[2019] KEHC 9218 (KLR)

[2019] KEHC 9218 (KLR)

The court found that there was a genuine dispute between the parties arising from the termination of the applicant's contract and related claims, as evidenced by the agreements and correspondence. The Sales Agency Agreement contained a clear and binding arbitration clause (Clause 25), which mandated that disputes be...

Source-derived case information.

Citation
[2019] KEHC 9218 (KLR)
Parties
Applicant: Monique Oraro; Respondent: AAR Insurance Co. Ltd
Court
High Court
Court Station
High Court at Nairobi (Milimani Commercial Courts)
Jurisdiction
Kenya
Judgment Date
11 March 2019
Case Number
Miscellaneous Cause 411 of 2017
Procedural Posture
Miscellaneous Application / Ruling on Originating Summons Seeking Appointment of Arbitrator
Outcome
application upheld; matter referred to arbitration; costs to applicant
Judges
MW Muigai
Legal Topics
Arbitration Agreements, Contract Termination, Appointment of Arbitrator, Party Autonomy, Jurisdiction of Courts
Source Language
english
Commercial and Corporate Alternative Dispute Resolution Arbitration Agreements Contract Termination Appointment of Arbitrator Party Autonomy Jurisdiction of Courts

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Parties

Monique Oraro

Applicant

AAR Insurance Co. Ltd

Respondent

Procedural Posture

Miscellaneous Application / Ruling on Originating Summons Seeking Appointment of Arbitrator

Legal Issues

  1. 1 Whether there exists a dispute between the parties capable of being referred to arbitration.
  2. 2 Whether the matter should be referred to arbitration in accordance with the agreement.
  3. 3 Whether the court should appoint the arbitrator proposed by the applicant.

Ratio Decidendi

The court found that there was a genuine dispute between the parties arising from the termination of the applicant's contract and related claims, as evidenced by the agreements and correspondence. The Sales Agency Agreement contained a clear and binding arbitration clause (Clause 25), which mandated that disputes be resolved through arbitration. The respondent's refusal to participate in the arbitration process did not negate the existence of a dispute nor the enforceability of the arbitration clause. The court held that, in accordance with the Arbitration Act and the principle of party autonomy, it had limited jurisdiction to intervene and could only do so to facilitate the arbitration...

Court Disposition

application upheld; matter referred to arbitration; costs to applicant

Orders

  • There is a dispute between the parties as evidenced by the agreements and correspondence.
  • The matter shall be resolved in arbitration proceedings.