JUSTINE E.M.N. LUTAYA v STIRLING CIVIL ENGINEERING COMPANY LTD (No 39)
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Holding
The Supreme Court held that a person holding a certificate of title has, by virtue of that title, legal possession of the land and the capacity to sue in trespass, unless another person is lawfully in possession. The purported 49-year lease to TT Company was void ab initio for illegality (a non-African company without the Minister's consent under the Land Transfer Act), so it conferred no legal possession, and its continued appearance on the register did not validate it. The appellant, sole registered mailo owner during the trespass, therefore had capacity to sue, and retained that accrued cause of action as a chose in action despite later transferring the land. Appeal allowed and the case remitted for assessment of remedy.
Facts
The appellant purchased the suit mailo land in 1981 for stone quarrying and was registered as sole mailo owner. In 1984 she granted a 49-year lease over the land to TT Company, a company in which she held shares; the lease was registered as an encumbrance. Owing to insecurity, TT Company never took physical possession. In 1988 the respondent was discovered carrying out quarrying operations on the land, excavating stone, gravel and murram for road construction, having entered without the appellant's consent under a purported licence from one Ruth Sirimuzawo. Court action by TT Company, including an injunction from the Chief Magistrate's Court, failed to stop the operations. In a separate suit, the High Court held in 1994 that the appellant was the lawful owner and that no leasehold title ever vested in TT Company because the lease, made by a non-African company without the Minister's consent, was a nullity. The appellant transferred the suit land in April 1995 and then sued the respondent for damages for trespass committed during her ownership.
Issues
- Whether the appellant, as registered mailo owner during the period of the alleged trespass, had legal possession of the suit land and the capacity to sue in trespass.
- Whether a person holding a certificate of title to land has legal possession of that land enabling an action in trespass.
- Whether the purported lease to TT Company conferred legal possession on the lessee so as to deprive the appellant of capacity to sue.
- Whether the appellant forfeited her accrued cause of action in trespass by subsequently transferring the suit land.
- Whether the admitted trespass by the respondent was proved to the required standard.
Orders
- Appeal allowed.
- Judgments of the High Court and the Court of Appeal set aside.
- Judgment entered for the appellant on her claim for trespass on, and exploitation of, the suit land by the respondent while she was the registered mailo owner.
- Case remitted to the High Court for assessment of the appropriate remedy, with the court to rehear and receive all admissible evidence.
- Costs of the appeal and in the courts below awarded to the appellant.
Key headnotes
Legislation cited (7)
- Registration of Titles Act s.56
- Registration of Titles Act s.61
- Land Transfer Act (Cap.202)
- Constitution of Uganda 1995 Article 237(8)
- Judicature Statute 1996 s.8
- Rules of the Supreme Court r.81(1)
- Registration of Titles Act of Kenya s.23
Cases cited (3)
- Wuta-Ofei v Danquah [1961] 3 All E.R. 596
- Moya Drift Farm Ltd v Theuri [1973] E.A. 114
- United Cultivated case / Uganda Cultivate's case (supra)