[2023] KEHC 27253 (KLR)

[2023] KEHC 27253 (KLR)

The court found that the applicant, having been awarded the tenders and executed the contracts within the extended validity period as instructed by the respondent, had a legitimate expectation to receive duly executed contracts and perform under them. The respondent's failure to sign and issue the contracts, coupled...

Source-derived case information.

Citation
[2023] KEHC 27253 (KLR)
Parties
Applicant: Asphalt Works Investments Limited; Respondent: Kenya Ports Authority
Court
High Court
Court Station
High Court at Mombasa
Jurisdiction
Kenya
Case Number
Judicial Review Application E022 of 2023
Procedural Posture
Judicial Review Application / Judgment
Outcome
Application partially allowed; orders of mandamus and prohibition granted; parties to bear own costs.
Judges
OA Sewe
Legal Topics
Public Procurement, Judicial Review Remedies, Legitimate Expectation, Procedural Fairness, Contract Nullity, Exhaustion of Remedies
Source Language
en
Administrative Law Commercial and Corporate Civil Procedure Public Procurement Judicial Review Remedies Legitimate Expectation Procedural Fairness Contract Nullity +1 more

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Summary, issues, holding and outcome

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Parties

Asphalt Works Investments Limited

Applicant

Kenya Ports Authority

Respondent

Procedural Posture

Judicial Review Application / Judgment

  1. 1 Whether the High Court has jurisdiction to entertain the judicial review application in light of alternative dispute resolution mechanisms under the Public Procurement and Asset Disposal Act (PPADA).
  2. 2 Whether the respondent's failure to sign and issue the procurement contracts within the tender validity period was unlawful, unfair, or procedurally improper.
  3. 3 Whether the applicant had a legitimate expectation to be issued with duly executed contracts and to perform under the awarded tenders.

Ratio Decidendi

The court found that the applicant, having been awarded the tenders and executed the contracts within the extended validity period as instructed by the respondent, had a legitimate expectation to receive duly executed contracts and perform under them. The respondent's failure to sign and issue the contracts, coupled with the re-advertisement of similar tenders without proper notification or justification, amounted to procedural impropriety and breached the applicant's right to fair administrative action under Article 47 of the Constitution. The court held that the exhaustion doctrine did not bar the application, as the alternative remedy before the PPARB was unavailable due to the lapse...

Court Disposition

Application partially allowed; orders of mandamus and prohibition granted; parties to bear own costs.

Orders

  • An order of mandamus compelling the respondent to terminate the procurement for the supply of services in respect of tender numbers KPA/177/2022-23/CE, KPA/178/2022-23/CE, KPA/179/2022-23/CE, and KPA/181/2022-23/CE.
  • An order of prohibition prohibiting the respondent from sending out invitations to tender or continuing procurement proceedings in respect of the aforementioned tenders.