[2024] KECPT 918 (KLR)
The Tribunal found that the Claimant was a member of the Respondent Sacco, had withdrawn his membership, and provided evidence of his contributions. The Respondent's reliance on the AGM resolution imposing a two-year moratorium on refunds was not sufficient to defeat the Claimant's substantive right to a refund, as...
Source-derived case information.
- Citation
- [2024] KECPT 918 (KLR)
- Parties
- Applicant: Edwin Wafula; Respondent: Metropolitant Sacco Ltd
- Court
- Cooperative Tribunal
- Jurisdiction
- Kenya
- Case Number
- Tribunal Case 294/E402 of 2023
- Procedural Posture
- Refund Claim / Judgment
- Outcome
- judgment for the claimant
- Judges
- BM Kimemia, J. Mwatsama, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw, PO Aol
- Legal Topics
- Sacco Member Refunds, Share Contributions, Withdrawal of Membership
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Edwin Wafula
Applicant
Metropolitant Sacco Ltd
Respondent
Procedural Posture
Refund Claim / Judgment
Legal Issues
- 1 Whether the Claimant is entitled to a refund of his share contributions upon withdrawal from the Sacco.
- 2 Whether the Respondent's AGM resolution lawfully bars the Claimant's refund for two years.
Ratio Decidendi
The Tribunal found that the Claimant was a member of the Respondent Sacco, had withdrawn his membership, and provided evidence of his contributions. The Respondent's reliance on the AGM resolution imposing a two-year moratorium on refunds was not sufficient to defeat the Claimant's substantive right to a refund, as there was no evidence of any outstanding liability or obligation attached to the Claimant. The Tribunal was satisfied that the Claimant had made the requisite contributions and was entitled to a refund. Judgment was therefore entered in favour of the Claimant for the sum claimed, with costs and interest.
Court Disposition
judgment for the claimant
Orders
- The Respondent shall pay the Claimant Kshs 109,000 as refund of share contributions.
- The Respondent shall pay costs of the claim to the Claimant.
Full Case Text
Judgment text and source record
22 paragraphs
Wafula v Metropolitant Sacco Ltd (Tribunal Case 294/E402 of 2023) [2024] KECPT 918 (KLR) (27 June 2024) (Judgment)
Neutral citation: [2024] KECPT 918 (KLR)
Republic of Kenya
In the Cooperative Tribunal
Tribunal Case 294/E402 of 2023
BM Kimemia, Chair, J. Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw & PO Aol, Members
June 27, 2024
Between
Edwin Wafula
Claimant
and
Metropolitant Sacco Ltd
Respondent
Judgment
1. Matter for determination is Statement of Claim dated 10/1/2023 filed on 2/6/2023. The Claimant states that he was a member of the Respodnent Sacco being member No 60102. He avers he withdrew from the Society on 8/4/2021 and requests for a refund of his shares of Kshs 109,000. 00/=.The Respondent has failed to refund the same and his prayers is for;i.The Claimant be paid his total contribution as particularized in paragraph 3 herein above amounting to Kshs 109,000. 00/=.ii.The Honourable Court to issue such orders and give such directions as it may deem fit to meet the ends of justice.iii.The Respondent to pay the costs of this claim.iv.Interest on the above court rates.
2. The Claimant filed his List of Documents dated 5/11/2022 filed on 2/6/2023 and included the following documents;1. Pay slip.2. Withdrawal letter.3. Demand letter.
3. The Respondent filed a Statement of Defence dated 21/6/2023 filed on even date. The Respondents admits that the Claimant was their member No 60103 and operated a FOSA account No 0040014555 making monthly deposits.Other than that, they deny the other averments of the Statement of Claim and state that, as a former member of the Claimant, he is bound by the Respondent’s Annual General meeting resolution that there be a refund schedule as at May 2022 no other refunds would be made for a period of 2 years.The Respondents further deny receiving any notice from the Claimant.
4. The Respondent filed a List of Documents dated 21/6/2023 and the documents there being;1. Claimant’s member statement2. Sacco By-laws3. 2019 and 2022 Annual General Meeting Resolutions
5. The matter being one for refunds, the parties were directed by the Tribunal to file Written Submissions for speedy disposal of the matter.The Claimant filed Written Submissions dated 16/1/2023 on 20/1/2023 and as at the date of writing this judgement, the Respondents had not filed their Written Submissions.
6. The issue for determination is: Whether the Claimant ought to be refunded his deposits.The Claimant is not disputed he was a member of the Respondent Sacco. What is in dispute is whether he should be refunded his contribution.The Claimant attached his pay slip for the month of showing deduction made to the Respondents.As such, we are convinced the Claimant had savings and is thus entitled to their refund as they have no liability or` obligations attached.
Upshot.Judgment is entered in favour of the Claimant against the Respondent for Kshs 109,000/= plus costs and interests.
JUDGMENTSIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 27TH DAY OF JUNE, 2024. Hon. B. Kimemia - Chairperson …………………….Hon. J. Mwatsama - Deputy Chairperson …………………….Hon. Beatrice Sawe - Member …………………….Hon. Fridah Lotuiya - Member …………………….Hon. Philip Gichuki - Member …………………….Hon. Michael Chesikaw - Member …………………….Hon. Paul Aol - Member …………………….Tribunal Clerk Jonah