Zanele Investment Holding Limited v Alexander Forbes Emerging Markets (PTY) Limited [2017] KEHC 3122 (KLR)
- Court
- High Court of Kenya
- Case number
- 3122
- Citation
- [2017] KEHC 3122 (KLR)
The court does not have jurisdiction to entertain the suit due to the foreign nature of the Defendant and the lack of circumstances falling within the provisions of Order 5 Rule 21 of the Civil Procedure Rules.
Facts
The Plaintiff, Zanele Investment Holding Limited, and the Defendant, Alexander Forbes Emerging Markets (PTY) Limited, entered into a loan agreement on September 7, 2012. The loan was to be used for the Plaintiff's purchase and acquisition of Alexander Forbes HealthCare Limited. The advance was to be made and directed to a foreign account in South Africa.
Issues
- Whether the court has jurisdiction to entertain the suit
- Whether the dispute should be determined through arbitration or litigation
Reasoning
The court found that the Defendant is a foreign entity not trading within the jurisdiction and not domiciled in Kenya. The court ruled that the High Court of Kenya will not assume jurisdiction in relation to any matter arising from the contract unless the circumstances fall within the provisions of Order 5 Rule 21 of the Civil Procedure Rules.
Outcome
The court dismissed the suit due to lack of jurisdiction.
Authorities cited
Legislation (2)
- Civil Procedure Rules 1965
- Order 5 Rule 21 of the Civil Procedure Rules
Cases cited (6)
- The MV Lillian SS [1989] KLR 1
- Republic v Karisa Chengo & 2 others [2017]eKLR
- Raythoon Aircraft Credit Corporation & Another v Air Al-Faraj Ltd [2005]eKLR
- Fonville v Kelly III & Others [2002] 1EA 71
- Karachi Gas Co. Ltd v Issaq [1965] E.A 42
- Hakken Consulting Ltd & 2 Others v Seven Seas Technologies Ltd [2017]eKLR
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