Nshimye & Company Advocates v Microcare Insurance Limited & Insurance Regulatory Authority (Misc. Application No. 231 2014)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
A consent judgment recorded by court before issuance of summons is not a nullity. Where parties agree to settle a matter by consent before court has issued summons, the recorded consent judgment is valid under Order 50 rule 2 and Order 25 rule 6 of the Civil Procedure Rules as the judgment is of the parties and validated by court. A third party cannot set aside a consent judgment by way of preliminary objection but must proceed either by suit or application for review.
Outcome
Preliminary objection dismissed; garnishee proceedings to continue
Facts
The applicant obtained a consent judgment and decree in Miscellaneous Cause No. 17 of 2014. The applicant then sought a garnishee order against Microcare Insurance Limited and the Insurance Regulatory Authority to execute the judgment. When the application for the garnishee order to be made absolute came up for hearing, counsel for the garnishee raised a preliminary objection that the consent judgment was a nullity because Miscellaneous Cause No. 14 of 2014 (as referenced, though the court later refers to No. 17 of 2014) was not dated and sealed by the Registrar before the consent was recorded. The garnishee argued that without proper issuance of summons under Order 5 Rule 1(5) of the Civil Procedure Rules, the consent judgment could not stand.
Issues
- Whether a consent judgment recorded by court before summons have been issued and sealed is a nullity.
- Whether the garnishee order nisi should be set aside on the ground that the underlying consent judgment is invalid.
- Whether a third party can challenge a consent judgment by way of preliminary objection.
Orders
- Preliminary objection dismissed.
- Costs in the cause.
Rules and key headnotes
Legislation cited (4)
- Civil Procedure Rules O.5 r.1(5)
- Civil Procedure Rules O.50 r.2
- Civil Procedure Rules O.25 r.6
- Constitution of Uganda Art.126(2)(e)
Cases cited (7)
- Hussein Badda v Iganga District Land Board and Others (Misc. Application No. 479 of 2011)
- Ismael Hirani v Kassam [1952] EA 131
- British American Tobacco (U) Ltd v Sedrack Mwijakubi (Civil Appeal No. 1 of 2012)
- Stephen Kasozi & Others v Peoples Transport Services (Civil Appeal No. 27 of 1993)
- Wanume David Kitamirike v Uganda Revenue Authority (Court of Appeal Civil Appeal No. 138 of 2010)
- Ladak Abdallah v Griffin Isingoma (Supreme Court Civil Appeal No. 8 of 1995)
- Pavement Civil Works Ltd v Andrew Kirungi (Misc. Application No. 292 of 2002)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.