Kenya Employment Court: Degu v Workstyle Serviced Offices Ltd, Court Refuses to Rewrite Contract

• The Employment and Labour Relations Court issued a judgment in Degu v Workstyle Serviced Offices Ltd on October 29, 2026.
• Both Degu and Workstyle Serviced Offices Ltd provided testimony during the court proceedings.
• The court explicitly affirmed that it lacks the authority to rewrite contracts between parties.
• This ruling, identified as [2026] KEELRC 14798 (KLR), reinforces the principle of contractual integrity in Kenya.

The court's firm stance against contract re-writing means that the onus is squarely on the parties to ensure their agreements are meticulously drafted, unambiguous, and cover all essential aspects of their relationship from the outset.

In a significant ruling delivered on October 29, 2026, the Employment and Labour Relations Court, in the matter of Degu v Workstyle Serviced Offices Ltd (Employment and Labour Relations Cause E585 of 2024), firmly reiterated a fundamental principle of contract law. The judgment, identified as [2026] KEELRC 14798 (KLR), arose from proceedings where both the claimant, Degu, and the respondent, Workstyle Serviced Offices Ltd, presented their respective testimonies before the court. This procedural detail underscores the judicial process undertaken in reaching the determination.

The central tenet affirmed by the court in this instance was its explicit refusal to alter or amend the terms of an agreement forged between contracting parties. The court unequivocally stated that it possesses no authority to unilaterally revise the provisions of a contract. This declaration serves as a clear directive regarding the judiciary's role in contractual disputes, emphasizing a hands-off approach to the substantive content of agreements freely entered into by individuals or entities.

The pronouncement by the Employment and Labour Relations Court in the Degu v Workstyle Serviced Offices Ltd case reinforces a cornerstone of contract law globally, and particularly within the Kenyan legal framework. This principle, which dictates that courts will not rewrite contracts, is crucial for maintaining the integrity of agreements and fostering predictability in commercial and employment relations. It underscores the concept of party autonomy, where individuals and entities are presumed to have freely negotiated and assented to the terms of their agreements.

Judicial restraint in this area means that the court's primary function is to interpret and enforce the contract as it stands, rather than to improve or modify it to suit one party's later dissatisfaction or perceived unfairness. This approach ensures that parties bear the responsibility for the clarity and comprehensiveness of the terms they agree upon. The judgment from Employment and Labour Relations Cause E585 of 2024, therefore, serves as a powerful reminder that the judiciary's role is not to act as an arbiter of commercial wisdom or to rescue parties from imprudent bargains, but to uphold the agreed-upon stipulations.

The judgment in Degu v Workstyle Serviced Offices Ltd carries significant implications for legal practitioners and parties involved in drafting and negotiating contracts, especially within the employment sector in Kenya. The court's firm stance against contract re-writing means that the onus is squarely on the parties to ensure their agreements are meticulously drafted, unambiguous, and cover all essential aspects of their relationship from the outset. This applies particularly to employment contracts, where the terms define the rights and obligations of both employers and employees.

Lawyers advising on contractual matters in Kenya must therefore prioritize precision and foresight in their drafting. Any ambiguities, omissions, or terms that are not clearly articulated are unlikely to be rectified by judicial intervention, as demonstrated by the ruling in [2026] KEELRC 14798 (KLR). The court's refusal to step into the shoes of the contracting parties to create new terms or alter existing ones places a high premium on the initial drafting process. This reinforces the need for comprehensive legal review before any agreement is finalized, ensuring that the document accurately reflects the intentions and expectations of all signatories and anticipates potential future disputes.

This judgment reinforces the principle that Kenyan courts will not rewrite contracts between parties. Lawyers drafting employment contracts or advising on contractual disputes in Kenya must ensure agreements are clear and comprehensive, as judicial intervention to alter terms is unlikely, placing a high premium on precise initial drafting.

Source: Original reporting via Kenyan Employment and Labour Relations Court judgment.