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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.
189 judgments
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189 judgments
Citation
Judgment date
December 2021
Whether extra works formed a fresh contract and defendant must pay unpaid extras; plaintiff failed practical completion.
Construction law – lump‑sum contract – incorporation of extrinsic documents; Variations – formation of fresh agreement via emails and memorandum; Practical completion – requirement of essential works (plumbing) and effect of patent omissions; Employer’s liability – payment for extras and effect of withheld/reduced payments; Quantum meruit for additional works; Interest and costs.
27 December 2021
Instruction fees in mortgage litigation are based on equity of redemption, not full market value; taxation remitted for re-assessment.
Advocates’ costs – Taxation – Instruction fee – Meaning of “subject-matter” under Item 1(1) 6th Schedule – In mortgage disputes subject-matter is equity of redemption (cost to remove encumbrance), not full market value; Review of taxing officer’s discretion – interference only for error in principle, manifest excess or injustice; Taxation de novo where original taxation fundamentally misapplied law.
9 December 2021
Whether a customs objection/appeal was time‑barred and the effect of a deemed objection decision under EACCMA.
Customs law – objections and appeals – EACCMA s229 (objection/review) and s229(5) (deeming) – effect of tentative versus final objection decisions – limitation for appeal under s230(2) – late filing of statement of reasons and locus standi considerations.
1 December 2021
November 2021
Applicant granted unconditional leave to defend summary suit where retrenchment and insurance raise a triable issue.
Summary suit — leave to defend under Order 36/52 — requirement of bona fide triable issue; retrenchment as central triable fact; insurance cover for loan; burden of proof and appropriate role of trial to evaluate oral and documentary evidence.
30 November 2021
Suit not res judicata; court allows amendment to add UGX 477,000,000 and sets procedural timelines.
Civil procedure – Res judicata – whether earlier judgments on one parcel and parties bar subsequent suit on different parcel and monetary claims; Amendment of pleadings – leave to amend counterclaim to add sums paid post-judgment; Costs to abide outcome.
30 November 2021
Court refused default judgment, allowing late application due to former counsel’s mistake and upheld process server’s affidavit.
Civil procedure – summary suit and default judgment – whether an application to appear and defend filed out of time should be dismissed; capacity of a court process server to depose to affidavit matters; negligence of counsel as sufficient cause to extend or validate late filing; discretion to prefer merits over technical non-compliance.
30 November 2021
Stay of execution granted pending appeal subject to deposit of 30% security to protect against substantial loss.
* Civil procedure – Stay of execution – requirements under Order 43 r.4(3): substantial loss, no unreasonable delay, security for due performance of decree. * Appeal practice – effect of execution pending appeal where default judgment extinguishes opportunity to present defence. * Security for stay – court discretion to fix form and quantum of security (cash or bank guarantee; 30% of decretal sum).
30 November 2021
A garnishee order cannot attach funds the garnishee does not owe; registrar erred making it absolute.
* Civil procedure – Garnishee proceedings – Order nisi and order absolute – Only monies due from garnishee to judgment debtor and in garnishee’s custody at service are attachable. * Banker–customer relationship – bank is debtor only to extent of credited balance; cannot be ordered to pay sums it does not owe. * Insolvency – court should not allow garnishment to prefer one creditor where debtor is insolvent or probably insolvent. * Appeals – validation/enlargement of time for belated appeals; standards of review of Registrar’s discretionary orders.
22 November 2021
Whether a mortgagee may obtain foreclosure, public-auction sale and vacant possession after borrower defaults and fails to redeem.
* Mortgage law – Foreclosure – Foreclosure extinguishes mortgagor’s equity of redemption where borrower defaults and fails to redeem. * Power of sale – Public auction v private treaty – mortgage deed silence and lack of mortgagor consent require public auction under Mortgage Act and Regulations. * Possession – Vacant possession ordered following foreclosure. * Procedure – Originating summons appropriate where no substantial dispute of fact in mortgage foreclosure matters.
10 November 2021
The applicant (an intergovernmental facility) possesses international and domestic legal personality and capacity to sue; embassy reference struck out.
Intergovernmental organisations; international legal personality; domestic recognition of international personality; locus standi and capacity to sue; interpretation of constituent MOU; agent v principal in litigation; diplomatic immunity and waiver.
3 November 2021
Whether a contempt order imposing punitive fines can bar the applicant from further hearings absent a purge mechanism.
Contempt of court — civil vs criminal contempt — purging civil contempt — punitive fines and damages payable to court indicate criminal contempt — preliminary objection to hearing pending purge — court may refuse to allow contempt order to stifle adjudication where no purge mechanism exists.
3 November 2021
Bare allegations of forgery without evidence do not create a triable issue to resist summary judgment.
Civil procedure – Summary suit (Order 36 r.4 & r.5 CPR) – leave to appear and defend – requirement to show bona fide triable issue and sufficient affidavit disclosure; Allegation of forgery – bare assertion without evidential foundation insufficient to raise triable issue; Evidence – deed of acknowledgment and post‑dated cheques as prima facie proof; Payment history – post‑commencement payment reduces recoverable sum; Conditional leave – available where bona fides doubtful.
1 November 2021
Where statutory notices were complied with, the plaintiff may obtain vacant possession and sell the mortgaged land by public auction to recover debt.
Mortgage Act – foreclosure and sale – requirement of registered mortgage and compliance with notice provisions; Mortgage Regulations – consent to sale by private treaty must be by specific written notice and not retrospective; Mortgagee’s duty to obtain best price and sell by public auction absent valid mortgagor consent; entitlement to vacant possession to enable sale; contractual interest enforceable if reasonable.
1 November 2021
October 2021
29 October 2021
Review dismissed: new evidence immaterial, no error apparent, applicants failed to show due diligence or grounds for review.
* Civil procedure – Review of judgment – grounds: error apparent on face of record; discovery of new and important matter of evidence; other sufficient reason. * Review jurisdiction – successor judge may hear reviews based on new evidence or apparent clerical errors. * Review limitations – not a substitute for appeal; must show due diligence and that new evidence could have altered outcome. * Foreclosure/redemption – sale price of secured asset not determinative where outstanding debt far exceeds sale proceeds. * Allegations of forgery/impersonation require cogent evidence and cannot be remedied by review where factual findings supported the record.
25 October 2021
Court awarded plaintiff unpaid contract price with contractual and post-filing interest after finding defendant breached and failed to prove payment.
Contract formation and date – last signature governs; Parol evidence rule and handwritten alterations; Burden of proof in debt claims; Spoliation/adverse inference from loss of payment records; Breach of contract – recovery of price; Contractual and post-litigation interest; Costs follow the event.
25 October 2021
Applicant’s challenge to arbitral award dismissed: agreement valid, appointment lawful, adequate notice and no public policy breach.
Arbitration — validity of arbitration clause — apparent/implied authority and ratification — appointing authority powers under Arbitration and Conciliation Act — notice and right to be heard — ex parte arbitration — public policy challenge to arbitral award.
22 October 2021
Regulation 13 allows treating overseas head office services charged to a Ugandan branch as imported, taxable services.
VAT — imported services; Regulation 13(3)(a) VAT Regulations — treatment of head office and branch as separate taxable persons; section 11(2) VAT Act — exclusion of employee services; destination principle and tax neutrality; reverse charge/accounting by recipient; refund entitlement requires proof of overpayment.
18 October 2021
12 October 2021
Director-authorised loans bound the company; isolated loans were not regulated money‑lending and excessive default interest was reduced to 20% p.a.
Contract law — formation and proof of loan agreements by signed memoranda, cheques and correspondence; Company law — apparent/ostensible authority of directors and Turquand rule/estoppel; Regulatory law — scope of Tier 4 Microfinance Institutions and Money Lenders Act and when lending transactions amount to carrying on a money‑lending business; Contractual fairness — unconscionable/excessive interest and penalty clauses; Remedies — award of principal, substituted interest rate and costs.
11 October 2021
7 October 2021
Validated belated deposit; funds held in custodia legis for a stay pending appeal are not attachable; garnishee order set aside.
Civil procedure – conditional stay of execution pending appeal – validation of belated compliance and extension of time; Custodia legis – money deposited as security for stay not attachable without leave; Garnishee – decree nisi set aside; Registrar’s administrative failure – prima facie disciplinary issue but judicial immunity bars suit.
5 October 2021
1 October 2021
September 2021
Interlocutory judgment set aside; COVID‑19 disruption and serious jurisdictional issues warranted allowing defence and preliminary challenge.
Civil Procedure — Setting aside interlocutory judgment — Order 9 r 8 and r 12 — rule applies only to claims for pecuniary damages or detention of goods; Affidavit competency — deponent must be able to depose to facts — no express written authorization required from company; COVID‑19 lockdown and reduced operations can constitute sufficient cause for failure to file defence; Forum non conveniens/forum‑selection clause — serious triable preliminary issue; Delay — condonation where bona fide and substantial justice favoured.
27 September 2021
Interlocutory judgment set aside for pandemic-related delay and misapplication of Order 9 rule 8; jurisdictional challenge permitted.
Civil procedure – setting aside interlocutory judgment – Order 9 r.12 & r.8 – sufficiency of cause for failure to file defence – COVID‑19 pandemic as cause for delay – competency of affidavit deponent – forum‑selection clause and forum non conveniens – Registrar’s misuse of Order 9 r.8 where claim not for pecuniary damages only.
27 September 2021
A company’s name change does not defeat contractual claims; defendant failed to prove payment, judgment awarded with interest.
* Company law – change of name – does not affect rights or pending proceedings; * Contract – proforma invoices and bills of lading constitute a binding sale and proof of delivery; * Evidence – once creditor establishes a prima facie debt, evidential burden shifts to debtor to prove payment; * Agency/estoppel – payment on behalf of third party binds principal where instructed; * Remedies – judgment for debt, interest and costs.
27 September 2021
27 September 2021
Review dismissed: no error apparent on the face of the record and applicant failed to prove counsel’s timely instruction.
* Civil procedure — Review — Error apparent on the face of the record — Narrow ground requiring a self-evident mistake, not long-drawn reasoning. * Civil procedure — Jurisdiction — A judge other than the one who made the order may hear a review where the ground is error apparent on the face of the record. * Civil procedure — Default judgment — Setting aside (Order 36 r.11) — "Any other good cause" may include counsel’s mistake but requires proof of timely instruction and diligence by the litigant. * Civil procedure — Review vs appeal — Mistake of law or alternative view is for appeal, not review.
24 September 2021
Review failed: no error apparent on record; applicant merely sought reconsideration of contested factual findings.
Civil procedure – Review under Order 46 CPR – "error apparent on the face of the record" – scope limited to self-evident errors; not a rehearing of merits; Review jurisdiction by a different judge where facial error alleged; Default judgment – setting aside – "any other good cause" includes counsel’s mistake if timely instruction proven; burden to prove diligence and instruction to counsel.
24 September 2021
Court recognised and entered a decree enforcing an arbitral award after statutory filing and expiry of set‑aside period.
* Arbitration – Recognition and enforcement of arbitral awards – Sections 35 & 36, Arbitration and Conciliation Act 2013 – filing, registration and service requirements; effect where time to set aside under Section 34 has expired. * Enforcement – award enforceable as court decree where no timely set‑aside application made. * Set‑off/partial payment – respondent's admissions of partial payments do not prevent entry of decree where no challenge is brought.
24 September 2021
17 September 2021
17 September 2021
Mortgage of family land without the applicant's spousal consent is void; bank must release title and pay damages.
* Land law – family land – Section 38A Land Act – ordinary residence and family home criteria * Spousal consent – Section 39 Land Act – prohibition on sale/mortgage of family land without consent * Mortgagee obligations – Mortgage Act and Regulations – due diligence and verification of marital status * Remedies – review and declaration of mortgage null and void, release of title, injunction, damages and costs
17 September 2021
Plaintiff entitled to refund and damages after defendant failed to deliver vehicle and issued dishonoured refund cheques.
Contract law – existence and enforceability of a written sale agreement; Agency – director’s signature binding the company; Breach – non-delivery and dishonoured refund cheques; Remedies – special, general and punitive damages; Interest – court discretion to award 6% from judgment; Costs – awarded to successful plaintiff.
17 September 2021
Invoice terms added after contract formation were not incorporated; court awarded a statutory reasonable interest rate instead.
Contract formation; incorporation of terms – express and implied terms; reasonable notice requirement; tax invoices as non-contractual documents; course of dealing and trade usage; penalty/onerous clause; court's discretion to award just and reasonable interest under statute.
15 September 2021
Interlocutory injunction refused despite prima facie case; affidavit not defective without written authority; balance favoured respondents.
Interlocutory injunctions – requirements: serious question to be tried, irreparable harm, balance of convenience – family land and spousal consent – affidavit competence and representative deponents – mortgage and registration – caveat and adequacy of damages.
13 September 2021
Subcontracting without express contractual authority constituted breach, rendering the defendant liable to the insurer under subrogation.
Contract law – subcontracting and breach – absence of express authority to subcontract; Evidence – photographs and assessment report as uncontroverted proof of damage; Insurance law – insurer’s subrogation rights following indemnity payment; Remedies – award of restitution and costs.
7 September 2021
Plaintiff entitled to judgment for unpaid fuel; defendant failed to disclose triable issues and must pay principal, interest, and costs.
Contract debt recovery; liquidated sum for fuel supply; dishonoured cheques; payment proposal and demand; failure to disclose triable issues for leave to defend; interest from date of judgment; costs awarded.
3 September 2021
Plaintiff entitled to USD 20,201.61 for unpaid WCA shipments; 6% interest from judgment date and costs awarded.
Debt recovery – unpaid freight/credit shipments under World Customs Alliance terms – invoices and part payment – balance due; application for leave to appear and defend dismissed for failure to disclose triable issues; award of judgment sum with 6% interest from date of judgment and costs.
3 September 2021
The applicant proved an unpaid liquidated sum for transport services; the respondent’s defence lacked triable issues and was dismissed.
Contract/Commercial law – recovery of unpaid invoices for transport services; evidence of invoices and payments establishing liquidated debt – application for leave to appear and defend dismissed for failure to disclose triable issues – judgment and costs awarded to creditor.
3 September 2021
Applicant failed to show a bona fide triable issue; leave to appear and defend was dismissed.
Civil procedure – Order 36 CPR – leave to appear and defend – requirement to show bona fide triable issue of fact or law – necessity of concrete evidence (invoices, proof of payment) – affidavit credibility and sham defences.
3 September 2021
Applicant failed to raise a bona fide triable issue; leave to appear and defend dismissed with costs.
Civil procedure — leave to appear and defend — defendant must show a bona fide triable issue of fact or law; denial of indebtedness requires positive supporting evidence; delivery notes and statements of account may constitute proof; unsupported or contradictory allegations may be sham; costs awarded to successful respondent.
3 September 2021
Applicant failed to show a bona fide triable issue; leave to appear and defend dismissed with costs.
* Civil procedure – leave to appear and defend – requirement to show a bona fide triable issue of fact or law; * Limitation Act – actions on contract/tort subject to six-year period; accrual on last acknowledgement/payment (s.22); * Contracts Act – writing requirement for high-value contracts (s.10(5)) and enforceability by part performance; * Evidence – invoices, acknowledgements and payment vouchers as sufficient written proof; * Summary judgment principles – weak, vague or unsupported denials do not disclose triable issues.
3 September 2021
Application for leave to defend denied: no bona fide triable issue; claim within limitation and oral contract enforceable by part performance.
Civil procedure – leave to appear and defend under Section 98 CPA – requirement to show bona fide triable issue; Limitation Act – accrual on last payment/acknowledgement (s.22(4)); Contracts – oral/partly oral agreements enforceable by part performance despite statutory writing requirement.
3 September 2021
The plaintiff established an unpaid transport-services debt; court awarded UGX 581,128,142 and costs.
* Contract – Supply of transport services – Invoicing and payment records – Establishing outstanding liquidated sum. * Civil procedure – Application for leave to appear and defend – Requirement to disclose triable issues – Dismissal for failure to disclose. * Remedies – Recovery of liquidated debt and costs where debt established and not contested.
3 September 2021
A lender named as co-loss payee is not party to the insurance and owes no duty to renew it.
Insurance law – loss-payable clause – lender named as co-loss payee entitled to proceeds but not party to insurer–insured contract; Contract law – privity of contract; Fiduciary duty – no voluntary assumption of duty by lender to maintain borrower’s insurance; Negligence – no duty of care to renew or debit borrower’s insurance; Remedies – claim dismissed with costs.
1 September 2021
August 2021
31 August 2021
Applicant’s request to amend notice and stay execution denied: procedural heading was mere form and stay requirements unmet.
Civil procedure – Amendment of notice of appeal – formal defects vs. substantive requirements of Form D; Stay of execution pending appeal – requirements: realistic prospect of success, imminent threat of execution, absence of unreasonable delay, substantial irreparable loss, and security for due performance; burden of proof on applicant.
27 August 2021
Review dismissed: no error apparent in refusal to refer constitutional question and interest discrepancy was a clerical, not reviewable, error.
* Civil procedure – Review – scope limited to errors apparent on the face of the record – not a substitute for appeal. * Constitutional procedure – Article 137(5)(b) – referral to Constitutional Court required only where interpretation of the Constitution is necessary and a prima facie conflict is shown. * Execution – commitment of judgment debtor – allegations of unconstitutionality must prima facie raise an interpretative question to necessitate referral. * Decrees – interest calculation – arithmetical/clerical mistakes are corrected under section 99, not by review.
26 August 2021
Application to set aside dismissal denied: applicant failed to show sufficient cause or diligence; conduct amounted to abuse of process.
Civil procedure – Order 9 r.23 CPR – setting aside dismissal for non-appearance – sufficient cause requires bona fides, diligence and absence of negligence; failure to prosecute and abuse of process may justify refusal to reinstate; prejudice to respondent and prolonged inaction relevant.
25 August 2021