Lavington Security Guards Limited v Orege (Appeal E018 of 2023) [2023] KEELRC 1906 (KLR)
The bottom line
#What this practically means
#Executive summary
#Key legal issues
#Whether the Applicant established substantial loss
The Applicant established substantial loss because the Respondent did not demonstrate ability to refund the decretal sum of Kshs 399,742.36 if the appeal succeeded
The court considered the decretal sum and whether it would occasion substantial loss. It noted that the Respondent, the successful litigant, had not demonstrated his ability to refund the decretal sum should the appeal succeed, which in the court's opinion may render the appeal nugatory. The court relied on Century Oil Trading Company Ltd v Kenya Shell Limited on balancing the interests of the applicant preserving the status quo against the respondent enjoying the fruits of judgment.
Whether the application was made without unreasonable delay
There was no inordinate delay; the application was filed about a month after the judgment
The judgment was delivered on March 16, 2023 and the motion was filed on April 13, 2023, approximately one month later. The court held that one month was not inordinate delay for purposes of Order 42 Rule 6(2).
Whether security for due performance of the decree had been furnished
The Applicant had complied with earlier orders by depositing security in court as directed
The court found it undisputed that the Applicant had adhered to earlier court orders on security by depositing the security in court as directed, satisfying the third condition under Order 42 Rule 6(2).
Legal principles established
#- The general rule is that a stay of execution ought to be granted so that a successful appeal is not rendered nugatory
- The conditions for stay under Order 42 Rule 6 are sufficient cause, substantial loss, no unreasonable delay, and security for due performance of the decree
- A successful litigant is entitled to the fruits of judgment unless exceptional circumstances warrant stay
Court orders
#- 1.An order for stay of execution of the judgment delivered on March 16, 2023 pending hearing and determination of the appeal
- 2.The costs of the application shall abide the appeal
- On appeal from
- Winam Law Courts (Magistrates' Court)
- Employment and Labour Relations Court Case No E010/2022
- Jurisdiction invoked
- Sections 1A, 1B, 3 and 3A of the Civil Procedure Act; Order 42 Rule 6 and Order 51 Rule 1 of the Civil Procedure Rules; Article 159(2)(a), (b) and (c) of the Constitution
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Lavington Security Guards Limited v Orege (Appeal E018 of 2023) [2023] KEELRC 1906 (KLR)", Case Analysis (2023). Employment and Labour Relations Court Appeal arising from Winam Law Courts ELRC Case No E010/2022. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2023/1906/eng@2023-07-27
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.