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ELRCDismissedCause No 633 of 2019· [2021] KEELRC 1799 (KLR)

Newton F. Kimanthi & another v Seth Panyako & 2 others; Registrar of Trade Unions (Interested Party) [2021] KEELRC 1799 (KLR)

Employment and Labour Relations Court
29 April 2021
4,539 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~18 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled that decisions made in defiance of a court order remain invalid even after the order is lifted.

What this practically means

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Executive summary

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This judgment of the Employment and Labour Relations Court (Onesmus N. Makau J, Nairobi) determines a Notice of Motion dated 2.3.2020 filed by the 1st and 3rd Respondents (Seth Panyako and the National Union of Kenyan Co-operators Employees). They sought orders compelling the Registrar of Trade Unions (Interested Party) to adopt resolutions of a Special National Governing Council (SNGC) meeting held on 27.9.2019 at Wild Waters, Mombasa, and a declaration that a temporary injunction issued on 25.9.2019 did not affect those resolutions for want of service. The court framed four issues: service, the effect of the 20.1.2020 order setting aside the injunction, whether the Registrar should be compelled to register the resolutions, and whether the suit was spent. On service, the court found the respondents received the order by email under leave for substituted service granted under Rule 12(2) of the ELRC Procedure Rules 2016, and that knowledge of an order suffices for service (Shimmers Plaza). On the second issue, applying the Trans Nzoia Investment/Macfoy principle, the court held that resolutions passed in breach of the injunction were null and void, and their invalidity was not cured by the later vacation of the injunction. The Registrar therefore rightly refused registration, and no order compelling her could issue. However, since a fresh SNGC meeting had been peacefully held on 23.10.2020, the court found the suit as pleaded spent and overtaken by events. The application was dismissed; the suit was marked spent, the file closed, and each party ordered to bear their own costs. The respondents were left free to pursue registration of the 23.10.2020 resolutions under section 27 of the Labour Relations Act.

Key legal issues

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01

Whether the 1st and 3rd Respondents were served with the injunction order of 25.9.2019

Holding

They were duly served or at least knew of the order before the meeting; substituted service by email was permitted under leave granted and Rule 12(2) of the ELRC Procedure Rules 2016

Reasoning

The claimants obtained leave to serve by email and/or last known address, dispensing with personal service. The respondents acknowledged the email sent at 8.58 pm on 25.9.2019. Relying on Shimmers Plaza Ltd v National Bank of Kenya, knowledge of a court order suffices for service. The court found the respondents deliberately failed to comply with the order and rejected the argument that the order lapsed under Order 40 Rule 6 for want of service.

p. 5
02

Effect of the order of 20.1.2020 setting aside the injunction

Holding

The setting aside did not validate the resolutions passed on 27.9.2019 in breach of the injunction; they remained null and void

Reasoning

Applying the Trans Nzoia Investment principle (citing Macfoy v United Africa Co Ltd) that acts done in violation of a court order are void ab initio, the court held that vacation of the injunction could not sanitise contemptuous acts. The respondents' remedy was to convene a fresh meeting, which they in fact did on 23.10.2020, and they were free to seek registration of those resolutions under section 27 of the Labour Relations Act.

p. 5
03

Whether the Registrar of Trade Unions should be compelled to adopt the 27.9.2019 resolutions

Holding

No; the Registrar correctly refused to register resolutions that were null and void

Reasoning

Having been served with the injunction and enjoined in the suit, the Interested Party was entitled, and indeed obliged, not to aid and abet the respondents' contempt by registering an invalid resolution. Compelling registration would invite the court to act in vain since there was nothing legally capable of registration.

p. 6
04

Whether the suit is spent or overtaken by events

Holding

Yes, the suit as pleaded is spent and/or overtaken by events

Reasoning

The substantive relief sought was a permanent injunction to restrain the SNGC meeting of 27.9.2019. That meeting took place (albeit in contempt), the temporary order was vacated on 20.1.2020, and another SNGC meeting was peacefully held on 23.10.2020. The court therefore declared the suit spent, declined the remaining orders in the motion, dismissed the application and closed the file.

p. 6

Legal principles established

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  • Knowledge of a court order suffices to prove service and dispense with personal service, including for contempt purposes, where leave for substituted service was granted
  • An act done in violation of a court order is void and a nullity, and subsequent vacation of the order does not sanitise the act; proceedings founded on it are incurably bad
  • Setting aside an injunction does not validate resolutions already passed in breach of it; the party must call a fresh meeting

Court orders

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  1. 1.A declaration that the suit, as pleaded, is spent and/or overtaken by events
  2. 2.The suit is marked as spent and the file closed
  3. 3.Dismissal of the Notice of Motion dated 2.3.2020, with all other orders sought declined
  4. 4.Each party to bear their own costs of the application and the suit

Authorities

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Legislation

  • Constitution of Kenya, 2010Articles 24(1), 36, 37, 41(2)(c), 159
  • Civil Procedure RulesOrder 40 Rule 4(3); Order 40 Rule 6; section 1A (overriding objective)
  • ELRC Procedure Rules, 2016Rule 12(2); Rule 28(3)
  • Labour Relations Actsections 27, 27(4), 30, 35(3) and (4)
  • ILO Convention No. 98not specified

Cases cited (23)

  • Anchor Limited v Sports Kenya
    [2017] eKLR
  • Koinange Investments & Development Ltd v Robert Nelson Ngether
    [2014] eKLR
  • Omar Shallo v Jubilee Party & another
    [2017] eKLR
  • Barclays Bank of Kenya Limited v Henry Ndung'u Kinuthia & another
    [2018] eKLR
  • David Wambua Ngii v Abed Silas Alembi & 6 others
    [2014] eKLR
  • Nguruman Limited v Jan Bonde Nielsen & 2 others
    [2014] eKLR
  • Jason Sore Shikuku v Christopher Naibey Chemengu
    [2018] eKLR
  • John Biiy v Seth Panyako & 2 others
    [2019] eKLR
  • Board of Trustees of African Independent Pentecostal Church of Africa Church v Peter Mungai Kimani & 12 others
    [2016] eKLR
  • Shivling Supermarket Limited v Jimmy Ondicho Nyabuti & 2 Others
  • Kenya Medical Laboratory Technicians and Technologists Board & 6 others v Attorney General & 4 others
    [2017] eKLR
  • Trans Nzoia Investment Co. Ltd v Joseph Wanambisi and 4 others
    HCCC No. 59 of 2005
  • Shimmers Plaza Limited v National Bank of Kenya Limited
    [2015] eKLR
  • Basil Criticos Vs Attorney General and 8 Others
    [2012] eKLR
  • Felix Musyoki Sammy & 6 Others v Registrar of Trade Unions & another
    [2016] eKLR
  • Charles Salano & 9 others (proposers & promoters of Kenya Supermarkets Workers Union (KESMWU) v Registrar of Trade Union & another
    [2017] eKLR
  • John Githua Mbate & 2 others v Registrar of Trade Unions & another
    [2018] eKLR
  • Karuturi Networks Limited & another v Daly & Figgis Advocates
    [2009] eKLR
  • Deepak Chamanlal Kamani & another v Kenya Anticorruption Commission & 3 others
    [2010] eKLR
  • Hunker Trading Company Limited v Elf Oil Kenya Limited
    [2010] eKLR
  • Kenya Commercial Bank Limited v Kenya Planters Co-operative Union & 2 Others
    [2011] eKLR
  • MACFOY V UNITED AFRICA CO. LTD
    [1961] 3 ALL ER 1169
  • Eldoret Petition No. 6 of 2020 (2nd Claimant's petition before Abuodha J)
Jurisdiction invoked
Not expressly stated; jurisdiction exercised under the Employment and Labour Relations Act and the ELRC Procedure Rules 2016 (interlocutory application within a claim under the Labour Relations Act)

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, "Newton F. Kimanthi & another v Seth Panyako & 2 others; Registrar of Trade Unions (Interested Party) [2021] KEELRC 1799 (KLR)", Case Analysis (2021). Cause No 633 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/1799/eng@2021-04-29

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