Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
Supreme CourtAllowedPetition (Application) E011 of 2023

Kenya Airports Authority v Otieno, Ragot & Company Advocates

Supreme Court of Kenya
16 June 2023
1,498 words in judgment
View original judgmentRead on Kenya LawDownload the judgment (PDF) Watch case
AI-assisted case brief
·~6 min to read original · ~4 min brief

The bottom line

#

Supreme Court halts Ksh196M payment pending appeal on advocate fees.

What this practically means

#

Kenya Airports Authority asked the Supreme Court to pause a Ksh196 million payment to lawyers while it appeals a Court of Appeal decision. The Supreme Court agreed, ruling that the appeal raises serious legal questions about how lawyers' fees are calculated. If forced to pay now, the appeal would be pointless. The court also considered that the case involves a public body and affects access to justice. The stay means no enforcement action can happen until the appeal is heard.

Executive summary

#
This was an application by Kenya Airports Authority (the appellant) for a stay of execution of the decree from the Court of Appeal's judgment of May 19, 2023 in Civil Appeal No 39 of 2017, and a stay of enforcement proceedings in the High Court, pending the hearing and determination of its appeal to the Supreme Court. The dispute arose from a taxation of advocate-client costs where the Court of Appeal increased the fees to Kshs 196,044,750.50. The Supreme Court applied the three-part test from Gatirau Peter Munya v Dickson Mwenda & 2 others: the appeal must be arguable and not frivolous; the appeal must be rendered nugatory without a stay; and the stay must be in the public interest. The court found that the appeal, which involves interpretation of the Advocates Remuneration Order and its impact on access to justice, is arguable. The impending execution of the decree and the colossal amount involved risk rendering the appeal nugatory. The public interest is engaged because the applicant is a public entity and the appeal raises issues of general public importance. The court allowed the application, granting a stay of execution and of the enforcement proceedings pending the appeal, with costs to abide the outcome of the appeal.

Questions the Court framed

#

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

  1. 1.Whether the appeal is arguable and not frivolous
  2. 2.Whether the appeal will be rendered nugatory if stay is not granted
  3. 3.Whether it is in the public interest to grant the stay

Key legal issues

#
01

What is the test for granting a stay of execution or proceedings pending appeal in the Supreme Court?

Holding

The applicant must demonstrate that the appeal is arguable and not frivolous, that the appeal will be rendered nugatory if stay is not granted, and that it is in the public interest to grant the stay.

Reasoning

The court adopted the three-pronged test established in Gatirau Peter Munya v Dickson Mwenda & 2 others. It found that the appeal, which involves interpretation of the Advocates Remuneration Order and its impact on access to justice, is arguable. The impending execution of the decree and the colossal amount involved risk rendering the appeal nugatory. The public interest is engaged because the applicant is a public entity and the appeal raises issues of general public importance.

Legal principles established

#
  • To get a stay, you must show the appeal is arguable, not frivolous.
  • You must prove the appeal will be useless if the stay is not granted.
  • The court considers public interest, especially when a public entity is involved.
  • A stay can cover both execution of the judgment and related court proceedings.
  • Costs of the stay application are decided based on who wins the main appeal.

Court orders

#
  1. 1.The notice of motion dated April 19, 2023 and filed on April 25, 2023 by the applicant be and is hereby allowed.
  2. 2.That pending the hearing and determination of the petition of appeal against the judgment delivered on May 19, 2021, this honourable court be pleased to order a stay of execution of the decree/order resulting from the judgment delivered by the Court of Appeal on May 19, 2023 in Civil Appeal No 39 of 2017 and as a consequence to stay the hearing of the enforcement proceedings pending before the High Court in Kisumu HCCC Misc Civil Cause 95 of 2011 and any other consequential orders arising therefrom.
  3. 3.The costs of this application to abide the outcome of the appeal.

The bench

#

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

Martha Karambu Koome
M. K. KoomeCJ
Currently serving
majority

Wrote the judgment

Philomena Mbete Mwilu
P. M. MwiluDCJ
Currently serving
majority
majority
Smokin Charles Wanjala
S. C. WanjalaSCJ
Currently serving
majority
Njoki Susanna Ndungu
Njoki NdunguSCJ
Currently serving
majority
On appeal from
Court of Appeal of Kenya
Civil Appeal No 39 of 2017
Jurisdiction invoked
Section 23A of the Supreme Court Act

Quotable passages

#

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

an applicant must satisfy the court that the appeal is arguable and is not frivolous; that unless the orders of stay are granted, the appeal will be rendered nugatory; and thirdly, it is in the public interest that the order of stay be granted.
p. 4 Test for stay of execution in the Supreme Court
The costs of this application to abide the outcome of the appeal.
p. 5 Costs order

Key timeline

#
2011
Dispute over advocate-client costs begins in Kisumu High Court.
2017-05-19
Court of Appeal delivers judgment in Civil Appeal No 39 of 2017, increasing fees to Kshs 196,044,750.50.
2023-04-19
Kenya Airports Authority files notice of motion for stay in Supreme Court.
2023-05-19
Court of Appeal judgment formally delivered (decree issued).
2023-04-25
Stay application filed in Supreme Court.
2023
Supreme Court grants stay of execution and enforcement proceedings pending appeal.

Practical implications

#
For lawyers

Stay applications: three-part test

When seeking a stay pending appeal in the Supreme Court, you must satisfy all three prongs: arguable appeal, nugatory risk, and public interest. Prepare evidence on each. For public bodies, highlight the broader impact on services or public funds. Cite Gatirau Peter Munya v Dickson Mwenda & 2 others as the binding authority.

For businesses

Large judgments can be paused

If you face a huge court award and plan to appeal, you can ask the Supreme Court to stop enforcement while the appeal is pending. You must show the appeal has merit and that paying now would make your appeal pointless. This is especially strong if you are a public entity or the case affects many people.

For individuals

Your fee dispute may be delayed

If you are owed money from a court case, the other side can delay payment by appealing and getting a stay. You cannot enforce the judgment until the appeal is decided. The court balances your right to payment against the need for a fair appeal. Be prepared for possible delays if the appeal raises important legal questions.

Frequently asked questions

#
What is a stay of execution in Kenya?+

A stay of execution is a court order that temporarily stops you from enforcing a judgment, like collecting money or seizing property, while the losing party appeals. In Kenya, the Supreme Court can grant a stay if the appeal is arguable, the appeal would be useless without a stay, and it is in the public interest.

How do I apply for a stay of execution in the Supreme Court of Kenya?+

You file a notice of motion with supporting affidavit showing your appeal is arguable (not frivolous), that without a stay the appeal will be rendered nugatory, and that a stay is in the public interest. The court will decide based on these three factors, as established in the Gatirau Peter Munya case.

Can a public entity like Kenya Airports Authority delay paying a court judgment in Kenya?+

Yes, if it appeals to the Supreme Court and gets a stay. The court considers public interest, such as the impact on public services or funds. In this case, KAA got a stay because its appeal raises important legal questions about advocate fees and access to justice, and paying Ksh196M now would make the appeal pointless.

What happens to enforcement proceedings when a stay is granted in Kenya?+

The stay order stops all enforcement actions, including pending hearings in lower courts. In this case, the Supreme Court stayed both the execution of the decree and the enforcement proceedings in Kisumu High Court. You cannot take any steps to collect the money until the appeal is decided.

Cite this brief

#

Cite this brief

Caselaw, "Kenya Airports Authority v Otieno, Ragot & Company Advocates", Case Analysis (2023). Petition (Application) E011 of 2023. Source: https://new.kenyalaw.orghttps://new.kenyalaw.org/akn/ke/judgment/kesc/2023/56/eng@2023-06-16

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