Law Society of Kenya wants to settle dispute out of court

The Law Society of Kenya (LSK) wants to settle a dispute with its members over the construction of Sh1.2 billion International Arbitration Centre out of court.

Lawyer Ahmednasir Abdullahi told High Court judge Mumbi Ngugi it was unfortunate that the dispute had been filed in court and revealed LSK was exploring ways of settling the matter out of court.

But as the lawyers' body strives to settle the matter out of court, a group of Muslim lawyers have also filed a suit opposing the project, arguing the centre would house a pub to sell alcohol.

The Muslims submitted in their application that it was against Islam and sinful for them to manufacture, store, sell, buy or transport alcohol.

The lawyers are opposed to the Sh39,000 to Sh50,000 they are supposed to contribute, arguing it was against Islam to pay for, contribute or participate in any way in the construction of a bar for purposes of serving alcoholic drinks.

In the first suit LSK is seeking to settle out of court, lawyer Deynes Muriithi moved to the High Court challenging plans to make advocates pay between Sh39,000 and Sh50,000 per month as opposed to between ShSh14,000 and Sh26,000.

The lawyers argue LSK is not a business or a profit-making enterprise and that they were apprehensive that after paying the money they might be required to part with more cash to repay the loan, hence the need for full material disclosure before the project could be allowed to proceed.

In the petition, the lawyers also faulted the council for spending about Sh50 million on the project without a ground-breaking ceremony.

REPAY LOAN

“The LSK council has refused to come out clearly to state and provide concise information on how the money was expended. The entire process of the project reeks of a scam hence the reason the council is unwilling to share with its members facts and general information on the project,” they said.

The lawyers argued if LSK was unable to repay the loan of Sh800 million, which it intended to borrow from financial institutions to finance the project, it would put members' right to property in jeopardy.

The lawyers are seeking to have the project halted. They also want the court to issue a declaration that the notice and or notices calling an LSK special general meeting on September 27 was null and void.

The judge gave the parties two weeks to file their responses.