David Nyakengo Nyakwama & another v Kenya Tea Development Agency Ltd & 2 others [2020] KEHC 2425 (KLR)

Facts

The applicants, as founder shareholders of the 2nd defendant, contested the election of the 3rd respondent as a director of Nyamache Tea Factory Company Limited. The 3rd respondent was disqualified by the verification committee but later cleared by the Dispute Resolution Committee. The applicants challenged the decision, alleging mismanagement and bias.

Issues

1. Whether the court has jurisdiction to entertain the application for a temporary injunction.
2. Whether the applicants have exhausted the available mechanisms for dispute resolution.

Reasoning

The applicants did not challenge the election of the 3rd respondent before the returning officer within 48 hours as required by the rules. The court found that the applicants' remedy lay in judicial review, not the original jurisdiction of the court. The court also noted that there was already a decision by a competent body operating under recognized rules/mechanism.

Outcome

Application dismissed

Authorities cited