[2020] KEHC 9655 (KLR)

[2020] KEHC 9655 (KLR)

The court found that while the Taxing officer referenced relevant authorities and acknowledged the complexity and novelty of the matter, she failed to clearly articulate how the instruction fees of Kshs 50,000,000 were determined or to provide a detailed analysis of the work done, complexity, and other relevant...

Source-derived case information.

Citation
[2020] KEHC 9655 (KLR)
Parties
Applicant: Mwangi Chege & C. Advocates; Respondent: Kenya Broadcasting Corporation
Court
High Court
Court Station
High Court at Nairobi (Milimani Law Courts)
Jurisdiction
Kenya
Case Number
Miscellaneous Civil Application 394 of 2015
Procedural Posture
Miscellaneous Application / Ruling on Reference Against Taxation Decision
Outcome
Application to set aside the Taxing officer's decision allowed, conditional upon payment of Kshs 5,000,000 to the respondent within 45 days; bill of costs to be re-taxed afresh before a different Taxing officer; no order as to costs.
Legal Topics
Taxation of Costs, Advocate Client Bill, Instruction Fees, Novelty and Complexity, Error of Principle, Re Taxation
Source Language
en
Civil Procedure Commercial and Corporate Taxation of Costs Advocate Client Bill Instruction Fees Novelty and Complexity Error of Principle Re Taxation

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Parties

Mwangi Chege & C. Advocates

Applicant

Kenya Broadcasting Corporation

Respondent

Procedural Posture

Miscellaneous Application / Ruling on Reference Against Taxation Decision

  1. 1 Whether the Taxing officer committed an error of principle in assessing instruction fees and getting up fees.
  2. 2 Whether the Taxing officer adequately justified the quantum awarded for items 1 and 2 of the bill of costs.
  3. 3 Whether the court should set aside the taxation decision and remit the bill for re-taxation.

Ratio Decidendi

The court found that while the Taxing officer referenced relevant authorities and acknowledged the complexity and novelty of the matter, she failed to clearly articulate how the instruction fees of Kshs 50,000,000 were determined or to provide a detailed analysis of the work done, complexity, and other relevant factors. The court emphasized that substantial awards must be justified with clarity, especially given the significant sums involved and the potential impact on a state corporation. The court held that the lack of detailed reasoning constituted an error of principle, warranting the setting aside of the taxation decision. The court ordered that the bill of costs be re-taxed afresh...

Court Disposition

Application to set aside the Taxing officer's decision allowed, conditional upon payment of Kshs 5,000,000 to the respondent within 45 days; bill of costs to be re-taxed afresh before a different Taxing officer; no order as to costs.

Orders

  • The decision of the Taxing officer delivered on 14th May 2018 is set aside.
  • The bill of costs dated 16th February 2015 shall be re-taxed afresh before a different Taxing officer, guided by the principles in this ruling.