Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCAllowedNot stated in the judgment (application dated 6th November, 2020)

Banking Insurance and Finance Union v SMEP Microfinance Bank Limited [2020] KEELRC 19 (KLR)

Employment and Labour Relations Court
15 December 2020
1,538 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~6 min to read original · ~4 min brief

The bottom line

#

Kenya's Employment Court set aside a contempt finding against SMEP Microfinance Bank after discovering it had been ordered to deduct union dues for 35 workers who had left the union.

What this practically means

#

Executive summary

#
The respondent bank, SMEP Microfinance Bank Limited, applied by notice of motion dated 6th November, 2020 under Rules 33(1)(d), 17 and 28 of the ELRC (Procedure) Rules for review of a ruling delivered on 27th October, 2020 by Lady Justice Wasilwa in which it was found in contempt of an order of 28th May, 2020 requiring it to remit union dues of all employees who were members of the claimant union, with the managing director directed to appear for sentencing. The respondent's case, deposed to by Rose Chepkemboi Bii, head of human resources, was that the contempt complaint related only to 35 employees who had ceased to be union members, that the union had been notified of this as required under section 54(8) of the Labour Relations Act, and that it could not remit dues for non-members, some of whom had left its service. The claimant union, through the replying affidavit of Isaiah Munoru Mucheke, maintained that the alleged withdrawals did not comply with section 48 of the Labour Relations Act and that court authority had to be protected. The claimant did not attend the hearing. Applying Rule 33 and the cited review authorities, the court held that material facts were omitted, and that had they been addressed the direction to remit dues for the 35 non-members would have been seen to be in error. The application was allowed, the ruling of 27th October, 2020 was reviewed, and the respondent was found not in contempt of court. Costs were ordered to be in the cause.

Questions the Court framed

#

The issues the Court set itself to decide, in its own words.

  1. 1.Whether the application dated 6th November, 2020 meets the grounds for review under Rule 33 of the ELRC (Procedure) Rules, in particular error apparent on the face of the record
  2. 2.Whether the respondent should be found not in contempt of the order of 28th May, 2020 requiring remittance of union dues

Key legal issues

#
01

Whether the contempt ruling of 27th October, 2020 should be reviewed

Holding

The ruling was reviewed on the ground of error apparent on the face of the record and omission of material facts, and the respondent was found not to be in contempt.

Reasoning

At the sentencing hearing on 29th October, 2020 it emerged that 35 of the employees in respect of whom remittance was ordered had ceased to be union members. Had this been addressed before the contempt ruling, it would have been apparent that the direction to remit union dues for them was made in error. The court, having itself directed the filing of a review application, found sufficient cause under Rule 33 and allowed the review.

p. 3

Legal principles established

#
  • A review may be allowed under Rule 33 upon discovery of new and important matter, error apparent on the face of the record, or any other sufficient reason, provided the application is made without unreasonable delay.
  • A review lies to correct an apparent error or omission that is self-evident and requires no elaborate argument; a mere difference of judicial view or erroneous conclusion of law is not a ground for review.

Court orders

#
  1. 1.Application dated 6th November, 2020 allowed
  2. 2.Ruling delivered on 27th October, 2020 reviewed and the respondent found not in contempt of court
  3. 3.Costs in the cause

The bench

#

One judgment of the whole court — no separate or dissenting opinions.

majority

Wrote the judgment

Jurisdiction invoked
Employment and Labour Relations Court (Procedure) Rules, Rule 33 (review jurisdiction)

Quotable passages

#

Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

Accordingly, application dated 6th November, 2020 is hereby allowed and the ruling delivered on 27 th October, 2020 hereby reviewed and the respondent found not in contempt of court. Costs shall be in the cause.
p. 3Final orders - review allowed, contempt set aside
The error or omission must be self-evident and should not require an elaborate argument to be established.
p. 3Grounds for review - error apparent on the face of the record
whatever the ground there is a requirement that the application has to be made without un reasonable delay
p. 3Requirement of promptness in review applications

Issues in the judgment

#
minor

Date of the contempt ruling is inconsistently given as 27th October 2020 and '20220'

minor

The claimant statute is referred to as 'Labour Relations Court Act' whereas the provision relied on (section 48) is of the Labour Relations Act

minor

The claimant is referred to as 'the claimant union' without its full name being expressly stated in the judgment text; parties named from context

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Banking Insurance and Finance Union v SMEP Microfinance Bank Limited [2020] KEELRC 19 (KLR)", Case Analysis (2020). Not stated in the judgment (application dated 6th November, 2020). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/19/eng@2020-12-15

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