Securkenya Group Limited v Wesiko (Employment and Labour Relations Appeal E021 of 2023) [2025] KEELRC 2506 (KLR)
The bottom line
#Once an appeal is decided, money held as security for stay must be released to the winner, even if the loser plans a further appeal.
What this practically means
#Executive summary
#Key legal issues
#Whether security deposited as a condition for stay pending appeal should be released after the appeal is determined
Yes. Once the appeal has been determined, the security has served its purpose and there is no basis for continued retention in escrow, notwithstanding a notice of appeal.
The court held it was functus officio having delivered judgment on appeal. The escrow deposit was security for stay of execution pending appeal only; the appeal has been determined and the notice of appeal has no effect on the lower court's stay orders. The court adopted the reasoning in James Kimani Maina v Athi Water Services Board that extending security to cover a further appeal would hold the successful party at ransom.
Effect of a notice of appeal on the lower court's stay and security orders
A notice of appeal has no effect on the orders relating to stay of execution made by the lower court, and cannot justify continued retention of the security.
The respondent filed a notice of appeal after the partial success in the appeal and intended to file a bill of taxation, contending release would be premature. The court rejected this, holding the notice of appeal does not affect the stay-related orders and that the superior court should be the one to call for security if it finds need.
Legal principles established
#- Security deposited as a condition of stay of execution pending appeal serves its purpose once the appeal is determined and must be released; a notice of appeal does not extend its coverage
Court orders
#- 1.That there be an order directing Co-operative Bank of Kenya Limited, Parliament Road, to release the sum of Kshs. 839,280.00 from Account No. 011012386xxxxxx to the Appellant/Applicant SecurKenya Group Limited through its Advocates Mutanda Law Advocates
- 2.That the Deputy Registrar is directed to sign release of funds forms on behalf of M'Njau & Mageto Advocates for the sum of Kshs. 839,280 held in Co-operative Bank of Kenya Ltd, account number 011012386xxxxxx, account name Mutanda Law Advocates And M'njau & Mageto Advocates, Parliament Road Branch
- Jurisdiction invoked
- Section 1A, 1B and 3 of the Civil Procedure Act, Order 51 Rule 1 of the Civil Procedure Rules, 2010 and inherent powers of the court
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Securkenya Group Limited v Wesiko (Employment and Labour Relations Appeal E021 of 2023) [2025] KEELRC 2506 (KLR)", Case Analysis (2025). Notice of Motion dated 7th May 2025 in the appeal (judgment on appeal delivered 28th March 2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2506/eng@2025-09-18
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.