Dawood v Muthaiga Travel Limited (Cause 1014 of 2016) [2024] KEELRC 2328 (KLR) (26 September 2024) (Judgment)

Summary at a glance

Facts

The Claimant was employed as a Branch Manager and later became a Director of the Respondent company. She was removed from her directorship role and her employment was terminated.

Issues

• Whether the Court has jurisdiction to hear the case.
• Whether the Claimant's employment was terminated unfairly.
• Whether the Claimant is entitled to the relief sought.

Reasoning

The Court found that the Claimant held two positions in the Respondent company, one as an employee and the other as a Director. The Court determined that the employment as an employee falls under the Employment Act, but the directorship role does not.

Outcome

The Court dismissed the claim regarding the directorship role but allowed the claim regarding the employment.

Remedies

• A declaration and finding that the retention of her dues after constructive dismissal from office as a branch manager and removal from office as a director was unlawful and illegal and an order for immediate payment of the said dues.
• A declaration and finding that the demand for immediate handover of all office equipment, documents, keys, and all company property amounted to constructive dismissal as the Claimant could no longer perform any duties as per her contract as a branch manager.
• Interest on illegally withheld dues at commercial rates from the date they fell due till full payment.
• A maximum of 12 months compensation for unlawful termination of the Claimant’s employment as a branch manager through constructive dismissal.
• A certificate of service.
• An order as to costs of this suit in favour of the Claimant