Wakilii

Birungi v SBI International Holdings AG (U) (Labour Dispute 87 of 2014)

Industrial Court · [2016] UGIC 8 · 2016 No Order as to Costs AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Ruling on costs following amicable settlement of labour dispute
Decision
Main claim settled amicably; costs ruling issued ordering each party to bear own costs

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Where parties settle a labour dispute on terms originally proposed by the respondent before suit was filed, and minimal litigation occurred before settlement, the court exercising its discretion under the Civil Procedure Act will order each party to bear own costs to encourage out-of-court settlement.

Outcome

Main claim settled amicably; costs ruling issued ordering each party to bear own costs

Facts

The claimant filed a labour dispute against the respondent. The respondent had offered the claimant a sum of money in March 2014, before suit was filed. The claimant served a notice of intended suit, to which the respondent responded by offering the same sum. The claimant nevertheless filed suit in the High Court Civil Division in July 2014, which was transferred to the Industrial Court in October 2014. At the first hearing in the Industrial Court, both parties sought an adjournment to settle. By the next appearance, they had settled on the same terms the respondent proposed in March 2014. The parties disagreed on costs: the claimant sought costs against the respondent; the respondent contended each party should bear own costs.

Issues

  1. Whether the claimant or respondent should bear the costs of the proceedings following an amicable settlement.

Orders

  • Each party bears own costs.

Rules and key headnotes

Civil Procedure — Costs — Discretion of Court — Settlement on Terms Originally Offered
Where parties settle a dispute on terms originally proposed by one party before suit was filed, and minimal litigation occurred before settlement, the court may exercise its discretion to order each party to bear own costs to encourage out-of-court settlement.
Civil Procedure — Costs — Judicial Discretion — Section 22 Civil Procedure Act
Section 22 of the Civil Procedure Act leaves the issue of costs to the court's absolute discretion to determine by whom and to what extent costs should be paid, which discretion must be exercised judicially on the facts of each case.

Legislation cited (2)

Cases cited (3)

  • Fidelity International Imports Limited v Central Bank of Kenya and Another [2003] 1 EA 56
  • UDB v Muganga Construction Company [1981] HCB 35
  • Impressa Ing Fortunato Federice v Nabwire [2001] 2 EA 383

Full judgment

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

Birungi_v_SBI_International_Holdings_AG_(U)_(Labour_Dispute_87_of_2014)_[2016]_UGIC_8_(4_October_2016)
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.