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High CourtDismissed

Plaintiff's Company v Defendant (company directorship and rent accounting suit - Defendant's Notice of Motion dated 30th June 2014)

High Court of Kenya
3 March 2015
1,162 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Courts will not allow a party to stall a case indefinitely; adherence to court timelines and rules is mandatory.

What this practically means

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Executive summary

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The Defendant in a company dispute brought a Notice of Motion dated 30th June 2014 seeking full compliance with Order 11 pre-trial directions, a de novo hearing, dispensation of pending interlocutory applications (the Plaintiff's motions of 12th August 2011 and 26th September 2011 and the Defendant's motion of 17th May 2013), and recall of the Plaintiff's witnesses for cross-examination. The underlying suit, brought by the Plaintiff's Company, alleges that the Defendant, a Director, failed to account for rental income of the Plaintiff's property MN/111/43483; the Plaintiff seeks an injunction restraining him from acting as Director, a declaration that he is no longer a Director, and an account of rent collected between 2008 and 2011. The Defendant, who claims to be the founder and majority shareholder who never resigned, argued the suit began prematurely, that pending applications required a fresh trial, that he was denied cross-examination, and that he should be allowed to call witnesses. The court rejected each ground: pre-trial directions had been issued on 7th September 2012 and the Defendant himself failed to comply within 30 days; no prejudice from pending applications was shown; the Defendant's Counsel was served with hearing notices (one received under protest without evidence of conflicting commitments) and the Defendant personally cross-examined PW2 on 4th June 2014; and the issue of calling witnesses had already been decided by the court's ruling of 4th June 2014, which was never reviewed or appealed, making it res judicata. The application was dismissed with costs on 3rd March 2015.

Key legal issues

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01

Whether non-compliance with Order 11 pre-trial directions rendered the trial premature

Holding

Rejected - the court had given pre-trial directions on 7th September 2012 and it was the Defendant who failed to comply within the ordered 30 days

Reasoning

The court record showed directions were issued in the Defendant's absence after service, fixing hearing for 29th November 2012 and requiring Defendant's pre-trial compliance within 30 days. Defence documents were only filed on 20th May 2013, so the Defendant could not claim the suit began prematurely.

p. 2
02

Whether pending interlocutory applications require a de novo trial

Holding

Rejected - no prejudice demonstrated; interlocutory prayers fall for determination at judgment

Reasoning

The Defendant did not identify any prejudice from the trial continuing with pending applications. The court held parties should be commended for proceeding to trial in line with Sections 1A and 1B of the Civil Procedure Act, and any interlocutory prayer would be determined once judgment is delivered.

p. 2
03

Whether the Defendant was denied the right to cross-examine Plaintiff's witnesses

Holding

Rejected - Counsel was served with hearing notices, received one under protest without evidence of conflicting court commitments, and the Defendant personally cross-examined PW2

Reasoning

On 21st November 2013 Counsel received the hearing notice under protest citing other fixed matters, but attached no evidence that those cases existed or that he attended them. On 4th June 2014 the Defendant attended in person, cross-examined PW2 and gave his defence. A party cannot dictate the pace of the trial.

p. 3
04

Whether the Defendant should be allowed to call witnesses without recorded statements

Holding

Rejected - the court's ruling of 4th June 2014 refusing an adjournment to call such witnesses was final and unchallenged, making the issue res judicata

Reasoning

The Defendant had already testified fully and been cross-examined. His application to call witnesses without recorded statements was refused by the court's ruling that day. He neither sought review nor appealed, so the matter was res judicata under Section 7 of Cap 21.

p. 3

Legal principles established

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  • A party cannot insist that a case proceed only at his convenience; that is contrary to the overriding objective of the Civil Procedure Act
  • A party aggrieved by an interlocutory ruling must seek review or appeal; failing that, the issue is res judicata

Court orders

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  1. 1.The Notice of Motion dated 30th June 2014 is dismissed with costs
Jurisdiction invoked
Original civil jurisdiction of the High Court under the Civil Procedure Act (Cap 21)

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, "Plaintiff's Company v Defendant (company directorship and rent accounting suit - Defendant's Notice of Motion dated 30th June 2014)", Case Analysis (2015). . Source: 

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