Mbunza v Sunbird Business Services (K) Ltd (Employment and Labour Relations Cause 277 of 2019) [2025] KEELRC 150 (KLR)
The bottom line
#A Kenyan court ruled that lawyers' fees after judgment must be calculated from the judgment itself, not the amounts originally claimed.
What this practically means
#Executive summary
#Key legal issues
#Whether the Taxing Master erred in principle by using the pleaded sum of Ksh. 10,330,000 as the value of the subject matter after judgment
Yes. Since judgment had been delivered dismissing the claim and the award under section 49 of the Employment Act was discretionary, the pleaded figure did not represent the subject matter value; the Taxing Master should have exercised her own discretion.
The court relied on Peter Muthoka vs Ochieng (Court of Appeal), approved by the Supreme Court in Kenya Airports Authority v Otieno Ragot, which hold that after judgment recourse is not had to the pleadings because the judgment conclusively determines the value of the claim. The trial court's judgment here dismissed the claim and awarded nothing, so no value could be ascertained from it. The D. Njogu decision confirms that a pleaded figure is not conclusive where the trial court retains discretion. The Taxing Master therefore committed an error of principle warranting reference to a fresh taxation.
Legal principles established
#- Where there is a final judgment in a cause, the Taxing Master should determine the value of the subject matter by reference to the judgment as opposed to the pleadings; where the judgment does not set out the value, the value of the subject matter cannot be ascertained from the pleadings.
- A pleaded amount is not of itself sufficient to fix the value of the subject matter where the trial court has discretion to determine the award.
Court orders
#- 1.Set aside the taxation order
- 2.Direct that the file be placed before another Taxing Master of the court for fresh taxation
- 3.Each party to bear own costs for the reference
- Jurisdiction invoked
- Reference against a Taxing Master's ruling under the Employment and Labour Relations Court procedure (taxation of costs); no specific constitutional or statutory provision cited
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Mbunza v Sunbird Business Services (K) Ltd (Employment and Labour Relations Cause 277 of 2019) [2025] KEELRC 150 (KLR)", Case Analysis (2025). Not stated in the judgment (ELRC Reference from Taxation Ruling of 24th September 2024). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/150/eng@2025-01-30
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.