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ELRCAllowedELRC Cause No. 408 of 2025· [2025] KEELRC 2525 (KLR)

Okullo v Standard Group PLC (Cause E408 of 2025) [2025] KEELRC 2525 (KLR)

Employment and Labour Relations Court
25 September 2025
1,468 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~6 min to read original · ~4 min brief

The bottom line

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The Employment Court ordered Standard Group to pay a former employee over Kshs 3.1 million because the company had already admitted owing her those dues.

What this practically means

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Executive summary

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The Claimant, a former employee of Standard Group PLC, sued for unfair termination and breach of contract and moved the Court under Order 13 Rule 2 of the Civil Procedure Rules for partial judgment on admission in the sum of Kshs 3,116,421.92, being tabulated terminal dues (salary arrears of Kshs 3,006,840, leave of Kshs 180,436 and commissions of Kshs 327,722) which the Respondent had communicated to her after her dismissal on 8 January 2025. The Respondent filed a Notice of Preliminary Objection contending that the Court lacked jurisdiction under the sub judice rule in section 6 of the Civil Procedure Act because the Claimant had earlier instituted insolvency proceedings in the Milimani High Court Insolvency Division (Insolvency Cause No. E009 of 2025), and that the Motion was duplicative, forum shopping and an abuse of court process, relying on Muchanga Investments Ltd v Safaris Unlimited (Africa) Ltd. The Claimant countered that the objection raised contested facts and that no insolvency pleadings had been placed before the Court. The Court upheld the Claimant's position: the objection required examination of contested facts and the Respondent had produced no proceedings from the insolvency cause to support it. Finding the Respondent's Schedule of dues clear and unambiguous, and un-denied as emanating from the Respondent, and noting the Respondent was not in receivership or liquidation, the Court allowed the Motion, entered partial judgment on admission for Kshs 3,116,421.92 with interest at Court rates from the date of judgment until payment in full, and awarded the Claimant costs of the Motion.

Key legal issues

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01

Whether the preliminary objection on sub judice and abuse of process could succeed

Holding

It failed because it required determination of contested facts and the Respondent placed no pleadings or proceedings from the insolvency cause before the Court.

Reasoning

The Court found that the objection called for an examination of contested facts, such as whether parallel proceedings existed, which is outside the proper scope of a preliminary objection. Further, the Respondent did not place before the Court any pleadings or proceedings from the insolvency matter, leaving the Court unable to assess the sub judice and abuse of process objections. The Claimant had also argued no documents were placed before the Court.

p. 4
02

Whether there was an admission warranting partial judgment

Holding

Yes. The Respondent's Schedule of Lump Sum Dues and Gratuity totalling Kshs 3,116,421.92 was a clear and unambiguous admission, and the Respondent did not deny the Schedule emanated from itself.

Reasoning

The dismissal letter of 8 January 2025 promised payment of earned salary and accrued leave upon clearance. The Claimant produced a schedule of dues (salary Kshs 3,006,840; leave Kshs 180,436; commissions Kshs 327,722) which the Respondent did not deny issuing. The Court held that judgment on admission requires a clear, unambiguous and express admission, and the Schedule met that standard.

p. 4
03

Whether the pendency of insolvency proceedings ousted this Court's jurisdiction

Holding

No. The Respondent was not in receivership or liquidation, and the claim arose directly from an employment relationship within this Court's jurisdiction.

Reasoning

The Court noted that a court judgment or decree is one of the debts that can be placed before a Liquidator or Receiver, but the Respondent was not under receivership or liquidation at the time. The action arose directly from an employment relationship, and the Court therefore retained jurisdiction over the Cause and the Motion.

p. 4

Legal principles established

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  • Before entering judgment on admission, the court must satisfy itself that there is a clear, unambiguous and express admission either in the pleadings or prior correspondence.
  • A preliminary objection requiring examination of contested facts is not a proper preliminary objection.

Court orders

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  1. 1.A partial judgment on admission entered in favour of the Claimant against the Respondent in the sum of Kshs 3,116,421.92
  2. 2.The award to attract interest at Court rates from the date of judgment until payment in full
  3. 3.The Claimant awarded costs of the Motion
Jurisdiction invoked
Jurisdiction as an employment and labour relations court; the Court held the cause 'arises directly from an employment relationship and thus within this Court's jurisdiction'.

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, "Okullo v Standard Group PLC (Cause E408 of 2025) [2025] KEELRC 2525 (KLR)", Case Analysis (2025). ELRC Cause No. 408 of 2025. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2525/eng@2025-09-25

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