Wakilii

Babubhai v Hariprasad Rambhai Patel (Civil Appeal 18 of 1996)

Court of Appeal · [1997] UGCA 16 · 1997 Appeal Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Civil appeal from High Court judgment in a suit and counterclaim concerning co-ownership of land
Decision
Appeal dismissed with costs; High Court judgment in favour of the respondent upheld

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The Court of Appeal dismissed the appeal, upholding the High Court's finding that the respondent was a co-owner who had paid his half share of the suit property held as tenants in common. The appellant, a practising advocate who himself drew the Transfer Deed describing both parties as tenants in common in equal shares, could not credibly deny the respondent's interest. No resulting trust arose because the respondent contributed to the purchase price. No fraud was proved against the respondent. The unregistered power of attorney was nonetheless effectual and validly revoked, and the appellant was estopped from denying it. Section 18 of the Limitation Act was inapplicable. The counterclaim was rightly dismissed.

Outcome

Appeal dismissed with costs; High Court judgment in favour of the respondent upheld

Facts

The appellant and respondent were registered as tenants in common in equal shares of leasehold property at Plot 19 Buganda Road, Kampala, transferred to them in consideration of Shs. 270,000. The Transfer Deed was registered on 7 February 1972 and was drawn by the appellant, a practising advocate, and witnessed by J.K. Patel. In 1972 the respondent left Uganda for India following the expulsion of Asians, leaving a power of attorney with the appellant, his close friend and lawyer, to manage the property. The respondent claimed he had paid 50% of the purchase price. When he demanded an account of rent, the appellant refused, contending the respondent had not paid for his share, that the respondent was merely a trustee for the appellant's daughter, and that the appellant held an equitable mortgage over the respondent's share. The respondent sued for a declaration of entitlement to 50% of rent and vacant possession; the appellant counterclaimed for refund and cancellation of the respondent's name. The High Court found for the respondent and dismissed the counterclaim.

Issues

  1. Whether the respondent had paid for his half share of the suit property.
  2. Whether a resulting trust was created in favour of the appellant who allegedly met the whole purchase price.
  3. Whether the respondent was registered as owner of a half share through fraud.
  4. Whether there was an effectual power of attorney capable of being revoked.
  5. Whether the respondent was entitled to half the rent collected since 1972, or whether the claim was barred by the Limitation Act.
  6. Whether the appellant's counterclaim was rightly dismissed.

Orders

  • Appeal dismissed with costs to the respondent.

Rules and key headnotes

Witness Credibility — Advocate Contradicting Document He Drew or Witnessed
An advocate who draws or witnesses a deed cannot afterwards be heard to give testimony contradicting that document; such conduct casts doubt on his credibility and renders his testimony suspect.
Co-ownership — Tenants in Common — Effect of Registered Transfer Deed
Where parties are registered as tenants in common in equal shares pursuant to a duly executed and registered Transfer Deed, each is a co-owner entitled to the full benefits of proprietorship, including an equal share of rents collected.
Trusts — Resulting Trust — Requirement of Absence of Intention to Benefit
A resulting trust does not arise merely because one person pays the purchase money; it arises only where there is no intention that the other registered person should benefit, and where a co-purchaser contributes to the price no resulting trust is created.
Fraud — Standard of Proof for Deregistration of Proprietor
Under section 184 of the Registration of Titles Act, a registered proprietor may be deprived of land only on proof of fraud strictly established to a standard higher than the balance of probabilities, and the transferee must be guilty of, or have knowingly taken advantage of, the fraudulent act.
Power of Attorney — Effect of Non-registration and Estoppel
Non-registration does not render a power of attorney invalid; a donee who acts upon a power of attorney is estopped from later denying its existence, and the power may be validly revoked by the donor by registered instrument.
Limitation — Inapplicability of Limitation Act s.18 to Co-owners' Rent Claims
Section 18 of the Limitation Act, dealing with recovery of rent or distress between landlord and tenant, is irrelevant and inapplicable to a co-owner's claim for an account of rents collected from jointly owned property.

Legislation cited (6)

Cases cited (4)

  • Patilal Gordhabhai Patel -v- Laljl [1957] E.A. 314
  • John Ruhiga v Eliasa Rugyera and Others (Civil Appeal No. 1 of 1988)
  • Rochefoncauld -v- Boustead (1897) 1 Ch. 196
  • Bottlers Damanico (U) Ltd (Civil Appeal No. 22 of 1992)

Full judgment

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

Babubhai v Hariprasad Rambhai Patel (Civil Appeal 18 of 1996) [1997] UGCA 16 (21 February 1997)
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.