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ELRCStruck OutNot stated in judgment

Njeri (Suing as the Legal Representative of the Estate of Anthony Nguri Karori) v East African Portland Cement Company PLC (Miscellaneous Application E841 of 2022) [2024] KEELRC 1744 (KLR)

Employment and Labour Relations Court
5 July 2024
1,161 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~5 min to read original · ~4 min brief

The bottom line

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The ELRC struck out a widow's claim for her late husband's dues because it was filed more than three years after his death, which is when the countdown started.

What this practically means

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Executive summary

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The Respondent filed a Notice of Preliminary Objection dated 16th December 2022 seeking dismissal of the Claimant's suit on the grounds that it was time barred under Section 90 of the Employment Act, that the Court lacked jurisdiction, and that the claim was vexatious and an abuse of process. The Claimant, the widow of the deceased employee Antony Ngugi Karuri, opposed the objection, arguing that the Respondent's letters of 16th January 2020 and 28th June 2021 admitting that terminal dues were owed, payable upon obtaining letters of administration, constituted an admission creating a fresh cause of action, so the claim filed in November 2022 was within three years. The Court applied the Mukisa Biscuit test, holding that the objection was a pure point of law on undisputed facts. Construing Section 90 of the Employment Act, the Court held that the cause of action accrues upon cessation of the employment contract, which occurred on 29th June 2019 upon the employee's death, not upon the employer's admission of liability. The claim therefore ought to have been filed by 29th June 2022, and the Claimant filed late with no explanation and without obtaining a limited grant. Following Michira & 41 others v Aegis Kenya Ltd, the Court held that Section 90 is mandatory and the Court has no jurisdiction to extend time. While sympathising with the Claimant, the Court sustained the objection, struck out the suit as incompetent, and made no orders as to costs, while urging the Respondent in the spirit of Alternative Justice and Corporate Social Responsibility to consider settling the deceased's dues for the benefit of his family.

Questions the Court framed

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

  1. 1.Whether the Claimant's claim is time barred under Section 90 of the Employment Act
  2. 2.Whether time began to run on the death of the employee (cessation of the contract) or upon the Respondent's admission of liability
  3. 3.Whether this Court has jurisdiction to entertain a claim filed out of the three-year limitation period

Key legal issues

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01

When does limitation begin to run under Section 90 of the Employment Act where the employment ends by death of the employee?

Holding

Time runs from the cessation of the contract, i.e. the date of the employee's death, not from the employer's subsequent admission of liability

Reasoning

Section 90 requires claims arising out of employment to be filed within three years of the act or default complained of. The court held that the cause of action accrues on cessation of the contract. Since the employer-employee relationship ended on 29th June 2019 upon the deceased's death, the three-year period expired on 29th June 2022, and the claim filed in November 2022 was out of time. The Respondent's letters admitting owing dues did not create a fresh cause of action.

02

Whether the Court can extend time or excuse non-compliance with Section 90

Holding

No - Section 90 is mandatory and the Court has no jurisdiction to extend time; the suit filed out of time must be struck out

Reasoning

Relying on Michira & 41 others v Aegis Kenya Ltd, the court held that Section 90 is framed in mandatory terms and the Court is denied jurisdiction to extend time. The Claimant offered no explanation for the delay or for failing to obtain a limited grant to file in time. The court expressed sympathy but held the statute must take its course, only urging the Respondent to consider settling the dues voluntarily.

p. 3

Legal principles established

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  • Under Section 90 of the Employment Act, the cause of action accrues upon cessation of the employment contract, not upon the employer's admission of liability for dues
  • Section 90 of the Employment Act is mandatory and this Court has no jurisdiction to extend the three-year limitation period

Court orders

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  1. 1.The Notice of Preliminary Objection by the Respondent is sustained
  2. 2.The suit is struck out as incompetent
  3. 3.No orders as to costs

The bench

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

Wrote the judgment

Jurisdiction invoked
Original jurisdiction of the Employment and Labour Relations Court over employment and labour relations claims

Relief refused

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Claimant's suit for terminal dues of the deceased employee

The claim was filed out of time; Section 90 of the Employment Act is mandatory and the Court cannot extend the three-year limitation period

p. 3

Claimant's prayer for costs against the Respondent

The Court struck out the suit with no orders as to costs

p. 3

Costs

No orders as to costs - 'the suit is hereby struck out as incompetent but with no orders as to costs.'

Quotable passages

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

A proper reading of the above provision of Section 90 of the Employment Act leads to the conclusion that the cause of action starts running after cessation of the contract.
p. 3Accrual of cause of action under Section 90 of the Employment Act
This Court is denied jurisdiction to extend time to file suits not lodged with the court within 3 years from the date the cause of action arose.
p. 3Mandatory nature of the limitation period and absence of jurisdiction to extend time
The objection by the Respondent is however as per the law, sustained and the suit is hereby struck out as incompetent but with no orders as to costs.
p. 3Final orders - preliminary objection sustained, suit struck out with no orders as to costs

Issues in the judgment

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minor

The judgment refers inconsistently to the deceased employee's name - 'Antony Ngugi Karuri' and 'Antony Ngugi Karori'

minor

The judgment refers to a 'last admission on 28th July, 2021' while earlier referring to the admission letter as dated 28th June 2021

material

The case caption, cause number and parties' names are not reproduced in the provided judgment text

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, "Njeri (Suing as the Legal Representative of the Estate of Anthony Nguri Karori) v East African Portland Cement Company PLC (Miscellaneous Application E841 of 2022) [2024] KEELRC 1744 (KLR)", Case Analysis (2024). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1744/eng@2024-07-05

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