Bench Bulletin - Issue 12 - Kenya Law Reports
Bench Bulletin - Issue 12 - Kenya Law Reports
Bench Bulletin - Issue 12 - Kenya Law Reports
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KENYA LAW REPORTS<br />
BENCH BULLETIN<br />
FROM THE COURTS — COURT OF APPEAL<br />
Powergen Technologies Limited and the respondent company in this application. The tender was awarded to Betterline<br />
Company Limited. The respondent lodged a request for review at the Public Procurement Administrative Review<br />
Board challenging the tender process, after which the Board dismissed the request for review and directed that the<br />
procurement process proceed. Being aggrieved by the decision of the Board , the respondent moved to the superior<br />
court by way of an application for judicial review for orders of certiorari to quash the decision of the applicant to award<br />
the tender to Betterline Company Limited, and further to quash the decision of the Board dismissing the respondent’s<br />
request for review. The respondent also asked court for orders of prohibition to stop the applicant from signing any<br />
contract related to the tender in question and further asked court for orders of mandamus to direct the applicant to<br />
evaluate the aforesaid tender and award the same in compliance with the Public Procurement and Disposal Act and<br />
its regulations. The application for judicial review was preceded by an application for leave to institute judicial review<br />
proceedings, with a request that the leave would operate as a stay of the signing, implementation and performance of<br />
any contract in terms of the tender awarded pending the hearing and determination of the judicial review proceedings.<br />
The superior court granted the leave and ordered that the leave operate as stay on any contract in relation to the tender<br />
in question pending hearing and determination of the judicial review proceedings.<br />
It was against the superior court’s decision that the applicant moved to the Court of Appeal seeking orders that the<br />
proceedings in the superior court be stayed pending the hearing and determination of the intended appeal. Counsel<br />
for the applicant contended that the application for judicial review orders was filed out of time and that the public<br />
interest in the contracts outweighed the commercial interest of the respondent. In response, counsel for the respondent<br />
contended that the delay in the application fell within the court vacation hence qualified as excluded days according<br />
to the provisions of Interpretation and General Provisions Act. The issue before the Court of Appeal was whether<br />
application for leave for judicial review orders would operate as stay.<br />
Held:<br />
1. The main ground of appeal that the application for leave was time barred was not frivolous. The applicant had<br />
intended to show in the appeal that the superior court erred in law in granting leave when the respondent had not<br />
shown a prima facie case for grant of judicial review orders.<br />
2. The intended appeal was indeed arguable since the applicant had intended to show in the appeal that the order<br />
or stay of implementation of the contract was wrongly granted.<br />
3. It was clear from the application for judicial review that it was the decision of the Review Board dismissing the<br />
Request for Review which was the proper subject matter of the judicial review, and not the decision of the applicant<br />
awarding the contract to the 2nd interested party, whether such contract and consequential sub-contracts could be<br />
rescinded or implementation thereof suspended through judicial review jurisdiction. In those circumstances, the order<br />
of stay of implementation of the contract was a very drastic order.<br />
4. Except in very exceptional cases involving jurisdictional and substantial public interest issues and where a stay<br />
has been granted, there could not be any basis for allowing any such applications in view of the clear provisions of<br />
section 8 of the <strong>Law</strong> Reform Act which contemplate only one appeal to the Court of Appeal in terms of section 8(5) and<br />
only in respect of the actual judicial review orders. In the present case however, there were both jurisdictional and<br />
public interest elements and therefore the case fell within the exception to the rule. For the same reasons, the court<br />
considers that the intended appeal could be rendered nugatory since it has often been rightly said that jurisdiction is<br />
everything.<br />
5. Per Bosire JA (dissenting):<br />
Other than the delay in providing services to the people, the other losses, by whichever party, were financial and<br />
damages would be an adequate remedy for those losses.<br />
6. Per Bosire JA (dissenting):<br />
Although the intended appeal was arguable, granting a stay would render the respondent’s suit pending in the superior<br />
court worthless.<br />
Application allowed.<br />
Advocates<br />
Mr. Kiragu for the Applicant.<br />
Mr. Mutinda for the 1st Interested Party.<br />
Mr. Wetangula for the 2nd Interested Parties.<br />
Mr. Gichuru for the Respondent.<br />
40<br />
<strong>Issue</strong> <strong>12</strong>: April-June 2010