Multichoice Kenya Limited v Events & Functions Limited [2024] KEHC 770 (KLR)

Multichoice Kenya Limited v Events & Functions Limited (Civil Appeal E170 of 2023) [2024] KEHC 770 (KLR) (1 February 2024) (Ruling)

Neutral citation: [2024] KEHC 770 (KLR)

Republic of Kenya

In the High Court at Kisumu

Civil Appeal E170 of 2023

RE Aburili, J

February 1, 2024

Between

Multichoice Kenya Limited

Appellant

and

Events & Functions Limited

Respondent

Ruling

1. The parties counsel have asked the court to record that “By consent, the appeal herein is allowed.”

2. On costs of the appeal, I observe that the issue for determination is a jurisdictional one in that the Appellant raised a Preliminary Objection to the suit on account of an arbitration clause in the Agency Agreement between the parties hereto, which issue the trial court should have considered and settled it.

3. Article 159 of the Constitution provides for the promotion of alternative forms of dispute resolution and arbitration is one of them.

4. Albeit the Respondent insisted on jurisdiction of the court, the court ought to have taken judicial notice of the issue of jurisdiction and stayed the suit.

5. It is not in every case that a party must be blamed as the court has a role to play in guiding parties on jurisdiction.

6. That said, I find that the Respondent having conceded to this appeal, appreciated the place of jurisdiction of courts. It should not be penalized for conceding to the appeal which could have been avoided had the trial court appreciated that jurisdiction is everything without which a court of law acts in vain.

7. Accordingly, I find that this appeal as conceded to and is allowed with an order that each party bear their own costs of the appeal and that the suit before the lower court being Kisumu CMCC No. E187 of 2023 is hereby stayed pending referral of the dispute between the parties thereto to arbitration as per the Arbitration Clause in their Agency Agreement dated 2nd February 2020.

8. This file is hereby closed.

9. Lower court file be returned.

10. I so order.

DATED, SIGNED AND DELIVERED AT KISUMU THIS 1ST DAY OF FEBRUARY, 2024. R.E. ABURILIJUDGE