[2019] KEELRC 2415 (KLR)
The court found that the objector had sufficiently demonstrated, through its certificate of incorporation, that it was a separate and distinct entity from the judgment debtor. The decree-holder failed to establish a proper connection between the judgment debtor and the objector that would justify treating them as...
Source-derived case information.
- Citation
- [2019] KEELRC 2415 (KLR)
- Parties
- Claimant: Edward Owiti; Respondent: Salama Hotel
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nairobi
- Jurisdiction
- Kenya
- Case Number
- Cause 293 of 2015
- Procedural Posture
- Employment Cause / Ruling on Objector's Application to Lift Attachment
- Outcome
- application allowed
- Judges
- NJ Abuodha, DI Wasike
- Legal Topics
- Objector Proceedings, Attachment of Property, Distinct Legal Entities
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
Edward Owiti
Claimant
Salama Hotel
Respondent
Procedural Posture
Employment Cause / Ruling on Objector's Application to Lift Attachment
Legal Issues
- 1 Whether the objector is a distinct legal entity from the judgment debtor and thus entitled to the lifting of attachment of its property.
- 2 Whether the connection between the judgment debtor and the objector has been sufficiently established to justify the attachment.
Ratio Decidendi
The court found that the objector had sufficiently demonstrated, through its certificate of incorporation, that it was a separate and distinct entity from the judgment debtor. The decree-holder failed to establish a proper connection between the judgment debtor and the objector that would justify treating them as one and the same for purposes of attachment. Consequently, the court was persuaded that the attachment should be lifted as the objector's property was not liable for the judgment debt. The court also directed that the firm of Mungai Kalande cease to act for any objector in the matter to avoid a conflict of interest, as they were previously advocates for the judgment debtor.
Court Disposition
application allowed
Orders
- The attachment of the objector's goods and property is lifted.
- No order as to costs.
Full Case Text
Judgment text and source record
24 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT AND LABOUR RELATIONS COURT OF KENYA
AT NAIROBI
CAUSE NUMBER 293 OF 2015
EDWARD OWITI.....................................................CLAIMANT
VERSUS
SALAMA HOTEL.................................................RESPONDENT
RULING
1. The objector herein through an application dated 9th August, 2018 sought the lifting of the attachment of goods and or property pursuant to the decree of this court. The objector states that it is not the judgment debtor although he is carrying out business in the same premises where the judgment debtor previously carried out business. In support of the application, the objector exhibited certificate of incorporation (annexture DM1) which clearly showed it was an entity distinct and separate from the judgment debtor.
2. The decree-holder has however contended that the judgment debtor and the objector were one and the same because they were in the premises as the judgment debtor and carrying out the same type of business. However the respondent in this matter is Salama Hotel Limited while the certificate registration annexed to the application dated 23rd February, 2017 which the decree holder referred to was in respect of New Salama Annex. The connection between the two entities has not been properly established before the court to enable them to be deemed as one and the same.
3. The court is therefore persuaded that the objector has reasonably made out a case for the lifting of the attachment. The application dated 9th Aguust, 2018 is therefore allowed with no order as to costs.
4. The court will however direct that the firm of Mungai Kalande cease to act for any objector in this matter since they were the advocates on record for the judgment debtor. This is in order to avoid possible conflict of interest.
5. It is so ordered.
Dated at Nairobi this 25th day of January, 2019
Abuodha Jorum Nelson
Judge
Delivered this 25th day of January, 2019
Abuodha Jorum Nelson
Judge
In the presence of:-
................................................for the Claimant and
...................................................for the Respondent.
Abuodha J. N.
Judge