Kaweesi v Ali Motors (U) Ltd [2025] UGCOMMC 53
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The court held that where an application for leave to appear and defend a summary suit is filed two days late but raises triable issues of fact and law regarding misrepresentation, fitness for purpose of goods sold, and the state of the goods at purchase, the interests of justice require setting aside the default judgment and granting leave to defend. The applicant established a bona fide triable issue sufficient to remove the matter from summary procedure under Order 36 of the Civil Procedure Rules.
Outcome
Application granted; default judgment set aside; applicant granted unconditional leave to appear and defend the summary suit with costs to the respondent
Facts
On 2 September 2023, the respondent sold an excavator to the applicant for UGX 300,000,000, with a down payment of UGX 60,000,000 and the balance of UGX 240,000,000 payable in monthly instalments of UGX 20,000,000 over twelve months. The applicant had acquired a business loan from Post Bank using his property as security and explained to the respondent that the excavator was for a business he intended to start. The applicant claims the respondent misrepresented that the excavator was in good working condition and fit for purpose, but the machine has had continuous mechanical problems since purchase and has never worked properly. The applicant says he has spent approximately UGX 79,050,000 on spare parts and repairs and communicated these issues to the respondent from 18 December 2023 to 24 March 2024 without receiving a response. The applicant made no payments on the balance. The respondent instituted a summary suit seeking to recover the outstanding UGX 240,000,000. The applicant was served with summons on 3 October 2024 and filed this application for leave to appear and defend on 16 October 2024, two days after the ten-day deadline. A default judgment was entered on 21 October 2024.
Issues
- Whether the Applicant has raised sufficient grounds to warrant the grant of unconditional leave to appear and defend Civil Suit No. 1156 of 2024?
- What remedies are available to the parties?
Orders
- The application is granted.
- The Applicant is granted unconditional leave to appear and defend Civil Suit No. 1156 of 2024.
- The default judgment entered on 21st October 2024 is set aside.
- The Applicant is ordered to file his Written Statement of Defence within fourteen (14) days from the date of this Ruling.
- Costs of this application are awarded to the Respondent.
Rules and key headnotes
Legislation cited (12)
- Civil Procedure Act Cap. 71 (now Cap. 282) s.98
- Civil Procedure Rules SI 71-1 Order 36 rule 3
- Civil Procedure Rules SI 71-1 Order 36 rule 4
- Civil Procedure Rules SI 71-1 Order 36 rule 7
- Civil Procedure Rules SI 71-1 Order 52 rule 1
- Civil Procedure Rules SI 71-1 Order 52 rule 2
- Civil Procedure Rules SI 71-1 Order 6 rule 28
- Civil Procedure Rules SI 71-1 Order 51 rule 8
- Constitution of the Republic of Uganda 1995 Article 126(2)(e)
- Civil Procedure Act s.27(2)
- Contracts Act
- Sale of Goods and Supply of Services Act
Cases cited (10)
- Uganda Telecom Limited v ZTE Corporation (Supreme Court Civil Appeal No. 03 of 2017)
- Patrick Katto v Dirk Ten Brink (High Court Misc. Application No. 791 of 2023)
- Miter Investments Limited v East African Portland and Cement Company Limited (Misc. Application No. 534 of 2012)
- M.M.K Engineering v Man Trust Uganda Ltd (Misc. Application No. 128 of 2012)
- Jamil Ssenyonjo v Jonathan Bunjo (High Court Civil Suit No. 180 of 2012)
- Kotecha v Adam Mohammed [2002] 1 EA 112
- Geoffrey Gatete & Another v William Kyobe (Supreme Court Civil Appeal No. 7 of 2005)
- Twentsche Overseas Trading Co. Ltd v Bombay Garage [1958] EA 741
- Churanjila & Co. v A.H Adam (1) (1950) 17 EACA 92
- Uganda Development Bank v Muganga Construction Co. Ltd [1981] HCB 35
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.