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ELRCStruck OutEmployment and Labour Relations Court Claim filed 13th August 2015 (number not stated in judgment)· [2020] KEELRC 250 (KLR)

Peter Ndaka Mutavi v Pembe Flour Mills Limited [2020] KEELRC 250 (KLR)

Employment and Labour Relations Court
6 November 2020
2,233 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan employment claim filed four months after the three-year legal deadline was struck out, even though the employee had been waiting for a criminal case to finish.

What this practically means

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Executive summary

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The Claimant, a former employee of the Respondent, was interdicted in September 2011 over wrongful allegations of theft of motor vehicle KAZ 553B and received a memorandum of dismissal on 11th October 2011, with half salary payable pending conclusion of his criminal case. He was acquitted, but alleges he received only half salary for the first four months and no terminal benefits. He filed his claim on 13th August 2015 seeking declarations of constructive/unfair dismissal, terminal benefits and compensatory damages totalling Kshs. 969,035.50 plus interest and costs. The Respondent filed a preliminary objection dated 30th January 2020 asserting the claim was statute barred under Section 90 of the Employment Act, relying on authority including Torgbor v Ojuok, Fred Mudave Gogo, Nicodemus Marani, Joyce Wanjiku Muchiko and Maria Machocho. The Claimant opposed, arguing time does not run until acquittal, that the objection was an abuse of process and bad faith having been raised after the suit was set down for hearing, and relied on Mbowa v East Mengo District Administration and David Wekesa Nambafu v Bob Morgan Services Limited. Justice Maureen Onyango held the cause of action accrued by 17th April 2012 when terminal dues were paid, so the three-year limitation period lapsed on 16th April 2015, about four months before filing. Time does not stop running pending a criminal case, and no provision allows extension of time in employment claims. Jurisdiction may be raised at any stage, even suo moto. The preliminary objection succeeded; the suit was struck out as statute barred, with no orders as to costs.

Key legal issues

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01

Whether the claim filed on 13th August 2015 was barred by Section 90 of the Employment Act

Holding

Yes; the cause of action accrued on 17th April 2012 (payment of final dues) and the three-year limitation period lapsed on 16th April 2015, about four months before filing

Reasoning

The termination letter was dated 29th February 2012 and terminal dues were forwarded on 17th April 2012. Taking that as the accrual date, the three-year period expired on 16th April 2015. The claim was filed on 13th August 2015. The court found no provision suspending time pending a criminal case and held that the lapse divested it of jurisdiction.

p. 3
02

Whether acquittal in a criminal case suspends the limitation period

Holding

No; time does not stop running while an employee is facing criminal charges

Reasoning

The claimant argued time only began running on acquittal, relying on case law about suspension. The court rejected this, holding there is no legal provision stopping time during a criminal trial, and cited authority that time runs while an employee faces criminal charges.

p. 3
03

Whether a preliminary objection on limitation raised late, after the suit was set down for hearing, is sustainable

Holding

Yes; jurisdiction is a fundamental issue not tied to pleadings and may be raised at any time, even suo moto

Reasoning

While limitation should ideally be raised in the defence, the court held jurisdiction is everything; any decision made without jurisdiction is a nullity, so the objection could be entertained despite its timing.

p. 3

Legal principles established

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  • No civil action arising out of the Employment Act or a contract of service may be instituted unless commenced within three years next after the act, neglect or default complained of, or within twelve months next after cessation of a continuing injury
  • Time does not stop running while an employee is facing criminal charges or awaiting the conclusion of a criminal case
  • Once the limitation period lapses, the court is divested of jurisdiction, and there is no power to extend time in employment claims
  • A jurisdictional issue may be raised at any stage, even by the court suo moto, as it is not tied to pleadings

Court orders

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  1. 1.The preliminary objection succeeds and the suit is struck out on grounds that it is statute barred
  2. 2.No orders for costs

Authorities

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Legislation

  • Employment ActSection 90
  • Limitation of Actions Act (Cap. 22)Section 4(1); Section 39
  • Limitation of Actions ActPart III
  • Civil Procedure RulesOrder 21 Rule 1
  • Civil Procedure Act (Chapter 21)Section 1B
  • Constitution of KenyaArticle 159(2)(d); Article 48

Cases cited (13)

  • Mr. S Mrs. Justice E. Torgbor v Ladislaus Odongo Ojuok
    CA Civil Application Nairobi 100 of 2015 (Ur 81/2014)
  • In Re The Matter of the Interim Independent Electoral Commission
    Constitutional Application No. 2 of 2011; [2011] eKLR
  • Samuel Kamau Macharia and Another v Kenya Commercial Bank Limited & 2 Others
    S.C. Application No. 2 of 2012; (2012) eKLR
  • Gathoni v Kenya Co-operative Creameries Ltd
    Civil Application No. 122 of 1981
  • Fred Mudave Gogo v G4S Security Services (K) Ltd
    [2014] eKLR
  • Nicodemus Marani v Timsales Limited
    Industrial Cause No. 204 of 2013
  • Joyce Wanjiku Muchiko & Another v Telkom (K) Limited
    Industrial Cause No. 1299 of 2011
  • Maria Machocho v Total (K)
    Industrial Cause No. 2 of 2012
  • Mbowa v East Mengo District Administration
  • David Wekesa Nambafu v Bob Morgan Services Limited
    ELRC No. 2129 of 2014
  • Kenya Electrical Trades and Allied Workers Union v Kenya Power and Lighting Company Ltd
    (2015) eKLR
  • Divecon Ltd v Samani
    (1995-1998) 1 EA 48
  • Owners of the Motor Vessel “Lillian S” v Caltex Oil (Kenya) Limited
Jurisdiction invoked
Employment Act, Section 90 (limitation) read with the Limitation of Actions Act (Cap. 22); jurisdiction of the Employment and Labour Relations Court

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (1)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Peter Ndaka Mutavi v Pembe Flour Mills Limited [2020] KEELRC 250 (KLR)", Case Analysis (2020). Employment and Labour Relations Court Claim filed 13th August 2015 (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/250/eng@2020-11-06

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