Fang Min v Guangzhou Dongsong Energy Group Co. Ltd and Others (Civil Application No. 28 of 2023)
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Holding
On an application under the slip rule (rule 36(1) of the Judicature (Court of Appeal Rules) Directions), the Court of Appeal corrected clerical and accidental errors in its earlier judgment in Civil Appeal No. 0170 of 2020. It substituted 'Shs 5,000,000' with 'USD 5,000,000', harmonised the conflicting interest provisions to 10% per annum from the date of the lower court's judgment, expunged the order charging interest on the frozen USD 8,000,000 (which had already been paid), and corrected several typographical errors. The Court reaffirmed that under the slip rule it does not sit on appeal from its own decision and acts only to give effect to its original intention when judgment was given.
Facts
The applicant had filed a derivative suit (H.C.C.S No. 318 of 2016) over the unlawful transfer of the Sukulu Project mineral exploration licence from Uganda Hui Neng Mining Limited (UHNML) to the respondents. The High Court found for the applicant, valued her 35 UHNML shares at USD 25,000,000, and held she was entitled to a frozen USD 8,000,000. On appeal in Civil Appeal No. 0170 of 2020, decided 27 December 2022, the Court of Appeal set aside the USD 25,000,000 award and instead awarded USD 5,000,000 as compensation for her unpaid share capital contribution and loss of potential dividends, upholding the order on the frozen USD 8,000,000. The applicant then brought this slip rule application contending that the judgment contained errors: the USD 5,000,000 award was mistakenly recorded in shillings; the interest rate and its commencement date were stated inconsistently (10% from the lower court's judgment versus 8% from filing of the suit); and an order charging interest on the already-paid frozen sum should be expunged, alongside several typographical corrections.
Issues
- Whether the slip rule under rule 36(1) of the Judicature (Court of Appeal Rules) Directions could be invoked to correct the stated amount and the conflicting interest provisions in the Court's earlier judgment.
- Whether the order awarding interest at 8% on the frozen USD 8,000,000 should be expunged because that sum had already been paid.
- Whether the conflicting interest rate and commencement date in the earlier judgment should be harmonised into a single position.
Orders
- The sum stated in shillings as '5,000,000/=' on page 41 under Order (b) is a clerical error and is substituted with the correct sum of 'USD 5,000,000 (United States Dollars Five Million)'.
- The amount in (A), forming part of the USD 8,000,000 frozen in the Respondent/Applicant's bank account in China, shall be paid directly to the Respondent and shall attract interest at 10% per annum from the date of the judgment of the trial court.
- The order on page 41 under Order e(ii) charging interest at 8% per annum on the frozen sum is expunged from the Judgment under the slip rule, as the USD 8,000,000 subject of that order had already been paid.
- Page 6, Paragraph 3, line 10 is corrected to read '...the second appellant agreed and transferred 15 shares'.
- Page 25, Paragraph 4, line 1 is corrected to read 'The Respondent further claimed that the fraudulent acts of the Defendants...'.
- Page 5 under representation is corrected to the correct spelling 'Mr. Francis Tumwesige'.
- Each party shall bear its own costs of this application.
Key headnotes
Legislation cited (2)
- Judicature (Court of Appeal Rules) Directions, S.I 13-10, rule 2(2)
- Judicature (Court of Appeal Rules) Directions, S.I 13-10, rule 36(1)
Cases cited (3)
- Orient Bank Limited v Zaabwe & Another (Supreme Court Civil Application No. 0017 of 2017)
- Lakhamshi Brothers Ltd v R. Raja & Sons [1966] EA 313
- Fang Min v Dr Kaijuka Mutabaazi Emanuel (Supreme Court Civil Application No. 0006 of 2009)