Kisekka Ismail and Others v Kato Edmond and Others (Civil Suit No.230 of 2011)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
Held that grandchildren of a testator whose father predeceased the testator inherit their father's bequest by operation of Section 92 of the Succession Act. A purchaser who fails to verify that the seller is the sole administrator and beneficiary, and who does not inspect the grant of letters of administration, is not a bonafide purchaser for value without notice. An administrator who disposes of estate property without filing an inventory or final account passes no good title. Registration obtained through such fraudulent sale is cancelled.
Outcome
Suit dismissed. Counterclaim allowed. Fraudulent registration cancelled. Defendants' inheritance rights declared. Administrator ordered to file inventory and final account.
Facts
The late Erifazi Kiwulidde Magero died testate in 1983, bequeathing land at Busaku to his son John Lukoda Kinvirewo. John predeceased his father in 1975, leaving three children (the Defendants). In 2008, two administrators were appointed to the testator's estate. In 2010, one administrator, Folomera Nantambi, purportedly sold the suit land to George Mugwanya, who immediately resold it to the late Ndawula Ibrahim. Ndawula was registered as proprietor on both plots. The Defendants, as grandchildren and lineal descendants of the original legatee, challenged the sale as fraudulent. Ndawula died in 2019 and his administrators continued the suit. A Memorandum of Understanding was signed in 2013 but the Defendants denied receiving the compensation stated therein. A locus visit in 2024 confirmed the Defendants were in occupation.
Issues
- Whether the Defendants/Counter Claimants have any claim over the suit land
- Whether the late Ndawula Ibrahim was a bonafide purchaser for value without notice of fraud
- Whether the 2nd Counter Defendant passed on good title for the suit land to the late Ndawula Ibrahim
- Whether the Counter Claimants' occupation of the suit land is lawful
- Whether the Memorandum of Understanding entered between the late Ndawula Ibrahim and the Defendants is valid
- What remedies are available to the parties
Orders
- Suit dismissed with costs.
- Judgment entered for the Counter Claimants.
- Declared that the suit land forms part of the estate of the late Erifazi Kiwulidde Magero bequeathed to his son, the late John Lukoda Kinvirewo, and by effect of Section 92 of the Succession Act is the property by inheritance of his lineal descendants, the Defendants, as of 1983.
- Declared that the sale agreement dated 9th August 2010 did not pass good title from the 2nd Counter Defendant to the late George Mugwanya.
- Declared that the late Ndawula Ibrahim is not a bonafide purchaser of the suit land for value without notice of fraud.
- Registration of the late Ndawula Ibrahim on the suit land cancelled on grounds of fraudulent registration.
- 2nd Counter Defendant directed to file comprehensive inventory within 60 days and final account within 90 days.
- In the event the 2nd Counter Defendant is unable to perform, family members to nominate new administrators within 6 months.
- Counter Claimants awarded UGX 60,000,000 in general damages with interest at court rate from date of judgment until payment in full.
- Costs of the suit and counterclaim awarded to the Counter Claimants.
Rules and key headnotes
Legislation cited (4)
Cases cited (3)
- Lwanga v Mubiru and 3 Others [2024] UGSC 7
- Jones v Smith [1841] I Hare 43
- Yakobo M.N Senkungu & Others v Cresencio Mukasa (Civil Appeal No. 17 of 2014)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.