Agaba & Another v Wekesa (Miscellaneous Application 13 of 2024)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The High Court held that where a defendant demonstrates a prima facie likelihood of success in defending a claim founded on events from 1983 involving a deceased person, and the plaintiff is a foreign resident with no assets in Uganda, the court may exercise its discretion under Section 98 of the Civil Procedure Act and Order 26 Rule 1 of the Civil Procedure Rules to order security for costs. Application granted with respondent ordered to deposit UGX 30,000,000 as security.
Outcome
Application granted; respondent ordered to provide security for costs
Facts
The applicants were sued by the respondent in a land dispute concerning property comprised in Leasehold Register Volume 1057, Folio 20, Plot 26 Stanley Street in Kasese. The respondent claimed the property was fraudulently transferred to the late Atalyeba John in 1983. The respondent left Uganda for Kenya in 1981 due to insecurity and entrusted the property to a friend. The first applicant was sued as administrator of Atalyeba John's estate (who died in January 2018), though he did not hold that capacity. The second applicant was the entity collecting rent from the property. The respondent's earlier application for temporary injunction was dismissed with costs in the cause. The applicants contended they were wrongly sued, that the claim was barred by limitation, and that the respondent being a Kenyan citizen had no known property in Uganda against which costs could be enforced if the applicants succeeded in their defence.
Issues
- Whether the applicants were entitled to an order requiring the respondent to furnish security for costs in the main civil suit.
- Whether the applicants had demonstrated a likelihood of success in their defence to the main suit.
- Whether the fact that the respondent was a foreign resident with no assets in Uganda constituted a special circumstance warranting security for costs.
Orders
- The Respondent Silverius Wekesa shall deposit in Court a sum of UGX 30,000,000 (Thirty Million Uganda Shillings only) being security for costs in Civil Suit HCT-25-LD-CS-0040-2024.
- Costs of this application shall be in the cause.
Rules and key headnotes
Legislation cited (3)
- Civil Procedure Act s.98
- Civil Procedure Rules O.26 r.1
- Civil Procedure Rules O.26 r.2
Cases cited (9)
- Noble Builders (U) Ltd & Another v Jabal Singh Sandhu (Civil Application No. 15 of 2002) [2004] UGSC 12
- Nyamarere & 3 Others v Okumu & 6 Others (Civil Application No. 35 of 2020) [2021] UGSC 49
- Namboro v Kaala (1975) HCB 315
- GM Combined v AK Detergents (U) Ltd (SCCA No. 34 of 1995)
- Nambaro v Kaala (1975) HCB 215
- Bank of Uganda v Nsereko & 2 Others (SCCA No. 7 of 2002)
- GM Combined (U) Ltd v AK Detergents (U) Ltd (SCCA No. 7 of 1998)
- GM Combined (U) Ltd v AK Detergents (U) Ltd (SCCA No. 23 of 1994)
- Jubilee Insurance Co. Ltd v Krediet Geneve Inc (HCMA No. 338 of 2001)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.