Fresh Cuts (U) Ltd v Padma Nikhil Rohan Africa (PNR) Ltd (Miscellaneous Application No. 0545 of 2024)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The court dismissed the application to set aside an ex parte judgment. The applicant failed to demonstrate sufficient cause for non-appearance at the hearing of their earlier application for leave to defend. Mere assertion that former counsel misinformed them was insufficient without evidence of diligence by the applicant. The applicant did not show what steps they took to prosecute their application or follow up with counsel. Mistake of counsel may constitute sufficient cause only where the client demonstrates diligence.
Outcome
Application dismissed; ex parte judgment in Civil Suit No. 1104 of 2022 stands; execution proceedings to continue
Facts
The respondent filed Civil Suit No. 1104 of 2022 under Order 36 rule 2 for recovery of UGX 71,252,700 for agricultural products supplied to the applicant. The applicant had issued 15 post-dated cheques which were all dishonoured due to insufficient funds. The applicant filed Miscellaneous Application No. 0112 of 2023 for leave to appear and defend the summary suit. The application was dismissed for non-appearance of the applicant and their counsel on the hearing date. The respondent's claim proceeded to formal proof and judgment was entered in the respondent's favour. Execution proceedings commenced and a garnishee nisi was served on the applicant's bank account in March 2025. The applicant then instructed new counsel and filed this application to set aside the ex parte judgment, alleging that their former counsel had misinformed them about the status of the earlier application.
Issues
- Whether the applicant has sufficient grounds for setting aside the ex parte judgment entered in Civil Suit No. 1104 of 2022.
- Whether the execution proceedings arising from the judgment should be stayed.
- Whether the applicant should be granted unconditional leave to appear and defend Civil Suit No. 1104 of 2022.
Orders
- Application dismissed.
- Costs awarded to the respondent.
- Execution proceedings arising from the judgment in Civil Suit No. 1104 of 2022 to continue.
- Application for unconditional leave to appear and defend Civil Suit No. 1104 of 2022 refused.
Rules and key headnotes
Legislation cited (10)
- Constitution of the Republic of Uganda 1995 Article 44(c)
- Constitution of the Republic of Uganda 1995 Article 126(2)(e)
- Constitution of the Republic of Uganda 1995 Article 28
- Civil Procedure Act Cap 71 s.98
- Civil Procedure Rules SI 71-1 Order 36 rule 11
- Civil Procedure Rules SI 71-1 Order 52 rule 1
- Civil Procedure Rules SI 71-1 Order 52 rule 2
- Civil Procedure Rules SI 71-1 Order 36 rule 2
- Civil Procedure Rules SI 71-1 Order 9 rule 22
- Civil Procedure Rules SI 71-1 Order 9 rule 27
Cases cited (11)
- Tiberio Okeny and Another v Attorney General and Others (Civil Appeal No. 51 of 2021)
- Mbogo and Another v Shah [1968] EA 93
- Patel v EA Cargo Handling Services Ltd [1974] EA 75
- Amos Ocan v Oyee Wilson (High Court Civil Appeal No. 51 of 2016)
- Mubiru v P&A Credit Investment Limited (High Court Miscellaneous Application No. 746 of 2025)
- Ntambara v Segawole (High Court Miscellaneous Application No. 1082 of 2019)
- Departed Asians Property Custodian Board v Issa Bukenya (Supreme Court Civil Appeal No. 18 of 1991)
- Caltex Oil Limited v Kyobe [1988-90] HCB 141
- Florence Nabatanzi v Naome Binsobedde (Supreme Court Civil Application No. 6 of 1987)
- Nicholas Roussos v Gulamu Hussein Habib Virani and Others (Supreme Court Civil Appeal No. 9 of 1993)
- Banco Arabe Espanol v Bank of Uganda (Supreme Court Civil Appeal No. 8 of 1998)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.