Wakilii

Egessa Francis v Sheraz Anwar Investments Ltd (Civil Appeal No. 50 of 2024)

High Court · [2025] UGCOMMC 454 · 2025 Appeal Allowed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Civil appeal from Chief Magistrate's Court judgment in breach of contract suit
Decision
Appeal allowed; trial court judgment set aside; Respondent ordered to refund purchase price and pay general damages to Appellant.

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The High Court allowed the appeal, finding that the Respondent breached the motor vehicle sale agreement when it impounded and repossessed the vehicle from the Appellant using a warrant of attachment before judgment in proceedings to which the Appellant was not a party. Although the Appellant had not completed payment, the Respondent's actions frustrated compliance with the payment schedule. The trial magistrate erred in finding the Appellant in breach and awarding damages to the Respondent. The Appellant was entitled to a refund of UGX 25,885,000/= plus general damages of UGX 5,000,000/=.

Outcome

Appeal allowed; trial court judgment set aside; Respondent ordered to refund purchase price and pay general damages to Appellant.

Facts

On 22 October 2021, the Respondent sold a motor vehicle to the Appellant for UGX 51,845,000/=. The Appellant paid UGX 25,885,000/= and took possession, with the balance to be paid in instalments. The Respondent had previously sold the same vehicle to one Ddamulira David, who defaulted. The Respondent sued Ddamulira and obtained a warrant of attachment before judgment, which it executed against the Appellant by impounding the vehicle, even though the Appellant was not a party to that suit. The Appellant had been registered as owner on 29 October 2021, but when he failed to secure a bank loan, ownership was re-transferred to the Respondent on 13 April 2022. The parties agreed the Appellant would pay in unspecified lump sum instalments. After the impounding, the Appellant sued for breach of contract and refund. The trial magistrate found for the Respondent and ordered the Appellant to pay the balance.

Issues

  1. Whether the Learned Trial Chief Magistrate erred in holding that the Appellant breached the contract.
  2. Whether the Learned Trial Chief Magistrate erred in ordering the Appellant to pay the balance of UGX 25,960,000/= to the Respondent.
  3. Whether the Learned Trial Chief Magistrate erred in awarding general damages of UGX 3,000,000/= to the Respondent.

Orders

  • The judgment and orders of the Learned Trial Chief Magistrate in Civil Suit No. 321 of 2023 are hereby set aside.
  • The Respondent is directed to refund the Appellant the sum of UGX 25,885,000/= being the monies deposited by the Appellant in respect of the suit motor vehicle.
  • The Appellant is awarded general damages of UGX 5,000,000/=.
  • The Appellant is awarded half of the costs of this appeal and the lower Court.

Rules and key headnotes

Breach of Contract — Repossession of Sold Property — Impounding Under Warrant Against Third Party
Where a seller has sold and delivered possession of property to a buyer, the seller breaches the contract if it impounds and repossesses the property under a warrant of attachment before judgment obtained in proceedings against a third party to which the buyer is not a party, even where the buyer has not completed payment of the purchase price.
Performance of Contract — Frustration by Seller's Conduct
A seller who impounds and repossesses property sold to a buyer frustrates the buyer's efforts to comply with the payment schedule, and cannot thereafter claim that the buyer is in breach for non-payment of the balance.
Remedies for Breach — Refund of Purchase Price
Where a seller breaches a sale agreement by wrongfully repossessing the property sold, the buyer is entitled to a refund of monies paid as purchase price.
General Damages — Assessment for Breach of Contract
In assessing general damages for breach of contract under Section 60 of the Contracts Act, the court considers the loss and inconvenience suffered by the injured party, with the aim of restoring satisfaction as far as money can do. The injured party must lead evidence of the damage suffered.
Grounds of Appeal — Vague and General Grounds
A ground of appeal must be specific and challenge a particular holding or ratio decidendi. A ground that is general and vague, failing to specify in what way and in which specific areas the trial court erred, will be struck out.

Legislation cited (10)

Cases cited (12)

  • Fr. Narsensio Begumisa & 3 Others v Eric Tibebaga (Supreme Court Civil Appeal No. 17 of 2002)
  • Pandya v R [1957] EA 336
  • John Bwiza v Patrick Yowasi Kadama (Court of Appeal Civil Appeal No. 35 of 2011)
  • Incwright Limited v George Mpagi T/A Image Crusade Advertising (Civil Suit No. 93 of 2017)
  • Meridiana Africa Airlines (U) Limited v Avmax Spares (EA) Ltd (High Court Civil Suit No. 111 of 2017)
  • William Kasozi v DFCU Bank Ltd (High Court Civil Suit No. 1326 of 2000)
  • Kabandize John Baptist and 21 Others v Kampala Capital City Authority (Court of Appeal Civil Appeal No. 36 of 2016)
  • Takiya Kashwahiri and Another v Kajungu Denis (Court of Appeal Civil Appeal No. 85 of 2011)
  • Uganda Commercial Bank v Kigozi [2002] 1 EA 305
  • Surgipharm Uganda Ltd v Anatoli Batabane (Supreme Court Civil Appeal No. 11 of 2020)
  • Celtel Uganda Limited T/A Zain Uganda v Karungi Susan (Civil Appeal No. 73 of 2013)
  • Ranchodbhai Shivabhai Patel Ltd and Another v Henry Wambuga and Another (Supreme Court Civil Appeal No. 06 of 2017)

Full judgment

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

Egessa Francis v Sheraz Anwar Investments Ltd (Civil Appeal No. 50 of 2024) [2025] UGCommC 454 (22 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.