PETER MUSEMBI NZIOKI v BARCLAYS BANK KENYA LIMITED [2013] eKLR

Kenya Law

Automated Summary

Key Facts

The claimant, Peter Musembi Nzioki, was employed by Barclays Bank Kenya Limited from March 1979 as a Bank Clerk on permanent terms. His employment was terminated on 16 April 1999. The claim for wrongful termination was initially filed in 2006 (PMCC No. 12429), withdrawn in 2011, and refiled in the Industrial Court on 3 October 2011. The respondent argued the claim was time-barred under the Limitation of Actions Act (6 years) and the Employment Act 2007 (3 years). The court held the claim was filed over 12 years after termination, exceeding all applicable limitation periods, and dismissed it as time-barred under Section 90 of the Employment Act 2007, which does not apply retrospectively.

Issues

  • Whether the Employment Act 2007, enacted after the 1999 termination, applies retroactively to govern the limitation period for this claim, or if the pre-2007 Employment Act (Cap 226) and Limitation of Actions Act (Cap 22) remain applicable
  • Whether the claimant's withdrawal of the 2006 RMCC 12429 case at Milimani Commercial Courts affected the validity of the current 2011 Industrial Court claim, particularly regarding the time-barred limitation period
  • Whether the claimant failed to comply with Section 4(4) of the Trade Disputes Act (now repealed) requiring termination disputes to be reported to the Minister within 28 days of dismissal
  • Whether the claim for wrongful termination filed in 2011 is time-barred under Section 4(1) of the Limitation of Actions Act (6-year contract limitation) and Section 90 of the Employment Act 2007 (3-year employment claim limitation), given the termination occurred in April 1999

Holdings

The court upheld the respondent's preliminary objections and dismissed the claim as time-barred under the Limitation of Actions Act (Section 4(1)), the repealed Trade Disputes Act (Section 4(4)), and the Employment Act 2007 (Section 90). The claimant's failure to report the dispute within 28 days of termination and subsequent delay in filing claims rendered the suit incompetent and an abuse of the court process.

Remedies

  • Additionally, the costs of the case were awarded to the respondent
  • The court upheld the preliminary objections and dismissed the claim on the grounds of being time-barred

Legal Principles

  • The court used a purposive approach in interpreting the Employment Act 2007, determining that it does not apply retroactively to contracts terminated before its enactment, thus upholding the time-bar under the repealed statutes.
  • The court emphasized the importance of adhering to limitation periods under the Limitation of Actions Act and the Employment Act, stating that such provisions are substantive and not procedural, affecting the claimant's right to pursue the claim.

Precedent Name

  • Mukisa Biscuits Co. Ltd vs. West End Distributors Ltd
  • Tailors & Textile Workers Union vs. Moi University and Rivertext E.A. Ltd
  • Francis Mwamburi Madegu versus African Boot Company Limited
  • Maria Machocho vs. Total Kenya Limited

Cited Statute

  • Limitation of Actions Act
  • Employment Act, 2007
  • Trade Disputes Act, Cap 234 (Repealed)

Judge Name

Monica Mbaru

Passage Text

  • The claimant failed to attach the 'recommendation of the conciliator' which would have guided the court as to the nature of recommendations and the role the respondent was expected to take.
  • The claimant's employment was terminated on 16th April 1999, over 10 years from the date of filing this claim in the Industrial Court on the 3rd of October 2011 and therefore by operation of the law, the claim had by then lapsed.
  • Section 90 of the Employment Act 2007 is not merely procedural but substantive provision. It affects rights which persons such as the Claimant enjoyed. It is a general presumption at common law and rule of statutory interpretation that statutes should not be interpreted to operate retrospectively unless there is express intention by the legislature.