Munguti v General Plastics Limited (DVR Rao) (Administrator) (Cause E067 of 2023) [2025] KEELRC 215 (KLR)
The bottom line
#Kenya's Employment Court confirmed it can hear employment claims against companies under administration, dismissing an objection that only insolvency courts had jurisdiction.
What this practically means
#Executive summary
#Key legal issues
#Jurisdiction of the ELRC over a claim against a company under administration
The court has jurisdiction to hear and determine the claim because the dispute is an employment (master-servant) dispute, not an insolvency or commercial dispute
The court accepted the Claimant's submission that the underlying relationship is employer-employee, which falls within the ELRC's jurisdiction. The mere fact that the Respondent is a company under administration does not transform an employment dispute into an insolvency dispute, nor does it bar the suit. Leave to institute the proceedings had already been granted in Misc Application E143 of 2022.
Legal principles established
#- An employer-employee dispute is not converted into an insolvency or commercial dispute merely because the employer is a company under administration
Court orders
#- 1.The preliminary objection dated 20th February, 2024 is dismissed
- 2.Costs of the preliminary objection to the Claimant/Respondent
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over employer-employee disputes (ELRCA); Insolvency Act No. 18 of 2015 invoked by objector
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Munguti v General Plastics Limited (DVR Rao) (Administrator) (Cause E067 of 2023) [2025] KEELRC 215 (KLR)", Case Analysis (2025). Not stated in judgment (references Misc Application E143 of 2022). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/215/eng@2025-01-29
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.