Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCDismissedNot stated in judgment· [2024] KEELRC 1234 (KLR)

Noor v Dabashil Group t/a Money Transfer Co Ltd (Cause E284 of 2023) [2024] KEELRC 1234 (KLR)

Employment and Labour Relations Court
9 May 2024
2,972 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

#

Kenya's Employment Court ruled it can hear a job dispute tied to a Somaliland employer, dismissing the company's attempt to strike out the case.

What this practically means

#

Executive summary

#
The Respondent filed a Notice of Preliminary Objection dated 14th February 2024 seeking to have the Claimant's employment suit struck out on grounds that the ELRC lacked jurisdiction. It argued that the contract of employment was for the position of Chief Finance Officer in Hargeisa, Somaliland, with the Respondent's subsidiary rather than the holding company sued; that clauses 15 and 16 of the Subcontract Agreement ousted the Court's jurisdiction; and that section 15(c) of the Civil Procedure Act required the suit to be filed where the cause of action arose - in Somalia. The Claimant countered that the employment relationship commenced in Kenya on 23rd March 2022 when he accepted the offer, that the Respondent carries on business in Kenya, and that issues of privity and the separate corporate identity of the subsidiary were questions of fact requiring a full trial. He further relied on the Mukisa Biscuits principle that a preliminary objection must be a pure point of law. The Court held that Article 162(2)(a) of the Constitution and section 12 of the Employment and Labour Relations Court Act clearly confer jurisdiction over employment disputes on the ELRC, and that the location of the employer in Hargeisa, Somaliland was a question of fact unfit for determination by way of preliminary objection. Relying on Mukisa Biscuits, the Court dismissed the preliminary objection with costs to the Claimant and directed that directions on the disposal of the suit be issued immediately. The suit was not dismissed; it proceeds to full trial.

Key legal issues

#
01

Whether the Employment and Labour Relations Court has jurisdiction over an employment dispute where the employer's duty station is in Hargeisa, Somaliland

Holding

The dispute falls within the exclusive jurisdiction of the ELRC under Article 162(2)(a) and section 12 of the ELRC Act; the location of the employer abroad is a question of fact not suitable for a preliminary objection.

Reasoning

The Court traced its jurisdiction to Article 162(2)(a) of the Constitution and section 12 of the Employment and Labour Relations Court Act, which confers exclusive original and appellate jurisdiction over disputes arising out of employment between an employer and an employee. The Claimant's suit is an employment dispute arising from an accepted offer of employment. The objection that the duty station was Hargeisa, Somaliland requires ascertainment of facts, which cannot be resolved on a preliminary objection. The objection was therefore dismissed.

p. 5
02

Whether the Preliminary Objection contravened the Mukisa Biscuits principle that preliminary objections must be pure points of law

Holding

The objection raised matters dependent on factual ascertainment and offended the Mukisa Biscuits principle.

Reasoning

The Court invoked the celebrated decision in Mukisa Biscuits Manufacturing Co. Ltd v West End Distributors Ltd, quoting the warning against improperly raising points which should be argued in the normal manner by way of preliminary objection. Because the objection required facts to be ascertained - including whether the contract was made in Kenya and whether the Respondent was privy to it - it was improperly brought as a preliminary objection.

p. 6

Legal principles established

#
  • Where facts have to be ascertained to determine jurisdictional questions, those facts are not fit for determination in a preliminary objection.

Court orders

#
  1. 1.The Preliminary Objection raised by the Respondent is dismissed
  2. 2.Costs of the Preliminary Objection to the Claimant
  3. 3.The Court to issue directions on the disposal of the suit immediately after the Ruling

Authorities

#

Legislation

  • Constitution of Kenya, 2010Article 162(2)(a)
  • Employment and Labour Relations Court Actsection 12(1)(a)
  • Civil Procedure Act, CAP 21section 15(c)

Cases cited (13)

  • Samuel Kamau Macharia & another v Kenya Commercial Bank & 2 others
    [2012] eKLR (Application No. 2 of 2011)
  • Owners of the Motor Vessel "Lillian S" v Caltex Oil (Kenya) Ltd
    [1989] KLR 1
  • Chai Trading Co. Limited v Muli Mwanzia & 2 others
    [2019] eKLR
  • Mosi v National Bank of Kenya Limited
    [2001] eKLR
  • Dede Esi Annie Amanor-Wilks v Action Aid International
    [2014] eKLR
  • Shadrack Wachira Gikonyo v Abt Associates Inc
    [2017] eKLR
  • Boniface Waweru Mbiyu v Mary Njeri & another
    [2005] eKLR
  • Adeyo Waga Samuel & 10 others v Western Steel Mills Ltd & 2 others
    [2018] eKLR
  • Ogenga v Kenya Pipeline Co Ltd
    (Cause 327 of 2016) [2022] KEELRC 14677 (KLR) (2 February 2022)
  • Dhahir Adow Ismail & another v Kenfreight (ER) Limited & another
    [2016] eKLR
  • Victor Mabachi & another v Nortun Bates Limited
    [2013] eKLR
  • DHN Food Distributors Ltd v London Borough of Tower Hamlets
    [1976] 1 WLR 852
  • Mukisa Biscuits Manufacturing Co. Ltd v West End Distributors Ltd
    [1969] EA 696
Jurisdiction invoked
Article 162(2)(a) of the Constitution of Kenya, 2010 and section 12 of the Employment and Labour Relations Court Act

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Noor v Dabashil Group t/a Money Transfer Co Ltd (Cause E284 of 2023) [2024] KEELRC 1234 (KLR)", Case Analysis (2024). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1234/eng@2024-05-09

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