Formation and validity of Contract

Ssalongo Kibudde v Mrs. Josephine Mubiru (Civil Appeal No.35 Of 2003) ((Civil Appeal No.35 Of 2003)) [2009] UGHC 119 (3 April 2009);


Search Summary: 

This was an appeal against the judgment and decree of the magistrate on grounds that the trail magistrate erred in law and fact when she failed to properly evaluate the evidence on record thereby reaching a wrong decision.

The appellant argued that there was no contract with the respondent as it had been held by the trail magistrate.


The respondent argued that the appellant used her vehicle for hire services and stayed with it for one and a half month without any payments being made to him, thereby breaching contract.


The issues that were raised for consideration were, whether there was a valid contract between the plaintiff and the defendant, whether there was breach by any party, and the remedies that were available to the parties.

Headnote and Holding: 

With regard to issue one, it was found that there was an oral agreement that the appellant would use the vehicle and pay to the respondent the agreed sum, which the appellant failed to pay on demand.


With regard to issue two, the appellant argued that he made no use of the car on account of its expired license. It was submitted that the appellant was estopped from claiming none use of the car because he chose to disappear with it without informing the owner about the expiry of the license, yet it was meant for business purposes.

Accordingly, the appellant was found in breach of contract.


Concerning remedies, the court awarded damages for loss of earnings, and in form of compensation to the respondent as a result of breach of contract by the appellant.


The appeal was therefore dismissed against the appellant for lack of merit.


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