Samuel Marak & 6 others v Nyabomite Farmers Co-Operative Society Ltd & 4 others [2020] eKLR Case Summary

Court
Co-operative Tribunal at Nairobi
Category
Civil
Judge(s)
Hon. B. Kimemia (Chairman), Hon. F. Terer (Deputy Chairman), P. Gichuki (Member)
Judgment Date
April 09, 2020
Country
Kenya
Document Type
PDF
Number of Pages
3
Explore the case summary of Samuel Marak & 6 others v Nyabomite Farmers Co-Operative Society Ltd & 4 others [2020] eKLR, highlighting key legal insights and implications for cooperative disputes.


Case Brief: Samuel Marak & 6 others v Nyabomite Farmers Co-Operative Society Ltd & 4 others [2020] eKLR

1. Case Information:
- Name of the Case: Samuel Marak & Others v. Nyabomite Farmers Co-Operative Society Ltd & Others
- Case Number: Tribunal Case No. 328 of 2019
- Court: Cooperative Tribunal at Nairobi
- Date Delivered: April 9, 2020
- Category of Law: Civil
- Judge(s): Hon. B. Kimemia (Chairman), Hon. F. Terer (Deputy Chairman), P. Gichuki (Member)
- Country: Kenya

2. Questions Presented:
The central legal issues presented before the Tribunal include:
- Whether the Claimants should be barred from holding a meeting scheduled for June 25, 2019, until the suit is resolved.
- Whether the Respondents' applications to convene a Special General Meeting and to set aside previous orders should be granted.

3. Facts of the Case:
The Claimants, led by Samuel Marak, are former officials of the Nyabomite Farmers Co-Operative Society Ltd (1st Respondent). They assert their legal position based on a court order that allegedly grants them authority over the cooperative. The Respondents, including Alloys Joseph Abuga and others, contest this claim, asserting they were duly elected on October 11, 2018, and that the Claimants were removed from office following a surcharge by the Commissioner of Co-operatives.

The dispute arises from the Claimants' assertion that they will suffer irreparable harm if the Respondents are allowed to hold a meeting to conduct society business while the case is pending.

4. Procedural History:
The case progressed through the Cooperative Tribunal with several applications filed:
- The Claimants filed an application on June 18, 2019, seeking to prevent the Respondents from holding meetings until the case was resolved.
- The Respondents filed their application on July 1, 2019, seeking to set aside previous orders and convene a Special General Meeting.
- The Claimants filed a further application on July 31, 2019.

All applications were heard through written submissions, with the Claimants submitting their initial and supplementary submissions, while the Respondents filed their response.

5. Analysis:
- Rules: The Tribunal considered the relevant statutes concerning cooperative societies and the authority of the Commissioner of Co-operatives Development to conduct inquiries and manage cooperative affairs.
- Case Law: The Tribunal referenced previous High Court orders that established the legal framework for the management of the cooperative and the circumstances under which officials could be removed or retained.
- Application: The Tribunal determined that the Claimants did not sufficiently rebut the Respondents' claims regarding their election and the inquiry that led to the Claimants' removal. The Tribunal emphasized the need for continuity in the cooperative's operations, especially in light of the ongoing pandemic, leading to the decision to uphold the current officials' positions until the main claim is resolved.

6. Conclusion:
The Tribunal ruled against the Claimants' application dated June 18, 2019, allowing the current officials to remain in office pending the resolution of the main claim. The Respondents' application and the Claimants' subsequent application were marked as spent, indicating they had no further relevance following this determination.

7. Dissent:
There were no dissenting opinions noted in the Tribunal's ruling.

8. Summary:
The Cooperative Tribunal's ruling affirmed the legitimacy of the current officials of the Nyabomite Farmers Co-Operative Society Ltd, allowing them to remain in office during the pendency of the main claim. This decision underscores the importance of maintaining operational stability within cooperative societies, particularly during challenging circumstances such as a pandemic. The case highlights the complexities involved in governance and legal authority within cooperative structures in Kenya.

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