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ELRCDismissedNot stated in the judgment as provided· [2023] KEELRC 1869 (KLR)

Mburu v International Committee of the Red Cross (Cause 315 of 2018) [2023] KEELRC 1869 (KLR)

Employment and Labour Relations Court of Kenya
26 July 2023
3,295 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

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A Kenyan court dismissed an unfair termination claim because the employee had signed a discharge voucher accepting his dues as full and final settlement.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent as an Airport Clerk, sued for unfair termination and unpaid terminal dues following his dismissal on 24th March 2015. The dismissal arose from an investigation into two taxi receipts submitted on 2nd and 3rd January 2015 to account for cash disbursed for official purposes; the receipts, though differing in appearance, bore the same handwriting, and the Respondent suspected they were fabricated. The Claimant also failed to account for a Cash Working Advance of Kshs. 14,530/-, which the Respondent recovered from his March salary. The Respondent contended the Claimant was heard at a disciplinary hearing on 11th March 2015 with a colleague of his choice, and that he later executed a discharge voucher on 29th April 2015 acknowledging Kshs. 113,157/- as full and final settlement. The court found that the Respondent carried out meticulous investigations, afforded the Claimant an opportunity to defend himself which he did not dislodge, and that the fabricated receipts constituted culpable conduct. Critically, the court held that the Claimant, having freely executed the discharge voucher in his own handwriting and confirmed in cross-examination that he signed without being forced, could not resile from his waiver of further claims. Applying the principle that courts cannot rewrite valid contracts, the court dismissed the entire suit. Each party was ordered to bear its own costs. In obiter dicta, the court expressed hope that the Respondent had instituted better cash-handling controls to close the loopholes that gave rise to the dispute.

Key legal issues

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01

Whether the discharge voucher bars the claim

Holding

Yes - the Claimant executed the discharge voucher freely and in his own handwriting acknowledged full and final settlement, and cannot resile from it

Reasoning

The court found that the Claimant accepted Kshs. 113,157/- as final dues on 29th April 2015, signing in his own handwriting with his ID number, and confirmed in cross-examination that he signed for the payment as full and final settlement without being forced. He produced no evidence that the acceptance was anything other than willful. The court adopted the reasoning in Damondar Jihabhai and Coastal Bottlers that courts cannot rewrite valid contracts and must give effect to the parties' intention not to litigate further.

p. 6
02

Whether the reason for termination was valid

Holding

Yes - production of two falsified taxi receipts written and signed by the same person was a valid reason for termination

Reasoning

The court found the Claimant procured two damning receipts on 2nd and 3rd January 2015 which, though different in appearance, bore the same handwriting. The Respondent carried out meticulous investigations during which some of the Claimant's colleagues admitted wrongdoing. The meetings held demonstrated culpability, and the Claimant, though afforded an opportunity to defend himself, did not dislodge the accusations levelled against him.

p. 5
03

Whether a fair procedure was followed

Holding

Yes - the Claimant was invited to a disciplinary hearing, informed of his right to be accompanied by a fellow employee, given an opportunity to make representations, and attended a further meeting on the Cash Working Advance

Reasoning

The Respondent issued a letter dated 9th March 2015 inviting the Claimant to a disciplinary hearing on 11th March 2015; the invitation informed him of his right to be accompanied by a fellow employee, which he exercised. He made oral representations based on a report he had prepared. He also confirmed in cross-examination that he was called to explain the taxi receipts and attended a meeting on the Cash Advance, taking Hosea Chepkwony as his witness.

p. 2

Legal principles established

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  • An employee who freely executes a discharge voucher acknowledging full and final settlement of terminal dues cannot resile from it and pursue further claims against the employer.
  • A court cannot rewrite a contract validly entered into by parties; the discharge voucher is a binding agreement.
  • The test of reasonableness in dismissal is whether a reasonable employer might reasonably have dismissed the employee - the band of reasonableness.

Court orders

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  1. 1.The Claimant's suit is dismissed
  2. 2.Each party to bear their own costs

Authorities

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Legislation

  • Employment Act, 2007Section 41(1) and 41(2)
  • Employment Act, 2007Section 42(1)
  • Employment Act, 2007Section 43
  • Employment Act, 2007Section 44(3) and (4)
  • Constitution of KenyaNot specified (statutory obligations of employer referenced generally)

Cases cited (7)

  • British Leyland UK Ltd v Swift
    (1981) I.R.L.R 91
  • Cooperative Bank of Kenya Limited v Banking Insurance & Finance Union (K)
    [2017] eKLR
  • Omusamia v Upperhill Springs Restaurant
    (Cause 852 of 2017) [2021] KEELRC 3 (KLR) (5 October 2021)
  • Damondar Jihabhai & Co. Ltd and another v Eustace Sisal Estates Ltd
    [1967] EA 153
  • Coastal Bottlers Limited v Kimathi Mithika
    [2018] eKLR
  • Magdalene Kamene Nziuko v Standard Chartered Bank Ltd
    [2019] eKLR
  • Bamburi Cement Ltd v Farid Aboud Mohammed
    [2016] eKLR
Jurisdiction invoked
Employment and labour relations jurisdiction under Article 162(2) of the Constitution (Employment Act, 2007 cited)

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, "Mburu v International Committee of the Red Cross (Cause 315 of 2018) [2023] KEELRC 1869 (KLR)", Case Analysis (2023). Not stated in the judgment as provided. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2023/1869/eng@2023-07-26

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