Muga & 2 others v Sinohydro Corporation Ltd (Cause 49 of 2019) [2023] KEELRC 2353 (KLR)
The bottom line
#A family's claim over a deceased worker's terminal dues was struck out because they filed suit three years after the employer paid the dues.
What this practically means
#Executive summary
#Key legal issues
#Whether the suit was statute barred under Section 90 of the Employment Act
Yes - the cause of action accrued on 22nd October, 2015 when terminal dues were paid; the suit filed on 29th May, 2019 was time barred by close to seven months
The employee was neither terminated nor resigned; he died, so terminal dues became due on death. Payment was made within about ten days on 22nd October, 2015. Since the disputed issue was the amount paid, the cause of action arose on the payment date. Section 90 requires suits within three years, and the limitation period is jurisdictional, so the claim filed in May 2019 was time barred.
Whether the Claimants were entitled to the remedies sought
The claim was struck out before the merits could be determined, so no remedies were awarded
Because the suit was statute barred, the court did not reach the substantive questions of unpaid salary, gratuity or insurance benefits. The entitlement issue was rendered moot by the striking out of the claim on jurisdictional limitation grounds.
Legal principles established
#- Where an employee dies and terminal dues are paid, the cause of action in respect of the amount paid accrues on the date of payment
- Limitation of actions under Section 90 of the Employment Act is a jurisdictional issue
Court orders
#- 1.The Claimants' claim filed on 29th May, 2019 is struck out for being statute barred
- 2.No orders on costs
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment Act 2007 (limitation under Section 90)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Muga & 2 others v Sinohydro Corporation Ltd (Cause 49 of 2019) [2023] KEELRC 2353 (KLR)", Case Analysis (2023). Cause No 49 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2023/2353/eng@2023-10-05
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.