Besigye & 2 Ors v Mugasha Co-operative Savings and Credit Society Ltd (HCT-05-CV-MA 254 of 2013)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The High Court held that only the High Court has jurisdiction to enforce arbitral awards under the Arbitration and Conciliation Act. A Magistrate Grade I has no jurisdiction to enforce such awards. Where a Magistrate purported to enforce an arbitral award and committed a party to civil prison, the proceedings were set aside as the orders were made without jurisdiction.
Outcome
Proceedings set aside; 1st Applicant had been temporarily released by Assistant Registrar prior to ruling
Facts
The applicants secured a loan of UGX 4,000,000 from the respondent co-operative society on 19 June 2011. They made some payments but failed to adhere to agreed terms, leaving an outstanding amount of UGX 5,223,277 as at 7 October 2013. The dispute was referred to the Sheema District Local Government's District Commercial Officer for arbitration (Reference No. SDLD/DCO/A0013/10/2013). An arbitral award was made in favour of the respondent on 8 October 2013. The arbitrator subsequently wrote to the Chief Magistrate Court of Bushenyi seeking assistance in executing the award. The Magistrate issued a warrant of arrest in execution against the 1st Applicant, who was committed to civil prison. The applicants then filed a revisional application challenging the Magistrate's jurisdiction to enforce the arbitral award.
Issues
- Whether the Magistrate Grade One had jurisdiction to enforce an arbitral award.
- Whether the 1st Applicant was lawfully committed to civil prison.
Orders
- The proceedings before the Magistrate Grade I in Bushenyi civil miscellaneous Application No. 24 of 2013 are hereby set aside.
- The Respondent shall bear the costs of this application.
Rules and key headnotes
Legislation cited (12)
- Civil Procedure Act s.43(3)
- Civil Procedure Act s.43(6)
- Civil Procedure Act s.83
- Civil Procedure Act s.98
- Arbitration and Conciliation Act s.2(1)(4)(12)(2)
- Arbitration and Conciliation Act s.34(2)
- Arbitration and Conciliation Act s.36
- Arbitration and Conciliation Act s.2(1)(f)
- Stamps Act s.2(i)(a)
- Stamps Act s.42
- Co-operative Societies Act s.73(i)(a)(2)
- Co-operative Societies Act s.8
Cases cited (1)
- Tanzanian Cotton Marketing Board v Cogecot Cotton Co SA [(1995-1998) IEA 312]
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.