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ELRCPartially AllowedNotice of Motion dated 15th May 2025· [2025] KEELRC 2503 (KLR)

Robson Harris Advocates LLP v Social Health Authority as the legal successor of the National Health Insurance Fund (NHIF) (Miscellaneous Application E132 of 2025) [2025] KEELRC 2503 (KLR)

High Court of Kenya
19 September 2025
3,152 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

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What this practically means

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Executive summary

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The Applicant advocate, Robson Harris Advocates LLP, moved the court by Notice of Motion dated 15th May 2025 seeking judgment against its former client for Kshs 20,643,400.00 being the outstanding 50% balance of legal fees, VAT and disbursements under Fee Note No. 3299, plus interest. The fees arose from instructions to act in ELRC PET No. E066 of 2022 (Federation of Kenya Employers v NHIF Management Board & 4 Others), under a General Service Level Agreement dated 20th April 2022. The Respondent opposed, contending the dispute fell under the Advocates Remuneration Order and belonged before the taxing master, and that the fee note was incompetent and no specific sum was agreed. The court framed three issues: existence of a retainer agreement, jurisdiction, and merit. It found that although Clause 19.1 referenced the Remuneration Order, subsequent correspondence fixed fees at Kshs 35,480,000.00 exclusive of VAT, and the Respondent's withholding certificate and part payments acknowledged the agreed sum, constituting a valid Section 45(1) retainer agreement. Consequently, under Section 45(6), the fees were not subject to taxation and the taxing master could not review them, giving the court jurisdiction. The matter was concluded by withdrawal of the Petition on 13th March 2024, triggering the final 50% instalment. Judgment was entered for the Applicant for Kshs 20,643,400.00 with interest at court rates from the date of filing the application until payment in full, with no orders as to costs.

Key legal issues

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01

Existence of a retainer agreement fixing fees

Holding

The parties entered into a valid retainer agreement fixing Kshs 35,480,000.00 as remuneration, evidenced by the Service Level Agreement, correspondence of June 2022, and the Respondent's withholding certificate acknowledging the gross sum.

Reasoning

The Respondent did not deny the Agreement. Clause 19.1 referenced the Advocates Remuneration Order but subsequent correspondence between the parties fixed fees at Kshs 35,480,000.00 exclusive of VAT. The Respondent's own Withholding Certificate dated 26th July 2022 identified the gross transaction as Kshs 35,480,000.00, acknowledging the agreed fees, and it made part payments totalling 50% under the Agreement.

p. 5
02

Jurisdiction of the court vis-à-vis the taxing master

Holding

Because a valid Section 45 retainer agreement exists, the fees are not subject to taxation; the taxing master cannot review or adjust agreed fees, so the court has jurisdiction.

Reasoning

Section 45(6) of the Advocates Act expressly ousts taxation for fees fixed by agreement under Section 45(1). The Respondent's reliance on Rule 13 of the Advocates Remuneration Order and the taxing master's jurisdiction was therefore misplaced, since the parties had fixed the remuneration by agreement.

p. 6
03

Merits - entitlement to the balance of fees

Holding

The matter was concluded upon withdrawal of the Petition on 13th March 2024, triggering the final 50% instalment of Kshs 20,643,400.00, which remained unpaid.

Reasoning

Under Schedule 1 of the Agreement, 50% of the fees was payable upon conclusion of the case. The Petition was concluded by withdrawal with the Respondent's acquiescence on 13th March 2024. The Applicant raised the final fee note on 28th March 2024 and sent reminders; no evidence showed the Respondent settled the outstanding fees.

p. 6

Legal principles established

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  • Where an advocate and client make a valid agreement fixing remuneration under Section 45(1) of the Advocates Act, such costs are not subject to taxation nor to section 48, and the taxing master is precluded from reviewing or adjusting the fees agreed by the parties.

Court orders

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  1. 1.Judgment entered in favour of the Applicant against the Respondent for Kshs 20,643,400.00
  2. 2.Interest on the said sum at court rates from the date of filing the Application until payment in full
  3. 3.No orders as to costs

Authorities

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Legislation

  • Advocates ActSection 45(1)
  • Advocates ActSection 45(6)
  • Advocates ActSections 44, 46, 48
  • Advocates Remuneration OrderRule 13
  • Constitution of KenyaArticle 159(2)(d)
  • Constitution of KenyaArticle 48
  • Civil Procedure ActSection 1B
  • Civil Procedure RulesOrder 21 Rule 1
  • Social Health Insurance Act

Cases cited (2)

  • Waltons Stores (Interstate) Ltd v Maher
    (1988)
  • Charles M. Karweru t/a Karweru & Co. Advocates v Maisha Flour Mills Ltd
    (2019) eKLR
Jurisdiction invoked
Sections 45(1) and 45(6) of the Advocates Act; inherent jurisdiction over advocate-client fee disputes

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, "Robson Harris Advocates LLP v Social Health Authority as the legal successor of the National Health Insurance Fund (NHIF) (Miscellaneous Application E132 of 2025) [2025] KEELRC 2503 (KLR)", Case Analysis (2025). Notice of Motion dated 15th May 2025. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2503/eng@2025-09-19

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