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Court of AppealDismissedNot stated in the judgment· [2023] KECA 1426 (KLR)

Meya Agri Traders Limited v Eco Bank Kenya Limited

Court of Appeal of Kenya
24 November 2023
KMK. M'InotiFSF. SichaleFOF. Ochieng
2,485 words in judgment
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The bottom line

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Kenya's Court of Appeal refused to use the slip rule to add interest to a judgment, confirming the rule only fixes obvious clerical errors, not overlooked claims.

What this practically means

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Executive summary

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The applicant, which had succeeded in a Court of Appeal judgment dated June 5, 2020 awarding it Kes 10,566,700/- with costs, brought an application dated June 26, 2020 under rule 35 of the Court of Appeal Rules, 2010 (the slip rule) seeking correction of an alleged accidental slip or omission - the failure to award interest on the decretal sum, interest having been prayed for in the plaint and awarded by the High Court on both sums. The respondent opposed, arguing that the memorandum of appeal was limited to the principal sum and dishonoured cheques, that no claim for interest was raised, that the decree had been settled by a consent of February 9, 2021 which was adopted as a court order, and that the applicant had thereby waived any claim to interest. The court framed a single issue: whether the slip rule was applicable. It reviewed the jurisprudence, including the Supreme Court's decision in Fredrick Otieno Outa v Jared Odoyo Okello and the Court of Appeal's decisions in Mukuru Munge and Sanitam Services, establishing that the slip rule is confined to correcting clerical or arithmetical mistakes or accidental slips so as to give effect to the court's intention, and does not permit a court to sit in appeal over, or substantially alter, its own judgment. The court found that interest was never a ground of appeal, so the appellate court could not be faulted for silence on it; determining entitlement to interest would require going into the merits - an appeal from the court's own decision, outside the slip rule. The application was dismissed with costs to the respondent.

Key legal issues

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Applicability of the slip rule (rule 35) to award interest omitted from an appellate judgment

Holding

The slip rule was not applicable; the application was dismissed

Reasoning

The court accepted that its June 5, 2020 judgment was silent on interest and that interest had been awarded by the High Court, but held that the applicant never raised any ground of appeal on interest. Determining entitlement to interest would require interpreting the judgment and going into the merits of the appeal - effectively an appeal from the court's own decision - which the slip rule does not permit. There being no clerical or arithmetical error or accidental slip, granting the application would not give effect to the manifest intention of the court.

p. 5

Legal principles established

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  • The jurisdiction under the slip rule is limited to correcting errors arising from accidental slip or omission to give effect to the manifest intention of the court; it does not permit the court to sit in judgment on the merits of its own previous decisions
  • A court will apply the slip rule only where it is satisfied it is giving effect to its intention at the time judgment was given, or where it is satisfied beyond doubt as to the order it would have made had the matter been brought to its attention
  • Where an issue (here, interest) was not raised as a ground of appeal and the appellate judgment was silent on it, the court cannot be faulted for not determining it, and the slip rule cannot be used to determine that issue

Court orders

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  1. 1.The application dated June 26, 2020 seeking correction of an accidental slip or omission by awarding interest on Kes 10,566,700/- was dismissed
  2. 2.Costs of the application awarded to the respondent
On appeal from
High Court
Not stated
Jurisdiction invoked
Rule 35 of the Court of Appeal Rules, 2010 (slip rule)

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Meya Agri Traders Limited v Eco Bank Kenya Limited", Case Analysis (2023). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2023/1426/eng@2023-11-24

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.