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ELRCAllowedNotice of Motion dated 23rd May 2025

Sheria Mtaani na Shadrack Wambui & another v Muguna & another; Omoke & 10 others (Interested Parties) (Employment and Labour Relations Petition E212 of 2024) [2025] KEELRC 2416 (KLR)

Employment and Labour Relations Court
4 September 2025
3,394 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~14 min to read original · ~4 min brief

The bottom line

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The Employment Court paused its own judgment cancelling a Managing Director's contract renewal, preserving the status quo until the Court of Appeal hears the case.

What this practically means

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Executive summary

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This ruling by Hellen Wasilwa J of the Employment and Labour Relations Court at Nairobi, delivered on 4th September 2025, determined a Notice of Motion dated 23rd May 2025 in which the Applicants (Respondents in the main petition, including the Managing Director whose contract renewal had been impugned) sought a temporary stay of findings in the court's judgment delivered on 22nd May 2025 - namely, that there was no indication the 1st Respondent held rare knowledge, skills and competencies justifying retention past retirement age, that his contract renewal beyond mandatory retirement was illegal, null and void, and that recruitment of a substantive Managing Director should commence - pending an intended appeal and application for interlocutory relief at the Court of Appeal. The Petitioners/Respondents objected on jurisdictional grounds, invoking Rule 21(2) of the ELRC Procedure Rules, 2024 (requiring stay applications to be filed in the appeal file) and the doctrine of functus officio, and further argued the application failed the Nguruman tests of arguability, irreparable harm and balance of convenience. The court rejected the jurisdictional objection, holding that under Order 42 rule 6(2) of the Civil Procedure Rules it possessed jurisdiction to grant stay pending appeal. Finding the application timeously filed, an appeal demonstrated, substantial loss established through the risk of rendering the appeal nugatory, and no security required for injunctive reliefs of no monetary value, the court allowed the application for stay as prayed, with costs abiding the outcome of the appeal.

Questions the Court framed

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

  1. 1.Whether this court has jurisdiction to entertain an application for stay of execution of its own judgment pending appeal, by dint of Rule 21(2) of the ELRC Procedure Rules, 2024 and the doctrine of functus officio
  2. 2.Whether the application for stay of execution pending appeal is merited

Key legal issues

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01

Jurisdiction to grant stay of the court's own judgment pending appeal

Holding

The court held that it has jurisdiction to grant stay orders pending appeal notwithstanding the functus officio objection and Rule 21(2) of the ELRC Procedure Rules, 2024.

Reasoning

The court considered Order 42 rule 6(2) of the Civil Procedure Rules, which permits stay where substantial loss may result and the application is made without unreasonable delay. Finding the application timeously filed and an appeal demonstrated, the court concluded it had jurisdiction and would not render the intended appeal nugatory. The security condition did not arise because the application was for injunctive relief with no monetary value.

p. 8
02

Merits of the stay application

Holding

The application for stay as prayed was allowed.

Reasoning

The application was filed timeously on the day judgment was delivered, with a Notice of Appeal and Request for Typed Proceedings filed and served. Granting stay preserved the appeal; the security condition was inapplicable to injunctive reliefs of no monetary value. The court thus allowed the application for stay as prayed, with costs abiding the appeal.

p. 8

Legal principles established

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  • A court that has delivered final judgment retains jurisdiction under Order 42 rule 6(2) of the Civil Procedure Rules to grant stay of execution pending appeal.
  • Where an applicant demonstrates that an appeal has been filed, refusing stay would render the intended appeal nugatory, satisfying the substantial loss condition.

Court orders

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  1. 1.The findings, holdings and conclusions in the judgment delivered on 22/05/2025 (that there was no indication of rare knowledge, skills and competencies; that the renewal of the 1st Respondent's contract beyond mandatory retirement age was illegal, null and void; and that recruitment of a substantive Managing Director should commence) are stayed pending the inter-partes hearing and determination of the application and the Applicants' application for interlocutory relief at the Court of Appeal
  2. 2.The costs of and incidental to the application shall abide the outcome of the appeal

The bench

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

majority

Wrote the judgment

Jurisdiction invoked
Rule 73(2) of the Employment and Labour Relations Court (Procedure) Rules, 2024 adopting Order 42 Rule 6(2) of the Civil Procedure Rules

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.

The court thus allows the application for stay as prayed. The costs will abide the outcome of the appeal.
p. 8Final orders - stay granted
It is my finding that based on the averments of the parties and on that order 42 rule 6(2) this court has jurisdiction to grant stay orders pending appeal.
p. 8Jurisdiction over stay pending appeal
The filing of an appeal demonstrates likelihood of substantial loss in case the appeal succeeds.
p. 8Substantial loss
The issue of security does not arise at this stage, the application being basically for injunctive reliefs with no monetary value attached.
p. 8Security condition

Issues in the judgment

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minor

The Notice of Motion's first prayer is recorded only as 'spent', leaving the opening relief incomplete in the record.

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, "Sheria Mtaani na Shadrack Wambui & another v Muguna & another; Omoke & 10 others (Interested Parties) (Employment and Labour Relations Petition E212 of 2024) [2025] KEELRC 2416 (KLR)", Case Analysis (2025). Notice of Motion dated 23rd May 2025. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2416/eng@2025-09-04

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