[2017] KEHC 9936 (KLR)

[2017] KEHC 9936 (KLR)

The court held that the correct method for calculating the plaintiffs' entitlements under the Equity Bank Share Ownership Plan was to use the actual share price prevailing on the 30th day after each plaintiff ceased employment, as previously determined in the judgment. The plaintiffs' use of average prices was...

Source-derived case information.

Citation
[2017] KEHC 9936 (KLR)
Parties
Plaintiff: Patrick Wabwile Pamba; Plaintiff: Edna Wanjiru Mwangi; Plaintiff: Arthur D. Washe; Plaintiff: John Gitau Kamau; Plaintiff: John K. Thagana; Plaintiff: John Nyuguto Nderitu; Plaintiff: Jacob Otieno Obiero; Plaintiff: Edwin Maina Waweru; Defendant: Equity Bank Limited; Defendant: James Njuguna Mwangi; Defendant: Mary Wangai Wamae; Defendant: Kenneth Mbaabu Muchiri; Defendant: Gerald Gachoka Warui; Defendant: Andrew Mwangi Kimani
Court
High Court
Court Station
High Court at Nairobi (Milimani Commercial Courts)
Jurisdiction
Kenya
Case Number
Civil Suit 409 of 2012
Procedural Posture
Civil Suit / Ruling on Final Calculations of Interest Payable to Plaintiffs
Outcome
Application for recalculation of interest allowed in part; court orders payment of additional interest to plaintiffs.
Legal Topics
Employee Share Ownership, Termination Benefits, Interest Calculation, Stock Valuation
Source Language
en
Commercial and Corporate Employment and Labour Employee Share Ownership Termination Benefits Interest Calculation Stock Valuation

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Downloadable case file Legal principles 2 Authorities cited 1 Party arguments 2 Amounts and remedies 9
Sign in to unlock

Parties

Patrick Wabwile Pamba

Plaintiff

Edna Wanjiru Mwangi

Plaintiff

Arthur D. Washe

Plaintiff

John Gitau Kamau

Plaintiff

John K. Thagana

Plaintiff

John Nyuguto Nderitu

Plaintiff

Jacob Otieno Obiero

Plaintiff

Edwin Maina Waweru

Plaintiff

Equity Bank Limited

Defendant

James Njuguna Mwangi

Defendant

Mary Wangai Wamae

Defendant

Kenneth Mbaabu Muchiri

Defendant

Gerald Gachoka Warui

Defendant

Andrew Mwangi Kimani

Defendant

Procedural Posture

Civil Suit / Ruling on Final Calculations of Interest Payable to Plaintiffs

Legal Issues

  1. 1 Whether the correct share price for calculation of plaintiffs' entitlements is the actual price on the 30th day after cessation of employment.
  2. 2 Whether interest should be calculated up to the date the undisputed amounts were paid to the plaintiffs.

Ratio Decidendi

The court held that the correct method for calculating the plaintiffs' entitlements under the Equity Bank Share Ownership Plan was to use the actual share price prevailing on the 30th day after each plaintiff ceased employment, as previously determined in the judgment. The plaintiffs' use of average prices was erroneous and contrary to the court's directive. Furthermore, the court found that interest should be calculated up to the date the undisputed amounts were actually paid to the plaintiffs, not an earlier date. As a result, the court ordered the defendants to pay additional interest for the period between 13th February 2017 and 5th April 2017, amounting to 51 days, with specific sums...

Court Disposition

Application for recalculation of interest allowed in part; court orders payment of additional interest to plaintiffs.

Orders

  • Defendants to pay each plaintiff the specified additional interest as calculated for the 51-day period between 13th February 2017 and 5th April 2017.
  • Interest to be calculated using the actual share price prevailing on the 30th day after cessation of employment for each plaintiff.