Philadelphia Trade & Industry Ltd v Kampala City Council (Civil Revision No. 15 of 2012)
Observed later treatment
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Holding
Held that Kampala Capital City Authority acted illegally, irrationally and with procedural impropriety when it purported to nullify a sublease granted by its predecessor without affording the applicant a hearing. The court quashed the decision, holding that the respondent could not condemn the applicant unheard for alleged procurement flaws in which the applicant had no involvement. Orders of certiorari, prohibition, injunction and mandamus were granted to protect the applicant's proprietary interest and compel formalization of the sublease extension.
Outcome
All prerogative orders granted; respondent directed to comply with Kampala City Council's recommendations and formalize sublease within 10 days
Facts
In 2003, the applicant applied to Kampala City Council for land to establish a parking complex in the city centre. After extensive processes involving multiple government agencies including environmental impact assessments, rezoning approvals, and valuations, KCC granted a sublease for plots 1-3 and 2-4 Station Approach Road for 5 years from 1 May 2006, extendable to 49 years. The applicant paid premium and ground rent totaling UGX 157,500,000. In 2010, the applicant applied for extension to the full 49-year term and a sublease over plot 2A. KCC recommended approval in July 2010. After the establishment of Kampala Capital City Authority as successor to KCC, the applicant's follow-up proved difficult. In March 2012, KCCA purported to nullify the sublease on grounds of non-compliance with procurement laws, declared the applicant had no proprietary interest, and threatened to re-enter the land. The applicant was not afforded a hearing before this decision was made.
Issues
- Whether the respondent's decision and action can be challenged in a Court of law by way of judicial review
- Whether the respondent acted legally, rationally and properly in refusing or arriving at the decision to re-enter the applicant's lease
- Whether the applicant is entitled to the reliefs sought
Orders
- Application allowed
- Declarations granted that the respondent's decision to nullify the sublease, declare no proprietary interest, refuse formalization of sublease extension, and re-enter the land are null and void, illegal, ultra vires, irrational, unreasonable and an abuse of discretionary powers
- Declaration that the investigations and review were unconstitutional and an abuse of power
- Declaration that the applicant is the rightful and equitable owner of the property
- Order of certiorari granted quashing the respondent's decision contained in the letter of 14 March 2012
- Order of certiorari granted quashing the decision to cancel Kampala City Council's recommendations for sublease extension, formalization of plot 2A sublease, and amalgamation
- Order of prohibition granted restraining the respondent from executing or implementing the impugned decisions
- Injunction granted restraining the respondent from evicting the applicant or re-entering the property
- Writ of mandamus granted directing the respondent to extend the sublease, formalize the grant of sublease for plot 2A, and amalgamate the plots within 10 days
- Costs awarded to the applicant
Rules and key headnotes
Legislation cited (22)
- Constitution of the Republic of Uganda Article 26
- Constitution of the Republic of Uganda Article 28
- Constitution of the Republic of Uganda Article 28(1)
- Constitution of the Republic of Uganda Article 42
- Constitution of the Republic of Uganda Article 44
- Constitution of the Republic of Uganda Article 119(5)
- Judicature Act Cap. 13 s.36
- Judicature Act Cap. 13 s.36(1)
- Judicature Act Cap. 13 s.36(7)
- Judicature Act Cap. 13 s.38
- Civil Procedure Act Cap. 71 s.27
- Civil Procedure Act Cap. 71 s.83
- Civil Procedure Act Cap. 71 s.98
- Evidence Act Cap. 6 s.114
- Judicature (Judicial Review) Rules 2009 Rule 5(1)
- Judicature (Judicial Review) Rules 2009 Rule 6
- Judicature (Judicial Review) Rules 2009 Rule 7
- Judicature (Judicial Review) Rules 2009 Rule 8
- Judicature (Judicial Review) Rules 2009 Rule 9
- Civil Procedure Rules Order 15 Rule 2
- Public Procurement and Disposal of Public Assets Act 2003
- Kampala Capital City Act 2010
Cases cited (10)
- Joseph Luzige v Uganda National Roads Authority (Miscellaneous Application No. 327 of 2012)
- Nsimbe Holdings Ltd v Attorney General and Inspector General of Government (Constitutional Petition No. 02 of 2006)
- Makula International v His Eminence Cardinal Nsubuga and Another [1980] HCB 11
- Kuluo Joseph Andrew and 2 Others v The Attorney General and 6 Others (Miscellaneous Cause No. 106 of 2001)
- Amiran Enterprises Ltd v Uganda Revenue Authority (HCMA No. 06 of 2010)
- John Jet Tumwebaze v Makerere University Council and 3 Others (Civil Application No. 353 of 2005)
- Nazarali Punjwani v Kampala District Land Board and Another (HCCS No. 07 of 2005)
- Nasser Kiingi and Kalyesubula Winnie v Attorney General, Kampala Capital City Authority and Kampala District Land Board (Constitutional Application No. 29 of 2011)
- Wakiso Transporters Tours & Travel Ltd & others vs IGG & others HCMC No. 0053 of 2010 (unreported)
- Nampogo Robert and Another v Attorney General (HCMC No. 0120 of 2008)
Cases citing this judgment (1)
How later Ugandan judgments in the Wakilii corpus have cited this case. Treatment labels come from Sequitur — Uganda’s citator — each backed by a verbatim span from the citing judgment, and are not an assertion that this case is, or is not, good law.
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.