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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.
21 judgments
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21 judgments
Citation
Judgment date
January 2022
Review dismissed: court found no error apparent; guarantor issue was pleaded and litigated, review cannot re‑appraise the merits.
Civil procedure – Review under section 82 and Order 46 CPR – scope limited to error apparent on the face of the record or new evidence; Review not a substitute for appeal; Originating summons – issues may be decided if effectively pleaded and litigated; Mortgage law – guarantor and mortgagor liability; foreclosure, delivery of possession and power of sale.
31 January 2022
Review dismissed: alleged unpleaded personal guarantee and discharged charges were matters litigated, not errors apparent on the record.
Civil procedure – Review jurisdiction – successor judge may hear review where error apparent or new evidence; scope limited. Review vs appeal – error apparent on face of record must be self-evident. Mortgages and guarantees – pleadings and annexures may constitute pleading of guarantee; issues litigated in affidavits and rejoinder may be determined by court. Natural justice – no violation where parties had fair opportunity to litigate an issue.
31 January 2022
Tribunal is a merits-review body; applicant failed to prove good cause for extension, appeal dismissed with costs.
* Tax law – extension of time to object – requirement of "sufficient reason"/"good cause" – applicant must adduce particularised evidence; COVID-19 claims must be substantiated. * Administrative law – Tax Appeals Tribunal – external administrative merits review with power to stand in the shoes of the decision-maker. * Administrative law – reasons for decision – concise, intelligible and adequate reasons required. * Discretionary relief – appellate restraint; interference only for error in principle or unjust outcome.
27 January 2022
Appellate court upheld finding that bank failed to prove continued indebtedness and affirmed damages for unlawful deductions and detained title.
Banking law – loan facilities and charges – whether continued interest/penalty charges and commissions may be imposed after referral to a collection agency; evidence evaluation and documentary exhibits; assessment and quantum of general damages for wrongful detention of title and unlawful deductions.
24 January 2022
Commercial court had jurisdiction over mortgage‑secured bailout loan; labour proceedings did not bar the recovery suit.
Commercial jurisdiction – recovery under mortgage-secured salary advance; distinction between employer-employee loan and employment dispute; lis pendens (section 6 CPA) – when it bars subsequent suits; arbitration clause – obligation to attempt agreed dispute resolution before court but absence of proof of arbitration may not defeat suit; abuse of court process.
24 January 2022
Ex parte attachment without substantive application or proof of service was irregular; attachment set aside and vehicle released.
Civil procedure – jurisdiction under section 15 CPA; attachment before judgment – procedural prerequisites and need for substantive application (Order 50 r.3A(3)/Order 40); service of process and right to be heard; supervisory powers of High Court (Judicature Act s.17) and setting aside orders under section 83(c) CPA.
24 January 2022
Consolidation granted where two suits involved same parties and substantially similar legal and factual issues.
Civil procedure – Consolidation of suits – Order 11 rule 1 CPR – When same or similar questions of law or fact and same parties exist consolidation is discretionary and appropriate; Preliminary objection – Authority to appear/affidavit – Order 1 rule 12 CPR – affidavit sworn in representative capacity valid where party represented is a director of represented entity; Case cited: Stumberg v Potgieter.
24 January 2022
Written admission and unchallenged audit evidence established debt; court awarded UGX 200,031,000 and costs.
Commercial law – supply of goods on credit – existence of contract – written agreement signed by company director; Evidence – written admission (s.57 Evidence Act) and unchallenged audit report establish indebtedness; Civil Procedure – ex parte hearing where defendant absent; Costs – discretion of court under s.27 Civil Procedure Act.
24 January 2022
A judgment debtor who files a bankruptcy petition may be released from civil prison pending hearing upon furnishing security.
Civil Procedure Act s.40(4) – release from arrest on intention to apply for insolvency – bankruptcy petition as evidence of inability to pay – affidavit formalities and annexures – curable defects – security to be furnished before release.
24 January 2022
Applicant’s plausible explanation and respondent’s non-attendance constituted sufficient cause to set aside dismissal and reinstate the suit.
* Civil procedure – Order 9 r.23 – setting aside dismissal for non-appearance – requirement of sufficient cause; * Effect of opposing party’s non-attendance and counsel’s failure to notify; * Applicant’s burden to give plausible explanation and consequence of unsupported denials by respondent.
24 January 2022
Appeal dismissed: registrar correctly refused temporary injunction because applicant failed to show irreparable harm and reliefs were compensatory.
Civil procedure — interlocutory injunction — requirements for temporary injunction (prima facie case, irreparable injury, balance of convenience) — practitioner cannot obtain temporary injunction where injury is compensable by damages; Jurats and Illiterates Protection Act — jurat valid where translator’s name and address appear; Order 11A CPR — abatement for failure to take out summons for directions dependent on proper filing/serving of last reply.
24 January 2022
Conditional stay granted pending appeal; applicant must deposit 50% of decretal sum within 60 days.
Tax — Stay of execution pending appeal — requirements: likelihood of success/serious question, irreparable/substantial loss, promptness, and security for due performance — Section 15 TAT 30% deposit not adequate security — agency notice as imminent execution.
24 January 2022
An objection decision must be reviewed by the Tax Appeals Tribunal before any appeal to the High Court.
* Tax law – jurisdiction – Review of objection decisions by Tax Appeals Tribunal – High Court only on appeal from Tribunal; appeal filed in wrong forum; application to strike out and costs awarded.
24 January 2022
The plaintiff may stop goods in transit and recover them where defendants' impersonation shows payment is unlikely.
Sale of Goods Act – stoppage in transitu – unpaid seller – goods in custody of carrier/customs – anticipatory breach and apparent inability to pay due to impersonation/fraud – remedy: re-delivery/re-export and costs.
17 January 2022
17 January 2022
Court upheld the arbitral award except remitting the US$1,000,000 general damages award for reconsideration.
* Arbitration — setting aside award — evident partiality — site visit observations and audi alteram partem principle. * Arbitration — scope of arbitrator’s powers — reopening, reviewing and revising final certificates under arbitration clause. * Arbitration — public policy — narrow ground for setting aside; fraud/corruption or contravention of fundamental law required. * Contract damages — liquidated damages clause ordinarily excludes additional general damages; error of law apparent on face of award justifies partial remit.
17 January 2022
Court upheld most of the award but set aside and remitted general damages that duplicated contractual liquidated damages.
Arbitration — Setting aside arbitral award — Grounds under Arbitration and Conciliation Act — evident partiality; public policy; excess of jurisdiction; error of law apparent on face of award — site inspection and natural justice — liquidated damages v. general damages.
17 January 2022
A Registrar’s warrant for attachment and sale was set aside for failing to ensure attachment proportionate to the decretal amount.
Civil procedure – Execution of decree – Attachment and sale – Order 22 r.14(4) duty to ensure value of property attached corresponds to decretal amount – Proportionality and limitation of attachment – Appellate review of Registrar's discretionary orders – Validation of belated appeal.
11 January 2022
Whether a CIS amendment reducing exit entitlements validly applied to a member exiting shortly after its adoption.
Companies law – notice for general meetings; Collective Investment Schemes – amendment of scheme rules; Validity of AGM resolutions adopted as "any other business"; Prospective vs retrospective effect of amendments; Vesting of redemption rights; Remedies where amended rules applied and payment effected.
7 January 2022
Dismissal entered under the court’s inherent powers was set aside where the applicant proved sufficient cause caused by a court file/cause-list mix-up.
* Civil procedure – Inherent powers (Section 98 CPA) – dismissal of suit for apparent lack of interest – setting aside and reinstatement. * Civil procedure – Competency of application – wrong or superfluous citation of procedural rule does not defeat jurisdiction where inherent power is invoked. * Civil procedure – "Sufficient cause" for non-appearance – honest intention to attend and impediment caused by court file/cause-list mix-up.
5 January 2022
Applicant failed to show bona fide triable issues to resist summary judgment for repayment of an alleged private loan.
Civil procedure – summary suit – leave to appear and defend under Order 36 – requirement to disclose bona fide triable issues and attach draft defence; private loan v. licensed money‑lending business; coercion and irregular cheques not per se triable defences.
5 January 2022