Kenya Building Construction Timber and Furniture Industries Employees Union v Ekotech Company Limited [2021] KEELRC 469 (KLR)
The bottom line
#What this practically means
#Executive summary
#Key legal issues
#Limitation of actions in employment claims
The suit filed in 2017 over termination effective 31 March 2014 was time barred; the court struck it out even at judgment stage
Section 90 of the Employment Act requires claims to be instituted within three years of the act complained of. The claim dated 3rd July 2017 exceeded the three-year period. The court held it could not overlook the bar even though neither counsel raised it, and that it had no discretion to extend time.
Termination of fixed term contracts
The grievants' employment ended by effluxion of time on expiry of fixed term contracts, not by unfair termination
The grievants signed fixed contracts expiring on 31st March 2014, witnessed by third parties, with no evidence of involuntary signing. The court relied on authority that expiry of a fixed term contract is automatic termination by operation of law and carries no expectations of renewal.
Legitimate expectation of contract renewal
No legitimate expectation arose despite earlier renewals over four years
Although the Claimant argued that prior renewals created a legitimate expectation, the court found that fixed term contracts carry no rights or expectations beyond expiry, following Teresa Carlo Omondi v Transparency International and other authorities on fixed term contracts.
Alleged discrimination on grounds of union membership
The claim of anti-union discrimination failed
The first grievant joined the union in 2011 and continued to be engaged until March 2014, which the court found inconsistent with discrimination on union membership grounds.
Legal principles established
#- Actions arising out of the Employment Act or contract of service must be commenced within three years of the act complained of
- A court has no jurisdiction to extend time in causes of action based on breach of contract of service or actions arising out of the Employment Act
- Fixed term contracts carry no rights, obligations or expectations beyond the date of expiry
Court orders
#- 1.The suit is struck out for the reason that it was filed out of time
- 2.No order as to costs, each party bearing their own costs
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment Act 2007 (claim arising out of contract of service)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Building Construction Timber and Furniture Industries Employees Union v Ekotech Company Limited [2021] KEELRC 469 (KLR)", Case Analysis (2021). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/469/eng@2021-11-18
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.