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Allan Rukundo v African Kings Uganda Limited and 2 Others [2026] UGCOMMC 248

High Court · 2026 Preliminary Objection Upheld AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Ruling on preliminary objection to jurisdiction in first instance civil suit for breach of contract
Decision
Suit dismissed for lack of jurisdiction

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The High Court lacks jurisdiction over a breach of contract claim where the contract was made, performed, and paid for entirely in South Sudan, even though the first defendant is registered in Uganda. Under Civil Procedure Act s.15, a suit arising from contract must be instituted where the cause of action arose — the place the contract was made, performed, or where payment was effected. The court held the parties clearly intended the contract to be governed by South Sudanese law and executed wholly in South Sudan. Preliminary objection upheld; suit dismissed.

Outcome

Suit dismissed for lack of jurisdiction

Facts

On 28 April 2016 in Juba, South Sudan, the plaintiff entered into a rental contract with the 1st defendant's employees to rent his car bearing South Sudanese registration number CT 282T for the 1st defendant's project in South Sudan. The contract document was entitled "Republic of Sudan". The 1st defendant is registered in Uganda. The plaintiff sued for breach of contract in the High Court Commercial Division. The 1st defendant raised a preliminary objection challenging the court's jurisdiction. The rental agreement indicates the contract was made in South Sudan between the plaintiff of Juba, South Sudan, and the transaction was executed in South Sudan where payment must have been effected.

Issues

  1. Whether the High Court of Uganda (Commercial Division) has jurisdiction to entertain a suit arising from a contract executed in South Sudan.

Orders

  • Preliminary objection raised by the 1st defendant upheld.
  • Court finds it lacks jurisdiction to handle the main suit.
  • Main suit dismissed.
  • Each party to bear their own costs of the suit.

Rules and key headnotes

Civil Procedure — Jurisdiction — Geographical Jurisdiction — Contracts Made and Performed Abroad
Under Civil Procedure Act s.15(c) read with Explanation 3, in suits arising from contract, the cause of action arises at the place where the contract was made, where it was to be performed or its performance completed, or where payment was to be made. A Ugandan court lacks jurisdiction over a contract claim where the contract was made, performed, and paid for entirely in a foreign jurisdiction, notwithstanding that the defendant is registered in Uganda.
Civil Procedure — Preliminary Objections — Jurisdiction — Timing of Jurisdictional Challenge
A preliminary objection that the court lacks jurisdiction may be raised at any time, even if not raised in the written statement of defence, because jurisdiction is a creature of statute and proceedings conducted by a court without jurisdiction are a nullity. The mere filing of a defence without a formal jurisdictional challenge does not bar a party from raising jurisdictional issues.
Civil Procedure — Preliminary Objections — Nature and Test
A preliminary objection consists of a point of law which has been pleaded, or which arises by clear implication out of the pleadings, and which if argued as a preliminary point may dispose of the suit. A preliminary objection ought to be raised at the earliest opportunity; if brought at a later stage and disposed of, the party responsible should be penalised in costs.

Legislation cited (3)

Cases cited (5)

Full judgment

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

Allan Rukundo v African Kings Uganda Limited and 2 Others 2026 UGCommC 248 (23 March 2026)
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.