Hima Cement Ltd v Cairo International Bank Ltd (Civil Suit No. 13 of 2002)
Observed later treatment
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Holding
The court held that sections 91 and 92 of the Evidence Act do not apply to unilateral documents such as a letter of offer, but only to bilateral agreements between parties. Oral evidence is admissible to prove that a misdescription or misnomer in a party's name was a genuine mistake, without requiring prior rectification of the document. The witness may testify that the letter addressed to 'Ayoubco Ltd' was intended for 'Ayoubco Contracting Company Ltd', as such evidence does not vary, add to, or subtract from the terms of any agreement.
Outcome
Objection dismissed; witness permitted to continue testimony
Facts
Hima Cement Ltd sued Cairo International Bank Ltd to enforce a bank guarantee issued in favour of Ayoubco Contracting Company Ltd. The plaintiff alleged it supplied cement on credit to Ayoubco Contracting Company Ltd, which defaulted, triggering the guarantee. The defendant contended that the plaintiff's letter of offer (exhibit P1) was addressed to 'Ayoubco Ltd', a different entity from 'Ayoubco Contracting Company Ltd', the company it guaranteed. A search at the company registry revealed that 'Ayoubco Ltd' did not exist, and only 'Ayoubco Contracting Company Ltd' was incorporated. The plaintiff amended its plaint to aver that the reference to 'Ayoubco Ltd' was a misdescription. At trial, when PW1 testified that the letter was intended for Ayoubco Contracting Company Ltd, the defendant objected under sections 91 and 92 of the Evidence Act, seeking exclusion of the oral testimony. The matter was adjourned in 2004 for the plaintiff's reply and remained unresolved until reassignment to Justice Madrama in 2011.
Issues
- Whether oral evidence by the plaintiff's witness that a letter addressed to 'Ayoubco Ltd' was intended for 'Ayoubco Contracting Company Ltd' is admissible under sections 91 and 92 of the Evidence Act.
- Whether sections 91 and 92 of the Evidence Act apply to unilateral documents such as letters of offer.
- Whether evidence of misnomer or misdescription of a party's name may be admitted without prior rectification of the document.
Orders
- Objection overruled with costs.
- Oral testimony of PW1 declared admissible.
- PW1 permitted to proceed with his testimony in chief.
Rules and key headnotes
Legislation cited (2)
Cases cited (3)
- A.N. Phakey v World Wide Agencies Ltd [1948] XV EACA 1
- Mitchell v Harris Engineering Co Ltd [1967] 2 QB 703
- Rodriquez v Parker [1967] 1 QB 116
Cases citing this judgment (1)
How later Ugandan judgments in the Wakilii corpus have cited this case. Treatment labels come from Sequitur — Uganda’s citator — each backed by a verbatim span from the citing judgment, and are not an assertion that this case is, or is not, good law.
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.