[2016] KEELRC 168 (KLR)
The court found that the 2nd respondent was not fully released from liability by the original judgment. While the judgment stated that the claim for pension benefits against the 2nd respondent had been met by Roberts Insurance Brokers and that there would be no order for costs in respect of pension benefits, it did...
Source-derived case information.
- Citation
- [2016] KEELRC 168 (KLR)
- Parties
- Claimant: Rahab Wothaya Esiromo; Claimant: Joseph Kamau Ruoya; Claimant: Simon Maina Chege; Claimant: Laban Maina Chege; Claimant: David Muiru Njoroge; Claimant: Michael Gikonyo Kinyanjui; Claimant: Nobert Omanyo Wabwire; Claimant: Stephen Wambugu Waweru; Respondent: Blue Shield Insurance Company Limited; Respondent: Shield Assurance Company Limited; Respondent: Statutory Manager, Blue Shield Insurance Company Limited (Under Statutory Management)
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nairobi
- Jurisdiction
- Kenya
- Case Number
- Cause 1488 of 2010
- Procedural Posture
- Miscellaneous Application / Ruling on Application to Set Aside Warrant of Attachment
- Outcome
- application dismissed with costs to the 2nd respondent/applicant
- Legal Topics
- Execution of Judgment, Warrant of Attachment, Liability of Insurer, Costs Award, Statutory Management
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Rahab Wothaya Esiromo
Claimant
Joseph Kamau Ruoya
Claimant
Simon Maina Chege
Claimant
Laban Maina Chege
Claimant
David Muiru Njoroge
Claimant
Michael Gikonyo Kinyanjui
Claimant
Nobert Omanyo Wabwire
Claimant
Stephen Wambugu Waweru
Claimant
Blue Shield Insurance Company Limited
Respondent
Shield Assurance Company Limited
Respondent
Statutory Manager, Blue Shield Insurance Company Limited (Under Statutory Management)
Respondent
Procedural Posture
Miscellaneous Application / Ruling on Application to Set Aside Warrant of Attachment
Legal Issues
- 1 Whether the warrant of attachment against the 2nd respondent should be set aside.
- 2 Whether there is a judgment against the 2nd respondent warranting attachment of its property.
- 3 Whether the 2nd respondent is liable for the judgment debt or costs.
Ratio Decidendi
The court found that the 2nd respondent was not fully released from liability by the original judgment. While the judgment stated that the claim for pension benefits against the 2nd respondent had been met by Roberts Insurance Brokers and that there would be no order for costs in respect of pension benefits, it did not absolve the 2nd respondent from all liability. The subsequent ruling clarified that any balance was to be recovered from the 1st and 2nd respondents as part of the debt to be paid by the 3rd respondent in accordance with the law. The 2nd respondent, having remained a party to the proceedings and not having been released from the case, is liable for costs. Therefore, the...
Court Disposition
application dismissed with costs to the 2nd respondent/applicant
Orders
- The application by the 2nd respondent to set aside the warrant of attachment is dismissed.
- Costs of the application to be met by the 2nd respondent/applicant.
Full Case Text
Judgment text and source record
49 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT AND LABOUR RELATIONS COURT
CAUSE NO. 1488 OF 2010
RAHAB WOTHAYA ESIROMO
JOSEPH KAMAU RUOYA
SIMON MAINA CHEGE
LABAN MAINA CHEGE................….…. CLAIMANTS
DAVID MUIRU NJOROGE
MICHAEL GIKONYO KINYANJUI
NOBERT OMANYO WABWIRE
STEPHEN WAMBUGU WAWERU
VERSUS
BLUE SHIELD INSURANCE
COMPANY LIMITED ……………...………..…. 1ST REPONDENT
SHIELD ASSURANCE
COMPANY LIMITED ………….……….…….. 2ND RESPONDENT
STATUTORY MANAGER, BLUE SHIELD
INSURANCE COMPANY LIMITED
(UNDER STATUTORY MANAGEMENT) ….... 3RD RESPONDENT
M/S Wetende for applicant
Mr. Kirimi for respondent
RULING
1. By a notice of motion application filed on 24th March 2016, the 2nd respondent Shield Assurance Company Limited seeks interaliaorders that;
the warrant of attachment of movable property in execution of decree for money issued by the Honourable court on 24th February 2016 as against the 2nd respondent/Applicant to Elijah Mbuthia Irura of Warleen Auctioneers and all consequential orders and or actions attendant thereto be set aside and that Warleen Auctioneers be restrained from attaching the applicant’s goods proclaimed on 29th January 2016 or any of its goods or property.
2. The application is based on the grounds set out on the notice of motion.
3. The sole basis of the application is that there is no judgment against the applicant to warrant any attachment of its property as alleged or at all and therefore, the applicant will suffer substantial loss and damage if the orders sought are not granted. The application has been brought timeously and no prejudice will be suffered by the claimant.
4. That in her Judgment delivered on 29th April 2013, at page 10 thereof, Hon. Lady Justice Onyango held interaliathat the claim against the applicant had been overtaken by events as the claim for pension benefits against the second respondent has been met by Roberts Insurance Brokers. The Judge also held that there was no order for costs in respect of the 2nd respondent.
5. Furthermore, upon application by the second respondent on 19th Match 2014, Hon. Maureen Onyango reviewed the Judgment and from the bottom of page 5 of her ruling she held interaliathat
“the Judgment does not say the 2nd respondent will pay the outstanding debt.”
6. The applicants pray the application be allowed.
Responses
7. In the replying affidavit filed on 30th March 2016, the claimant states that the application for review of the Judgment was dismissed on 19th March 2014. That the respondent dissatisfied with the ruling filed an appeal vide a notice of appeal dated 2nd April 2014.
8. The court has never ordered that the 2nd respondent is not liable. The claimants pray that the application be dismissed with costs.
Determination
9. The court has perused the Judgment of Hon. Maureen Onyango J. and in particular at page 10 thereof and it reads;
“the claim against the second respondent has been overtaken by events as the claim for pension benefits against the 2nd respondent has been met by Roberts Insurance Brokers. There shall be no orders for costs in respect of the 2nd respondent.”
10. It is alleged further that, in a ruling delivered on 19th March 2014, the Judge reviewed the Judgment at page 5 of her ruling and held interalia that;
“the Judgment does not say the 2nd respondent will pay the outstanding debt.”
11. Indeed, the learned Judge clarified her statement on page 10 of the Judgment aforesaid thus;
“the issues I was to determine are set out at page 10 of the Judgment. I only absolved the 2nd respondent from payment of costs in respect of pension benefits which responsibility had been met by Roberts Insurance Brokers on intervention of the respondent benefits Authority.”
12. The Judge went to find that the 2nd respondent having been a party to the claim and having applied and failed to be released from the case the 2nd respondent is to pay costs.
13. The Judge went further to clarify that;
“the Judgment does not say that the 2nd respondent will pay the outstanding debt but the judgment says;
Any balance is to be recovered from the 1st and 2nd respondents as part of the debt to be paid by the 3rd respondent in accordance with law under which the receiver manager has been appointed.”
14. Accordingly, the application lacks merit. The 2nd respondent was not released from the Judgment debt in its entirety. Any ambiguity was clarified in the ruling of Maureen Onyango J. delivered on 19th March 2014.
15. The application is dismissed with costs to be met by the 2nd respondent/applicant.
Dated and delivered at Nairobi this 9th day of December 2016
MATHEWS NDERI NDUMA
PRINCIPAL JUDGE