Lubowa and others v Makerere University (Civil Appeal 2 of 2011)
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Holding
The Supreme Court allowed the appeal. Determining when a cause of action accrues requires that all material facts entitling the plaintiff to succeed be present. Here the parties were jointly studying the proper equivalence of the appellants' salary scales, and the respondent advised them to wait for the studies; until the University Council made its final decision in 2001 the material facts were not all present. The cause of action therefore arose in 2001, not 1983, so the suit filed in 2004 was within the six-year limitation period and not time-barred. The Court observed obiter that, on a purposive reading, a party's conduct or representations may preclude it from relying on a limitation defence.
Facts
The appellants were Chief Technicians employed by the respondent university. Under a 1976 scheme they were on the U2 scale. A 1983 circular introduced new M-scales and placed the appellants on M9, which they protested as a demotion. The respondent abolished M9 and moved them to M7 and then M6. A committee (the Rwendeire Report) recommended in 1992 that they be placed on M5, and in 1994 the Vice Chancellor informed their representatives that a decision had been made to place them on M5, with formal communication to follow. The respondent advised the appellants to wait while it commissioned further job-evaluation and restructuring studies. The University Council, the supreme decision-making authority, did not make its final decision until 2001, when it confirmed M6 and rejected the M5 recommendation. The appellants filed suit on 30 April 2004. The respondent raised a preliminary objection that the suit was time-barred under the Limitation Act, contending the cause of action arose with the 1983 circular.
Issues
- Whether the appellants' suit was time-barred under the Limitation Act, which turned on when the cause of action accrued.
- Whether a party may, by its conduct or representations, waive or be estopped from pleading the defence of limitation under the Limitation Act.
Orders
- Appeal allowed.
- Decision of the Court of Appeal and High Court on the preliminary point set aside.
- Suit remitted to the High Court to determine the substantive issue of whether the appellants should be placed on the M5 salary scale.
- Costs to the appellants in this Court and the Courts below.
Key headnotes
Legislation cited (3)
- Limitation Act (Cap. 80) s.3(1)(a)
- Civil Procedure Rules Order 7 Rule 2
- Civil Procedure Rules Order 7 Rules 6 and 11
Cases cited (6)
- Gillette v Tucker, 65 N.E. 865 (Ohio 1902)
- Kammins Ballrooms Co. Ltd v Zenith Investments (Torquay) Ltd (1970) 2 All E.R. 871 (HL)
- National Insurance Corporation v Span International Ltd [1997-2001] UCLR 100
- Glencar Exploration v Mayo County Council [2002] I.R. 84
- Eridad Otabong v Attorney General (Supreme Court Civil Appeal No. 6 of 1990) (1991) ULSLR 150
- Iga case (supra) — Kanyeihamba, JSC