The row over MPs Sh250,000 monthly housing allowance has been referred to Chief Justice David Maraga.
Two cases over the same matter are in court. One has been filed by Okiya Omtatah and the other by the Salaries and Remuneration Commission.
They seek to stop the Parliamentary Service Commission from paying the MPs the allowance.
The Chief Justice will constitute a bench to hear the cases following yesterday's decision.
The applicants further want the court to order the legislators to return the money already paid.
Omtatah told Justice Weldon Korir that the issues were weighty.
Lawyer Tom Ojienda, for the legislators, did not oppose Omtatah's application.
All parties agreed, by consent, to have the case referred to the CJ.
Korir ruled that since parties had agreed that that matter raises weighty issues the cases should be handled by a three-judge bench.
He extended the orders barring PSC from paying any house allowance to the MPs.
Omtatah argues that the illegal payment of the house allowance will cost the taxpayer Sh104 million monthly, translating to Sh1.2 billion annually.
He says the PSC and Parliament have no capacity in law to determine the salaries and remuneration of MPs.
He has sued the PSC, Parliament, National Treasury, Controller of Budget and the Attorney General.
“Because they are entitled to a mortgage of Sh20 million per term to be used for their housing needs; the MPs are not eligible for house allowances which amount to double payment of a benefit which is already included by SRC in their gross pay,” he claims.