Julies' Spoon International Ltd v Hermion Uganda Limited and Others (Civil Suit No. 239 of 2022)
Observed later treatment
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Holding
The court held that the counter defendant was a trespasser on the suit premises. The purported goodwill agreement transferring tenancy from the second defendant to the counter defendant was invalid because it lacked the prior written consent of the landlord as required by the tenancy agreement. The landlord's acceptance of rent payments did not constitute ratification of the assignment where the landlord did not know the payments came from the counter defendant. The counter defendant erected permanent structures in breach of the tenancy agreement and without the landlord's consent. The court awarded special damages for unpaid rent from the date of the temporary injunction, general damages for the illegal structures, and ordered eviction.
Outcome
Counter defendant declared a trespasser and ordered evicted; plaintiff's suit struck out for failure to lead evidence
Facts
Hermion Uganda Limited (counter claimant) owned Plot 86 Kira Road and leased it to Elegant Washing Bay Ltd (second defendant) for two years from August 2020. Elegant Washing Bay struggled with rent and introduced Julies' Spoon International Ltd (plaintiff/counter defendant) to take over the tenancy through a goodwill arrangement. The counter defendant paid UGX 210 million to the second defendant and took possession, paying rent to the counter claimant until August 2022. When the tenancy expired, the counter claimant demanded vacant possession. The counter defendant refused, claiming entitlement to compensation for permanent structures it had erected on the premises. The counter defendant filed suit seeking declarations of legitimate occupancy and compensation. The counter claimant filed a counterclaim seeking eviction, declaring the counter defendant a trespasser, and claiming damages. The plaintiff's suit was struck out for failure to lead evidence. The counterclaim proceeded to judgment.
Issues
- Whether the counter claimant has a cause of action against the counter defendant.
- Whether the counter claimant is entitled to the remedies sought.
Orders
- The counter defendant is a trespasser on the suit land and an order doth issue evicting the counter defendant from the suit property.
- Special damages of UGX 8,000,000 per month being the value of monthly rent for the premises, from 23rd March 2023 till the date of eviction, are awarded.
- The counter claimant is awarded UGX 20,000,000 as general damages.
- The counter claimant is awarded interest on the special damages and general damages at a rate of 8% per annum from the date of this judgment until payment in full.
- A permanent injunction doth issue restraining the counter defendant or its representatives and agents from trespassing onto the suit premises.
- The counter claimant is awarded the costs of the suit.
Rules and key headnotes
Legislation cited (4)
Cases cited (10)
- Justine E.M. Lutaya v. Stirling Civil Engineering Co. Ltd
- Sophie Nakitende v Mabu Commodities Ltd (Civil Suit No. 117 of 2016)
- Justine E.M. Lutaaya v Stirling Civil Engineering Company Ltd (Civil Appeal No. 11 of 2002)
- Sheikh Mohammed Lubowa v Kitara Enterprises Ltd (Civil Appeal No. 4 of 1982)
- Uganda Commercial Bank v Kigozi [2002] 1 EA 305
- Alaka & Co. Advocates v. Metropolitan Properties Ltd
- Power and City Contractors Ltd v. LTL Projects (PVT) Ltd
- Mugambe v Kayita and Another (Civil Suit No. 339 of 2020)
- Kakubhai Mohanlal v Warid Telecom Uganda (Civil Suit No. 224 of 2011)
- Kwizera v Attorney General (Constitutional Appeal No. 1 of 2008)
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.