (KLR)

Republic v Cabinet Secretary, Ministry of East African Community and Regional Development; Ewaso Ng’iro North Development Authority & another (Interested Parties) Exparte Omar Mohammed Sheikh [2019] KEELRC 2111 (KLR)

Employment and Labour Relations Court of Kenya
1 March 2019
3,631 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~15 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court confirmed that a state agency CEO cannot rely on board recommendations or circulars to claim a third term when the law caps tenure at two.

What this practically means

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Executive summary

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The ex parte applicant, who had served as Managing Director of the Ewaso Ng'iro North River Basin Development Authority, sought leave and subsequently filed judicial review proceedings against the Cabinet Secretary's decision to appoint the 2nd Interested Party as Acting Managing Director rather than reappoint him for a third term. He sought certiorari to quash the acting appointment letter and two orders of mandamus to compel enforcement of the Board's evaluation report and its recommendation for his reappointment, alleging legitimate expectation founded on Head of Public Service circulars and the Board's recommendation. The Respondent, in a replying affidavit sworn by Cabinet Secretary Adan Mohamed, maintained that the applicant had served the maximum two-term limit, that the appointment was non-renewable, that section 4 of the ENNDA Act's renewal provision applies to Board members (including the Managing Director as an ex officio member) rather than conferring a right to renewal, and that the Cabinet Secretary enjoyed discretion under section 9 of the Act. The Court framed two issues: the lawfulness of the Respondent's decision and entitlement to remedies. It held that the decision was regular and reasonable, that the applicant had served the maximum two terms under the governance instruments including Mwongozo, and that no legitimate expectation could arise without a legal basis for a third term, applying the Supreme Court's holding in the Communications Commission case that legitimate expectation cannot override clear statutory provisions. The application was dismissed in its entirety, with each party bearing its own costs.

Key legal issues

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01

Whether the Respondent's decision to appoint an Acting Managing Director instead of reappointing the applicant was lawful

Holding

The decision was lawful and regular; the Cabinet Secretary had discretion under the ENNDA Act and the applicant had already served the maximum two-term limit

Reasoning

The Court examined section 4 of Cap 448 and the Mwongozo Code and noted the two-term (six-year) limit for board members, including the Managing Director who is a member of the Board. The appointment letter lacked a renewal clause and the applicant had served two terms. The Respondent's considerations were neither unreasonable nor irrelevant; moreover the 2nd Interested Party was only appointed in an acting capacity and the substantive position remains unfilled.

02

Whether the applicant had a legitimate expectation of reappointment for a third term

Holding

No breach of legitimate expectation; the applicant did not set out any legal basis for a third term

Reasoning

The applicant relied on Head of Public Service circulars and the Board's evaluation report and recommendation. The Court applied the Supreme Court's holding in Communications Commission of Kenya v Royal Media Services that no legitimate expectation can override clear statutory provisions. Since the applicant identified no legal foundation for a third term, the expectation could not stand against the statutory scheme and the term limits in the governance instruments.

p. 6
03

Whether the applicant was entitled to the judicial review orders of certiorari and mandamus

Holding

Not entitled; he failed to demonstrate grounds for judicial review intervention

Reasoning

The Court restated the limited scope of judicial review intervention: arbitrariness, capriciousness, bad faith, misconceived discretion, irrelevant or ignored relevant considerations, or gross unreasonableness evidencing failure to apply the mind. The applicant proved none of these. The decision was regular, the two-term limit was a relevant consideration, and the appointment of the 2nd Interested Party was acting only.

p. 6

Legal principles established

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  • No legitimate expectation can override clear statutory provisions
  • Judicial intervention in judicial review matters is limited to decisions arrived at arbitrarily, capriciously, mala fide, on irrelevant considerations or so grossly unreasonably as to show failure to apply the mind

Court orders

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  1. 1.The Chamber Summons application seeking leave and the judicial review application are dismissed in whole
  2. 2.Each party shall bear its own costs

Authorities

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Legislation

  • Ewaso Ng'iro North River Basin Development Authority ActSection 4(1), 4(2), 4(3); Section 9(1)
  • State Corporations ActCap 446 (generally)
  • Mwongozo Code of Governance for Government Owned EntitiesTenure of board members - cumulative six years or two terms of three years
  • Human Resource Policies and Procedures Manual for the Public ServiceClause A.6 (role of Cabinet Secretaries)
  • Government Circular No. OP.CAB.0/1A27th February 2018 - terms of service for State Corporations Chief Executive Officers

Cases cited (3)

  • Communications Commission of Kenya & 5 Others vs Royal Media Services Limited & 5 Others
    (2014) eKLR
  • Registered Trustees of the Presbyterian Church of East Africa & Another Vs Ruth Gathoni Ngotho
    (2017) eKLR
  • Joseph Mutuura Mbeeria and Another Vs Cabinet Secretary for Education, Science and Technology and 2 Others
    (2013) eKLR
Jurisdiction invoked
Judicial review jurisdiction of the Employment and Labour Relations Court over matters relating to employment and labour, including orders of certiorari and mandamus against a state organ

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, "Republic v Cabinet Secretary, Ministry of East African Community and Regional Development; Ewaso Ng’iro North Development Authority & another (Interested Parties) Exparte Omar Mohammed Sheikh [2019] KEELRC 2111 (KLR)", Case Analysis (2019). Judicial Review No 34 of 2018. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/2111/eng@2019-03-01

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