Wakilii

Kiwanuka v Semakula (Civil Suit 449 of 2020)

High Court · [2022] UGHCLD 257 · 2022 Judgment for Plaintiff AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
First instance civil suit for breach of land sale agreement with interlocutory judgment entered after defendant failed to file defence
Decision
Judgment entered for the plaintiff with refund of purchase price, general damages, interest, and costs

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Held that where a land sale agreement vendor fails to deliver vacant possession despite full payment and fails to refund the purchase price, the vendor is in breach of contract. The purchaser is entitled to a refund of the purchase price as special damages and to general damages for inconvenience. Where no defence is filed, the defendant is deemed to have admitted the plaint's allegations. Interest at 18% per annum on special damages from filing and 5% per annum on general damages from judgment is appropriate for commercial land transactions.

Outcome

Judgment entered for the plaintiff with refund of purchase price, general damages, interest, and costs

Facts

On 3 September 2018, the plaintiff and defendant entered into a land sale agreement for two plots comprised in Kyadondo Block 185 at Kito-Kira local council, Wakiso district. The agreed purchase price totalled Ugx 375,000,000. The plaintiff paid the entire purchase price and an additional Ugx 25,000,000 as processing fees for land titles. The defendant acknowledged receipt by signing the agreements but refused to hand over vacant possession and land titles. The plaintiff demanded refund of all sums paid but the defendant failed to comply. No defence was filed. Interlocutory judgment was entered and the matter proceeded to formal proof on 25 October 2022.

Issues

  1. Whether the plaintiff is entitled to the sum of money claimed as a refund.
  2. Whether the plaintiff is entitled to general damages.

Orders

  • Plaintiff granted Shs. 375,000,000/= as special damages.
  • Plaintiff granted Shs. 25,000,000/= as facilitation paid to process title.
  • General damages of Shs. 40,000,000/= granted to the plaintiff.
  • Interest granted on special damages at 18% per annum from date of filing suit till payment in full.
  • Interest granted on general damages at 5% per annum from date of judgment until payment in full.
  • Costs of the suit awarded to the plaintiff.

Rules and key headnotes

Contract Law — Breach of Contract — Failure to Deliver Vacant Possession After Full Payment
Where a vendor under a land sale agreement fails to deliver vacant possession despite receiving full payment of the purchase price, the vendor is in breach of contract and the purchaser is entitled to a refund of the purchase price.
Civil Procedure — Default Judgment — Effect of Failure to File Defence
A party who does not enter appearance and file a written statement of defence is deemed to have admitted the allegations in the plaint. Where interlocutory judgment has been entered, the question of liability is no longer in issue and only the assessment of quantum remains.
Damages & Quantum — Special Damages — Burden of Proof
Special damages must be specifically pleaded and proved by the party claiming them. Where the figure is pleaded and has not been challenged by the defendant, and the plaintiff has proved payment, the plaintiff has satisfied the burden of proof.
Damages & Quantum — General Damages for Breach of Contract — Restitutio in Integrum
Breach of contract entitles the injured party to an award of general damages. The fundamental principle is restitutio in integrum: the law will endeavour, so far as money can do it, to place the injured person in the same position as if the contract had been performed. To be eligible, the party must have suffered loss or inconvenience to justify the award.
Damages & Quantum — Interest on Damages — Discretion of Court
Under section 26(2) of the Civil Procedure Act, the court has power to award interest where no rate is agreed upon. The rate is fixed at the discretion of the trial judge. In commercial land transactions where the defendant has held the plaintiff's money for an extended period, interest at 18% per annum on special damages from filing and 5% per annum on general damages from judgment is appropriate.

Legislation cited (2)

Cases cited (13)

  • Nakana Trading Co Ltd v Coffee Marketing Board (Civil Suit No. 137 of 1991)
  • Miller v Minister of Pensions [1947] 2 All ER 372
  • Smith v Auto Electric Services Ltd (1951) 24 KLR 22
  • Haji Asuman Mutekanga v Equator Growers (U) Ltd (Supreme Court Civil Appeal No. 7 of 1995)
  • Uganda Telecom Ltd v Tanzanite Corporation (Court of Appeal No. 171 of 2004)
  • Roko Construction Co v Attorney General (High Court Civil Suit No. 517 of 2008)
  • Bank of Uganda v Fred Masaba & 5 Others (Supreme Court Civil Appeal No. 3 of 1998)
  • ESSO Petroleum Co Ltd v Mardan [1976] 2 All ER
  • Simon Mbalire v Moses Mukiibi (High Court Civil Suit No. 85 of 1995)
  • Musisi Edward v Babihuga Hilda [2007] HCB 84
  • Robinson v Harman [1848] Exch 850
  • Crescent Transportation Co Ltd v Bin Technical Services Ltd (Court of Appeal No. 25 of 2000)
  • James Mbabazi & Another v Matco Stores Ltd & another (Court of Appeal Civil Reference No. 15 of 2004)

Full judgment

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The original judgment as reported. Read the original PDF before relying on any passage.

Kiwanuka_v_Semakula_(Civil_Suit_449_of_2020)_[2022]_UGHCLD_257_(22_November_2022)
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.