Nakalema Hellen and Another v Mascot Logistics Limited (Consolidated Miscellaneous Application No. 343 and 389 of 2025)
Observed later treatment
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Holding
The court struck out Nakalema Hellen's application for lack of locus standi, as her letters of administration had been revoked and the estate was adequately represented by the remaining administrators. The court declined to determine the limitation issue at the preliminary stage because it turned on a contested factual question regarding the authenticity of an alleged 2020 acknowledgment of debt. The court set aside the ex parte judgment against Nassiwa Hadijah, finding sufficient cause based on negligence of her former counsel, ineffective service of hearing notices, triable issues in her proposed defence, and serious allegations of fraud and collusion warranting full investigation.
Outcome
One application struck out for lack of locus standi; second application allowed and ex parte judgment set aside; main suit remitted for hearing on merits
Facts
The late Ssesebwe Vincent Salongo died intestate. Letters of administration were initially granted to Nakalema Hellen, Nassiwa Hadijah, and Nalwadda Bella Brenda. Mascot Logistics Limited filed Civil Suit No. 70 of 2023 against the three administrators claiming recovery of UGX 371,837,704 allegedly taken by the deceased for personal use between 2005 and 2015. The Respondent obtained ex parte judgment on 19 March 2025 for special damages, general damages, interest, and costs totalling UGX 469,324,736.64. During the pendency of the suit, Nakalema Hellen's letters of administration were revoked, leaving only Nassiwa Hadijah and Nalwadda Bella Brenda as administrators. Both Nakalema Hellen and Nassiwa Hadijah filed applications to set aside the ex parte judgment. Nassiwa Hadijah claimed she instructed M/s Sebanja & Co. Advocates who negligently failed to file a defence, and that she was not served with hearing notices. Allegations of collusion arose because Nalwadda Bella Brenda is the biological daughter of Lillian Nanyonga, a director and majority shareholder of the Respondent company.
Issues
- Whether Nakalema Hellen has locus standi to maintain Miscellaneous Application No. 343 of 2025.
- Whether the plaint in Civil Suit No. 70 of 2023 is time-barred and should be dismissed.
- Whether there are sufficient grounds to set aside the ex parte judgment and decree in Civil Suit No. 70 of 2023.
Orders
- Miscellaneous Application No. 343 of 2025 is struck out for the Applicant's lack of locus standi with no order as to costs.
- Miscellaneous Application No. 389 of 2025 is allowed.
- The ex parte judgment and decree in Civil Suit No. 70 of 2023 dated 19th March 2025 is set aside.
- Nassiwa Hadijah is granted leave to file a written statement of defence within 14 days from the date of this ruling.
- Civil Suit No. 70 of 2023 shall be heard inter parties on its merits.
- The Respondent shall pay costs of MA 389/2025 to the Applicant.
Rules and key headnotes
Legislation cited (17)
- Civil Procedure Act s.82
- Civil Procedure Act s.98
- Civil Procedure Rules Order 1 Rule 10
- Civil Procedure Rules Order 5 Rule 9
- Civil Procedure Rules Order 5 Rule 16
- Civil Procedure Rules Order 6 Rule 29
- Civil Procedure Rules Order 7 Rule 6
- Civil Procedure Rules Order 7 Rule 11(d)
- Civil Procedure Rules Order 9 Rule 27
- Civil Procedure Rules Order 22 Rules 55 and 56
- Civil Procedure Rules Order 49 Rule 2
- Civil Procedure Rules Order 52 Rules 1, 2 and 3
- Limitation Act s.3(1)
- Limitation Act s.22(4)
- Evidence Act s.55
- Evidence Act s.56
- Constitution of Uganda Article 28
Cases cited (21)
- Shahida Abdul Hassanaly Kasam v Mahed Mohamed Gulamali Kanj (Civil Application No. 42 of 1999)
- Wassaja Philip Musanje and Another v Kemirembe Winnie and Another (Civil Suit No. 320 of 2021)
- Re-Nakivubo Chemists (U) Ltd [1981] HCB 104
- Dima Dominic Poro v Inyoni and Another (Civil Appeal No. 17 of 2016)
- Arim Felix Clive v Stanbic Bank Ltd (Supreme Court Appeal No. 03 of 2015)
- Charlotte Anum and 2 Others v The High Court Registrar and 8 Others (Civil Appeal No. JA/10/2022)
- Geoffrey Gatete and Another v. William Kyobe [2007] UGSC 7
- Nicholas Roussos v Gulam Hussein Habib Virani (Supreme Court Civil Appeal No. 9 of 1993)
- Banco Arabe Espanol v Bank of Uganda (Supreme Court Civil Appeal No. 8 of 1998)
- Wilson Nuwamanya v Mary Mugyenyi and Mbarara District Land Board (Civil Suit No. 047 of 2008)
- E. Otabong v. A.G. [1991] ULSLR 150
- Makula International (U) Ltd v Cardinal Nsubuga and Another (Civil Appeal No. 4 of 1981)
- Fredrick J.K. Zaabwe v Orient Bank Ltd and Others (Civil Appeal No. 4 of 2006)
- Saava v Ainomugisha and Another (Miscellaneous Application No. 834 of 2019)
- Kyobe Senyange v. Naks Limited [1980] HCB 31
- Silver Byaruhanga v Fr. Emmanuel Ruvugwaho and Another (Supreme Court Civil Appeal No. 09 of 2014)
- Firdoshali Madatali Keshwani Habib and Another v The Departed Asian Property Custodian Board (Miscellaneous Application No. 11 of 2019)
- Capt. Phillip Ongom v Catherine Nyero Owoto (Supreme Court Civil Appeal No. 14 of 2001)
- Lazarus Estate Ltd v. Beasly [1956] QB 702
- Andrew Kanunura v Mary Mugenyi (Civil Suit No. 57 of 2008)
- Yahaya Walusimbi v Justine Nakalanzi and 4 Others (Civil Application No. 386 of 2018)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.