[2009] KEHC 2499 (KLR)

[2009] KEHC 2499 (KLR)

The court held that the plaintiff cannot recover any costs from the 3rd Defendant because there was no privity of contract between them. The arbitration award did not provide for any payment or costs to the plaintiff from the 3rd Defendant, and thus, no legal or contractual basis existed for such an order. Since all disputes between the parties had been resolved through arbitration and the suit was withdrawn, the matter was concluded with no further orders as to costs against the 3rd Defendant.

Citation
[2009] KEHC 2499 (KLR)
Parties
Plaintiff: Engineering & Support Services Limited; Defendant: Recchi S.A.P.; Defendant: Astaldi S.P.A.; Defendant: National Water Conservation & Pipeline Corporation
Court
High Court
Court Station
High Court at Nairobi (Milimani Law Courts)
Jurisdiction
Kenya
Judgment Date
19 June 2009
Case Number
Civil Suit 1102 of 2002
Procedural Posture
Civil Suit / Ruling on Costs After Compromise and Withdrawal
Outcome
Plaintiff's application for costs against the 3rd Defendant dismissed; no order as to costs.
Legal Topics
Costs Award, Privity of Contract, Withdrawal of Suit
Source Language
English
Civil Procedure Costs Award Privity of Contract Withdrawal of Suit

Case Brief

Summary, issues, holding and outcome

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Parties

Engineering & Support Services Limited

Plaintiff

Recchi S.A.P.

Defendant

Astaldi S.P.A.

Defendant

National Water Conservation & Pipeline Corporation

Defendant

Procedural Posture

Civil Suit / Ruling on Costs After Compromise and Withdrawal

Legal Issues

  1. 1 Whether the plaintiff is entitled to recover costs from the 3rd defendant after the suit was compromised and withdrawn.
  2. 2 Whether privity of contract exists between the plaintiff and the 3rd defendant to justify an award of costs.

Ratio Decidendi

The court held that the plaintiff cannot recover any costs from the 3rd Defendant because there was no privity of contract between them. The arbitration award did not provide for any payment or costs to the plaintiff from the 3rd Defendant, and thus, no legal or contractual basis existed for such an order. Since all disputes between the parties had been resolved through arbitration and the suit was withdrawn, the matter was concluded with no further orders as to costs against the 3rd Defendant.

Court Disposition

Plaintiff's application for costs against the 3rd Defendant dismissed; no order as to costs.

Orders

  • No order as to costs against the 3rd Defendant.
  • The case is concluded with no further orders from the court.