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ELRCDismissedMemorandum of Appeal dated 18th April 2024 (number not stated in judgment)

Agunja v Master Fabricators Limited (Appeal E127 of 2024) [2025] KEELRC 2230 (KLR)

Employment and Labour Relations Court
23 July 2025
586 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~2 min to read original · ~4 min brief

The bottom line

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An employee who signs a mutual separation agreement must prove duress to escape it; medical evidence justifying the separation defeated this appeal.

What this practically means

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Executive summary

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This is a first appeal to the Employment and Labour Relations Court against the judgment of the Chief Magistrate's Court delivered on 22nd March 2024, which dismissed the Appellant's claim against the Respondent for unfair termination, underpayment of wages and unpaid terminal benefits. The Appellant, employed as a Panel Beater from 20th August 2014 until 20th April 2018, contended that his termination on medical grounds (asthma allegedly exacerbated by workplace fumes) breached Section 41 of the Employment Act, 2007, and that he signed separation minutes under duress. He also challenged the trial court's application of Section 90 on limitation regarding underpayment and CBA dues. The Respondent maintained the separation was mutual, relying on minutes of a meeting of 20th April 2018 attended and signed by the Appellant with a shop steward, and on payment of terminal dues including service pay and April 2018 salary. The court framed a single issue: whether the termination was mutual and fair. It found the medical evidence overwhelming that the appellant's asthmatic condition was incompatible with the fumy work environment, justifying the mutual separation, and that no duress or coercion was established. The court noted the Respondent had pre-emptively sought medical retirement approval, but did not treat this as fatal. The appeal was dismissed with each party bearing their own costs, effectively affirming the trial court's judgment. Counsel were Mr Osiemo for the Appellant and Mr Mogire for the Respondent.

Questions the Court framed

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The issues the Court set itself to decide, in its own words.

  1. 1.Whether the termination of the Appellant's employment was mutual and fair

Key legal issues

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01

Whether the termination of the Appellant's employment on medical grounds was mutual and fair

Holding

The court held that the medical evidence justified the mutual separation and that duress was not proved, so the trial court's dismissal of the claim stands

Reasoning

The Appellant contended that Section 41 of the Employment Act mandated a hearing before termination for incapacity and that he signed minutes under duress. The Respondent produced minutes of a meeting of 20th April 2018 signed by the Appellant and a shop steward agreeing to retire on medical grounds. Medical testimony showed the workplace fumes were incompatible with his asthmatic condition, and prior approval had been sought for medical retirement. The court found no duress or coercion established.

p. 2

Legal principles established

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  • A mutual separation requires clear terms and voluntary consent

Court orders

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  1. 1.Appeal dismissed
  2. 2.Each party to bear their own costs of the appeal

The bench

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One judgment of the whole court — no separate or dissenting opinions.

Wrote the judgment

On appeal from
Chief Magistrate's Court
Jurisdiction invoked
First appellate jurisdiction over the Chief Magistrate's Court (statutory basis not expressly stated in the judgment)

Relief refused

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The appeal against the dismissal of claims for unfair termination, underpayment of wages and unpaid terminal benefits

The Appellant did not establish duress or coercion in the separation agreement, and the medical evidence justified the mutual separation

p. 2

Costs

Each party to bear their own costs of the appeal

Quotable passages

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Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

I am therefore inclined to dismiss the appeal with orders each party bears their costs of the same.
p. 2Final orders - dismissal of appeal and costs
However and overall, there is overwhelming medical testimony and evidence indicating that the appellant's medical situation was not compatible with working in an environment like the Respondent.
p. 2Justification for mutual separation on medical grounds
The Appellant has not established a case of duress or coercion in the separation agreement.
p. 2Burden of proof of duress in a mutual separation agreement

Issues in the judgment

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minor

The judgment states the appeal was 'inclined to be dismissed with orders each party bears their costs' but the reasoning addresses only the termination claim and does not expressly resolve the pleaded underpayment, CBA dues, notice pay and service pay issues raised in the appeal

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Agunja v Master Fabricators Limited (Appeal E127 of 2024) [2025] KEELRC 2230 (KLR)", Case Analysis (2025). Memorandum of Appeal dated 18th April 2024 (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2230/eng@2025-07-23

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