Kenganzi v METL Uganda Ltd (Miscellaneous Application No. 2179 of 2015)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The court granted stay of execution pending disposal of the application for leave to appeal before the Court of Appeal, exercising its discretion under section 32 of the Judicature Act. The court held that while it has discretion to impose security conditions under Order 43 rule 3(c) of the Civil Procedure Rules, mandating security for the entire decretal amount would stifle the right of appeal. Stay was granted on condition that the applicant deposit UGX 50,000,000 as security for due performance of the decree within two weeks.
Outcome
Stay of execution granted on condition that security of UGX 50,000,000 be deposited within two weeks
Facts
The applicant sought a stay of execution of the decree in Civil Suit No. 723 of 2014, which had awarded the respondent UGX 177,132,200. The applicant had filed an application for leave to appeal before the Court of Appeal, with the earliest hearing date scheduled for June 2016. The respondent did not oppose the stay application but requested that it be granted on condition that the applicant deposit security for due performance of the decree. The applicant argued that requiring full security would stifle the right of appeal and that the court had discretion under section 32 of the Judicature Act to grant the stay without requiring full security.
Issues
- Whether the application for stay of execution pending appeal should be granted.
- Whether the applicant should be required to deposit security for due performance of the decree and, if so, what amount.
Orders
- Application for stay of execution allowed.
- Applicant to deposit UGX 50,000,000 as security for due performance of the decree within two weeks from the date of this order.
- Stay of execution granted pending disposal of the application for leave to appeal in the Court of Appeal.
- Each party to bear its own costs.
Rules and key headnotes
Legislation cited (5)
- Civil Procedure Rules O.22 r.23
- Civil Procedure Act s.98
- Judicature Act s.33
- Civil Procedure Rules O.43 r.3(c)
- Judicature Act s.32
Cases cited (2)
- Lawrence Musiitwa Kyazze v Eunice Busingye (Supreme Court Civil Appeal No. 18 of 1990)
- Tropical Commodities Suppliers vs. International Credit Bank
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.