Trade Secret
Excel Global Limited v Kithinji & another (Cause E137 of 2025) [2025] KEELRC 1687 (KLR) (10 June 2025) (Ruling)
Facts
Kithinji, a lecturer, resigned from Excel Global (notice given 2 December 2024, effective 2 January 2025) and within a month took up employment with Oswal College, a competing educational institution, despite a non-compete clause in his contract. Excel Global sought urgent injunctive relief.
Issues
Enforceability of the non-compete clause post-resignation; whether the two employers were genuinely competitors; whether confidential information and trade secrets and client-solicitation restrictions should be enforced by injunction pending trial; and proper joinder of the competing employer.
Rule
Contracts in Restraint of Trade Act (Cap 24); Civil Procedure Rules Order 1 Rule 10 and Order 51 Rule 1 (joinder); Employment and Labour Relations Court Procedure Rules 2024.
Analysis
The court held non-compete clauses are enforceable where negotiated with equality of bargaining power and not injurious to public interest; since termination arose from resignation rather than wrongful dismissal, the clause remained enforceable. It found the investigation report credibly showed both entities operated in the same educational sector, and declined to rule on misjoinder because no formal motion had been filed.
Conclusion
Temporary injunction granted restraining Kithinji from working for Oswal College or competing entities, from soliciting Excel Global's clients, and from disclosing or using confidential information and trade secrets, all limited to the six-month restraint period expiring 2 July 2025. Costs reserved.
Ruling available at kenyalaw.org.