Natuhwera Polly v Alex Tumuhimbise (Miscellaneous Application No. 0576 of 2026)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The court set aside a default judgment obtained under Order 36 summary procedure and granted conditional leave to appear and defend. While the applicant's delay and failure to follow up with counsel weighed against him, the court found good cause existed because the applicant raised serious triable issues regarding liability (whether the company or he personally was liable) and the validity of the underlying contract (alleged duress and coercion). The court held that good cause and sufficient cause are distinct standards, with good cause requiring a lesser degree of proof. Leave was conditioned on depositing the full decretal sum of UGX 77,295,000 within thirty days.
Outcome
Default judgment set aside conditionally; applicant granted conditional leave to appear and defend on deposit of UGX 77,295,000 within 30 days; failure to comply reinstates default judgment
Facts
The respondent sued the applicant under Order 36 summary procedure for UGX 60,000,000 allegedly owed under a memorandum of understanding dated 30 August 2023 connected to a sub-contract at Simu Seed Secondary School, Bulambuli. The applicant was served but failed to file an application for leave to appear and defend. A default judgment was entered on 31 July 2024. In execution proceedings, the applicant was arrested and committed to civil prison for the decretal sum, taxed costs and interest totalling UGX 77,295,000. The applicant claimed he had instructed a former advocate to file the necessary application but the advocate failed to do so. On the merits, the applicant contended that he signed the memorandum on behalf of Zionate Multipurpose International Limited (of which he is a director) and never contracted personally, and further alleged the memorandum was obtained by duress and coercion. The respondent opposed the application, arguing the applicant was duly served, had signed a personal undertaking, and brought the application only after arrest to dodge the debt.
Issues
- Whether there is good cause to set aside the default judgment and decree entered against the Applicant in Civil Suit No. 0507 of 2024.
- Whether the Applicant should be granted leave to appear and defend the suit.
- If leave is granted, whether it should be conditional or unconditional.
Orders
- The default judgment and decree entered against the Applicant in Civil Suit No. 0507 of 2024 on 31 July 2024 are set aside, on the conditions in order 3.
- The Applicant is granted conditional leave to appear and defend Civil Suit No. 0507 of 2024.
- The Applicant shall, within thirty (30) days of this ruling, deposit in court the entire decretal sum of UGX 77,295,000 and any accumulated interest thereon. If the Applicant fails to do so, the setting aside in order 1 and the leave in order 2 shall lapse, the default judgment and decree shall stand, and the Respondent shall be at liberty to execute.
- The Applicant shall file a written statement of defence within fifteen (15) days from the date of this ruling.
- Costs will abide the outcome of the main suit.
Rules and key headnotes
Legislation cited (16)
- Civil Procedure Act Cap 282 s.98
- Civil Procedure Rules Order 36 r.11
- Civil Procedure Rules Order 52 r.1
- Civil Procedure Rules Order 52 r.2
- Civil Procedure Rules Order 52 r.3
- Civil Procedure Rules Order 1 r.15
- Civil Procedure Rules Order 9 r.18
- Civil Procedure Rules Order 9 r.21
- Civil Procedure Rules Order 9 r.26
- Civil Procedure Rules Order 43 r.16
- Civil Procedure Rules Order 43 r.18
- Civil Procedure Rules Order 36 r.3
- Civil Procedure Rules Order 36 r.4
- Civil Procedure Rules Order 36 r.5
- Civil Procedure Rules Order 36 r.8
- Civil Procedure Rules Order 6 r.8
Cases cited (25)
- Pinnacle Projects v Business in Motion Consultants (HCMA No. 362 of 2010)
- Dr. B.B Byamugisha v Alison Kantarama (HCMA No. 229 of 2019)
- Parimal v Veema (Civil Appeal No. 1467 of 2011)
- Arjun Singh v. Mohindra Kumar & Ors., AIR 1964 SC 993
- Banco Arabe Espanol v Bank of Uganda (SCCA No. 8 of 1998)
- Kateyo Eliezer v Makerere University (LCMA No. 147 of 2021)
- Bishop Jacinto Kibuuka v Uganda Catholic Lawyers Fraternity & Others (HCMA No. 696 of 2018)
- Kalyesubula Fred v Obey Christopher (HCMA No. 171 of 2016)
- Eriga Jos v Vuzzi Azza & Others (HCMA No. 9 of 2017)
- Femisa International Limited & Others v Equity Bank (U) Ltd (HCMA No. 357 of 2022)
- Onesmus Bakanga & Another v UEDCL (HCMA No. 1495 of 2020)
- Kananura Andrew v Richard Henry Kaijuka (SCCA No. 15 of 2016)
- Post Bank (U) Ltd v Abdul Ssozi (SCCA No. 8 of 2015)
- Zola & Another v. Ralli Brothers Ltd. & Another [1969] EA 691, 694
- Kotecha v. Mohammed [2002] 1 EA 112
- Saw v Hakim 5 TLR 72
- Ray v Barker 4 Ex DI 279
- Churanjilal & Co. v. A. H. Adam (1950) 17 EACA, 92
- Hasmani v. Banque du Congo Belge (1938) 5 EACA 89 at 89
- Photo Focus (U) Ltd v Group Four Security Ltd (CACA No. 30 of 2000)
- Ecobank Uganda Limited v Kalson's Agrovet Concern Ltd & Another (HCCS No. 573 of 2016)
- George Begumisa v East African Development Bank (HCMA No. 451 of 2010)
- Hon Hajji Katoto Mohammed v Justus Kyabahwa (HCMA No. 159 of 2023)
- Gareth Onyango v Maria Juan Lotua (HCMA No. 1250 of 2022)
- Abdul Kawuki v Habib Kawuki (HCMA No. 1146 of 2022)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.