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ELRCPartially AllowedNot stated in the judgment· [2021] KEELRC 530 (KLR)

Bernard Munanu v Equity Bank [K] Limited [2021] KEELRC 530 (KLR)

Employment and Labour Relations Court
9 November 2021
1,174 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Employment Court confirmed ex parte injunctions last only 14 days under Rule 17, set aside old interim orders, but spared the unfair dismissal claim from dismissal.

What this practically means

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Executive summary

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The Claimant sued for a declaration that he was unfairly dismissed, plus 12 months' salary compensation, one month's salary in lieu of notice, damages for violation of privacy, and costs. The Respondent denied unfair dismissal, alleging absence from the workstation without leave. Pending the claim, the Claimant obtained ex parte orders on 3rd February 2020 restraining the Respondent from selling property known as RURIRU/EAST BLOCK 2/5859, mortgaged to the Respondent under a staff loan facility converted to a commercial interest rate after his dismissal. The Respondent applied to review and set aside the interim orders and to dismiss the claim for want of prosecution, arguing no nexus between the interim orders and the claim's prayers and that the claim had not been prosecuted since 9th March 2020. The Court, determining the application on written submissions, held that injunctions in the E&LRC are governed by Rule 17 of the E&LRC [Procedure] Rules, 2016, not Order 40 of the Civil Procedure Rules, and that under Rule 17 an ex parte injunction lasts 14 days with only one extension not exceeding 14 days. The interim orders had been extended improperly and were defective; further, no dispute over the mortgaged property was discernible in the claim for unfair termination. The Court set aside the interim orders but declined to dismiss the claim, excusing the delay on account of the Covid-19 shutdown of court operations, and awarded costs in the cause.

Key legal issues

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01

Applicable procedural framework for injunctions in the E&LRC

Holding

Order 40 of the Civil Procedure Rules does not govern injunctions in the E&LRC; Rule 17 of the E&LRC [Procedure] Rules, 2016 does

Reasoning

The Claimant argued that Order 40 Rules 1 and 10 of the Civil Procedure Rules applied to injunctions in all civil cases including employment matters. The Court rejected this, holding that interlocutory orders in the E&LRC are regulated by Rule 17 of the E&LRC [Procedure] Rules, 2016, which limits ex parte injunctions to 14 days with a single extension.

p. 2
02

Validity and duration of the interim orders

Holding

The interim orders, having been extended beyond the period permitted by Rule 17, were defective and had to be discharged

Reasoning

The orders were granted on 3rd February 2020 and lapsed around 17th February 2020. They were extended once on 20th February 2020 for a period which could not exceed 14 days. Thereafter the orders could not validly continue, and the fact that the Respondent did not file a reply could not be taken as confirmation of the orders.

p. 2
03

Connection between interim relief and the substantive claim

Holding

No nexus existed between preservation of the mortgaged property and the claim for unfair termination

Reasoning

The Court found the interim preservation orders were unmatched to any prayer in the Claim. The Claim concerned unfair termination, privacy damages and notice pay, not the mortgaged property. The Claimant could not explain why preservation was necessary in an unfair termination claim.

p. 2
04

Dismissal for want of prosecution

Holding

Dismissal declined; the delay was explained by the Covid-19 pandemic

Reasoning

The Claimant took no active steps after 9th March 2020, but the approximately one-year delay coincided with the public health situation that compelled courts to shut down or scale down operations. Judicial proceedings could not move at the pace contemplated by statutory timelines, so the Claimant was excused.

p. 2

Legal principles established

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  • Applications for temporary injunctions and other interlocutory orders before the E&LRC are governed by Rule 17 of the E&LRC [Procedure] Rules, 2016, not Order 40 of the Civil Procedure Rules
  • An ex parte injunction under Rule 17 may be granted only once and not for more than 14 days, extendable only once by consent or court order for a further period not exceeding 14 days
  • Interim orders must correspond to the prayers in the substantive claim

Court orders

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  1. 1.Interim orders granted to the Claimant on 3rd February 2020 are reviewed and set aside
  2. 2.The prayer for dismissal of the Claim for want of prosecution is declined
  3. 3.Costs in the cause

Authorities

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Legislation

  • Civil Procedure RulesOrder 40 Rules 1 and 10
  • Employment and Labour Relations Court [Procedure] Rules, 2016Rule 17
Jurisdiction invoked
Employment and Labour Relations Court [Procedure] Rules, 2016, Rule 17; Civil Procedure Rules Order 40 raised by the Claimant but rejected as inapplicable

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, "Bernard Munanu v Equity Bank [K] Limited [2021] KEELRC 530 (KLR)", Case Analysis (2021). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/530/eng@2021-11-09

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