[2020] KEELRC 1795 (KLR)
The court found that the respondent failed to demonstrate compliance with the order to rectify the erroneous withholding tax deductions and to pay the claimant the sums of Kshs 29,794 and Kshs 35,752, totaling Kshs 65,546, within the stipulated 30 days. The respondent did not provide evidence of payment after the 9...
Source-derived case information.
- Citation
- [2020] KEELRC 1795 (KLR)
- Parties
- Applicant: Grace Akinyi Ahawo; Respondent: Kenya Airports Authority; Garnishee: NIC Bank
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nairobi
- Jurisdiction
- Kenya
- Case Number
- Cause 985 of 2014
- Procedural Posture
- Employment Cause / Ruling on Garnishee Application
- Outcome
- application allowed in part
- Judges
- MSA Makhandia
- Legal Topics
- Garnishee Orders, Withholding Tax, Decretal Sum Enforcement
- 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
Grace Akinyi Ahawo
Applicant
Kenya Airports Authority
Respondent
NIC Bank
Garnishee
Procedural Posture
Employment Cause / Ruling on Garnishee Application
Legal Issues
- 1 Whether the respondent complied with the court order to rectify erroneous withholding tax deductions and pay the claimant.
- 2 Whether an order absolute should issue against the garnishee to attach funds in satisfaction of the decretal sum and costs.
Ratio Decidendi
The court found that the respondent failed to demonstrate compliance with the order to rectify the erroneous withholding tax deductions and to pay the claimant the sums of Kshs 29,794 and Kshs 35,752, totaling Kshs 65,546, within the stipulated 30 days. The respondent did not provide evidence of payment after the 9 April 2019 order. The court held that the claimant was entitled to enforcement through a garnishee order absolute, but limited the amount to Kshs 80,546, which includes Kshs 15,000 as costs for the instant application. The court emphasized that compliance with court orders is mandatory and that the application would have been unnecessary had the respondent acted promptly.
Court Disposition
application allowed in part
Orders
- Order absolute to issue against the garnishee for Kshs 80,546, inclusive of Kshs 15,000 costs.
- Orders to take effect after 5 days from the date of the ruling if the respondent does not make payment.
Full Case Text
Judgment text and source record
29 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT AND LABOUR RELATIONS COURT AT NAIROBI
CAUSE NO. 985 OF 2014
GRACE AKINYI AHAWO.............................CLAIMANT
v
KENYA AIRPORTS AUTHORITY.........RESPONDENT
AND
NIC BANK...................................................GARNISHEE
RULING NO. 4
1. The first Ruling in this Cause was on 30 October 2017 while the second Ruling was on 30 October 2018. The third Ruling was delivered on 9 April 2019.
2. Before Court for determination now is an application dated 11 June 2019 by the Claimant/decree holder seeking orders
1. …
2. …
3. THAT this Honourable Court be pleased to issue an order absolute against the Garnishee directing that all money held in the account by the Garnishee in the judgment debtor’s name Kenya Airport Authority Account No. 10012606024 be attached to clear the decretal balance of Kshs 262,277 plus the garnishee cost of Kshs 15,000 making a total of Kshs 277,277.
3. The grounds advanced in support of the application were that the Court had on 9 April 2019 directed the Respondent to correct an error it had made while making payments to the Claimants advocate within 30 days but it had failed to do so and that the Court had also directed the Respondent to pay the Claimants advocate monies erroneously withheld as withholding tax.
4. In its replying affidavit sworn by the advocate on record, the Respondent maintained that the Claimants dues had been paid Kshs 566,653/- in full as ascertained by a tax consultant it had retained.
5. In its Ruling of 9 April 2019, the Court expressly held that it was erroneous for the Respondent to retain withholding tax of Kshs 29,794/- and Kshs 35,752/-.
6. The Court directed the Respondent to rectify the error and pay the sums to the Claimant within 30 days.
7. The Respondent has not demonstrated that it rectified the error after the Court order, or that it made payments for the sum of Kshs 65,546/- withheld taxes after 9 April 2019.
8. Before concluding, it would be remiss for the Court not to observe that this application should not have been necessary if the Respondent took Court orders seriously.
9. The Court will therefore allow orders 2 and 3 of the motion, but only to the extent of Kshs 80,546/- which includes Kshs 15,000/- being costs of the instant application.
10. Orders to take effect after expiry of 5 days from today, if the Respondent does not make payment.
Delivered, dated and signed in Nairobi on this 31st day of January 2020.
Radido Stephen
Judge
Appearances
For applicant Mr. Ojienda instructed by Ojienda & Co. Advocates
For Respondent Ms. Kanyiri instructed by Federation of Kenya Employers
Court Assistant Judy Maina