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Directline Assurance Company & 4 others v Aliker & 8 others (Miscellaneous Civil Application E250 of 2021) [2022] KEHC 14573 (KLR) (Commercial and Tax) (13 October 2022) (Ruling)

[2022] KEHC 14573 (KLR) High Court of Kenya
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Court
High Court of Kenya
Case number
14573
Citation
[2022] KEHC 14573 (KLR)
Decided
13 October 2022
AI Summary Beta Machine-generated — may contain errors. Not legal advice.
TypeMiscellaneous Civil ApplicationPostureApplication to strike out and declare invalid an appointment of an arbitratorCoramW. A. OKWANY
Holding

The application is dismissed with costs, and the appointment of W.G. Wambugu Advocates is declared invalid.

Facts

The 6th Plaintiff, through its majority shareholder, seeks to challenge the appointment of W.G. Wambugu Advocates as the arbitrator for the 5th Respondent, AKM Investments Limited, in a commercial dispute.

Issues

  1. Appointment of W.G. Wambugu Advocates as arbitrator for AKM Investments Limited
  2. Validity of the appointment

Reasoning

The court found that the appointment was not valid as it was not authorized by the company's shareholders and directors, and the company's internal affairs should be managed by the company itself.

Outcome

Application dismissed

Orders

  • Striking out and expunging the Notice of Appointment and other pleadings filed by W.G. Wambugu Advocates

Remedies

  • Costs awarded to the 6th Plaintiff

Authorities cited

Legislation (1)
  • Arbitration Act, 1995
Cases cited (1)
  • Bugerere Coffee Growers Ltd vs SSebaduka & Another (1970) EA 147
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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