A fleet of Kenya Airways planes at the Jomo Kenyatta International Airport in Nairobi.
Kenya Airways (KQ) has won a court battle over a disputed advertising contract, with the High Court declining to stop the airline from terminating an exclusive deal with a local media company and directing the parties to resolve their dispute through arbitration.
The dispute pits the national carrier against Digital Mara Media, which claims it has suffered losses exceeding Sh300 million after Kenya Airways allegedly breached an agreement granting it exclusive rights to manage and commercialise advertising spaces on KQ aircraft and platforms.
In a ruling delivered in Nairobi, the court dismissed an application by Digital Mara seeking to block implementation of a termination notice issued by the airline and preserve the contract pending arbitration.
The agreement, signed on September 24, 2024, gave Digital Mara exclusive access to designated advertising spaces owned by Kenya Airways.
Digital Mara argued that the airline later bypassed the arrangement by dealing directly with advertisers and third-party agencies, depriving it of revenue and business opportunities guaranteed under the contract.
The company also challenged a termination notice issued on July 21, 2025, claiming it was intended to defeat accrued contractual rights and frustrate the agreed dispute-resolution process.
A fleet of Kenya Airways planes at the Jomo Kenyatta International Airport in Nairobi.
According to its managing director, Stephen Ayieko Odunga, the alleged breaches caused losses exceeding Sh300 million, disrupted operations and damaged the firm’s reputation and relationships with advertisers.
Kenya Airways opposed the application, arguing that the agreement allowed either party to terminate it without cause by issuing a 60-day notice.
The airline said it lawfully exercised that right and that the notice took effect on September 19, 2025.
KQ’s Chief Officer Commercial, Julius Thairu, told the court that any losses claimed by Digital Mara were quantifiable and could be compensated through damages if liability was established.
In dismissing the application, the judge said the court’s role under the Arbitration Act was limited to preserving the subject matter of a dispute and not determining the merits of the parties’ claims.
He found that the orders sought by Digital Mara would effectively compel continuation of a commercial relationship that had already been terminated under terms agreed by both parties.
The court further held that the claims largely related to financial losses that could be quantified and compensated through damages, and directed that the dispute proceed to arbitration.
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