Endege v Sokoro Sacco Society Limited [2024] KECPT 910 (KLR)

Endege v Sokoro Sacco Society Limited (Tribunal Case 870/E966 of 2022) [2024] KECPT 910 (KLR) (Civ) (27 June 2024) (Judgment)

Neutral citation: [2024] KECPT 910 (KLR)

Republic of Kenya

In the Cooperative Tribunal

Civil

Tribunal Case 870/E966 of 2022

BM Kimemia, Chair, Janet Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw & PO Aol, Members

June 27, 2024

Between

Joram Aruda Endege

Claimant

and

Sokoro Sacco Society Limited

Respondent

Judgment

Facts Of The Case 1. The Claimant is a member of the Respondent’s Society No. 1042 and in the month of March, 2022 tendered his resignation from the society.In the Claimant’s letter dated 24th March, 2022 he gave instructions that the Respondent updates his account and refunds balances of his deposits.

2. The Respondent’s in their Statement of Defence stated categorically that they will only clear the Claimant once he clears his outstanding loan balance of Kshs. 166,100/= which he was already in default of repayment.

3. On 18th April, 2024 this Tribunal gave directions for parties to file their written submissions and the Respondent’s filed their submissions indicating among others that the Claimant was very much aware that he took a loan on 6th July, 2020 and that loan is still in arrears. That the claimant was notified when the loan fell in default and sent two reminders and he still did not settle the loan.It is also the Respondent’s position that the terms of the Loan Agreement do not allow the Claimant to resign until the loan is satisfied.

Issue For Determination Whether The Claimant is entitled to a refund of his Deposits if the loan he took Remains Unsatisfied. 4. From evidence adduced, it is clear that the Claimant took a loan of Kshs. 250,000/= on 6th July, 2020, a loan that has not been fully settled.It is also clear from both the loan and share statement filed in evidence that the Claimant still owes the Respondent.It is settled law that to discharge oneself from a contract, you also have to perform the terms you agreed to in the contract - in this particular case, the Loan Agreement.It is clear to this Tribunal from evidence availed that the Claimant is yet to fully settle the loan plus interest and even if his deposits were considered to settle the loan, there will still be some balance.

Final OrdersClaim found to be without merit.i.The Statement of Claim dated 4th November, 2022 and filed on 8th November, 2022 is dismissed.ii.Parties to bear their own costs.

JUDGMENTSIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 27TH DAY OF JUNE, 2024. Hon. B. Kimemia Chairperson Signed 27. 6.2024Hon. J. Mwatsama Deputy Chairperson Signed 27. 6.2024Hon. Beatrice Sawe Member Signed 27. 6.2024Hon. Fridah Lotuiya Member Signed 27. 6.2024Hon. Philip Gichuki Member Signed 27. 6.2024Hon. Michael Chesikaw Member Signed 27. 6.2024Hon. Paul Aol Member Signed 27. 6.2024Tribunal Clerk JonahMrs. Ndeda advocate for the RespondentOuma &Company advocate for Claimant – No appearance.Hon. J. Mwatsama Deputy Chairperson Signed 27. 6.2024