Wakilii

Clear Channel Independent Uganda Ltd v Public Procurement And Disposal of Public Assets Authority (Misc.App.No.380 of 2008)

High Court · [2009] UGHC 180 · 2009 Judicial Review Granted AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for judicial review seeking orders of certiorari and prohibition
Decision
Decision of PPDA Authority quashed; Civil Aviation Authority prohibited from implementing the tender award; tender process to be repeated.

Observed later treatment

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Holding

Held that where the Public Procurement and Disposal of Public Assets Authority found multiple procedural irregularities and breaches of mandatory statutory requirements in a tender process, it was illegal for the Authority to allow the procurement to proceed rather than annulling the decision under s.91(2) of the PPDA Act. The court granted certiorari quashing the Authority's decision and prohibition preventing implementation of the award, and ordered a repeat of the tender process. An administrative body acting contrary to mandatory statutory procedures renders its decision ultravires and a nullity.

Outcome

Decision of PPDA Authority quashed; Civil Aviation Authority prohibited from implementing the tender award; tender process to be repeated.

Facts

Clear Channel Independent (U) Ltd had managed billboard advertising at Entebbe International Airport for over five years. Following a tender process by the Civil Aviation Authority for the Management of Advertisement at Entebbe International Airport, Clear Channel's bid was rejected and the tender awarded to Alliance Media Ltd. Clear Channel applied to the Public Procurement and Disposal of Public Assets Authority for administrative review. The Authority investigated and found multiple procedural irregularities and breaches of mandatory statutory requirements in the tender process, including: failure of the Accounting Officer to handle the procurement as required by law; failure to use standard solicitation documents; misinterpretation of eligibility requirements; opening of financial bids before evaluation was completed; and contracting a third-party procurement agent without proper clearance. Despite these findings, the Authority allowed the tender process to continue.

Issues

  1. Whether the respondent erred in law when it allowed the tender process to proceed despite having found irregularities in the tender process.

Orders

  • Application for judicial review allowed.
  • Order of certiorari granted quashing the respondent's decision to allow the tender process to proceed.
  • Order of prohibition granted prohibiting implementation of the award by the Civil Aviation Authority.
  • Tender process to be repeated.
  • Costs awarded to the applicant against the respondent, to be taxed.

Rules and key headnotes

Judicial Review — Scope and Purpose — Supervisory Jurisdiction
Judicial review is the process by which the High Court exercises its supervisory jurisdiction over inferior courts, tribunals and bodies carrying out quasi-judicial functions or performing public acts. The court reviews the manner in which a decision was made, not whether the decision was right or wrong on the facts. The purpose is to ensure the individual receives fair treatment by the authority, not to substitute the court's opinion for that of the authority constituted by law.
Statutory Procedures — Mandatory Compliance — Consequences of Breach
When a statute prescribes mandatory procedures for administrative or quasi-judicial bodies using the word 'shall', those procedures must be strictly observed. A decision taken in breach of mandatory statutory requirements is illegal, ultravires, and a nullity, regardless of the substantive merits.
Grounds for Judicial Review — Illegality — Ignoring Legally Relevant Issues
A quasi-judicial body's exercise of discretion is reviewable where legally relevant issues are ignored, absurdity is present, or the point of the enabling statute is frustrated. Where an administrative body finds procedural irregularities but fails to apply the statutory remedy provided for those irregularities, it frustrates the purpose of the statute.
Public Procurement — Procedural Irregularities — Authority's Duty
Where the Public Procurement and Disposal of Public Assets Authority finds that a procurement process was marred with procedural irregularities and breaches of mandatory statutory requirements, it must exercise its power under s.91(2) of the PPDA Act to annul the unlawful decision. The Authority cannot authorize the procuring entity to proceed with an irregular process.
Illegality — Court's Duty — Nullity
A court of law cannot sanction what is illegal. Illegality once brought to the attention of the court overrides all questions. An act done contrary to mandatory statutory requirements is void, a nullity, and incurably bad without the need for a court order to set it aside, though the court may declare it so.

Legislation cited (13)

Cases cited (6)

  • Chief Constable of North Wales Police v Evans [1982] 3 All ER 141
  • De Souza v Tanga Town Council [1961] EA 377
  • Annebrit Aslund v Attorney General (Misc. Cause No. 441 of 2004)
  • R v Secretary of State for Environment, Ex parte Hammersmith [1991] 1 AC 521
  • Makula International Ltd v Cardinal Nsubuga [1982] HCB 11
  • Macfoy v United Africa Co Ltd [1961] 3 All ER 1169

Full judgment

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

Clear Channel Independent Uganda Ltd v Public Procurement And Disposal of Public Assets Authority (Misc.App.No.380 of 2008) [2009] UGHC 180 (14 April 2009)
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.