Wakilii

Kasozi and 18 Others v Uganda Baati Limited (Miscellaneous Application 37 of 2023)

Industrial Court · [2023] UGIC 115 · 2023 Application Granted AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for leave to amend memorandum of claim arising from Labour Dispute Reference No. 040 of 2022
Decision
Application for leave to amend granted with costs to the respondent

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The Industrial Court granted the applicants leave to amend their memorandum of claim to include prayers for declarations of unlawful and illegal termination. The court held that the proposed amendments did not introduce a new or distinct cause of action, as all claims arose from the termination of employment and its lawfulness. The amendments would allow the court to determine all matters in controversy between the parties and avoid multiplicity of proceedings. Costs of the application were awarded to the respondent due to the applicants' improper reliance on confidential mediation information.

Outcome

Application for leave to amend granted with costs to the respondent

Facts

The applicants, 19 former employees of Uganda Baati Ltd, filed a labour dispute claim seeking declarations and damages for illegal deductions and erroneous calculation of terminal benefits following their termination in August 2020 on grounds of restructuring. The applicants initially claimed underpayment of overtime and unpaid annual leave. After receiving the respondent's memorandum in reply and participating in mediation, the applicants discovered additional facts about the restructuring and sought to amend their claim to include prayers for declarations that their collective termination was unfair, unlawful and illegal. The respondent opposed the amendment, arguing it introduced a new cause of action and relied on confidential mediation information. The applicants contended the amendments merely clarified and properly defined the nature of their claims without substituting the original cause of action.

Issues

  1. Whether the applicants should be granted leave to amend their memorandum of claim to include additional prayers for declarations of unfair, unlawful or illegal collective termination.
  2. Whether the proposed amendments introduce a new and distinct cause of action.
  3. Whether information obtained during mediation proceedings can be used to justify an amendment.
  4. Whether the delay in bringing the application for amendment should bar the grant of leave.

Orders

  • The Applicants are granted leave to amend the memorandum of claim.
  • The amended memorandum of claim shall be filed in Court within seven days from the date of this order.
  • The Respondent shall file a reply within seven days from the date of service of the amended claim.
  • The Respondent shall have taxed costs of the application in any event.

Rules and key headnotes

Civil Procedure — Amendment of Pleadings — Principles Governing Grant of Leave
Amendments to pleadings should be freely allowed by courts so that the real question in controversy between the parties is determined and justice is administered without undue regard to technicalities, provided the amendment does not work injustice to the other side that cannot be compensated by costs, does not introduce a new and distinct cause of action, avoids multiplicity of proceedings, and is not made malafide.
Civil Procedure — Amendment of Pleadings — New Cause of Action
An amendment does not introduce a new and distinct cause of action where the proposed amendments are inextricably linked to the original claim and arise from the same employment contract or relationship, even if the amendment adds prayers for declarations of unlawful termination to an original claim for miscomputation of terminal benefits.
Civil Procedure — Mediation — Confidentiality of Mediation Proceedings
Discussions forming part of mediation proceedings are inadmissible as evidence and confidential under the Judicature (Mediation) Rules 2013, and it is improper for a party to rely on information obtained during mediation to justify amendments to pleadings, as confidentiality is at the centre of the mediation process and mediation cannot survive without true confidentiality.
Civil Procedure — Amendment of Pleadings — Delay in Bringing Application
Under Order 6 Rule 19 of the Civil Procedure Rules, the court is empowered to permit amendment of pleadings at any stage of the proceedings, and delay by a litigant in bringing a formal application to amend is not itself a ground for refusing the amendment unless the respondent can show prejudice.
Civil Procedure — Compliance with Court Orders — Filing Timelines
Timelines set by statute or ordered by the court are not set in vain and court orders are to be obeyed as a central tenet of the justice system, and the consequence of non-compliance with filing orders would ordinarily be that pleadings and submissions filed out of time would be expunged from the record, though the court may exercise discretion to validate late filings in the interest of justice where both parties are culpable.
Employment & Labour — Costs in Employment Disputes
In employment disputes before the Industrial Court, costs are the exception rather than the rule, but costs may be awarded against a party for misconduct, including improper disregard of explicit provisions of law such as the confidentiality requirements in mediation proceedings.

Legislation cited (4)

Cases cited (17)

  • Mulowoza Brothers Ltd v N. Shah & Co Ltd (Supreme Court Civil Appeal No. 26 of 2020)
  • Wasswa v Achen [1978] HCB 297
  • Bright Chicks Uganda Ltd v Dan Bahingine (High Court Miscellaneous Application No. 254 of 2011)
  • Mbayo J. Robert v Electoral Commission & Anor (Election Petition No. 7 of 2006)
  • Oola Peters & Others v Lanen Mary (High Court Miscellaneous Application No. 18 of 2017)
  • Dr. Lam Lagoro James v Muni University (Miscellaneous Civil Cause No. 7 of 2016)
  • Sarope Petroleum Ltd v Orient Bank & 2 Ors (High Court Miscellaneous Application No. 72 of 2011)
  • Gaso Transport Ltd v Obene [1990-1994] EA 88
  • Ham Enterprises Ltd & 2 Ors v Diamond Trust Bank (U) Ltd & Anor (Supreme Court Civil Appeal No. 13 of 2021)
  • Mulindwa George William v Kisibika Joseph (Supreme Court Civil Appeal No. 12 of 2014)
  • Stop and See (U) Ltd v Tropical Africa Bank Ltd (High Court Miscellaneous Application No. 333 of 2010)
  • Trans-Drakensberg Bank Limited v Combined Engineering & Anor [1967] 4 All SA
  • Okello Wilbert v Obel Ronald
  • Okello Peters & Ors v Abacus Parenteral Drugs Ltd (High Court Miscellaneous Application No. 35 of 2022)
  • Eastern Bakery v Castelino [1958] 1 EA 461
  • Oyuko Moses v Centenary Rural Development Bank (Labour Dispute Miscellaneous Application No. 130 of 2018)
  • Joseph Kalule v GIZ (Labour Dispute Reference No. 109 of 2020)

Full judgment

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Kasozi_and_18_Others_v_Uganda_Baati_Limited_(Miscellaneous_Application_37_of_2023)_[2023]_UGIC_115_(3_August_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.