Introduction In a judgment delivered on July 28, 2022, the Environment and Land Court in Mombasa declared that a developer intending to make changes to an existing development not anticipated in the original plan should have sought the consent of the unit owners. Case Summary The applicant was the owner of three apartments in a...
Introduction For all its achievements humanity is fragile, so it is not uncommon for employees to suffer illness. Some of these ailments may have far reaching consequences. In extreme circumstances, diseases or medical procedures may lead to disability. In such cases, how should an employer deal with an employee who gets a disability in the...
Introduction On 19 September 2022, the Employment and Labour Relations Court found the National Social Security Act, 2013 to be unconstitutional. The Court specifically held: The Act dealt with finance matters affecting county governments and therefore the Senate ought to have been involved in its enactment. Requiring people to register with the National Social Security...
Restructuring occurs when a business significantly modifies its debt, operations, ownership, or structure to either improve or protect itself. Restructuring is often but not always, a response to financial pressure felt by a business. It can also be an effective way of improving business performance for example, selling a cost centre. So why should you...
Statistics published by the official receiver on Kenyan insolvency matters reveal a number of interesting trends. Company voluntary arrangements and administration despite the potential for business rescue have had almost no uptake. Liquidation despite its disadvantages remains the most popular insolvency process. For example, the liquidation of ARM Cement Limited saw secured creditors recover 62...
In August, Kenya went to the polls to elect its fifth President marking end of the political season. After the votes were counted, including those at the Supreme Court, our fifth President was sworn in. The largely seamless polls were a key milestone in the Kenyan quest for democracy and leadership by the people for...
Introduction Afrasia Bank Limited won its appeal to the High Court against an arbitrator’s refusal to find the Transfer of Businesses Act (the Act) applicable to the transfer of part of the assets and liabilities of Chase Bank Kenya Limited under receivership to SBM Bank (Kenya). We analyse this case below. Facts In 2016 Afrasia...
A recent decision from the Retirement Benefits Appeals Tribunal highlights the pitfalls of updating scheme documents. Updates while necessary to reflect current law, policy, and best practices can lead to undesirable consequences. Former employees of Standard Chartered Bank Kenya successfully challenged reduced pension benefits and had the bank ordered to repay a KES 1 billion...
The Cabinet Secretary Finance recently gazetted the Capital Markets (Whistleblower Regulations) 2022 to give effect to the amendments to the Capital Markets Act (the Act) in 2018 by setting up a framework for the payment of rewards to whistleblowers. The amendments to the Capital Markets (Conduct of Business) (Market Intermediaries) Regulations 2011, will enhance access...
Introduction On November 26, 2021 the Cabinet Secretary for Lands and Physical Planning gazetted various regulations (the “Regulations”) under the Physical and Land Use Planning Act, 2019 (the “Act”) and they include: The Physical and Land Use Planning (Development Permission and Control) (General) Regulations, 2021; Physical and Land Use Planning (Development Control Enforcement) Regulations, 2021;...
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