[2023] KECPT 786 (KLR)
The Tribunal determined that the 1st Respondent, Eclof Sacco Embu Branch, is not a cooperative society as defined under the Cooperative Societies Act but is instead a private limited company incorporated under the Companies Act 2015. As such, the Tribunal lacks jurisdiction to hear disputes involving the 1st...
Source-derived case information.
- Citation
- [2023] KECPT 786 (KLR)
- Parties
- Applicant: Simon Rutere Njagi; Respondent: Eclof Sacco Embu Branch; Respondent: Solomon Mwangi Ndung’u
- Court
- Cooperative Tribunal
- Jurisdiction
- Kenya
- Case Number
- Tribunal Case E003 of 2022
- Procedural Posture
- Preliminary Objection / Ruling on Preliminary Objection
- Outcome
- preliminary objection upheld; matter dismissed for lack of jurisdiction
- Judges
- BM Kimemia, J. Mwatsama, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw, PO Aol
- Legal Topics
- Jurisdiction of Tribunal, Cooperative Societies Definition, Preliminary Objection, Company Registration Status
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Simon Rutere Njagi
Applicant
Eclof Sacco Embu Branch
Respondent
Solomon Mwangi Ndung’u
Respondent
Procedural Posture
Preliminary Objection / Ruling on Preliminary Objection
Legal Issues
- 1 Whether the 1st Respondent is a Sacco Society as defined under the Cooperative Societies Act.
- 2 Whether the Cooperative Tribunal has jurisdiction to hear the dispute given the 1st Respondent's legal status.
Ratio Decidendi
The Tribunal determined that the 1st Respondent, Eclof Sacco Embu Branch, is not a cooperative society as defined under the Cooperative Societies Act but is instead a private limited company incorporated under the Companies Act 2015. As such, the Tribunal lacks jurisdiction to hear disputes involving the 1st Respondent because its jurisdiction is limited to disputes involving cooperative societies and their members or other societies. The preliminary objection raised by the 1st Respondent was therefore upheld, and the matter was dismissed for want of jurisdiction.
Court Disposition
preliminary objection upheld; matter dismissed for lack of jurisdiction
Orders
- The Preliminary Objection dated 08.06.2022 is allowed.
- The Tribunal has no jurisdiction over the matter.
Full Case Text
Judgment text and source record
23 paragraphs
Njagi v Eclof Sacco Embu Branch & another (Tribunal Case E003 of 2022) [2023] KECPT 786 (KLR) (Civ) (24 August 2023) (Ruling)
Neutral citation: [2023] KECPT 786 (KLR)
Republic of Kenya
In the Cooperative Tribunal
Civil
Tribunal Case E003 of 2022
BM Kimemia, Chair, J. Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw & PO Aol, Members
August 24, 2023
Between
Simon Rutere Njagi
Claimant
and
Eclof Sacco Embu Branch
1st Respondent
Solomon Mwangi Ndung’u
2nd Respondent
Ruling
1. The matter for determination is a Preliminary Objection dated 08. 06. 2022, filed on 09. 06. 2022. The Preliminary Objection was filed by the 1st Respondent, citing the tribunal’s lack of jurisdiction to determine the matter, as the first Respondent is not a Sacco. Attached was a Certificate of Incorporation of the 1st defendant. The Certificate indicates that 30. 04. 2018, the 1st Respondent was duly incorporated under the Companies Act 2015, as a Private Limited Company.
2. The 1st Respondent prayed for the matter to be dismissed.
3. The Claimant filed a Replying Affidavit, dated 28. 11. 2022, filed on the same date. The Affidavit stated that the 1st Respondent, represented itself as a registered Sacco.
Issues for determination Whether the Respondent is a Sacco Society? 4. The Cooperative Society Act defines A cooperative Society as a Society Registered Under Section 4 of the Act. The 1st Respondent produced a copy of Certificate of Registration indicating that on 30. 04. 2018, the 1st Respondent was duly incorporated under the Companies Act 2015, as a private Limited Company, hence the 1st Respondent is not a Cooperative Society.
Whether the Tribunal has jurisdiction? 5. Section 76 of the Cooperatives Act establishes that the Cooperative Tribunal only has jurisdiction over any disputes relating to business between a Society and its members and other societies. From issue (1) above, it is established that the 1st Respondent is not a Cooperative Society, but a Private Company Limited registered under Section 15 of The Companies Act CAP 486, therefore, the Tribunal has no jurisdiction over the matter.Upshot1. The Tribunal has no jurisdiction over the matter, hence the Preliminary Objection dated 08. 06. 2022, succeeds.2. File ordered as closed.
RULING SIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 24TH DAY OF AUGUST, 2023. HON. BEATRICE KIMEMIA CHAIRPERSON SIGNED 24. 8.2023HON. J. MWATSAMA DEPUTY CHAIRPERSON SIGNED 24. 8.2023HON. BEATRICE SAWE MEMBER SIGNED 24. 8.2023HON. FRIDAH LOTUIYA MEMBER SIGNED 24. 8.2023HON. PHILIP GICHUKI MEMBER SIGNED 24. 8.2023HON. MICHAEL CHESIKAW MEMBER SIGNED 24. 8.2023HON. PAUL AOL MEMBER SIGNED 24. 8.2023