Wakilii

DFCU Bank Limited v Colline Hotel Limited and Another (Miscellaneous Application No. 1015 of 2024)

High Court · [2025] UGCOMMC 526 · 2025 Application Granted AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for leave to appeal to the Court of Appeal and for stay of proceedings pending appeal
Decision
Leave to appeal granted and proceedings stayed pending appeal

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The High Court granted DFCU Bank Limited leave to appeal against part of the ruling in HCMA No. 0799 of 2023, finding that the applicant had established arguable grounds of appeal meriting serious judicial consideration and had not engaged in dilatory conduct. The court further stayed proceedings in the underlying civil suit pending disposal of the intended appeal, exercising its inherent powers to prevent the appeal from being rendered nugatory.

Outcome

Leave to appeal granted and proceedings stayed pending appeal

Facts

DFCU Bank Limited filed HCMA No. 0799 of 2023 seeking review of an order dismissing HCMA No. 0743 of 2019 and setting aside a default judgment in Civil Suit No. 0404 of 2019. The court dismissed that application for lack of merit on 22 May 2024. On 31 May 2024, nine days later, DFCU Bank filed the present application seeking leave to appeal against part of that ruling and a stay of proceedings in the underlying civil suit. The respondents opposed the application, arguing that the applicant had engaged in dilatory conduct, that the appeal had no chances of success, and that DFCU Bank was not a proper party as it was not a successor to Crane Bank Limited under which the original proceedings were brought.

Issues

  1. Whether the Applicant satisfies the conditions for the grant of leave to appeal against part of the decision in HCMA No. 0799 of 2023 to the Court of Appeal?
  2. Whether the proceedings in HCCS No. 0404 of 2019 should be stayed pending the disposal of the Applicant's intended appeal against part of the decision in HCMA No. 799 of 2023 to the Court of Appeal?
  3. What remedies are available to the parties?

Orders

  • The Applicant is granted leave to appeal against part of the Ruling and Orders of this Honourable Court in HCMA No. 0799 of 2023; DFCU Bank Limited Vs Colline Hotel Limited & Mukono Bookshop Printing and Publishing Limited dated 22nd May 2024.
  • The proceedings in HCCS No. 0404 of 2019 is stayed pending the disposal of the Applicant's intended appeal against part of the decision in HCMA No. 0799 of 2023 to the Court of Appeal.
  • Costs of this application shall abide the results of the intended appeal.

Rules and key headnotes

Civil Procedure — Leave to Appeal — Test for Grant of Leave
Leave to appeal from an order in civil proceedings will normally be granted where, prima facie, it appears that there are grounds of appeal that merit serious judicial consideration, and where the appeal is from a discretionary order, a stronger case must be made out.
Civil Procedure — Leave to Appeal — Requirements for Grant
An applicant seeking leave to appeal must show either that the intended appeal has a reasonable chance of success or that he has arguable grounds of appeal and has not been guilty of dilatory conduct.
Civil Procedure — Dilatory Conduct — Application Filed Within Prescribed Time
Filing an application for leave to appeal within nine days of the ruling, where the prescribed period is fourteen days, does not constitute dilatory conduct.
Civil Procedure — Stay of Proceedings — Inherent Powers of Court
Where leave to appeal has been granted and the intended appeal would be rendered nugatory if proceedings are not stayed, the court may invoke its inherent powers under section 98 of the Civil Procedure Act to stay proceedings in the interest of justice.

Legislation cited (4)

Cases cited (5)

Full judgment

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DFCU Bank Limited v Colline Hotel Limited and Another (Miscellaneous Application No. 1015 of 2024) [2025] UGCommC 526 (31 December 2025)
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.