Wakilii

Centinary Development Bank v Jurua (Civil Appeal No. 0010 0f 2013)

High Court · [2015] UGHCCD 168 · 2015 Appeal Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Civil appeal from Chief Magistrate's Court ruling dismissing application to set aside exparte judgment and decree
Decision
Appeal dismissed with costs; exparte judgment and decree of the lower court upheld

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Held that a branch manager responsible for overseeing and directing operations at a branch of a corporation is a principal officer within the meaning of Order 29 Rule 2(a) of the Civil Procedure Rules, and service of summons upon such branch manager constitutes effective service on the corporation. Appeal dismissed.

Outcome

Appeal dismissed with costs; exparte judgment and decree of the lower court upheld

Facts

The respondent filed Civil Suit No. 0048 of 2012 against the appellant bank in the Chief Magistrate's Court Arua. Summons to file defence was served on the appellant's Arua branch manager, Mr. Benard Brooke Leti, who did not bring this to the attention of his superiors. The appellant failed to file a defence within the required time. The respondent proceeded exparte and obtained judgment in default on 23 November 2012 and a decree dated 14 February 2013. A warrant of execution was issued. The appellant filed Miscellaneous Civil Application No. 006 of 2013 to set aside the exparte judgment and for stay of execution, arguing that service on the branch manager was not effective service on the corporation. The Grade I Magistrate dismissed the application on 11 March 2013, holding that the branch manager was a principal officer competent to receive service.

Issues

  1. Whether there was proper and effective service of summons to file a defence on the appellant corporation.
  2. Whether the branch manager of the appellant at Arua fell within the definition of 'principal officer' under Order 29 Rule 2(a) of the Civil Procedure Rules.

Orders

  • Appeal dismissed.
  • Costs awarded to the respondent in this court and the court below.

Rules and key headnotes

Service of Process — Corporations — Definition of Principal Officer
A branch manager of a corporation who is responsible for overseeing, managing, and directing the operations of the corporation's activities at an entire branch falls within the definition of 'principal officer' under Order 29 Rule 2(a) of the Civil Procedure Rules for purposes of service of summons on a body corporate.
Service of Process — Corporations — Branch Manager Authority
Where a branch manager has legally received and acted upon a letter of intention to sue on behalf of the corporation, instructed legal counsel to respond to such letter, and used an official stamp of the corporation, his position properly falls within the meaning of principal officer for purposes of service of process.
Service of Process — Distinguishing Authorities — Branch Operations
Authorities holding that service on a manager was ineffective are distinguishable where those cases involved managers at the corporation's main offices or headquarters with all relevant authorities within reach, whereas a corporation with branches throughout the country may properly be served through a branch manager at a regional branch.

Legislation cited (3)

Cases cited (8)

  • Kampala City Council v Apollo Hotel Corporation [1985] HCB 77
  • E. Zikampata v Uganda Libian Trading Co. Ltd [1979] HCB 52
  • Gd Geoffry Gatete. And Another -VS-William Kyobu; civil appeal NO- 07 OF 2005; (sc)
  • Nicholas Roussers -VS- Gulam Hussein Habib Virasi and another; cinil suit Appeal No. 09 of 1993; (SC)
  • Frederick J.K. Zaabwe v Orient Bank Ltd and 5 Others (Civil Appeal No. 04 of 2006)
  • Sanyu Lwagu Musoke v Sam Galwaango (Civil Appeal No. 048 of 1995)
  • Kisubi High School =VS= NSSF- Misc. application No. 505 of 2012
  • JF. Tjjala, =VS= Copiration Energo [1988-9 0] HCB 157

Full judgment

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

Centinary Development Bank Vs Jurua (Civil Appeal No. 0010 0f 2013) [2015] UGHCCD 168 (14 April 2015)
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.