Ndawula v Tropical Bank Limited and Another (Misc Cause 332 of 2023)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
Held that an applicant seeking a vesting order under Section 167 of the Registration of Titles Act must first apply to the Commissioner Land Registration before invoking the court's jurisdiction. The court dismissed the application as procedurally improper but directed the applicant to apply to the Commissioner within 60 days, with liberty to return to court upon proof of the Commissioner's refusal or failure.
Outcome
Application dismissed with liberty to apply to Commissioner Land Registration; applicant may return to court upon proof of Commissioner's refusal
Facts
Rashid Ndawula purchased land from Mary Nakayiza in 2020 for UGX 500,000,000. The land was mortgaged to Tropical Bank Limited by Nakayiza and her son Kiragga Samuel to secure a credit facility. Following default, Nakayiza sought to sell the property herself to clear the debt and avoid foreclosure. The applicant paid the full purchase price which was used to clear the credit facility. Nakayiza died in September 2022 before executing transfer forms in the applicant's favour and before instructing the bank to release the certificate of title. The applicant commenced development of the property. The bank held the certificate of title and awaited instructions from either the deceased's estate or her son, who was unwilling to provide them.
Issues
- Whether the affidavits in reply should be struck out for non-service?
- Whether the application is properly before this court?
- Whether there are sufficient grounds to warrant the grant of a vesting order?
Orders
- Application dismissed.
- Parties to bear their own costs.
- Applicant directed to follow the provisions of Section 167 of the Registration of Titles Act Cap.230 and have the matter before the Commissioner Land Registration within 60 days of this order.
- If the Registrar declines or fails to grant the vesting order and evidence of such failure is provided, this court shall be pleased to automatically grant the said orders upon such proof.
Rules and key headnotes
Legislation cited (5)
- Registration of Titles Act Cap.230 s.167
- Registration of Titles Act Cap.230 s.166
- Civil Procedure Act Cap.71 s.98
- Civil Procedure Rules O.52
- Constitution of Uganda 1995 Art.139(1)
Cases cited (4)
- Mwesigwa Nicholas v P&A Credit Investments Limited (Misc Application No. 1677 of 2022)
- Mutyaba v Kayimbye and Another (Misc Cause No. 40 of 2018)
- Mutyaba Tom v James Kayimbye Sebinene Musajjalumbwa and Another (Misc Cause No. 40 of 2018)
- Edward Babigumira v Commissioner for Land Registration (Misc Cause No. 76 of 2012)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.