Joseph Lutwama and Others v Yvonne Properties Ltd and Others (Miscellaneous Application No. 2188 of 2025; Miscellaneous Application No. 2430 of 2025)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
Property attached in execution must be released where the objector proves they were the registered proprietor and in possession on the date of attachment, and the judgment debtor had no legal right to pledge the property as security. Judgment debtors cannot validly pledge land registered in another person's name when neither party to the consent judgment nor in possession of the property.
Outcome
Property released from attachment and execution stayed
Facts
Judgment creditors Yvonne Properties Ltd and Odoy Job Henry obtained default judgment against judgment debtors Joshua Mukalazi, Daudi Kiwutta Kizito and Erina Nankya in Civil Suit No. 221 of 2018. The parties entered a consent settlement for payment of UGX 166,740,000, under which the judgment debtors deposited a title deed for land comprised in Block 207 Plot 802 registered in the name of Edith Kizito as security. The consent stated the judgment debtors had good title and full authority to stake the property. At execution, the property was attached. The objectors, including registered proprietor Edith Kizito and four neighbours claiming possessory interests through their late father's kibanja, challenged the attachment. Kizito was neither party to the civil suit nor signatory to the consent settlement. She had been registered proprietor since 10th April 1975. The objectors stated they had been in possession for over 20 years.
Issues
- Whether the property comprised in Kyadondo Block 207 Plot 802 at Kanyanya should be released from attachment in execution proceedings.
- Whether the judgment debtors had authority to pledge property registered in the name of a third party as security for a consent judgment.
Orders
- Applications allowed.
- Property comprised in Kyadondo Block 207 Plot 802 at Kanyanya with its developments released from attachment/execution.
- Execution by way of attachment and sale of property comprised in Kyadondo Block 207 Plot 802 at Kanyanya stayed.
- Costs awarded to the objectors.
Rules and key headnotes
Legislation cited (5)
Cases cited (4)
- Bukonko Traders & Transport Bus Company and Another v Sempala Ronald (Civil Suit No. 167 of 2016)
- Lucy Oker Lagol and Others v Bonga Ronald Okech and Another (Civil Appeal No. 0119 of 2019)
- David Muhenda and 3 Others v Margaret Kamuje (Supreme Court Civil Appeal No. 9 of 1999)
- Muscle Construction Limited and Another v Muscle Group Limited (Miscellaneous Application No. 1256 of 2024)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.