Wakilii

Abdu Karim Walugembe v Habib Kagimu (Civil Suit 84 of 1997)

High Court · [1998] UGHC 43 · 1998 Judgment for Plaintiff AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
First instance civil suit for breach of contract and unlawful eviction
Decision
Judgment for plaintiff. Defendant ordered to pay UGX 120,168,000 in total (balance of purchase price plus special damages) and costs.

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Court held that the agreed purchase price for land was UGX 180,000,000 and the variation deed creating a separate agreement for machinery worth UGX 60,000,000 did not alter the land purchase price. Defendant breached the sale agreement by failing to pay the balance of UGX 70,000,000 after three months as agreed. Plaintiff was unlawfully evicted as no tenancy agreement existed. Judgment entered for plaintiff for UGX 70,000,000 balance and UGX 50,168,000 special damages for property lost during eviction. Defendant's counter-claim dismissed.

Outcome

Judgment for plaintiff. Defendant ordered to pay UGX 120,168,000 in total (balance of purchase price plus special damages) and costs.

Facts

Plaintiff agreed to sell defendant land at Kawempe (Kyadondo Block 208 Plot 1129) for UGX 180,000,000 by sale agreement dated 15 July 1996. Defendant paid UGX 100,000,000 to Uganda Development Bank to release title deed and UGX 10,000,000 subsequently, leaving balance of UGX 70,000,000 payable in two instalments. A variation deed dated 26 August 1996 created a separate agreement for sale of five machines for UGX 60,000,000, which was paid. Plaintiff remained in premises awaiting balance of purchase price. Instead of paying, defendant obtained warrant for distress of rent from Chief Magistrate's Court Mengo and evicted plaintiff using bailiffs. Plaintiff lost property worth over UGX 50,000,000 during eviction. Defendant claimed full purchase price paid, title passed, and plaintiff owed rent under alleged tenancy agreement.

Issues

  1. What was the agreed purchase price?
  2. What was the intention of the parties when they executed the variation deed and for what consideration was the sum of shs. 60,000,000/= paid?
  3. Whether there was breach of the agreement and if so by which party?
  4. Whether the plaintiff was lawfully evicted from the premises.
  5. Whether there is still a balance owing on the purchase price and if so, how much?
  6. Whether the plaintiff is entitled to the remedies sought.
  7. Whether the defendant is entitled to the prayers in the counter-claim.

Orders

  • Judgment entered in favour of the plaintiff against the defendant in the sum of UGX 70,000,000 being the balance of the purchase price.
  • Special damages awarded in the sum of UGX 50,168,000.
  • No interest awarded as it was not prayed for in the plaint.
  • Plaintiff awarded the taxed costs of the suit.
  • Injunction restraining eviction refused as plaintiff already evicted.
  • Compensation for loss of business refused for lack of evidence.
  • General damages for breach of contract refused as plaintiff obtained specific performance.
  • Counter-claim dismissed with costs to the plaintiff.

Rules and key headnotes

Contract Law — Interpretation — Sale Agreements — Clear and Unambiguous Terms
Where parties to a sale agreement use clear and unambiguous language to describe the consideration for purchase of land, the court must give legal effect to the words used by the parties and cannot interpret the agreement contrary to its plain terms.
Contract Law — Variation of Contract — Effect on Original Terms
A variation deed executed after a sale agreement does not modify the purchase price of land where substantial payment has already been made under the original agreement and the variation deed creates a separate agreement for sale of machinery at a different price.
Contract Law — Breach of Contract — Failure to Pay Purchase Price
A breach of a sale agreement occurs when the purchaser fails to pay the balance of the purchase price within the agreed period, creating reciprocal rights and obligations that must be observed by both parties.
Land & Property — Eviction — Unlawful Eviction Without Tenancy Agreement
Where a vendor remains in possession of premises awaiting payment of the balance of purchase price and no tenancy agreement exists, eviction of the vendor by the purchaser using a warrant for distress of rent is unlawful.
Damages & Quantum — Special Damages — Strict Proof Required
Special damages must be pleaded and strictly proved by the party claiming them as being the direct result of the wrongs complained of. Where a plaintiff produces invoices from business organisations to support the amount required to replace property lost during unlawful eviction, such evidence constitutes strict proof.
Contract Law — Remedies — General Damages and Specific Performance
A plaintiff who obtains an order for specific performance by way of payment of the balance of purchase price is not entitled to general damages for breach of contract in addition to such specific performance.

Full judgment

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The original judgment as reported. Read the original PDF before relying on any passage.

Abdu Karim Walugembe v Habib Kagimu (Civil Suit 84 of 1997) [1998] UGHC 43 (22 July 1998)
Source: this page presents Wakilii’s issue analysis and metadata for a publicly reported Ugandan judgment. Any AI-generated summary is marked as such. Judgment text is sourced from the Uganda Legal Information Institute (ulii.org). Wakilii is not affiliated with ULII.