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ELRCOtherNot stated in the judgment (Arising from CMEL No. 93 of 2019, Chief Magistrate's Employment and Labour Court)· [2020] KEELRC 976 (KLR)

Janta Kenya Limited v Millicent Achieng Otieno [2020] KEELRC 976 (KLR)

Employment and Labour Relations Court
5 June 2020
621 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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What this practically means

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Executive summary

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This is a ruling of the Employment and Labour Relations Court at Nairobi on a notice of motion filed by Janta Kenya Ltd, the appellant, following a judgment of the Magistrates' Court (Chief Magistrate A.N. Makau, CMEL No. 93 of 2019) delivered on 4 October 2019 in favour of Millicent Achieng Otieno, allowing claims for salary in lieu of notice, pro-rata leave and compensation for unfair termination. The appellant sought a stay of execution pending the appeal, leave to appeal out of time, and that its memorandum and record of appeal be deemed filed. The court certified the motion urgent and, on 10 December 2019, granted an interim stay on condition that the appellant deposit the decretal sum of Kshs 143,716/- into Court, which was done on 30 January 2020. Delivering its ruling on 5 June 2020, Radido J restated the conditions for stay under Order 42 Rule 6: tender of security, demonstration of substantial loss, and absence of inordinate delay. The appellant had complied with the security condition and had moved promptly, but had made no attempt to demonstrate substantial loss. Noting that leave to appeal out of time had already been granted and that the record of appeal was ready, the court directed the parties to file submissions by specified dates, fixed a mention for 3 August 2020, extended the interim orders pending judgment, and ordered costs to abide the outcome of the appeal.

Key legal issues

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01

Whether the Appellant met the threshold for a stay of execution pending appeal

Holding

The Appellant complied with the security condition (deposit of Kshs 143,716/- into Court) and filed the application promptly, but failed to demonstrate substantial loss; the threshold for a stay was therefore not met

Reasoning

The court restated the three conditions from Order 42 Rule 6: security, substantial loss and absence of inordinate delay. Security had been deposited albeit late with explanation tendered. The application was filed within weeks of the judgment so delay did not arise. However, the Appellant made no attempt in its affidavit to prove substantial loss, the decisive condition. Despite this failure, since leave to appeal out of time had been granted and the record of appeal was ready, the court proceeded to give directions for submissions and extended the interim orders pending judgment rather than grant a final stay.

p. 2
02

Whether leave to appeal out of time should be granted

Holding

Leave to appeal out of time was granted by the Court during the pendency of the application

Reasoning

The motion sought leave to lodge an appeal out of time against the judgment of 4 October 2019 delivered by the Chief Magistrate's Employment and Labour Court. The court noted that pending the delivery of the ruling it had granted the leave, and that the Record of Appeal was already ready. The memorandum and record of appeal were therefore treated as duly filed and the appeal was set down for submissions and mention dates.

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Legal principles established

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  • The conditions for stay of execution pending appeal, derived from Order 42 Rule 6 of the Civil Procedure Rules, are tender of security, demonstration of substantial loss if a stay is not granted, and moving the Court without inordinate delay
  • An applicant for stay of execution must demonstrate substantial loss, which cannot be presumed

Court orders

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  1. 1.Interim stay of execution granted on condition that the Appellant deposit the decretal sum of Kshs 143,716/- into Court (complied with on 30 January 2020)
  2. 2.Leave to appeal out of time granted to the Appellant during the pendency of the application
  3. 3.Appellant to file/serve submissions on or before 3 July 2020
  4. 4.Respondent to file submissions on or before 3 August 2020
  5. 5.Mention on 3 August 2020 to confirm compliance/further directions
  6. 6.Pending judgment, interim orders extended
  7. 7.Costs to abide the outcome of the Appeal

Authorities

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Legislation

  • Civil Procedure RulesOrder 42 Rule 6
  • Civil Procedure RulesOrder 42 Rule 13
On appeal from
Chief Magistrate's Employment and Labour Court (Magistrates' Court)
CMEL No. 93 of 2019
Jurisdiction invoked
Appellate jurisdiction of the Employment and Labour Relations Court over the Magistrates' Court; motion under certificate of urgency seeking stay of execution under Order 42 Rule 6 and leave to appeal out of time

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, "Janta Kenya Limited v Millicent Achieng Otieno [2020] KEELRC 976 (KLR)", Case Analysis (2020). Not stated in the judgment (Arising from CMEL No. 93 of 2019, Chief Magistrate's Employment and Labour Court). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/976/eng@2020-06-05

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