M/s Kibeedi & Co.Advocates v Pan Afric Commodities Ltd (Misc. Cause No.188 Of 2008) (Misc. Cause No.188 of 2008)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
Held that where a payment voucher relates to different legal services than those claimed in the advocate-client bill of costs under taxation, the existence of the bill is not negated. The Court has jurisdiction to tax an advocate-client bill under the Advocates Act without requiring a separate suit to resolve allegations of forgery or fraud concerning unrelated payment documents. The party alleging forgery bears the burden of proof.
Outcome
Preliminary objection dismissed; matter to proceed to substantive hearing on taxation
Facts
The applicant law firm sought taxation of an advocate-client bill of costs for legal services rendered to the respondent in connection with negotiations and conclusion of a loan facility agreement with Barclays Bank in December 2006. The respondent raised a preliminary objection claiming that the bill had already been settled through a payment of UGX 3,500,000, evidenced by a payment voucher (document MMM5) described as "full and final settlement legal fees for the case against Pan Afric Commodities against Barclays Bank." The respondent further contended that if the voucher were disputed as a forgery, the matter required litigation by way of a separate suit, thereby ousting the Court's jurisdiction to tax the bill. The applicant argued that the payment voucher related to different legal services and did not discharge the fees claimed in the bill of costs before the Court.
Issues
- Whether there is a Bill of Costs to tax.
- Whether the Court has jurisdiction to conduct taxation where a party alleges forgery of a payment voucher.
- Whether a suit is required to challenge the validity of a payment voucher before taxation can proceed.
Orders
- Preliminary objections raised by the respondent overruled.
- Costs of the preliminary objection to abide the outcome of Misc. Application No. 188 of 2008.
- Matter adjourned to 18 February 2009 at 3.00pm for substantive hearing.
Rules and key headnotes
Legislation cited (4)
Cases cited (4)
- General Parts (U) Ltd and Another v NPART (Supreme Court Civil Appeal No. 9 of 2005)
- [1965] EA 705
- Fredrick Zabwe v Orient Bank (Supreme Court Civil Appeal No. 4 of 2006)
- [1982] HCB 129
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.