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County Government of Kirinyaga v African Banking Corporation Ltd [2020] KEHC 5213 (KLR)

[2020] KEHC 5213 (KLR) High Court of Kenya
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Court
High Court of Kenya
Case number
5213
Citation
[2020] KEHC 5213 (KLR)
Decided
4 May 2020
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeCivilPostureApplication for stay of proceedings and referral to arbitrationCoramThe presiding judge
Holding

The court will not refer the matter to arbitration as the agreement and by extension the arbitration clause are null and void as they violate various provisions of the law.

Facts

The Plaintiff filed a suit challenging the validity of a Revenue Collection and Management System Agreement with the Defendant, and also sought a stay of arbitration proceedings. The Defendant filed an application seeking a stay of all court proceedings and referral to arbitration.

Issues

  1. Whether the proceedings should be stayed and the matter referred to arbitration.
  2. Whether the arbitration agreement is null and void, inoperative or incapable of being performed.

Reasoning

The court found that the arbitration agreement is null and void, and therefore will not refer the matter to arbitration.

Outcome

The court denied the application to stay the proceedings and refer the matter to arbitration.

Authorities cited

Legislation (2)
  • Arbitration Act No. 4 of 1995
  • Public Procurement and Assets Disposal Act
Cases cited (2)
  • Njogu & Company Advocates –v- National Bank of Kenya Limited (2016) eKLR
  • Niazsons (K) Limited –v- China Road and Bridge Corporation (supra)
Experimental AI summary generated by a language model, not a lawyer. It may contain errors or omissions and must not be relied on for legal decisions — the full judgment below is the authoritative source.
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