[2019] KEHC 9416 (KLR)
The court found that the applicant had provided sufficient justification for the substitution of its name with Liberty Life Assurance Kenya Limited and the amendment of the plaint, as the original plaintiff had ceased to have any legal rights in the matter following a corporate restructuring and transfer of assets...
Source-derived case information.
- Citation
- [2019] KEHC 9416 (KLR)
- Parties
- Applicant: American Life Insurance Company (K) Ltd; Respondent: Egerton University
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Commercial Courts)
- Jurisdiction
- Kenya
- Case Number
- Civil Suit 217 of 2003
- Procedural Posture
- Civil Suit / Ruling on Chamber Summons Application for Substitution and Amendment of Plaint
- Outcome
- application allowed
- Judges
- GL Nzioka
- Legal Topics
- Amendment of Pleadings, Party Substitution, Corporate Restructuring, Insurance Contracts
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
American Life Insurance Company (K) Ltd
Applicant
Egerton University
Respondent
Procedural Posture
Civil Suit / Ruling on Chamber Summons Application for Substitution and Amendment of Plaint
Legal Issues
- 1 Whether the applicant should be granted leave to substitute its name with Liberty Life Assurance Kenya Limited.
- 2 Whether the applicant should be allowed to amend its plaint to reflect the substitution and corporate restructuring.
- 3 Whether the delay in filing the application prejudices the respondent.
Ratio Decidendi
The court found that the applicant had provided sufficient justification for the substitution of its name with Liberty Life Assurance Kenya Limited and the amendment of the plaint, as the original plaintiff had ceased to have any legal rights in the matter following a corporate restructuring and transfer of assets and liabilities. The delay in bringing the application was explained by the loss of the court file, and there was no evidence of prejudice to the respondent, who did not oppose the application. In the interest of justice and for the expeditious disposal of the matter, the court exercised its discretion to allow the application for substitution and amendment, with costs in the...
Court Disposition
application allowed
Orders
- Leave is granted to substitute the plaintiff's name with Liberty Life Assurance Kenya Limited.
- The applicant is allowed to amend its plaint dated 16th April 2003 as per the draft annexed to the application.
Full Case Text
Judgment text and source record
24 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT NAIROBI
MILIMANI COMMERCIAL & TAX DIVISION
CIVIL SUIT NO. 217 OF 2003
AMERICAN LIFE INSURANCE COMPANY (K) LTD..........PLAINTIFF/APPLICANT
VERSUS
EGERTON UNIVERSITY...................................................DEFENDANT/RESPONDENT
RULING
1. This ruling is a subject of chamber summons application dated 28th June 2018, filed by the Plaintiff (herein “the Applicant”) under the provisions of Sections 1A, 1B and 3A of the Civil Procedure Act, Cap 21 Laws of Kenya, Order 1 Rules 10 and 14 of the Civil Procedure Rules, 2010 and all other enabling provisions. It is supported by the grounds on the face of it and an affidavit sworn by Jackson Mbuthia Kiboi, the Deputy Legal Manager in the Risk and Compliance Department.
2. The Applicant is seeking for orders that it be granted leave to substitute its name with name of Liberty Life Assurance Kenya Limited and that it be allowed to amend its Plaint dated 16th April 2003 and filed in Court on 23rd April 2003 in the terms of the amended draft Plaint annexed to the application.
3. Thereafter, the amended draft Plaint be then deemed to have duly been filed and served upon payment of the requisite Court filing fees.
4. The Applicant avers that, the reason why it seeks to amend its name, is because, in the year 2005, it underwent a corporate restructuring whereby it sold its life insurance business to CFC Life Assurance Limited that took over all its assets and liabilities in life division. As a result thereof, it effectively ceased providing any Life Insurance services and/or having any legal rights in the suit herein.
5. That subsequently, in the month of October 2014, CFC Life Assurance Limited rebranded its name to Liberty Life Assurance Kenya Limited which now has the legal right to claim against the Defendant for the moneys payable under the three insurance policies which are the subject matter of this suit.
6. The Applicant averred that the delay in filing this application was due to non-availability of the Court file which allegedly went missing in 2014. That even then, the Defendant will not suffer any prejudice by the substitution and subsequent amendment.
7. The application was not opposed in that, although there is an affidavit of service from the High Court dated 8th October 2018 sworn by Moses Fredrick Onyango to the effect that the Respondents were served with the subject application, they did not file any documents in respond thereto.
8. I have considered the application and I find that, for the expeditious disposal of the matter, and in the interest of justice, I shall allow the application and hereby do, with orders thereof that costs be in the cause.
9. Those then are the orders of the Court.
Dated, delivered and signed in an open Court this 26th day of February 2019.
G.L. NZIOKA
JUDGE
In the presence of;
Ms. Mutuku for Mr. Nyachoti for the Applicant
No appearance for the Respondent
Dennis …………..Court Assistant