Wakilii

Isingoma (administrator of the estate of late manyindo nkoba) v Registered Trustees of the church of Uganda and Another (HCT-01-CV-CS 35 of 2017)

High Court · [2023] UGHCLD 50 Judgment for Defendant AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
First instance civil suit for declarations and injunction arising from expired lease
Decision
Suit dismissed with costs to the defendants

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Held that where a lease agreement contains no express or implied clause for renewal, a lessee has no right to renewal upon expiry. The plaintiff, administrator of a deceased lessee, sought renewal of a 49-year lease that expired in 2013. The court found the lease contained no renewal clause and rejected the plaintiff's claim based on legitimate expectation, ruling that doctrine applies only to public authorities, not private entities. The plaintiff's developments on the land did not confer a right to renewal or compensation, as the lease required all fixtures to be yielded up at termination in tenantable repair. The suit was dismissed.

Outcome

Suit dismissed with costs to the defendants

Facts

On 1 October 1964, the 1st Defendant granted Marko Manyindo Nkoba a 49-year lease over Plot 17 Kyebambe Road, Fort Portal, measuring 0.1150 hectares. Nkoba developed the land with a permanent commercial building. Upon Nkoba's death, the Plaintiff was appointed administrator and registered as proprietor on 11 May 2011. Prior to the lease's expiry on 1 October 2013, the Plaintiff wrote to the 1st Defendant requesting renewal. The 1st Defendant's officers verbally promised renewal on new terms. The Plaintiff invested further capital in improvements. The 1st Defendant instead offered to sell freehold at UGX 400,000,000, which the Plaintiff did not accept. In 2014, the 1st Defendant repossessed the property, collected rent from tenants, and in 2017 leased it to the 2nd Defendant. The Plaintiff sued for declarations that he was entitled to first option of renewal and that the lease to the 2nd Defendant was unlawful.

Issues

  1. Whether the Plaintiff has an interest in the suit land.
  2. Whether the Plaintiff is entitled to have the first option to purchase the freehold interest or renew his lease.
  3. Whether the lease of the suit land to the 2nd Defendant was illegal.
  4. Whether the Plaintiff is entitled to the remedies sought.

Orders

  • Suit dismissed.
  • Costs awarded to the Defendants.

Rules and key headnotes

Leases — Renewal — Absence of Express Renewal Clause
Where a lease agreement contains no express or implied clause providing for renewal, the lessee acquires no right to renewal upon expiry of the lease term. The court cannot read a renewal clause into a lease agreement through contractual interpretation where the parties did not include one.
Legitimate Expectation — Applicability to Private Entities
The doctrine of legitimate expectation, rooted in principles of natural justice and judicial review, applies only to decisions made by public bodies or authorities, not to decisions made by private individuals or entities. A lessee cannot invoke legitimate expectation to enforce a verbal promise of lease renewal made by a private lessor.
Contractual Interpretation — Fixtures in Lease Agreements
Where a lease agreement provides that at determination of the term the lessee shall yield up the land together with buildings, erections and all fixtures 'other than tenant's fixtures', the phrase 'tenant's fixtures' refers to movable personal belongings of the tenant, not to buildings or permanent fixtures erected on the land. The lessee has no right to compensation for capital improvements made during the lease term unless expressly provided for in the lease agreement.
Lawful Occupancy — Land Act Definition
A lessee whose lease has expired is not a 'lawful occupant' as defined in section 29(1) of the Land Act. The statutory definition of lawful occupant refers to persons occupying land by virtue of customary tenure laws or with consent of a registered owner, or customary tenants not disclosed at registration. An expired lessee does not fall within this definition and cannot claim statutory protection as a sitting tenant.
Documentary Evidence — Section 90 Evidence Act
Where the terms of a contract are reduced to writing, section 90 of the Evidence Act requires that those terms be proved by the document itself. A party cannot rely on extraneous verbal evidence to vary, add to or contradict the express terms of a written lease agreement.

Legislation cited (5)

Cases cited (18)

  • Maureen Tumusiime v Macario and Another [2006] 1 HCB
  • Mortgage Business Plc v O'Shaughnessy (2012) 1 WLR 1521
  • Olango Joseph v Too-rom Richard (Civil Appeal No. 39 of 2019)
  • Alex Agandru v Etoma (HCCS No. 7 of 2011)
  • Council for Civil Service Unions v Minister for the Civil Service (1985) 1 AC 374
  • Kampala District Land Board and Chemical Distributors v National Housing and Construction (SCCA No. 2 of 2004)
  • Dr. Adeodanta Kekitiinwa and 3 Others v Edward Maudo Wakida (Civil Appeal No. 3 of 2007)
  • Alex Agandru v Etoma Francis (Civil Suit No. 007 of 2011)
  • Lancaster v Blackwell Colliery Co. Ltd (1918) WC Rep 345
  • Sebuliba v Cooperative Bank Ltd [1982] HCB 130
  • Brand City Limited v United Housing Estate Limited (ELC No. 203 of 2016)
  • Young v Van Beneen (1953) 3 DLR 702
  • GNCT of Delhi v Naresh Kumar (2010) DLT 143
  • Schmidt v Secretary of State for Home Affairs [1969] 1 All ER 904
  • AG of Hong Kong v Ng Yuen Shiu [1983] 2 All ER 346
  • MTN Uganda Limited v Saatchi & Saatchi Ltd (Civil Appeal No. 0098 of 2017)
  • Wood v Capita Insurance Services Ltd [2017] UKSC 24
  • Rainy Sky SA v Koolmin Bank [2011] 1 WLR 2900

Full judgment

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

Isingoma_(administrator_of_the_estate_of_late_manyindo_nkoba)_v_Registered_Trustees_of_the_church_of_Uganda_and_Another_(HCT-01-CV-CS_35_of_2017)_[2023]_UGHCLD_50_(27_February_2023
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.