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ELRCStruck OutELRC Cause (Mombasa) — applications dated 12.08.2020 in the claimant's memorandum of claim· [2021] KEELRC 1520 (KLR)

Laban Owino Ochieng v Awanad Enterprises Limited & 3 others [2021] KEELRC 1520 (KLR)

Employment and Labour Relations Court
18 June 2021
1,379 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~6 min to read original · ~4 min brief

The bottom line

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A Kenyan court struck out a former employee's commission claim because he had already litigated—or should have litigated—every issue in two earlier failed lawsuits.

What this practically means

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Executive summary

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By consent of 06.05.2021, Habo Group of Companies was struck off as a party as it no longer exists, and the claimant did not file an amended statement of claim. The 1st, 2nd and 4th respondents moved the Court on 12.08.2020 under section 90 of the Employment Act, 2007 and Rule 17 of the ELRC (Procedure) Rules, 2016 seeking striking out of the claim with costs on grounds of res judicata, limitation under section 90, and want of jurisdiction. They relied on two prior suits: Nairobi HCC No. 429 of 2017 (struck out by Olga Sewe J on 05.02.2018 for want of jurisdiction) and Mombasa ELRC Cause No. 22 of 2019 (dismissed by Rika J on 27.09.2019 as improperly before the Court and time barred, the cause of action having accrued on the claimant's resignation of 30.04.2012). The claimant opposed, arguing the termination and commission issues were triable and that res judicata did not apply because the prior suits were dismissed on preliminary points only. The Court held the present suit was between the same parties, about the same transactions, and that all matters — including the alleged partial rejection of the resignation and the 3% commission on projects completed in 2017 — ought to have been raised in ELRC Cause No. 22 of 2019. The suit was found res judicata and an abuse of process; the ruling by Rika J on time bar was binding, the Court being functus officio. The applications were allowed and the memorandum of claim struck out with costs on 18 June 2021.

Key legal issues

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01

Whether the claim is res judicata

Holding

Yes — the previous suits involved the same parties, issues and transactions; the suit is trapped by res judicata and must fail as an abuse of court process

Reasoning

The two prior suits were between the same parties and concerned the same 3% commission claims based on the claimant's resignation of 30.04.2012. Even though they were dismissed on preliminary grounds (jurisdiction, improper filing, time bar), the claimant ought with due diligence to have raised all his grounds, including the alleged partial rejection of his resignation and continuation of work until 2017, in ELRC Cause No. 22 of 2019. Re-pleading the case now amounts to re-engineering to defeat the time-bar finding.

p. 2
02

Whether the Court can depart from the finding in ELRC Cause No. 22 of 2019 that the claim was time barred

Holding

No — that finding binds this Court and the Court is functus officio as regards that suit

Reasoning

The claimant argued his resignation was only partially rejected and he managed projects until 2017, so the cause of action arose in 2017. The Court held this new argument should have been raised in the earlier case; the prior dismissal for want of jurisdiction did not license re-litigation, and the functus officio doctrine and res judicata both bar the claim.

p. 2

Legal principles established

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  • Res judicata applies even where prior suits were dismissed on preliminary grounds, because with due diligence all matters ought to have been raised in the earlier suit
  • Res judicata was invented to achieve finality in litigation and is a valid bar to re-litigating disputes
  • A court that has delivered a ruling is functus officio and cannot reopen the suit; its findings bind a court of concurrent jurisdiction

Court orders

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  1. 1.The 1st, 2nd and 4th respondents' applications dated 12.08.2020 are allowed
  2. 2.The claimant's memorandum of claim is struck out with costs

Authorities

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Legislation

  • Employment Act, 2007section 90
  • Employment and Labour Relations Court (Procedure) Rules, 2016Rule 17

Cases cited (2)

  • Laban Owino Ochieng v Awanad Enterprises Limited
    Nairobi HCC No. 429 of 2017
  • Laban Owino Ochieng v Awanad Enterprises Limited, Pili Management Consultants Limited and Hezron Awiti Bollo
    Mombasa ELRC Cause No. 22 of 2019
Jurisdiction invoked
Article 162(2) of the Constitution read with section 90 of the Employment Act, 2007 and Rule 17 of the Employment and Labour Relations Court (Procedure) Rules, 2016 (as invoked by the parties' applications under those provisions)

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, "Laban Owino Ochieng v Awanad Enterprises Limited & 3 others [2021] KEELRC 1520 (KLR)", Case Analysis (2021). ELRC Cause (Mombasa) — applications dated 12.08.2020 in the claimant's memorandum of claim. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/1520/eng@2021-06-18

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