Hwan Sung Industries Ltd v Tajdin Hussein & Ors [2008] UGSC 17
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Holding
On an application to a single Justice for an interim order of stay of execution, the court held that for an interim order it suffices to show that a substantive stay application is pending and that there is a serious threat of execution before that application is heard; it is not necessary to establish the special circumstances and good cause required for a substantive stay. Attachment of property alone does not complete an execution by attachment and sale — both attachment and sale must be completed — so the application had not been overtaken by events. The court granted the interim order staying the sale of the attached property pending disposal of the substantive application.
Facts
The applicant had successfully sued the respondents in HCCS No. 271 of 2003 for breach of contract. On appeal, the Court of Appeal found for the respondents. The applicant appealed to the Supreme Court (Civil Appeal No. 08 of 2008) and filed a substantive application for stay of execution (Civil Application No. 18 of 2008). The respondents sought execution of the Court of Appeal decree; the Registrar issued a warrant of attachment and sale after the applicant did not respond to a notice to show cause, and the bailiff attached the applicant's property on 15 September 2008, though no sale had yet occurred. The applicant then filed this application for an interim order to preserve the status quo and stay sale pending the hearing of the substantive stay application.
Issues
- Whether the application for an interim order of stay of execution had been overtaken by events because attachment in execution had already been effected.
- What an applicant must show to obtain an interim order of stay of execution pending the hearing of a substantive stay application.
Orders
- Sale of the property attached on 15-09-08 (per the inventory attached to James Birungi's affidavit) must stay pending disposal of Civil Application No. 18 of 2008 or until 17-11-08, whichever comes first.
- If by 17-11-08 the substantive application (No. 18 of 2008) is still pending, the matter must be brought to court for review.
- Costs of this application to abide the result of the substantive application.
Key headnotes
Legislation cited (4)
- Rules of the Supreme Court r.2(2)
- Rules of the Supreme Court r.42(1)
- Rules of the Supreme Court r.47(2)
- Civil Procedure Rules O.22 r.39
Cases cited (1)
- Editor - in - Chief New Vision, News paper - vs - Ntabgoba, Civil Application No. 63 of 2005, Court of Appeal (un reported)