Metaplus (U) Ltd v Exim Bank (Uganda) Ltd (Miscellaneous Application 2867 of 2025)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The High Court granted leave to amend the plaint to incorporate facts arising after the original filing, specifically the sale of mortgaged property during pendency of the suit. The court held that amendments incorporating subsequent events directly consequent upon the original transaction do not constitute a new cause of action, serve to avoid multiplicity of suits, and should be allowed where they cause no irreparable prejudice that cannot be compensated by costs.
Outcome
Leave to amend plaint granted; matter to proceed on amended pleadings
Facts
The Applicant instituted Civil Suit No. 929 of 2022 challenging the legality of mortgages executed in 2014 over property in Kyadondo Block 265 Plot 1297 and subsequent loan restructuring. While the suit was pending, the Respondent bank enforced the mortgage by appointing a receiver who sold the property at auction in August 2024. The Applicant alleged the sale was conducted at gross undervalue (approximately one-sixth of market value), without proper valuation, and through a process tainted by fraud. The Applicant sought leave to amend the plaint to incorporate these subsequent events and resulting monetary claims. The Respondent, though represented on record, did not appear at the hearing despite notice.
Issues
- Whether the Applicant has satisfied the legal principles governing amendment of pleadings so as to warrant the grant of leave to amend the Plaint?
Orders
- Leave granted to the Applicant to amend its Plaint in the terms of the Draft Amended Plaint annexed to the affidavit in support.
- The Amended Plaint shall be filed and served within fifteen (15) days from the date of this ruling.
- The Respondent should file an Amended Written Statement of Defence within fifteen (15) days of service of the Amended Plaint.
- No orders to costs.
Rules and key headnotes
Legislation cited (5)
Cases cited (7)
- ASP Mugweri Richard & 37 others v Attorney General (Miscellaneous Application No. 127 of 2021)
- Mulowooza & Brothers Ltd v N Shah & Co Ltd (Supreme Court Civil Appeal No. 26 of 2010)
- Mohan Musisi Kiwanuka v Asha Chand (Supreme Court Civil Appeal No. 14 of 2002)
- Okello Wilbert v Obel Ronald (Miscellaneous Application No. 97 of 2020)
- Zalwango & 2 Others v Ladha Kassam & Co Ltd & 8 Others (Miscellaneous Application No. 1040 of 2022)
- Gaso Transport Services (Bus) Ltd v Martin Adala Obene (Supreme Court Civil Appeal No. 4 of 1994)
- Eastern Bakery v Castelino (1958) EA 451
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.