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Cargowell International Limited v Huang Guan Steel(U) Limited (Civil Suit 1305 of 2025)

High Court · [2026] UGCOMMC 277 · 2026 Judgment for Plaintiff AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
First instance civil suit for recovery of contractual debt, proceeding ex parte after defendant's failure to file defence
Decision
Judgment entered for the plaintiff for USD 117,148.16 with interest at court rate from date of suit until payment in full and costs

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Where a defendant fails to file a defence and interlocutory judgment is entered, the plaintiff must still prove entitlement to relief on a balance of probabilities. The court found the plaintiff proved its claim for the outstanding contractual balance of USD 117,148.16 for transportation and logistics services rendered under a contract dated 12 January 2025. Judgment entered for the plaintiff with interest at court rate from date of suit until payment in full.

Outcome

Judgment entered for the plaintiff for USD 117,148.16 with interest at court rate from date of suit until payment in full and costs

Facts

On 12 January 2025, the defendant contracted with the plaintiff for transportation and logistics services. The plaintiff delivered 86 trucks of cargo to the defendant's premises and cleared the goods to the appointed destination. The total contractual sum was USD 477,775.16 (exclusive of USD 77,775.16 waiver). Payment was to be made upon demand or issue of invoices. The defendant made partial payments totalling USD 360,627, leaving a balance of USD 117,148.16 unpaid despite demand. The plaintiff issued a demand notice on 14 October 2025 for USD 277,775.16. The defendant made a further partial payment of USD 140,313.46 but failed to pay the remaining balance. The defendant did not file a defence despite being served.

Issues

  1. Whether the plaintiff is entitled to the remedies sought in the plaint?

Orders

  • The defendant shall pay to the plaintiff a sum of USD 117,148.16 being the outstanding balance for the services rendered under the contract.
  • Interest is awarded on the above sum at court rate from the date of filing this suit until payment in full.
  • The plaintiff is awarded costs of the suit.

Rules and key headnotes

Civil Procedure — Interlocutory Judgment — Burden of Proof After Entry
Where an interlocutory judgment has been entered in favour of the plaintiff following the defendant's failure to file a defence, the question of liability is no longer in issue but the plaintiff retains the duty to prove on a balance of probabilities that he is entitled to the relief claimed in the plaint.
Contract Law — Breach of Contract — Recovery of Contractual Debt
A party who has performed its contractual obligations under a logistics services agreement is entitled to recover the unpaid balance of the contractual sum where the other party has made only partial payment and failed to controvert the claim.
Contract Law — Interest on Judgment Debt — Basis for Award
The basis for an award of interest is that the defendant has kept the plaintiff out of his money and has had the use of it himself and ought to compensate the plaintiff accordingly. A plaintiff is entitled to such rate of interest as would not neglect the prevailing economic value of money but would insulate him against economic vagaries, inflation and depreciation of currency in the event that the money awarded is not promptly paid.

Legislation cited (5)

Cases cited (3)

  • Haji Asuman Mutekanga v Equator Growers (U) Ltd (Supreme Court Civil Appeal No. 07 of 1995)
  • Mohanlal Kakubhai Radia v Warid Telecom (High Court Civil Suit No. 234 of 2011)
  • Kinyera v The Management Committee of Laroo Boarding Primary School (High Court Civil Suit No. 099 of 2013)

Full judgment

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

Cargowell International Limited v Huang Guan Steel(U) Limited (Civil Suit 1305 of 2025) [2026] UGCommC 277 (7 June 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.