Shujaa's poor run at the Cape Town Sevens persisted after a sudden death defeat at the hands of Ireland to drop to the 13th-place playoff match.
For the second week running, Kenya failed to hold on to a lead and succumbed to their third defeat in the tournament this weekend.
Kenya started brightly with Edmund Anya scoring the opening try with Tony Omondi converting for a 7-0 lead.
Shujaa were in the ascendancy and two minutes later Daniel Taabu split open the Irish defence to score the second try converted by Omondi for a 14-0 lead at the interval.
Ireland came out firing on all cylinders in the second half, winning territory and possession and star Jordan Conroy reduced the deficit when he crossed the line as Hugo Lennox kicked over the conversion to reduce the deficit to 14-7.
Conroy gave Kenya all sorts of problems with his elusive running and speed and leveled matters when he crashed over the line with Lennox converting to tie the match and send the game into sudden death.
Conroy was not to be denied as he scored the winning try to set up a showdown against France in the ninth-place semifinal.
Kenya on their part will face Uganda in an East African derby at 2:14 pm.
Kenya began the campaign with a 19-5 loss to Argentina followed by a 31-5 defeat to New Zealand and a 5-5 draw against Spain to drop to the classification category.
