Kenya Judgment

Employment and Labour Relations Court · Employment and Labour Relations Court at Eldoret

John Lenzi v Smep Deposit Taking Microfinance Ltd [2017] KEELRC 2006 (KLR)

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Professional case brief

Research organized from the available case record

Source document

01

Holding and result

The court held that although there is no express statutory or procedural rule limiting the geographical jurisdiction of the Employment and Labour Relations Court, the overriding consideration must be access to justice. The court found that the contract in question was performed in Eldoret, where the Claimant is based, and that proportionality and access to justice favored hearing the matter in Eldoret. The Respondent's arguments regarding convenience and forum shopping were outweighed by the need to ensure that the Claimant, as the generally less powerful party in employment disputes, was not unduly burdened. The application for transfer was therefore dismissed.

Court disposition

Application for transfer dismissed.

Orders

  • The motion dated 31 October 2017 is dismissed.
  • No order as to costs.

02

Material facts

Parties

John Lenzi

Applicant Counsel: Mr. Suter instructed by Mwakio, Kirwa & Co. Advocates

SMEP Deposit Taking Microfinance Ltd

Respondent Counsel: Mr. Kimathi instructed by Gitonga Kamiti, Kairaria & Co. Advocates

03

Procedural history

  1. Posture

    Miscellaneous Application / Ruling on Application for Transfer of Suit

04

Questions and positions

Legal issues

Party arguments

Applicant
The Claimant argued that the Employment and Labour Relations Court has unlimited geographical jurisdiction and that the contract of employment was performed in Eldoret. He opposed the transfer, asserting that the suit was properly before the Eldoret court and that access to justice would be best served by hearing the matter where the contract was performed and where he is currently based.
Respondent
The Respondent contended that the cause of action arose in Nairobi, that all its witnesses are based in Nairobi, and that it would suffer hardship if required to bring them to Eldoret. The Respondent also accused the Claimant of forum shopping and sought transfer of the suit to Nairobi for convenience.

05

Court’s reasoning

  1. 01

    Employment and Labour Relations Court Act; Employment and Labour Relations Court (Procedure) Rules, 2016

    The Employment and Labour Relations Court has no express geographical or territorial jurisdictional limitation under its establishing statute or the Employment and Labour Relations Court (Procedure) Rules, 2016.

  2. 02

    Constitution of Kenya, Article 48

    Access to justice is a constitutional imperative and should be the paramount consideration in determining the appropriate forum.

  3. 03

    Judicial reasoning; Civil Procedure Act sections 11-15 (by analogy)

    Factors such as cost implications, subject matter, residence of parties, and place of accrual of action are material in objections to geographical jurisdiction.

06

Ratio, limits and disposition

Ratio decidendi

The court held that although there is no express statutory or procedural rule limiting the geographical jurisdiction of the Employment and Labour Relations Court, the overriding consideration must be access to justice. The court found that the contract in question was performed in Eldoret, where the Claimant is based, and that proportionality and access to justice favored hearing the matter in Eldoret. The Respondent's arguments regarding convenience and forum shopping were outweighed by the need to ensure that the Claimant, as the generally less powerful party in employment disputes, was not unduly burdened. The application for transfer was therefore dismissed.

Obiter and limits

  • In employment relationships, the employer is generally the stronger party and more capable of bearing litigation costs.
  • Expeditious, simple, and proportionate determination of disputes are key considerations in ensuring access to justice.

Court disposition

Application for transfer dismissed.

  • The motion dated 31 October 2017 is dismissed.
  • No order as to costs.

Source and reliance status

Employment and Labour Relations Court

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Judgment reading view

Judgment text

The complete available source text.

Source document

Employment and Labour Relations Court

Judgment

[2017] KEELRC 2006 (KLR)

REPUBLIC OF KENYA

IN THE EMPLOYMENT AND LABOUR RELATIONS COURT AT ELDORET

CAUSE NO. 149 OF 2017

(Originally Nakuru Cause No. 424 of 2016)

JOHN LENZI......................................................................CLAIMANT

v

SMEP DEPOSIT TAKING MICROFINANCE LTD.....RESPONDENT

RULING

1. For ruling is an application dated 31 October 2017 seeking

1. ….

2. THAT the Court be pleased to direct that this suit be transferred to the Employment and Labour Relations Court in Nairobi.

3. THAT costs of this application be in the cause.

2. The Claimant filed Grounds of Opposition to the application on 8 November 2017 and submissions were taken on 20 November 2017 (Respondent also filed written submissions).

3. The Respondent, in seeking the transfer of the Cause to Nairobi for hearing and determination contended that the cause(s) of action presented by the Claimant arose in Nairobi and that all the witnesses it intends to call are based in Nairobi and therefore it will be occasioned great hardship in bringing them to Eldoret.

4. The Respondent also contended that the Claimant was forum shopping.

5. While opposing the application, the Claimant urged that this Court had unlimited geographical jurisdiction and that the contract of employment, the subject of the litigation was performed in Eldoret.

6. The establishing statute of this Court has not provided for any geographical or territorial jurisdictional limitation for the Court.

7. The Employment and Labour Relations Court (Procedure) Rules, 2016 have also not limited the geographical jurisdiction of the Court, unlike the limitations outlined in sections 11 to 15 of the Civil Procedure Act.

8. Although, legally this Court’s geographical jurisdiction has not been expressly limited, it would only be logical that the cost implications, subject matter, residential considerations of the parties and the place of accrual of action would be material factors when an objection is raised against the geographical jurisdiction.

9. However, in my view the territorial and geographical limitations must have at the core the need to ensure access to justice, a constitutional imperative. Access to justiceshould be the paramount consideration.

10. And some of the determinants the Court ought to keep in mind while ensuring there is access to justice, are the considerations of expeditious, simple and proportionate determination of disputes.

11. In the instant case, being an employment relationship, the stronger power usually turns out to be the employer. As regards the costs implications, an employer generally will be the more capable party (circumstances may vary considerably). Proportionality therefore favours the Claimant herein.

12. On the situ of the contract, it is not disputed by the Respondent that the Claimant’s contract alleged to have been breached was being performed substantially in Eldoret, and not Nairobi where the Respondent’s head office is located.

13. In my view, the access to justice factor tilts in having the Cause heard and determined in Eldoret where the Claimant ordinarily performed the contract and where he asserts he is currently based, albeit unemployed.

14. The Court therefore declines the invitation by the Respondent and orders that the motion dated 31 October 2017 be dismissed with no order as to costs.

Delivered, dated and signed in Eldoret on this 21st day of November 2017.

Radido Stephen

Judge

Appearances

For Claimant Mr. Suter instructed by Mwakio, Kirwa & Co. Advocates

For Respondent Mr. Kimathi instructed by Gitonga Kamiti, Kairaria & Co. Advocates

Court Assistants Martin/Etyang

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Employment and Labour Relations Court Act

Legislation

Legislation referenced in the available case record.

Employment and Labour Relations Court (Procedure) Rules, 2016

Legislation

Legislation referenced in the available case record.

Constitution of Kenya, Article 48

Legislation

Legislation referenced in the available case record.

Civil Procedure Act, sections 11-15

Legislation

Legislation referenced in the available case record.

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