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Citation
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Judgment date
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| December 2008 |
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Respondent repudiated the supply contract; applicant awarded general damages, special and counter-claims dismissed.
Contract law — breach and repudiation; memorandum of understanding as variation of written contract; implied term of reasonable time; failure to perform weekly certification/payment regime; defective workmanship and non-delivery; assessment of special vs general damages; dismissal of counter-claim and refusal of specific performance.
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21 December 2008 |
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The applicant paid under a guarantee and is entitled to UGX241,707,213; the respondent’s counter-claims fail.
* Commercial law – Guarantee – guarantor’s right of indemnity arises on actual payment to creditor; enforceability between guarantor and creditor despite no notice to principal debtor; proof required as to amount owed. * Evidence – documentary weight and credibility; erroneous internal letter (Exh. D29) held inadmissible for altering agreed credit limit. * Counter-claim – contractual refund obligations require clear proof and temporal scope; retrospective liability not found. * Limitation – evaporation-loss claim barred by Limitation Act (six-year period) and special damages must be strictly pleaded and proved. * Interest – equitable award of pre-judgment deprivation interest from date of judgment at 20% p.a.
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9 December 2008 |
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Whether valuation reports attract stamp duty and which rate applies under the 2002 Stamp Duty amendment.
Stamp Duty Act (amendment 2002) – valuation/appraisement reports held to be "instruments" by schedule; such reports are "other instruments" for s.3(1); ambiguity in schedule (Shs.5,000 vs 1%) resolved for taxpayer — Shs.5,000 payable; liability unclear due to failure to amend s.36; unstamped reports not retrospectively penalised.
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4 December 2008 |
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An IGG investigation and statutory stop order can bar a payment claim unless bad faith is pleaded against the IGG.
Constitutional and administrative law – Inspectorate of Government powers to investigate (Art.225); IGG Act – sections 12, 14(1),(3) (power to investigate and stop transactions); IGG Act s.22(1) – statutory immunity for acts done in good faith; good faith – question of fact; procedural law – need to plead bad faith when suing the IGG; interim stop orders and effect on contractual payment; remedies and costs.
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1 December 2008 |
| November 2008 |
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Supplier lacked privity to enforce hire-purchase credit agreements; plaint struck out for failure to disclose a cause of action.
Civil procedure – Hire-purchase (consumer credit) agreements – Tripartite debtor–creditor–supplier relationships – Privity of contract and locus standi to sue – Validity and execution of addenda – Forum selection clause (Nairobi) and jurisdiction – Striking out plaint for failure to disclose cause of action (Order 7 r.11(a)) – Substitution of parties (Order 1 r.10) not appropriate where no bona fide mistake.
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27 November 2008 |
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An ex‑parte order based on misleading evidence may be reviewed and corrected to prevent unjust enrichment.
Civil procedure – Review of ex‑parte orders; mistake apparent on the face of the record; unjust enrichment where rent already received; Order 46 Rule 1(a)&(b) – new matter after due diligence; correction of erroneous monetary awards.
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26 November 2008 |
| October 2008 |
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Failure to show good cause for non-appearance and to prosecute warrants dismissal of application to reopen arbitration challenge.
Civil procedure – failure to prosecute – dismissal for want of prosecution; Arbitration – limited scope for courts to re-evaluate arbitral findings of fact; Non-appearance – necessity to show good cause to reopen proceedings; Court will not remedy losses attributable to claimant’s legal representatives’ negligence.
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26 October 2008 |
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Validity of service at a company's address and conditional setting aside of judgment subject to payment into court.
* Civil procedure – service of process – service at a company's place of business/registered address is conclusive.
* Commercial law – action on dishonoured cheque – plaintiff need not prove consideration.
* Relief – setting aside default orders – conditional leave to defend granted subject to payment into court.
* Enforcement – failure to comply with conditional terms results in revival of prior orders and execution.
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20 October 2008 |
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The applicant may defend only if US$55,000 is paid into court within 14 days; otherwise the decree is revived.
Civil procedure – setting aside default/ex-parte decree; service of process – validity of service at company address; cheque actions – dishonoured cheques; conditional leave to defend – deposit into court as condition for stay of execution; revival of decree on default.
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20 October 2008 |
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Applicant raised a triable issue on refusal to honour a claim and broker exemption under section 34 of the Insurance Act.
Insurance Act s.34 – premium credit period and avoidability; broker exemption for business emanating from licensed broker; summary judgment – bona fide triable issue required; burden to rebut broker exemption; refusal to consider claim as triable issue.
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12 October 2008 |
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Court allowed amendment to add a director as co‑defendant where pleaded fraud disclosed a cause of action despite separate corporate personality.
Civil procedure — Amendment of pleadings; joinder of parties (Order 6 r19; Order 1) — Corporate personality — veil not a cloak for alleged fraud — cause of action disclosed — avoidance of multiplicity; costs in cause.
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6 October 2008 |
| September 2008 |
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A fixed-price contract existed; plaintiff substantially performed and is awarded the withheld balance after wrongful termination by the defendant.
* Contracts – construction – fixed-price/lump-sum contract – formation and characterization of a lump-sum contract.* Contracts – performance – doctrine of substantial performance – recovery where contractor completed substantial part but prevented from finishing by employer’s conduct.* Remedies – wrongful termination by employer – employer’s self-induced additional completion costs not recoverable from contractor.* Damages and interest – award of withheld contract balance, interest from date of judgment, and costs apportionment.
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29 September 2008 |
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Whether a plaint discloses a cause of action where a bill of lading names a foreign carrier but the local agent issued a receipt.
Civil procedure – preliminary objection – whether plaint discloses cause of action; Bills of lading – effect of bill naming foreign carrier and local notify/delivery agent; Agency – alleged agent of disclosed principal; Requirement for viva voce evidence where documents and pleadings are inconclusive.
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25 September 2008 |
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Application for interim injunction to restrain mortgage sale dismissed for lack of prima facie case and irreparable harm.
* Civil procedure – interim injunction – requirements: prima facie case, irreparable injury, balance of convenience. * Mortgages – rights of mortgagee to realize security on default and duty to account. * Pleadings – party bound by admissions in pleadings and annexed loan documents.
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25 September 2008 |
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Application to set aside wasted costs dismissed for lack of supporting affidavit; leave to appeal refused.
* Civil procedure – wasted costs – application to set aside wasted costs order – requirement for proper affidavit and supporting evidence (medical evidence where illness alleged) – scheduling conferences may be substituted by another counsel from same chambers. * Leave to appeal – refused where application lacks evidential basis and raises no point of law.
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21 September 2008 |
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Court upheld that services exported via agent were zero-rated and no VAT liability arose absent tax invoices.
VAT — Export of services — Zero-rating pre-2006 — Agency evidence and documentary proof of supply abroad — Tax point and issuance of tax invoice (section 14) — Equipment as tools, not separate supplies.
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21 September 2008 |
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Purposive interpretation found marquee tents to be taxable-exempt "hotel equipment", and late administrative response deemed approval under EACMA s.229(5).
* Tax law – interpretation of tax incentives – purposive vs strict/nomenclature interpretation – hotel equipment under item 23 Part II 3rd Schedule Finance Act.
* Administrative law – EACMA s.229(5) – mandatory 30-day decision period; failure to communicate results in deemed allowance.
* Revenue practice – Commissioner’s exemption acts intra vires where statutory conditions are met.
* Civil procedure – costs and wasted costs; personal costs order against counsel for failure to comply with court directions.
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21 September 2008 |
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Court upheld entry of judgment under Order 18 Rule 13 for defendants' non‑appearance and refused leave to appeal.
Civil procedure – Default/non‑appearance – Entry of judgment under Order 18 Rule 13 – Refusal of leave to appeal – Leave to file counterclaim within prescribed period.
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14 September 2008 |
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Respondent may enforce securities; injunction discharged and applicant's claims dismissed absent fundamental irregularity.
Enforcement of securities – creditor’s right to sell mortgaged property where borrower defaults – injunction discharged absent fundamental irregularity; specific performance and invalidity for unpaid stamp duty rejected.
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3 September 2008 |
| August 2008 |
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A defendant may apply under Order 9 r.3 without having filed a defence; notice in substance suffices and timing extended if deadline falls on a weekend.
Civil procedure – Order 9 r.3(1) – notice of intention to defend – form versus substance; filing defence prior to application optional; time computation – Order 51 r.3 – extension where last day falls on weekend; application to dismiss for defective plaint not decided on merits.
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21 August 2008 |
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An admission in a separate suit cannot support judgment on admission in the current suit; admission must be clear and in the same suit.
Civil procedure – Order 13 r.6 – Judgment on admission – admission must be clear and unequivocal and made in the suit before the court; admissions in separate suits insufficient; existence of conditions precedent to payment defeats summary judgment.
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21 August 2008 |
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Claim for unpaid long-service awards was time-barred; limitation exceptions (mistake/fraud) did not revive the claim.
Limitation of actions – cause of action accrues on effective termination date; Limitation Act s.3 and s.25 – mistake and fraudulent concealment; s.25(c) inapplicable where claim seeks entitlement not relief from mistake; s.25(d) protects purchaser for value without notice; Representative proceedings – Order 1 r.8 CPR requirement for leave; procedural irregularity cured by later representative order.
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21 August 2008 |
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Order 9 r3 applications need not follow filing defence but must be timely and raise jurisdictional defects.
* Civil Procedure – Order 9 r.3 CPR – jurisdictional challenges – notice of intention to defend – filing of defence optional but application must be within time limited for service of defence. * Substituted service – time to file defence runs from date of publication; absence of affidavit of service does not suspend limitation. * Scope of Order 9 r.3 – only jurisdictional defects (service, summons, leave to serve out of jurisdiction, validity extensions) can be raised under the rule; substantive complaints are not proper grounds.
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21 August 2008 |
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Applicants failed to show a bona fide triable issue; guarantees were continuing and enforceable but enforcement stayed pending principal debt determination.
Commercial law – Summary procedure – Leave to appear and defend – Applicant must show bona fide triable issue; Guarantee law – Continuing guarantees given for overdrafts converted into loan; Demand – Service and acknowledgment; Guarantor’s liability accessory to principal debt – stay of enforcement pending determination of principal indebtedness.
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21 August 2008 |
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Court granted applicants an extension to file an amended defence due to lack of access to registry files and improper service.
Civil procedure – extension of time – Order 51 r.6 and Section 96 – sufficient cause where registry access denied and responsible officer not served – intended amendment not introducing new defence – costs awarded to respondent.
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21 August 2008 |
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A genuine dispute over interest and penalty computations constitutes a triable issue warranting leave to defend a summary suit.
Civil procedure – Summary procedure – Leave to defend – Applicant must show bona fide triable issue with sufficient particulars; Account reconciliation and computation of interest/penalties as grounds for defence; Court should not determine merits at leave stage; Order to file written statement of defence and costs awarded.
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21 August 2008 |
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Application to stay taxed costs pending separate suits dismissed; set-off requires pleaded counterclaim.
Stay of execution – application before execution proceedings – prematurity and justification; Set-off and counterclaim – parties bound by pleadings; Taxed costs – when costs can be stayed or paid in cause; Abuse of process – delaying successful party’s enforcement of costs.
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18 August 2008 |
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Kenyan judgment met statutory requirements for registration in Uganda; registration granted with preservation and procedural conditions.
* Foreign judgments – Registration under Foreign Judgments (Reciprocal Enforcement) Act (Cap 9) – compliance with s.3 and Rule 4 – certified foreign judgment and exchange conversion required. * Reciprocal enforcement – SI No.35/2002 extends Part II to Commonwealth territories (Kenya). * Section 5 grounds for setting aside registration – jurisdiction, fraud, public policy, vesting of rights considered and not established. * Preservation of assets pending challenge – limited possession permitted; execution stayed for prescribed period.
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10 August 2008 |
| June 2008 |
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No evidence container was tampered with in defendant’s custody; claim for loss dismissed with costs.
Carriage of goods – alleged theft/shortage of container cargo; evidence on seals and tally sheets versus loss-adjuster report; limitation objection raised late in trial; vicarious liability of carrier for theft by agents.
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25 June 2008 |
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Court enforced parties’ agreement to be bound by a jointly appointed expert’s report and entered judgment despite defendant’s non-cooperation.
* Civil procedure – parties’ agreement to be bound by jointly appointed expert’s report – enforceability and effect of such report. * Arbitration/ADR – expert report as agreed binding determination akin to arbitral award. * Inherent jurisdiction – court may give effect to parties’ agreement to be bound by an expert’s report where one party defaults. * Procedure – failure to pay expert’s fees or to obtain/report does not necessarily preclude enforcement of agreed binding report.
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23 June 2008 |
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Where rival oral accounts are equally probable, neither a claim for commission nor a counterclaim for withdrawals can succeed.
Civil evidence – burden on balance of probabilities; disputed contractual relationship (commission agent v. gratis apprentice); credibility of rival oral accounts; counterclaim for withdrawals while proprietor absent; dismissal where neither party proves case.
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23 June 2008 |
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TAT lawfully required the applicant to pay a 30% deposit pending resolution of the objection; appeal dismissed.
Tax law – Requirement to deposit 30% of disputed tax pending resolution of objection – Sections 103(2) Income Tax Act and 15(1) Tax Appeals Tribunal Act; Review jurisdiction of Tax Appeals Tribunal – limitation to grounds in objection; Precedent – Tribunal decision per incuriam; Access to justice – constitutional challenge to deposit requirement to be determined by Court of Appeal; Alternative security – tribunal discretion to accept non-cash guarantees.
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23 June 2008 |
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Claim for cargo loss dismissed for failure to prove a contract between the plaintiff and the defendant.
Contract law – carriage of goods – whether plaintiff proved existence of contract for transportation to establish carrier liability; evidentiary burden – failure to call key witnesses and produce documentary proof; procedural conduct – delays and adjournments affecting trial efficiency.
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18 June 2008 |
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Court dismissed challenge to arbitral award; judicial review confined to statutory grounds under the Arbitration Act.
Arbitration — setting aside arbitral award — limited grounds under Arbitration and Conciliation Act s.34 — scope of arbitrator’s authority — decision must be in accordance with contract and take trade usages into account (s.28(5)) — incapacity and failure to plead liquidation — pleading and proof of special damages — finality clause and prohibition on appellate review of legal errors outside parties’ agreement.
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18 June 2008 |
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Importation of counterfeit branded pens infringes the applicant's registered trademark; injunction, destruction and damages awarded.
* Trade mark law – Infringement – Importation and possession of goods bearing a registered mark without authorization constitutes infringement. * Remedies – Declaration of ownership, injunction, delivery up and destruction of counterfeit goods, damages and costs. * Personal liability – directors not automatically personally liable absent appropriate evidential basis.
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3 June 2008 |
| May 2008 |
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Whether the plaintiff remained a shareholder and was wrongfully excluded; invalid resolutions, account, rectification, damages awarded.
* Company law – membership and resignation – whether alleged 1969 resignation established; effect of later wills and company returns. * Company law – validity of meetings and resolutions – notice to members/directors and consequences of improperly convened meetings. * Reliefs – derivative/shareholder remedies: declaration of oppressive conduct, account of stewardship, rectification of company records, redemption of titles, restoration to directorship, and damages. * Counterclaims – requirement of proof for rescission, failure of consideration and equitable relief.
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21 May 2008 |
| April 2008 |
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Court quashed unlawful customs fines and forfeiture, remitted decisions for reconsideration, granted prohibition quousque and awarded damages.
Administrative law – Judicial review – Certiorari and prohibition – Illegality and irrationality in imposition of customs fines – Ultra vires forfeiture/condemnation – Seizure powers under EACCMA – Procedure for seizure and detention – Damages and remedies.
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28 April 2008 |
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Buyer allowed to withhold payment until inspection when second‑hand computers failed to meet contractual "good and working" condition.
Sale of Goods Act – second‑hand goods – conformity with contract; sections 15 and 16 (description, quality, fitness for purpose); section 34 (buyer’s right to examine and withhold acceptance); valuation of conforming goods; interest on outstanding sum.
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6 April 2008 |
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Court lifted corporate veil and held defendant liable under bailment for loss of shipped goods, awarding damages and interest.
* Company law – lifting the corporate veil – when associated companies operate as one economic unit and equity demands a remedy.* Carriage of goods/forwarder – forwarder may act as principal; contract of carriage and bailment can be established by invoice and receipt even without bill of lading.* Remedies – award of special and general damages, interest and costs where bailment/carriage breached.
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6 April 2008 |
| March 2008 |
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Applicant failed to prove special circumstances to justify a stay of execution pending appeal; application dismissed with costs.
Stay of execution pending appeal – section 98 Civil Procedure Act – court’s inherent jurisdiction – discretion requires special circumstances and good cause – substantial loss must be particularised – ability of judgment‑creditor to restore status quo ante may negate need for stay – security and likelihood of success relevant but not dispositive.
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27 March 2008 |
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18 March 2008 |
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Court overruled procedural and substantive preliminary objections and allowed the derivative action to proceed to trial.
Companies — derivative action by members; procedure for remedies under Companies Act and CPR — plaint vs chamber summons; preliminary objections — demurrer/Foss v Harbottle exceptions; companies limited by guarantee; Attorney General consent for public trusts; limitation — accrual and ongoing wrongs; abuse of process.
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11 March 2008 |
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Foreclosure and sale refused where claim largely time-barred and originating summons was inappropriate.
Limitation Act (s18, s22) – foreclosure characterised as recovery of land – effect of debtor’s acknowledgement on limitation – time-barred interest – procedural suitability of originating summons.
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4 March 2008 |
| February 2008 |
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A revenue authority cannot contract away statutory tax powers; the memorandum was ultra vires, so no VAT refund or settlement arose.
* Tax law – whether a memorandum of understanding can settle statutory tax liabilities; * Public law – ultra vires and fettering of statutory powers by agreement; * VAT – entitlement to refund governed by statute and verification procedures; * Illegality – unenforceability of agreements meant to deprive public revenue; * Estoppel – cannot validate acts beyond statutory power.
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24 February 2008 |
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Registered trademark owner entitled to injunctions, destruction of infringing goods and damages for unauthorized use and passing off.
Trademark law – registration confers prima facie proprietary rights – infringement and passing off where identical get-up and unauthorized use create likelihood of confusion – international trademark registration must be proved – reliefs: injunction, delivery up and destruction, damages, costs.
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21 February 2008 |
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Payment made under a forged tax assessment must be offset and excess refunded where goods are not forfeited.
* Customs law – seized imports – assessment and payment on forged document – payment received by revenue authority may be offset against true liability.
* Customs law – forfeiture – burden on revenue to prove goods liable for forfeiture; no automatic forfeiture without sufficient evidence or conviction.
* Restitution/unjust enrichment – overpayment and proceeds of sale payable to owner where goods not forfeited.
* Interest and costs – award of interest from date proceeds withheld and costs to successful party.
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21 February 2008 |
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Delivery note stamp made acceptance conditional on inspection; bolts were defective and rejected, fraud not proved, both claims dismissed.
Contract terms – delivery note and later stamp creating condition precedent to acceptance (inspection/acceptance certificate); Evidence – expert analysis (UNBS) on conformity to specification; Goods – reduced shank and lack of galvanization justify rejection; Civil fraud/ conversion – allegations require strict proof, heightened standard beyond mere balance of probabilities.
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20 February 2008 |
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The plaintiff entitled to refund and damages where the defendant sold a non‑working copier in breach of express and implied terms.
* Sale of goods – express and implied terms – seller’s obligation to install and guarantee machine – breach of express installation and warranty clauses. * Sale of goods – implied condition of fitness for purpose and merchantable quality (Sale of Goods Act s.15). * Remedies – rejection of goods, refund, contractual penalty, general damages, interest. * Damages – remoteness and mitigation (Hadley v Baxendale principle). * Evidence – expert technical evidence and failure to produce importation documents relevant to fitness and merchantability.
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14 February 2008 |
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Court held plaintiff unpaid on one USD claim, allowed offset of another USD claim against defendant’s advance-payment recovery and awarded interest and damages.
Contract – recovery of unpaid certified sums; bank transfer to closed account – no proof of payment; set-off/offset – plaintiff’s certified sum offsettable against defendant’s advance-payment recovery; guarantor’s payment does not absolve contractor; damages and interest (contractual rate replaced by court at commercial rates).
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13 February 2008 |
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Advertiser entitled to payment for published advert; publisher liable to nominal damages for minor omissions.
Contract law – advertising services – substantial performance where service provided but minor omissions exist – entitlement to payment when no express payment term; Pleadings and evidence – additional particulars at trial consistent with pleadings and not a new cause of action; Damages – nominal damages for minor omissions; Costs – successful appellant awarded appeal costs and 2/3 of trial costs.
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13 February 2008 |
