Kagumaho Musana v Rama and 3 Others (Civil Miscellaneous Application No. 933 of 2019)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The High Court granted a temporary injunction ordering the first respondent to deposit the certificate of title for land comprised in Block 222 Plot 2929 Namugongo in court for safekeeping. The court found that the applicant had established prima facie grounds that the property was in danger of being disposed of, and that depositing the title would preserve the status quo until the main suit is determined without causing irremediable prejudice to either party. Costs awarded in the cause.
Outcome
Certificate of title ordered to be deposited in court pending resolution of main suit
Facts
The applicant, Kagumaho Musana Ade, is the registered proprietor of land comprised in Block 222 Plot 2929 situated at Namugongo. The first respondent, Stella Rama, attempted to purchase the land from him but breached the agreement when she failed to pay the entire purchase price. The applicant refunded UGX 80,000,000 but a balance of UGX 52,000,000 remained outstanding. Despite failing to complete the purchase, the first respondent held onto the certificate of title and registered herself on it in an attempt to secure a mortgage facility from Housing Finance Bank Ltd (the fourth respondent). The first respondent obtained a loan of UGX 80,000,000 from the bank which she paid to the applicant, then took possession of the land after transfer forms were signed. The transaction was frustrated when the bank failed to provide the entire expected loan, prompting the first respondent to vacate the property and request a refund. The applicant brought this application seeking to have the certificate deposited in court, fearing the property might be disposed of by the first respondent.
Issues
- Whether the certificate of title should be deposited in court for safekeeping pending disposal of the main suit
Orders
- Application allowed.
- The certificate of title for land comprised in Block 222 Plot 2929 Namugongo be deposited in court for safekeeping pending disposal of the main suit.
- Costs in the cause.
Rules and key headnotes
Legislation cited (3)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.