The PKM Legal Bulletin Issue No. 01 May 2026
& Associates Advocates
The One Document Every Property Buyer in Kenya Must Have —
Before They Pay a Shilling
Most Kenyan property buyers make the same costly mistake: they transfer money based on a WhatsApp conversation, a photocopied title, and a handshake — then discover the land was never theirs to buy. A properly drafted Sale Agreement is the single most important document in any property transaction. Here is why, and what it must contain.
Is Your Employment Contract Legally Compliant?
The Employment Act 2007 sets minimum standards that every contract of service must meet. A quick checklist — and what to do if yours falls short.
The Intestacy Trap: Who Gets What When There Is No Will?
Dying without a Will in Kenya means the law decides who inherits. The answer may surprise — and concern — you.
The Legal Framework
The Employment Act (No. 11 of 2007) is the primary statute governing employment relationships in Kenya. It establishes the minimum standards that every contract of service must meet — and many employers, particularly small and medium-sized enterprises, are unknowingly in breach of its provisions.
Section 9 of the Act requires every employer to furnish an employee with a written statement of the particulars of their employment within two months of commencement. This obligation is not optional, and the absence of a written contract does not protect an employer — it merely creates uncertainty that courts resolve in the employee's favour.
What Every Employment Contract Must Include
- The name, address, and registration details of the employer
- The employee's name and national identification or passport number
- The date employment commenced and, if applicable, the probation period
- Job title and a description of duties
- Place or places of work
- Remuneration — basic salary, allowances, and the intervals at which it is paid
- Hours of work — daily and weekly
- Leave entitlements — annual, sick, maternity, and paternity leave
- Notice period for termination by either party
- Termination provisions and disciplinary procedure
What the Act Mandates — Non-Negotiable Minimums
- Annual Leave: Not less than 21 working days with full pay per year after twelve months of continuous service (Section 28)
- Sick Leave: Not less than 7 days with full pay and 7 days with half pay in each leave cycle (Section 30)
- Maternity Leave: Not less than 3 months with full pay — any contract provision for less is void (Section 29(1))
- Paternity Leave: Not less than 2 weeks with full pay (Section 29(3))
- Notice of Termination: 28 days minimum for employees on monthly terms; may be longer by agreement but cannot be shorter
- Fair Termination: Any termination must be for a valid reason and following a fair hearing — Section 41 requires the employee to be notified of the reason and given an opportunity to respond
Common Illegal Clauses I Encounter
In reviewing employment contracts for clients, I regularly encounter clauses that are void or unenforceable under Kenyan law:
- Clauses purporting to waive statutory entitlements (void under Section 6 — an employee cannot contract out of the Act)
- Training cost recovery clauses that are disproportionate or apply over unreasonably long post-employment periods
- Non-compete clauses that are broader in scope, geography, or duration than is reasonably necessary to protect a legitimate business interest
- Contracts that do not reflect the actual remuneration structure, creating undisclosed tax and NSSF/SHIF exposure
- Fixed-term contracts used repeatedly to deny employees the protections of permanent employment
The Quick Compliance Checklist
- Is the contract in writing and signed by both parties?
- Does it reflect the correct and complete remuneration, including all allowances?
- Does it provide for the statutory minimum leave entitlements?
- Does it set out the correct notice period?
- Does it include a fair disciplinary and termination procedure?
- Have NSSF and SHIF deduction obligations been addressed?
- Has it been reviewed by a qualified employment lawyer?
"A non-compliant contract does not protect you. It exposes you — to claims, to reinstatement orders, and to awards of compensation before the Employment and Labour Relations Court."
Managing Partner — Purity K Mbaabu & Associate Advocates · Commercial & Employment Law Practice
Always Conduct an Official Search Before Paying Any Deposit
An official search at the Lands Registry reveals encumbrances, cautions, court orders, and the true registered owner — information that no seller's copy of a title deed can provide and that you cannot verify by inspection of the land alone. Your advocate can obtain this on your behalf in 24 to 48 hours. Do not pay a single shilling before this step is complete.
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