Legal updates

When Does a Capital Transaction Produce a Deductible Revenue Loss?

The Court of Appeal has held that debt-to-equity conversions may trigger deductible foreign exchange losses under Section 4A of the Income Tax Act where the underlying foreign currency loan financed revenue expenditure. The judgment provides important guidance for corporate restructurings, intercompany financing and tax dispute resolution.

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The era of Digital Secrecy: Confronting Shadow AI and the Erosion of Professional Privilege

The rise of usage of Generative AI presents a critical threat to professional confidentiality. The landmark United States v. Heppner (2026) ruling establishes that using consumer-grade AI constitutes a voluntary waiver of legal privilege, as these tools lack a reasonable expectation of confidentiality.

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Are Directors deemed as Employees of a Company?

The certainty of whether a director is an employee of a company is now settled. The terms ‘independent contractor’ and ‘employee’ are mutually exclusive. Contracts with employees entail the placement of employees’ services or productive capacities at the disposal of the employers.

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The High Court compels the Government of Kenya to provide Access to Information relating to the Standard Gauge Railway Contracts

Access to information is critical for enabling citizens to exercise their voice, to effectively monitor and hold government to account, and to enter into informed dialogue about decisions which affect their lives. It is seen as vital for empowering all citizens, including vulnerable and excluded people, to claim their broader rights and entitlements.

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