Lebel (East Africa) Ltd v E.F. Lutwama (Civil Appeal No. 4 of 1985)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The Court of Appeal allowed the appeal, holding that the trial judge failed to exercise his discretion judicially in refusing to set aside an ex-parte judgment under O.9 r.24 of the Civil Procedure Rules. The undisputed evidence showed counsel had been arrested and detained by security men on the hearing day, and the appellant received notice of the hearing date too late to attend — both amounting to sufficient cause. The court further held that the existence of a triable defence (whether the property was in disrepair) and a possible defence against forfeiture, even if irregularly raised, ought to have been considered. Denying a party a hearing should be a court's last resort.
Outcome
Appeal allowed; ex-parte judgment set aside and suit re-instated for hearing in the High Court
Facts
The respondent leased his land to the appellant company for 49 years ending in 2006, the appellant undertaking to construct a house on the land. The respondent later sued the appellant in the High Court for recovery of the land and house, alleging breach of the covenant to keep the property in good and tenantable repair. On the hearing day the appellant's counsel failed to appear and the respondent obtained an ex-parte judgment before Kantinti, J. The appellant applied to set aside the judgment, supported by affidavits. Counsel deposed that on the hearing day he had been arrested by army men at around 6 a.m. and detained until the afternoon, making attendance impossible. The appellant's manager deposed that the company received the letter notifying it of the hearing date only on the day of the hearing. The appellant also claimed it had repaired the war-damaged house and wished to defend against possible forfeiture. The High Court (Ouma, J.) dismissed the application, leading to this appeal.
Issues
- Whether the appellant's counsel was prevented by sufficient cause from attending the hearing of the suit.
- Whether the appellant was prevented by sufficient cause from appearing at the hearing.
- Whether the trial judge erred in refusing to set aside the ex-parte judgment on the basis that the appellant sought to raise a new defence not pleaded in the written statement of defence.
- Whether the trial judge exercised his discretion judicially in declining to set aside the ex-parte judgment.
Orders
- Appeal allowed.
- Order of Ouma, J. set aside.
- Ex-parte judgment of Kantinti, J. set aside.
- Suit re-instated for hearing on a date to be fixed by the Chief Registrar of the High Court.
- Respondent to pay the appellant's costs of the appeal and in the lower court.
Rules and key headnotes
Legislation cited (2)
- Civil Procedure Rules O.9 r.24
- Civil Procedure Act s.101
Cases cited (3)
- Mbogo v. Shah (1968) E.A. 93
- Lake Victoria Bottling Co. Ltd. V. Anthony Constance H.C.C.S. No.6 of 1962
- Jamnadas v. Sodha Vs. Gordhandas Hemraj (1952) 7 U.I.R. 7
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.