Case Study details

Alliance Group Arbitration

Strategic Resolution of Complex Commercial Disputes

The Alliance Group Arbitration case involved the referral of a commercial dispute to arbitration following a ruling in 2012. Subsequent applications included taxation of bill of costs, review and variation of orders, lifting of preservatory orders, and enforcement of the Arbitral Award. The total matter value was approximately KES 350,000,000, with the legal team successfully negotiating a consent that settled the matter.
Name: Kipkurui Cornelius
Categories: Commercial Arbitration
Location: Kenya
Date: 2012 - 2024
Status: Successfully Settled
Duration: Multiple Years

Challenges of this Case

This arbitration involved complex commercial disputes between Alliance Group Companies Limited and multiple parties, including taxation of costs, review of orders, and enforcement of the Arbitral Award. The team faced multiple court applications and had to negotiate settlements across various stakeholders.

Other notable challenges included:

  • Representation of multiple clients across employment, commercial, and insurance disputes.
  • Negotiation and settlement of claims exceeding KES 350,000,000.
  • Handling of multiple procedural applications in court and arbitration.
  • Coordinating with cross-border entities and stakeholders.

Results of this Case

The case was successfully resolved through arbitration and court negotiations, resulting in a consent that fully settled the dispute. The legal team ensured favorable outcomes for the client while managing complex legal and procedural challenges. This resolution reinforced Alliance Group’s reputation in commercial dispute resolution.

Relevant Partner Experiences

1.1 Commercial Dispute Resolution

  • The Partners have represented employers in employment disputes including redundancies, terminations, and constructive dismissals.
  • Representation of insurance companies in defense of non-motor claims and succession matters.
  • Alliance Group Companies Limited – arbitration and court proceedings for a dispute valued at KES 350,000,000, culminating in a consent settlement.
  • Civicon Limited – handled multiple arbitration claims, including disputes over Performance Guarantees and contracts, achieving favorable settlements.
  • Samaritans Purse – successful tax dispute resolution with Kenya Revenue Authority.
  • KPMG International Limited – employment dispute resolution with favorable judgments and negotiated settlements.
  • Recovery Claim against Fund Manager – arbitration resolving claims on investments totaling KES 120,000,000.

1.2 Financial Regulation Sector

Involved in key transactions in East Africa’s financial services market, particularly capital markets and insurance sectors.

1.3 Corporate Mergers & Acquisitions

Acted as lead legal advisors on corporate and M&A transactions for banks, insurance companies, government entities, and international organizations.

1.4 Insolvency and Debt Restructuring

  • Debt restructuring for clients facing insolvency (claims up to US$ 12,442,402.87), successfully recording consents in court.
  • Liquidation of Zealandia East Africa Limited, Nakumatt Limited, and Uchumi Supermarkets Limited – full management of asset collection, creditor claims, and court representation.
  • Administration of Uganda Telecom Limited – largest administration under Uganda Insolvency Act, increasing profitability by 20% in 12 months.
  • Dissolution of over 15 non-operational businesses in Kenya over four years.

1.5 Company Secretarial Services

  • Services provided to companies including Arise & Shine Company Limited, El Spacio Company Limited, Brite Afrika Holdings Limited, Bellway Gardens Mana.