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ELRCAllowedNotice of Motion dated 29.11.2019 (ELRC suit, consolidated series, Nairobi)· [2020] KEELRC 332 (KLR)

John Waweru Njenga & 5 others v Motor Botique Limited [2020] KEELRC 332 (KLR)

Employment and Labour Relations Court
22 October 2020
1,662 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
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The bottom line

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A Kenyan employment court reinstated a suit dismissed after a lawyer's diary mistake, but ordered the litigants to pay the other side Kshs. 10,000.

What this practically means

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Executive summary

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The applicants moved the Employment and Labour Relations Court by Notice of Motion dated 29.11.2019 seeking review and setting aside of an order made on 18.11.2019 dismissing their suit for non-attendance, reinstatement of the suit, and priority hearing. They explained that their counsel's clerk, who attended when the Deputy Registrar fixed the suit for further hearing on 18.11.2019, mistakenly diarized the date as 18.12.2019, causing them to miss the hearing; they contended the mistake of counsel should not be visited on innocent litigants and that the application was made promptly. The respondent, supported by a replying affidavit of its General Manager, Kamlesh Chitroda, opposed, contending no sufficient cause was shown and that it would suffer prejudice, relying on Order 12 Rule 3(1) of the Civil Procedure Rules and authorities including Shah v Mbogo. The court framed one issue: whether the applicants met the legal threshold of good cause under Rule 22(2) of the ELRC Procedure Rules. Applying the principles in James Kanyiita Nderitu and Shah v Mbogo, Judge Onesmus N. Makau found the non-attendance was a genuine error, not negligence or deliberate delay; the application was filed without unreasonable delay after counsel learned of the dismissal on 27.11.2019; and reinstatement would cause the respondent only prejudice curable by costs. The court allowed the application, set aside the dismissal, reinstated the suit for hearing on a priority basis, and ordered the applicants to pay the respondent throw-away costs of Kshs. 10,000 before the hearing date. The judgment was delivered online pursuant to Covid-19 directions with the parties' consent.

Key legal issues

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01

Whether the applicants demonstrated good cause for setting aside dismissal for non-attendance

Holding

Yes - the non-attendance was due to a genuine clerical diarization error, not negligence or deliberate delay; the application was filed without unreasonable delay; and denying the applicants a hearing would be more prejudicial than reinstatement.

Reasoning

Rule 22(2) of the ELRC Procedure Rules permits dismissal for non-attendance except for good cause. Following James Kanyiita Nderitu and Shah v Mbogo, the court examined whether the failure was deliberate or due to excusable mistake. The diary annexure supported the applicants' explanation; counsel learned of the dismissal on 27.11.2019 and moved by 3.12.2019. Prejudice to the respondent from the 7-year-old suit could be remedied by costs.

p. 3
02

Whether reinstatement should be conditional on terms

Holding

Yes - reinstatement was granted upon throw-away costs of Kshs. 10,000 to the respondent to remedy any prejudice from the delay.

Reasoning

The court held that discretion to set aside must be exercised upon terms. Although the respondent faced possible difficulty securing witnesses and documents after seven years, it did not show the prejudice could not be cured by costs, so a throw-away costs order sufficed.

p. 3

Legal principles established

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  • A suit dismissed for non-attendance may be saved where the applicant demonstrates good cause, including that non-attendance was due to inadvertence or honest mistake, the application was made without unreasonable delay, the suit is meritorious, and the balance of prejudice favours reinstatement.
  • The discretion to set aside ex parte or default decisions is intended to avoid injustice from accident, inadvertence or excusable mistake, not to assist deliberate obstruction.
  • The discretion to set aside ex parte regular judgment must be exercised upon terms, such as throw-away costs, to remedy prejudice to the opposite party.

Court orders

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  1. 1.The Order made on 18.11.2019 dismissing the suit for non-attendance is hereby set aside
  2. 2.The suit is hereby reinstated for hearing and determination on merit
  3. 3.A hearing date be granted on priority basis given the age of the matter
  4. 4.The Applicants to pay the respondent Kshs. 10,000 being throw-away costs before the hearing date

Authorities

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Legislation

  • Employment and Labour Relations Court (Procedure) RulesRule 22(2)
  • Employment and Labour Relations Court (Procedure) RulesRule 28(3)
  • Civil Procedure RulesOrder 12 Rule 3(1)

Cases cited (8)

  • Master Power Systems Limited v Civicon Engineering Africa & Another
    [2019] eKLR
  • Mary John Kigeto v New Kenya Co-operative Creamaries Limited & Attorney General
    [2019] eKLR
  • Constatine Dzombo & 4 others v Lukyn Coats & another
    [2018] eKLR
  • The Council, Jomo Kenyatta University of Agriculture and Technology v Joseph Mutuura Mbeera & 3 others
    [2015] eKLR
  • Shah v Mbogo & another
    [1967] EA 1116 (also cited as [1967] EA 116)
  • Utalii Transport Co. Ltd & 3 others v NIC Bank & another
    [2014] eKLR
  • Kamunyi v Macharia & another
    [1990] KLR 470
  • James Kanyiita Nderitu & another v Mario Philotas Ghikas & another
    [2017] eKLR
Jurisdiction invoked
Rule 22(2) of the Employment and Labour Relations Court (Procedure) Rules and the court's inherent jurisdiction to review and set aside its orders

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, "John Waweru Njenga & 5 others v Motor Botique Limited [2020] KEELRC 332 (KLR)", Case Analysis (2020). Notice of Motion dated 29.11.2019 (ELRC suit, consolidated series, Nairobi). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/332/eng@2020-10-22

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