Carolyne Nasimiyu v Agricultural Finance Corporation Limited [2020] eKLR Case Summary

Court
Court of Appeal at Nairobi
Category
Civil
Judge(s)
M’Inoti, Murgor, Sichale, JJ.A.
Judgment Date
October 09, 2020
Country
Kenya
Document Type
PDF
Number of Pages
3
Explore the Carolyne Nasimiyu v Agricultural Finance Corporation Limited [2020] eKLR case summary, highlighting key legal insights and implications in this important judgment.

Case Brief: Carolyne Nasimiyu v Agricultural Finance Corporation Limited [2020] eKLR

1. Case Information:
- Name of the Case: Carolyne Nasimiyu v. Agricultural Finance Corporation Limited
- Case Number: Civil Appeal No. 429 of 2018
- Court: Court of Appeal at Nairobi
- Date Delivered: 9th October 2020
- Category of Law: Civil
- Judge(s): M’Inoti, Murgor, Sichale, JJ.A.
- Country: Kenya

2. Questions Presented:
The central legal issues for resolution by the court include:
- Whether the High Court erred in its judgment by failing to consider the appellant's written submissions.
- Whether the termination of the appellant's employment was lawful or amounted to unfair dismissal.
- Whether the appellant was entitled to compensation for underpayment, payment in lieu of notice, and payment for days worked after returning from maternity leave.

3. Facts of the Case:
The appellant, Carolyne Nasimiyu, was employed by the respondent, Agricultural Finance Corporation Limited, as a legal officer (in-training) under a temporary contract that began on 1st March 2005. The contract allowed for termination by either party with 24 hours' notice or pay in lieu. After several renewals, the last contract expired on 29th January 2007. The appellant went on maternity leave on 17th January 2007 and returned on 30th March 2007, at which point her contract had expired. She applied for renewal, which was declined by the respondent, leading her to file a suit in the Chief Magistrate’s Court claiming unlawful termination and seeking Kshs 264,374.50 in various compensations.

4. Procedural History:
The case progressed through the Chief Magistrate’s Court, where the appellant's claims were dismissed. The High Court upheld this decision, agreeing that the respondent did not unlawfully terminate the appellant’s employment. The appellant then appealed to the Court of Appeal, arguing that her submissions were ignored and that her employment was unlawfully terminated, among other claims.

5. Analysis:
- Rules: The court considered the Employment Act of 2007, which governs employment relations in Kenya, but noted that the Act was not applicable to the appellant's employment as her contract had expired before the Act came into force. The court also examined the principles of legitimate expectation and the obligations of employers under fixed-term contracts.

- Case Law: The court referenced previous decisions such as *Oshawa Academy (Nairobi) & Another v. Indu Vishwanath* and *Kenya Tea Development Agency v. Lee Kimathi* to support the notion that fixed-term contracts expire by effluxion of time and that employers are not obligated to renew such contracts without reason. The court also cited *JMK v. MWM & Another* regarding the right to be heard in legal proceedings.

- Application: The court found that the appellant's contract had clearly expired before she sought to return to work. It concluded that the respondent did not unlawfully terminate her employment, as it ended by mutual agreement upon the contract's expiration. The court also determined that the appellant's claims for underpayment and other compensations were unfounded, as the terms of her employment had changed with each renewal, and she had not provided evidence to support her claims of legitimate expectation or entitlement to maternity leave pay.

6. Conclusion:
The Court of Appeal dismissed the appeal, affirming the High Court's judgment that the termination of the appellant's employment was lawful and that the appellant was not entitled to the claimed payments. The decision underscores the importance of adhering to the terms of employment contracts and clarifies the legal implications of fixed-term contracts in employment law.

7. Dissent:
There were no dissenting opinions noted in this case.

8. Summary:
The Court of Appeal ruled in favor of the respondent, confirming that Carolyne Nasimiyu's employment had lawfully ended with the expiration of her contract and that she was not entitled to the claims she made. This case highlights the significance of contract terms in employment law and the necessity for employees to understand their rights and obligations under fixed-term contracts.

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