[2014] KEHC 4432 (KLR)

[2014] KEHC 4432 (KLR)

The court held that while the Constitution and Civil Procedure Act empower courts to promote and refer matters to alternative dispute resolution mechanisms, such referral cannot be compelled in the absence of a binding dispute resolution clause or statutory requirement. The Plaintiff, having expressed reservations...

Source-derived case information.

Citation
[2014] KEHC 4432 (KLR)
Parties
Plaintiff: Unilever Kenya Limited; Defendant: Procter & Gamble International Operations SA; Defendant: Procter & Gamble Services Limited; Defendant: Scangroup Limited
Court
High Court
Court Station
High Court at Nairobi (Milimani Commercial Courts)
Jurisdiction
Kenya
Case Number
Civil Suit 370 of 2013
Procedural Posture
Civil Suit / Ruling on Interlocutory Applications Regarding Referral to Alternative Dispute Resolution and Setting Aside of Court Directions
Outcome
Both the Plaintiff’s and the 1st and 2nd Defendants’ applications are dismissed. Each party to bear its own costs.
Judges
CM Kamau
Legal Topics
Alternative Dispute Resolution, Advertising Disputes, Jurisdiction of Court, Injunctive Relief, Contempt of Court
Source Language
en
Commercial and Corporate Civil Procedure Alternative Dispute Resolution Advertising Disputes Jurisdiction of Court Injunctive Relief Contempt of Court

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Parties

Unilever Kenya Limited

Plaintiff

Procter & Gamble International Operations SA

Defendant

Procter & Gamble Services Limited

Defendant

Scangroup Limited

Defendant

Procedural Posture

Civil Suit / Ruling on Interlocutory Applications Regarding Referral to Alternative Dispute Resolution and Setting Aside of Court Directions

  1. 1 Whether the 1st and 2nd Defendants were in contempt of the court’s directions issued on 17th September 2013.
  2. 2 Whether there was a dispute capable of being referred to the Advertising Standards Committee (ASC).
  3. 3 Whether the 1st and 2nd Defendants’ application dated 30th September 2013 was an abuse of the court process or was competent as filed.

Ratio Decidendi

The court held that while the Constitution and Civil Procedure Act empower courts to promote and refer matters to alternative dispute resolution mechanisms, such referral cannot be compelled in the absence of a binding dispute resolution clause or statutory requirement. The Plaintiff, having expressed reservations about the impartiality of the ASC and lacking any contractual obligation to submit to its jurisdiction, could not be forced to do so. The court found that the Plaintiff’s right to access the court was not violated by the direction to attempt settlement at the ASC, as the order was merely to attempt resolution and did not preclude the Plaintiff from pursuing its case in court....

Court Disposition

Both the Plaintiff’s and the 1st and 2nd Defendants’ applications are dismissed. Each party to bear its own costs.

Orders

  • The Plaintiff’s Notice of Motion application dated 10th October 2013 is dismissed.
  • The 1st and 2nd Defendants’ Notice of Motion application dated 30th September 2013 is dismissed.