Anisha Babirye Kiwanuka and Another v Peri-Urban Agro Enterprises Ltd and Others (Civil Suit No. 168 of 2023)
Observed later treatment
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Holding
The court held that the plaintiffs lawfully acquired an equitable interest in one acre of land through a valid contract with the registered proprietor, despite the absence of land board consent. The third defendant took the land with constructive notice of the plaintiffs' interest through visible occupation and preparatory works, and engaged in equitable wrongdoing by forcibly evicting occupants before registration. The first and second defendants committed fraud through double sale. The court declined specific performance and ordered restitution of the purchase price with interest at 22% per annum from the date of payment.
Outcome
Judgment entered for the Plaintiffs with orders for refund of purchase money, interest, general damages, and costs. Specific performance and land recovery declined.
Facts
In 2015, the plaintiffs sought to purchase land and were introduced to the first defendant company as seller. After conducting a land registry search confirming the first defendant as registered proprietor and a physical inspection showing vacant land, the plaintiffs obtained a special resolution authorizing the sale. On 6 August 2015, they executed an agreement to purchase one acre out of 2.8 acres for UGX 350,000,000, paying UGX 305,000,000. The plaintiffs took possession and began laying a foundation for a warehouse. Subsequently, agents of the third defendant forcibly removed them with police assistance. On 6 October 2015, the third defendant was registered as proprietor of the entire land. The third defendant claimed it had purchased the land on 17 July 2015 and that the land was vacant at the time of its inspection. Default judgment was entered against the first and second defendants who did not file defences.
Issues
- Whether the Plaintiffs lawfully purchased one acre of land from the 1st and 2nd Defendants comprised in Kyaggwe Block 113 Plot 637.
- What was the scope, content, and inherent limitation of the Plaintiffs' equitable interest arising from that transaction.
- Whether, at the time of acquisition and registration, the 3rd Defendant had actual, constructive, or imputed notice of the Plaintiffs' equitable interest.
- Whether the conduct of the Defendants, either jointly or severally, amounted to fraud or other equitable wrongdoing affecting the Plaintiffs' interest.
- What remedies are available and appropriate in the circumstances of the case.
Orders
- The 1st and 2nd Defendants shall refund to the Plaintiffs the sum of Uganda Shillings 305,000,000/=.
- The refunded sum shall attract interest at the rate of 22% per annum from 6th August 2015 until payment in full.
- The Plaintiffs are awarded general damages in the sum of Uganda Shillings 50,000,000/= against the Defendants jointly and severally.
- The Court declines to grant orders of specific performance, cancellation of title, subdivision, or recovery of land.
- The Plaintiffs are awarded the costs of the suit to be borne by the Defendants jointly and severally.
- Judgment entered for the Plaintiffs.
Rules and key headnotes
Legislation cited (2)
Cases cited (10)
- Sempira v Lutaaya [1970] EA 322
- John Baptist Kohli and Others v Bachann Singh and Others [1962] 1 EA 706
- Katarikawe v Katwiremu [1977] HCB 187
- Katende v Haridar & Co Ltd [2008] 2 EA 173
- Uganda Posts and Telecommunications Corporation v Lutaaya [1995] 1 EA 325
- Lwanga v Mubiru and Others (Civil Appeal No. 18 of 2022) [2024] UGSC 7
- David Sejjaka Nalima v Rebecca Musoke (SCCA No. 12 of 1985)
- Fredrick J.K. Zaabwe v Orient Bank Ltd and Others (SCCA No. 4 of 2006)
- J.W. Ononge v Okallang [1986] HCB 63
- Badiru Kabalega v Sepiriano Mugangu (High Court Civil Appeal No. 7 of 1987) [1992] KALR 110
Cases citing this judgment (1)
How later Ugandan judgments in the Wakilii corpus have cited this case. Treatment labels come from Sequitur — Uganda’s citator — each backed by a verbatim span from the citing judgment, and are not an assertion that this case is, or is not, good law.
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.