[2000] KEHC 143 (KLR)
The court held that the order appointing M/S Nthiga & Associates was clear in designating them as liquidators, not arbitrators, and their mandate was to investigate, value, and dissolve the partnership, not to arbitrate disputes. There was no reference to arbitration or to Order XLV of the Civil Procedure Rules in...
Source-derived case information.
- Citation
- [2000] KEHC 143 (KLR)
- Parties
- Applicant: Emebet Melaku Mwangi; Respondent: Hebest Menna Degefu
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- ? 962 of ??
- Procedural Posture
- Miscellaneous Application / Ruling on Application to Enforce Purported Arbitral Award
- Outcome
- application dismissed with costs
- Legal Topics
- Partnership Dissolution, Liquidation of Assets, Enforcement of Awards, Arbitration Procedure
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Emebet Melaku Mwangi
Applicant
Hebest Menna Degefu
Respondent
Procedural Posture
Miscellaneous Application / Ruling on Application to Enforce Purported Arbitral Award
Legal Issues
- 1 Whether the appointment of M/S Nthiga & Associates as liquidators constituted an arbitral process under Order XLV of the Civil Procedure Rules.
- 2 Whether the report by the liquidators could be enforced as an arbitral award.
Ratio Decidendi
The court held that the order appointing M/S Nthiga & Associates was clear in designating them as liquidators, not arbitrators, and their mandate was to investigate, value, and dissolve the partnership, not to arbitrate disputes. There was no reference to arbitration or to Order XLV of the Civil Procedure Rules in the order. Consequently, the report produced by the liquidators could not be treated or enforced as an arbitral award. The application to enforce the purported award was therefore without merit and was dismissed with costs.
Court Disposition
application dismissed with costs
Orders
- The application to enforce the purported arbitral award is dismissed with costs.
Full Case Text
Judgment text and source record
8 paragraphs
Emebet Melaku Mwangi v Hebest Menna Degefu
High Court of Kenya at Nairobi October 6, 2000
Milimani Commercial Courts
T Mbaluto, Judge October 6, 2000 T Mbaluto,
RULING
On June 30, 2000, Honourable Justice Hewett made an order in this matter by virtue of which M/S Nthiga & Associates of Kenya Bankers House, Nairobi were appointed as liquidators to investigate the assets and liabilities of the partnership (presumably existing between the parties hereto), value it and then dissolve it giving an option to either partner to buy the other parties share.
A further order was made standing the matter for mention on July 4, 2000 for the purposes of reporting progress. There was however no mention in the order of any arbitral proceedings and clearly Order XLV of the Civil Procedure Rules was not in any way contemplated by the order. As to that, the order is as clear as any can be. M/S Nthiga & Associates are thereby referred to as liquidators and not arbitrators and what they come up with is ‘a report’ and not an award.
It must therefore have been a bit of a surprise to the respondent to be served with an application for the enforcement of a purported award when there was no arbitration. The position was compounded by an attempt to reduce the time within which an application to enforce the award could be made but having regard to the view I take of the matter, nothing arises from that futile attempt. In any case, as observed above, there was no arbitral award in this matter and consequently Order XLV rule 16 of the Arbitration Act has no application. For all the above reasons, I find that there is no merit in this application and it must therefore be dismissed with costs. It is so ordered.