Biomedical Labaratories Limited v Onyango (Suing as the legal representatives of the Estate of the Late Felix Healon Omondi (Deceased) & 2 others (Civil Appeal 250 of 2018) [2022] KEHC 15515 (KLR) (Civ) (17 November 2022) (Judgment)
Neutral citation:
[2022] KEHC 15515 (KLR)
Republic of Kenya
Civil Appeal 250 of 2018
CW Meoli, J
November 17, 2022
Between
Biomedical Labaratories Limited
Appellant
and
Margaret Mercy Achieng Onyango (Suing as the legal representatives of the Estate of the Late Felix Healon Omondi (Deceased)
1st Respondent
George Onyango Okumu (Suing as the legal representatives of the Estate of the Late Felix Healon Omondi (Deceased)
2nd Respondent
George Onyango Okumu (Suing as the legal representatives of the Estate of the Late Stein Arafina Onyango (Deceased)
3rd Respondent
(Being an appeal from the ruling of Hon. P. Gesora (Mr.) (CM) delivered on 18th May 2018 in Nairobi Milimani CMCC No. 1536 of 2013)
Judgment
1.This appeal emanates from the ruling delivered on 18.05.2018 in Nairobi Milimani CMCC No. 1536 of 2013. The events leading to the instant appeal are as follows, Margaret Mercy Achieng Onyango and George Onyango Okumu the Plaintiffs in the lower court (hereafter the 1st and 2nd Respondent) sued George Onyango Radido (Administrator of the estate of the late Stein Arafina Onyango) the 1st Defendant in the lower court (hereafter the 3rd Respondent), Ali Mwanaisha, the 2nd Defendant in the lower court, Biomedical Laboratories Limited, the 3rd Defendant in the lower court (hereafter the Appellant) and Michael Mwangi Muthee, the 4th Defendant in the lower court.
2.The claim was for damages under the Law Reform Act and the Fatal Accidents Act in respect of fatal injuries sustained by Felix Healon Omondi (hereafter the deceased) in a road traffic accident on 18.09.2011. The Appellant was sued as the beneficial, actual, insured, ostensible owner of motor vehicle KAU 100L. It was averred that the deceased was travelling towards Ngong as a lawful passenger in motor vehicle registration number KBH 847L along Ngong Road near and that at Lenana High School By-pass the its driver so negligently drove managed and or controlled the said motor vehicle registration number KBH 847L that he caused it to collide with motor vehicle KAU 100L which was equally negligently driven, controlled and or managed by the 2nd Defendant in the lower court or the Appellant by themselves or through the 4th Defendant in the lower court.
3.The 2nd and 4th Defendants in the lower court entered appearance and filed a statement of defence on 16.07.2013 and 24.07.2013 respectively. Interlocutory judgment was however entered as against the Appellant and the 3rd Respondent on 28.10.2013 and 21.11.2014 respectively, who despite having been duly served failed to enter appearance and file a defence. On 14.10.2015 a consent order was recorded before the trial court whose general effect was that the suit as against the 2nd and 4th Defendant’s in the lower court was withdrawn with costs to be borne by the 1st Respondent and 2nd Respondent; that judgment on liability was entered at 05:95 in favour of the 1st Respondent & 2nd Respondent against the 3rd Respondent; and that parties would thereafter file written submissions on quantum. The parties complied.
4.On 29.02.2016 judgment was delivered in favour of the 1st Respondents & 2nd Respondent to the effect that liability was apportioned at 5% as against the 1st Respondent & 2nd Respondent and 95% to be borne by the 3rd Respondent and Appellant herein with damages being assessed at Kshs. 5,424,500/- in favour of the 1st Respondent & 2nd Respondent against the Appellant and 3rd Respondent.
5.On 17.10.2017 the Appellant moved the court seeking that the court be pleased to set aside and or review the judgment to the extent that it apportioned liability against the Appellant and the Appellant be deemed as duly discharged from the suit and or the claim against the Appellant be deemed as having been abandoned by reason of the consent order recorded in court on 14.10.2015. The motion was expressed to be brought inter alia under Order 10 Rule 11 and Order 45 Rule 1 of the Civil Procedure Rules (CPR) on grounds on the face of the motion amplified in the supporting affidavit of Kennedy Ochieng, counsel for the Appellant. He deposed that by the consent order recorded by the parties on liability judgment on liability was entered at 5% as against the 1st Respondents & 2nd Respondent and 95% as against the 3rd Respondent. However, that the court thereafter delivered judgment on 29.02.2016 that erroneously apportioned liability against the Appellant contrary to the terms of the consent order recorded by the parties on 14.10.2015. Counsel further asserted that the court had no jurisdiction to vary the consent judgment on liability and there was a fundamental error on the face of the record justifying the review and or setting aside of the judgment to the extent that it apportioned liability against the Appellant.
6.The 1st Respondent & 2nd Respondent opposed the motion through a replying affidavit dated 21.10.2017. The motion was canvassed by way of written submissions. By a ruling delivered on 15.05.2018 the lower court dismissed the Appellant’s motion dated 17.10.2017 with costs, provoking the instant appeal which is based on the following grounds in the amended memorandum of appeal dated 22.09.2019: -
7.In urging the appeal, counsel for the Appellant called to aid Halsbury’s Law of England, 4th Edition Paragraph 329 and Chitty on Contracts, Paragraph 18-014. He reiterated the basic facts relating to the entry of the interlocutory judgment against the Appellant, the subsequent consent judgment on liability entered on 14.10.2015 in the ratio of 05:95 in favour of the 1st & 2nd Respondent as against the 3rd Respondent and the eventual judgment apportioning liability was at 05:95 in favour of the 1st and 2nd Respondent against both the Appellant and 3rd Respondent. Counsel took the position that a consent upon proper execution and adoption by the court, it is akin to a contract binding the parties to it. That the 3rd Respondent had no authority to enter into a consent on behalf of the Appellant and there was not shown to exist between them an agency relationship as would bind the Appellant on account of the principle of vicarious liability. Consequently, it was counsel’s submissions that the court erred in finding that the 95% liability to be borne by the 3rd Respondent under the consent judgment extended to the Appellant.
8.He further argued that upon the 1st and 2nd Respondent’s withdrawal of the cases as against the 2nd and 4th Defendant’s in the lower court, the remnant claim was against the 3rd Respondent and the Appellant and by the subsequent consent on liability between the 1st & 2nd Respondent and the 3rd Respondent, there was effectively no liability against Appellant, therefore the interlocutory judgment against the Appellant being of no effect. Citing Samuel Wambugu Mwangi v Othaya Boy’s High School [2014] eKLR counsel submitted that the consent was executed freely and in full knowledge of relevant facts and determined completely the liability in the matter as apportioned between the 1st and 2nd Respondent and the 3rd Respondent.
9.The 1st Respondent & 2nd Respondents defended the trial court’s decision. Counsel anchored his submissions on Section 78 of the Civil Procedure Act (CPA) with respect to the principles that ought to guide a court on a first appeal. While calling to aid the decisions in National Bank of Kenya Ltd v Ndungu Njau [1997] eKLR and Michael Mungai v Ford Kenya Elections & Nominations Board [2013] eKLR counsel asserted that a court sitting on appeal would only interfere with the exercise of discretionary jurisdiction of the subordinate court in a review application, if the aggrieved party demonstrated that the trial court misapprehended evidence, applied wrong principles, took into account irrelevant/extraneous factors or failed to consider relevant factors and thus arrived at a decision that was patently wrong.
10.Counsel contended that the Appellant’s motion in the lower court was not a proper motion for review but a mischievous invitation to the court to sit on appeal over its own judgment and to arrive at a different decision. Counsel complained that the Appellant had raised new issues of fact in the memorandum of appeal not canvassed before the trial court. In his view, the question of liability was determined by the trial court in the final judgment which did not alter or amend the consent order of 14.10.2015, and hence the issues raised in the Appellant’s motion were res judicata and the court functus officio. He cited Fred Academy Ltd v Emma Kinya Mugambi [2021] eKLR and Ferrotech Industries Ltd v Mwadime Ali Hare [2021] eKLR to support the submission that the Appellant’s motion did not meet the threshold for review and was besides filed eighteen (18) months after final judgment. The court was urged to dismiss the appeal with costs.
11.The court has perused the record of appeal as well as the original record and considered the material canvassed in respect of the appeal. The duty of this court as a first appellate court is to re-evaluate the evidence adduced in the lower court and to draw its own conclusions, but always bearing in mind that it did not have opportunity to see or hear the witnesses testify. See Peters v Sunday Post Ltd (1958) EA 424; Selle and Anor. v Associated Motor Boat Co. Ltd and Others (1968) EA 123; William Diamonds Ltd v Brown [1970] EA 11 and Ephantus Mwangi and Another v Duncan Mwangi Wambugu (1982) – 88) 1 KAR 278.
12.The Court of Appeal stated in Abok James Odera t/a A. J. Odera & Associates v John Patrick Machira t/a Machira & Co. Advocates [2013] eKLR that:
13.The lower court in dismissing Appellant’s review motion expressed itself in part as follows:It is clear that by the time the consent was recorded there was judgment against the Appellant herein. This judgment was never set aside or dealt with in any way. Counsel had a duty to do so. I find no error apparent on the court record or there being a new matter that has come up after the judgment or order granted or for any other reason to warrant this court exercise its discretion and review the judgment of this court.I also find and hold that the Applicant has taken too long to move the court in this regard and I find and hold that this application lacks merit and I proceed to dismiss it with costs.” (sic)
14.The Appellant’s motion before the subordinate court was anchored on Order 45 (1) of the Civil Procedure Rules which provides that:
15.In the court’s view, this appeal turns on the question whether the lower court properly exercised its discretion in disallowing the application for review, as the grant or refusal of an application for review of any decree or order involves the exercise of discretion. However, such discretion must be exercised judicially and upon reason, rather than arbitrarily or capriciously. The Court of Appeal in Mashreq Bank P.S.C v Kuguru Food Complex Limited [2018] eKLR stated;
16.In Jason Ondabu t/a Ondabu & Company Advocates & 2 others v Shop One Hundred Limited [2020] eKLR the Court of Appeal stated that;
17.There is a long line of authorities concerning the principles governing an application for review brought under Order 45 Rule (1) of the Civil Procedure Rules. In the judgment of Okwengu JA in Associated Insurance Brokers v Kenindia Assurance Co. Ltd [2018] eKLR the Court of Appeal stated that:
18.Further, in Multichoice (Kenya) Ltd v Wananchi Group (Kenya) Limited & 2 Others [2020] eKLR the Court of Appeal held that:
19.The Appellant’s review motion dated 17.10.2017 was premised on two grounds namely, error apparent on the face of the record and any other sufficient reason. In that regard it was deposed by the Appellant’s counsel at paragraph 2, 3, 4 & 10 in the supporting affidavit dated 17.10.2017 that:
20.Consequently, what this court ought to determine is whether the Appellant demonstrated before the lower court the asserted error or mistake apparent on the face of the record and or any other sufficient reason? Concerning the former, the Court of Appeal held in National Bank of Kenya Ltd v Ndungu Njau (1995-98)2EA 249 that:
21.The expressly stipulated grounds for review under Order 45 Rule 1 are to be read disjunctively with the limb providing for review “for any other sufficient reason”. The Court of Appeal in Wangechi Kimita & Another v. Mutahi Wakibiru (1982-88) 1 KAR 977 sated with regard to the words "for any other sufficient reason" per Nyarangi JA as follows:-
22.Hancox J.A (as he then was) in agreeing with Nyarangi J.A said at page 981 states;-
23.Later, Gicheru J.A in The Official Receiver and Liquidator v Freight Forwarders Kenya Limited [2000] eKLR while reiterating the dicta in Wangechi Kimita (supra) stated that:-See also Tokesi Mambili & Others v Simion Litsanga Sabwa, Civil Appeal 90 of 2001 .
24.The undisputed pertinent chronology of events in the lower court suit is well captured in the judgment of the lower court, the trial magistrate noting that there was interlocutory judgment as against the Appellant whereas as at when. Inexplicably, the Appellant had never attempted to set aside the interlocutory judgment. The consent judgment of 14.10.2015 was in the following terms: -
25.The trial court stated in its final judgment:-
26.Based on the foregoing, Gesora (CM) in his impugned ruling found that there was no error apparent on the face of the record was demonstrated by the Appellant. Applying the test in National Bank of Kenya Ltd (supra) and established precedent, and looking at the pertinent facts, this court agrees with the 1st and 2nd Respondent’s argument that the review motion was not a proper motion for review but a camouflaged appeal, the liability question having been consciously considered and determined in the final judgment of the trial court. It is evident from a reading of the said judgment that the court was alive to the existence of the consent judgment in respect of the 3rd Respondent on one hand, and the interlocutory judgment against the Appellant on the other. For these reasons the court proceeded to find the Appellant and 3rd Respondent jointly and severally liable for the 95% that was apportioned in respect of the consent order dated 14.10.2015.
27.This court is here not concerned with whether this determination was legally sound but whether this was a matter suited to a review application. Clearly, the court’s finding, whether legally sound or not, did not qualify as an error on the face of the record. It seems that perhaps an appeal would have been the more appropriate cause of action for the Appellant.
28.On the question whether any other sufficient reason had been established, Gesora, CM in his ruling found in the negative although not discussing the matter in any depth. Looking at the material placed before the lower court, this Court agrees with the finding because the matters raised in the motion essentially constituted an invitation to the trial Court to sit on appeal on its own judgment. The Court could not properly consider the merits of its impugned determination on liability as the Appellant sought by the review motion. The invitation was properly rejected as the trial court became functus officio upon rendering its determination, rightly or wrongly, on the question of the Appellant’s liability in its final judgment.
29.The Court of Appeal in Solacher v Romantic Hotels Limited & another (Civil Appeal 167 of 2019) [2022] KECA 771 (KLR) cited with approval the decision of Bennett J in Abasi Belinda v Frederick Kangwamu and Another [1963] EA p.557 to the effect that: -
30.In view of the foregoing, this court is of the considered view that the lower court properly rejected the motion for review which in any event was filed after an inordinate period of delay. The appeal is without merit and is accordingly dismissed with costs to the Respondents. is Court, the appeal herein ought to suffer fate of dismissal.
DELIVERED AND SIGNED ELECTRONICALLY AT NAIROBI ON THIS 17TH DAY OF NOVEMBER 2022.C.MEOLIJUDGEIn the presence of:Ms. Mwangangi for the AppellantMr. Maweu for the RespondentsC/A; Carol