[2020] KEHC 410 (KLR)
The court found that since there is an existing file before the Commercial and Tax Division involving the same parties and subject matter, and that division has already adopted the arbitration award, it is prudent and necessary for the matter to be transferred there. This ensures proper case management and avoids...
Source-derived case information.
- Citation
- [2020] KEHC 410 (KLR)
- Parties
- Plaintiff: Muranga University of Technology; Defendant: Manyota Limited
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Commercial Courts)
- Jurisdiction
- Kenya
- Case Number
- Civil Case 110 of 2019
- Procedural Posture
- Civil Case / Ruling on Application for Transfer of Suit
- Outcome
- application granted
- Judges
- SJ Chitembwe
- Legal Topics
- Transfer of Suit, Arbitration Award Enforcement, Jurisdiction of Divisions, Case Management, Setting Aside Arbitral Award
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Muranga University of Technology
Plaintiff
Manyota Limited
Defendant
Procedural Posture
Civil Case / Ruling on Application for Transfer of Suit
Legal Issues
- 1 Whether the matter should be transferred to the Commercial and Tax Division for determination.
- 2 Whether the Commercial and Tax Division has jurisdiction over disputes arising from arbitration awards in construction agreements.
- 3 Whether transferring the case would prevent conflicting decisions on the same subject matter.
Ratio Decidendi
The court found that since there is an existing file before the Commercial and Tax Division involving the same parties and subject matter, and that division has already adopted the arbitration award, it is prudent and necessary for the matter to be transferred there. This ensures proper case management and avoids the risk of conflicting decisions. There was no challenge to the Commercial and Tax Division's jurisdiction, and both parties are already litigating before that division. The transfer is therefore warranted to consolidate the proceedings and ensure consistency in the determination of issues arising from the arbitration award.
Court Disposition
application granted
Orders
- The application dated 14th October, 2020 is granted; the matter is transferred to the High Court Commercial and Tax Division, Nairobi, for trial and determination.
- Costs shall follow the outcome of the main claim.
Full Case Text
Judgment text and source record
15 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT NAIROBI
CIVIL CASE NO. 110 OF 2019
MURANGA UNIVERSITY OF TECHNOLOGY.............PLAINTIFF
-VERSUS-
MANYOTA LIMITED......................................................DEFENDANT
RULING
The application dated 14th October, 2020 seeks to have this matter transferred to the High Court Commercial and Tax division, Nairobi, for trial and determination. It is supported by the affidavit of Joseph M. Rituga. Mr. Mwangi, Counsel for the applicant submitted that the proceedings herein arise from an arbitration award. The dispute arose out of a construction agreement and the matter does not fall within the jurisdiction of the Civil Division.
Mr. Kimathi, Counsel for the respondent relied on the replying affidavit sworn by himself. It was submitted that the applicant’s suit seeks to set aside an arbitration award that has already been adopted in the commercial division vide Case number E132 of 2019 (Manyota Limited –V- Murang’a University). Justice M.W. Muigai of the Commercial and Tax Division delivered a ruling adopting the award on 15th April, 2020. The applicant did not appeal against the adoption of the award and is taking the courts in circus. There is a judgment in force.
From the submissions by counsels for the parties herein, it is established that there is another file before the Commercial and Tax Division. The other file involves the same parties and the same subject matter. It will be prudent if the same division deals with the same issues. Counsel for the respondent filed case number E132 of 2019 before the Commercial and Tax Division. The decision to file the suit at that division must have been guided by the fact that it is that division which handles such matters. There is no contention in response to the application that the Commercial and Tax Division lacks jurisdiction to deal with this matter. Indeed parties are already litigating before that division. I do find that for purposes of proper case management, it is that division which can determine this matter as it has already adopted the award of the arbitrator. The originating summons herein seeks to set aside the same award that has been adopted by the Commercial and Tax division. The transfer of the matter to that division is necessary so as to avoid conflicting decisions on the same subject matter.
The upshot is that the application dated 14th October, 2020 is merited and the same is hereby granted as prayed. Costs shall follow the outcome of the main claim.
Dated and Signed at Nairobi this 8th day of December, 2020
..............................
S. CHITEMBWE
JUDGE