Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCPartially Allowed

Ipomai v Sanlam Kenya Limited (Cause 263 of 2018) [2024] KEELRC 1521 (KLR)

Employment and Labour Relations Court
14 June 2024
1,690 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

#

A Kenyan employment court ruled that confidentiality clauses cannot hide relevant documents from judges, but lawyer-client communications stay protected.

What this practically means

#

Executive summary

#
The Respondent applied by notice dated July 27, 2023 for expungement from the record of twelve categories of documents filed by the Claimant, a former senior manager (Group Chief Finance Officer and Acting Principal Officer of its subsidiary, Sanlam Life Insurance Limited), challenging her dismissal. The Respondent argued the documents were unlawfully obtained or retained after termination, breached confidentiality clauses in the employment contract and Human Resource Policy, infringed its rights to privacy (Article 31) and fair administration of justice (Article 50), included privileged advocate-client material, included 'without prejudice' settlement correspondence, and were irrelevant. The Claimant opposed, submitting the documents came to her by virtue of her senior position and were relevant to her claim. The Court held that the documents are relevant to the disciplinary proceedings and the challenge to dismissal; that they are shared with the Court, not third parties, so no confidentiality or privacy breach arises; that confidentiality clauses target competitors, not courts, which have a 'need to know'; that reports of public agencies such as the IRA are likely to enter the public domain; and that parties must make full disclosure of relevant documents under Section 3 of the ELRC Act. Protective orders short of expungement (restriction on non-party access, sealing of file) remain available. The 'without prejudice' letters were admitted only to show that settlement negotiations occurred, not as evidence of agreed terms. The only document expunged was the draft legal opinion of Daly & Inamdar Advocates, protected by sacrosanct client-advocate privilege. All other documents were allowed; no order was made on costs.

Questions the Court framed

#

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

  1. 1.Whether documents allegedly obtained or retained unlawfully and in breach of confidentiality clauses by the Claimant should be expunged from the record
  2. 2.Whether the documents breach the Respondent's rights to privacy and fair administration of justice
  3. 3.Whether 'without prejudice' correspondence is admissible
  4. 4.Whether the draft legal opinion of Daly & Inamdar Advocates is protected by client-advocate privilege and should be expunged

Key legal issues

#
01

Admissibility of documents allegedly obtained or retained in breach of confidentiality obligations

Holding

The documents were not expunged; they are relevant, are shared with the Court and not third parties, and confidentiality clauses cannot exclude the Court

Reasoning

The Claimant interacted with the documents as Group Chief Finance Officer and Acting Principal Officer of the Respondent's subsidiary. The documents are relevant to her challenge to dismissal and are mentioned in the pleadings. Confidentiality clauses protect trade secrets from competitors and cannot be directed at the Court, which has a need to know. Reports from public agencies like the IRA are likely to come into the public domain.

p. 3
02

'Without prejudice' settlement correspondence

Holding

Admissible to show that a settlement/negotiation exercise took place, but not as evidence of agreed terms

Reasoning

The letters were authored during an attempt at amicable mutual separation, which the Respondent itself pleads. The Claimant relies on them only to show negotiation took place, not that terms were agreed. The Court will not impose any proposed settlement terms on the parties.

p. 4
03

Client-advocate privilege over the draft legal opinion of Daly & Inamdar Advocates

Holding

The draft legal opinion is privileged and was expunged

Reasoning

The Court agreed with the Respondent that the draft opinion constitutes privileged communication between advocate and client. Privilege is sacrosanct and fundamental to the Rule of Law. The Claimant can prosecute her claim adequately without it, and the Court can always invite legal opinion if needed.

p. 4
04

Parties' duty to assist the Court under Section 3 of the ELRC Act

Holding

The duty includes full disclosure of relevant documents

Reasoning

Section 3 of the Employment & Labour Relations Court Act obliges parties to assist the Court and participate fully to enable just determination. Availing relevant records was compliance with that duty, not an act in furtherance of personal interest against the former employer.

p. 3

Legal principles established

#
  • Confidentiality clauses in employment contracts are directed at competitors and third parties, and cannot bar a court from accessing relevant evidence
  • Once documents are placed before a court they belong to the court, and a party fearing breach of confidentiality may seek protective orders short of expungement
  • Client-advocate privilege is sacrosanct and courts will protect it at all times

Court orders

#
  1. 1.The Court shall allow the Claimant to exhibit all documents as filed, except the draft legal opinion of Daly & Inamdar Advocates, dated July 21, 2017
  2. 2.No order on the costs

The bench

#

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

majority

Wrote the judgment

Jurisdiction invoked
Employment and Labour Relations Court Act, Section 3

Relief refused

#

Expungement of all documents except the draft legal opinion

The documents are relevant to the dispute, are being shared with the Court rather than third parties, and confidentiality clauses cannot bar the Court from accessing relevant evidence

p. 4

Costs

No order on the costs

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.

Confidentiality clauses are normally directed at business competitors. They are aimed at protecting the Employer’s trade secrets, business operations and strategies. They cannot be directed at the Court, barring it from accessing evidence which is relevant, in determining disputes.
p. 3Scope of confidentiality clauses vis-à-vis courts
It is not in the interest of fair administration of justice, to expunge documents which are relevant, in resolution of the issues in dispute.
p. 4Expungement and fair administration of justice
The Court shall allow the Claimant to exhibit all documents as filed, except the draft legal opinion of Daly & Inamdar Advocates, dated July 21, 2017.
p. 4Final orders
This privilege is sacrosanct for obvious reasons, and Courts will protect it, at all times. It is fundamental to the Rule of Law.
p. 4Client-advocate privilege

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Ipomai v Sanlam Kenya Limited (Cause 263 of 2018) [2024] KEELRC 1521 (KLR)", Case Analysis (2024). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1521/eng@2024-06-14

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