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Commercial Court of Uganda

The Commercial Court was established in 1996 as a division of the High Court of Uganda devoted to hearing and determining commercial disputes with current jurisdiction (as established under Legal Notice No.4 of 1996 and Instruction Circular No.1 of 1996); company causes, Bankruptcies and intellectual property.

The mission of the court is to deliver to the commercial community an efficient, expeditious and cost-effective mode of adjudicating disputes that affect directly and significantly the economic, commercial and financial life of Uganda.

Physical address
Plot 14, Lumumba Avenue, Nakasero.
16 judgments
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16 judgments
Citation
Judgment date
June 2013
Donor‑funded project assets embodied in corporate shares required valuation; shares partly held in trust for the programme, not immediate cash award.
Microfinance/project transformation – donor‑funded assets and shares – resulting/implied trust; legal v beneficial ownership of shares; need for professional valuation to determine compensable interest; public‑interest litigation; remedial accounting.
28 June 2013
Applicant entitled to foreclose and sell mortgaged land after respondent's default and unproven repayment claim.
* Mortgage law – Foreclosure – Right of mortgagee to foreclose where mortgagor breaches covenant to pay – O.37 r.4 CPR; s.8(1) Mortgage Act. * Evidence – Burden to prove alleged repayments – receipts/ledger entries required. * Remedy – Foreclosure, sale of mortgaged property, vacant possession and costs.
27 June 2013
Court ordered a company meeting under s135 to protect a 51% shareholder’s interests pending resolution of director-removal disputes.
Companies Act s135 – court-ordered meeting where Articles’ procedures impracticable; temporary injunction vs majority-shareholder rights; corporate governance – removal of director; validity of removal as bank signatory; Civil Procedure Act s98 – ancillary powers to organise meeting.
24 June 2013
Claim for breach of a loan insurance term dismissed; insurance existence not disproved and execution disputes must be raised in execution proceedings.
Banking law – salary loan – obligation to procure group insurance; scope of "disability" under group loan protection; burden of proof as to existence/non-existence of insurance policy; execution matters (attachment/sale) to be litigated in execution proceedings; remedy: dismissal with costs.
21 June 2013
Breach claim for unpaid loan insurance dismissed; group policy existence and plaintiff’s compensation defeated relief.
* Contract – loan facility – obligation to procure group insurance – whether bank breached by failing to insure against death and "disability" (scope includes medical disability, not necessarily dismissal). * Evidence – burden to prove non-existence of policy; absence of policy document weakens but does not automatically establish breach. * Remedies/Execution – disputes over attachment/sale and receipt of proceeds are matters for the executing court under section 34 Civil Procedure Act. * Insurance – scope and definitions (temporary/total permanent disability) determine entitlement to insurer’s payment.
21 June 2013
An oral claim for a commission exceeding the statutory threshold is unenforceable absent the written agreement required by law.
Contracts Act s.10(4) – Statutory requirement that contracts exceeding 25 currency points be in writing is mandatory; oral/ social communications insufficient; preliminary objection under O.6 rr.28–30 may be decided on pleadings.
19 June 2013
A court-appointed auditor’s binding report under s.27 established the defendant’s unpaid debt; damages, interest and costs awarded to the plaintiff.
* Commercial law – sale of goods – recovery of unpaid price; reference under S.27 Judicature Act. * Evidence – burden of proof lies on party asserting payment; failure to produce documentary proof (receipt) undermines defence. * Procedure – parties bound by court-appointed expert’s report absent breach of natural justice. * Remedies – special damages as per expert report, general damages for deprivation and consequential losses, interest and costs.
13 June 2013
Contractor entitled to disputed invoices and withheld sums; unauthorized deductions disallowed, awarded damages and interest.
Contract — entitlement to payment despite absence of original invoices where work proved; unauthorized contractual deductions — burden to justify; VAT payable by supplier not to be deducted by payer; damages for late payment and appropriate rates of pre- and post-judgment interest.
7 June 2013
Plaintiff was awarded fees for completing tax consultancy services despite defendant's claims of prior payment.
Contract law - oral agreements - consultancy fees - breach of contract allegations - evidence on contract terms and completion.
6 June 2013
Conversion of debt into equity is a capital transaction and does not create taxable recouped income under section 62.
* Tax law – Income Tax Act s.62 – Recouped expenditure – Requirement of actual recovery or event inconsistent with basis of deduction; * Debt‑equity swap – conversion of loan (principal and accrued interest) into equity is a capital transaction, not taxable income; * Corporation tax – assessment on capitalized interest disallowed.
5 June 2013
Carrier unlawfully retained a paid wagon (constructive possession), liable for loss; plaintiff awarded damages, interest and costs.
• Carriage of goods – retention of wagon – constructive possession where carrier controls transport decision; unlawful retention when payment proven. • Evidence – weight of correspondence and payment records during transitional collection arrangements (URC/defendant). • Remedies – special damages, interest, general damages and costs where unlawful retention causes spoilage. • Counterclaim – failure where plaintiff proved payment for disputed wagons.
5 June 2013
Failure to serve the Order Nisi on the judgment debtor invalidated the garnishee Order Absolute and protected advocates’ taxed costs.
Civil procedure – Garnishee proceedings – O.23 CPR – mandatory service of Order Nisi on garnishee and judgment debtor; defective affidavit of service; taxed advocates’ costs not attachable by garnishee; failure to serve renders Order Absolute void.
5 June 2013
Respondent who fails to rebut invoices and ledger is liable for the pleaded commercial debt with 21% interest.
Commercial law – summary suit for debt – proof by invoices and ledger – agency defence unproved – ex parte evidence due to respondent’s non-attendance – liability for pleaded sum – interest at 21% p.a. – costs awarded.
4 June 2013
Agency plea unproven; defendant liable for unpaid commercial tea supply, judgment for debt, 21% interest and costs.
Commercial debt – summary suit for unpaid goods – documentary evidence (vouchers, invoices, ledger) establishing liability; agency defence – burden to prove agency lies on defendant and failure to adduce evidence defeats plea; interest on commercial debts – 21% p.a. from filing; substituted service and ex parte hearing where defendant absents.
4 June 2013
Plaint dismissed: no cause of action shown; non‑parties and an agent of a disclosed principal cannot be sued.
* Civil procedure — Preliminary objection — plaint must disclose a cause of action per O.7 r.11; assume pleaded facts true when assessing legal sufficiency. * Contract/privity — a person not party to a contract (no privity) cannot be sued for its breach. * Agency — agent who discloses principal: action lies against disclosed principal, not agent. * Jurisdiction/non‑existent party — foreign or non‑existent entity not shown to exist or be within jurisdiction cannot be validly sued.
4 June 2013
Court quashed procurement authority’s decision for procedural impropriety in ignoring material technical reports.
Procurement law – judicial review – procedural impropriety for failing to consider material technical evidence; PPDA Act powers to commission investigations; certiorari to quash flawed administrative review.
4 June 2013