[2021] KEHC 8551 (KLR)

[2021] KEHC 8551 (KLR)

The court found that the default judgment was regularly entered as the Defendant was duly served and failed to file a defence within the statutory period. The Defendant's explanation for the delay was unsupported by evidence. Although the contract contained an arbitration clause, the Defendant had admitted the debt...

Source-derived case information.

Citation
[2021] KEHC 8551 (KLR)
Parties
Plaintiff: Maiyoho General Contractors Limited; Defendant: Amani Development Company Limited
Court
High Court
Court Station
High Court at Nairobi (Milimani Commercial Courts)
Jurisdiction
Kenya
Case Number
Civil Case E237 of 2019
Procedural Posture
Civil Case / Ruling on Applications to Strike Out Plaint, Stay Proceedings, Refer to Arbitration, and Set Aside Default Judgment
Outcome
Applications dismissed with costs to the Respondent.
Judges
MW Muigai
Legal Topics
Arbitration Clauses, Default Judgment, Contractual Debt, Setting Aside Judgment, Triable Issues
Source Language
en
Commercial and Corporate Civil Procedure Arbitration Clauses Default Judgment Contractual Debt Setting Aside Judgment Triable Issues

Source-derived case record

Summary, issues, holding and outcome

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Parties

Maiyoho General Contractors Limited

Plaintiff

Amani Development Company Limited

Defendant

Procedural Posture

Civil Case / Ruling on Applications to Strike Out Plaint, Stay Proceedings, Refer to Arbitration, and Set Aside Default Judgment

  1. 1 Whether the default judgment was regularly entered on behalf of the Plaintiff.
  2. 2 Whether the defence filed out of time raises triable issues.
  3. 3 Whether the matter should be referred to arbitration in light of the arbitration clause in the contract.

Ratio Decidendi

The court found that the default judgment was regularly entered as the Defendant was duly served and failed to file a defence within the statutory period. The Defendant's explanation for the delay was unsupported by evidence. Although the contract contained an arbitration clause, the Defendant had admitted the debt both in a Mutual Agreement for Final Settlement and in correspondence, and thus there was no dispute to refer to arbitration. The defence filed out of time did not raise triable issues, as the Defendant's admission of indebtedness negated the existence of a genuine dispute. The applications to strike out the Plaint, stay proceedings, refer the matter to arbitration, or set...

Court Disposition

Applications dismissed with costs to the Respondent.

Orders

  • The application to strike out the Plaint is dismissed with costs to the Plaintiff/Respondent.
  • The application to set aside the default judgment is dismissed with costs to the Plaintiff/Respondent.