Wakilii

Prepaid Meters Limited v Lucle Investments Limited (Miscellaneous Application No. 3003 of 2025)

High Court · [2026] UGCOMMC 115 · 2026 Application Partly Allowed; Judgment on Admission Entered AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for unconditional leave to appear and defend a summary suit arising from a commercial debt claim
Decision
Applicant granted leave to defend the remaining disputed claim; judgment entered on admission for UGX 20,665,168

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The court granted the applicant unconditional leave to appear and defend the summary suit, finding that a bona fide triable issue existed regarding the quantum of debt owed under a contract for collection of electricity payments. The court held that where the amount claimed is genuinely disputed and requires reconciliation of accounts and examination of evidence, the matter is unsuitable for summary determination. However, the court entered judgment on admission for UGX 20,665,168, the amount the applicant expressly admitted owing in its affidavit and written statement of defence.

Outcome

Applicant granted leave to defend the remaining disputed claim; judgment entered on admission for UGX 20,665,168

Facts

In 2019, the applicant entered into an agreement with the respondent to collect electricity payments from the respondent's tenants through the ULTIMA Plus platform, deduct commission, and remit the balance. Initially, payments were collected from two tenants and remitted accordingly. In November 2021, the respondent acquired a third tenant whose payments were made directly to the respondent. The applicant offset its commissions for the third tenant from collections from the other tenants. A dispute arose when the respondent alleged the applicant stopped remitting collections from November 2021 despite continuing to collect them. The respondent issued demand notices and filed a summary suit claiming UGX 114,525,182 as outstanding collections from September 2019 to May 2025. The applicant disputed the claim, maintaining that only UGX 20,665,168 appeared in its records and that no reconciled statement of accounts had been provided. The applicant applied for leave to appear and defend the summary suit.

Issues

  1. Whether the applicant ought to be granted unconditional leave to defend Civil Suit No. 1403 of 2025.
  2. Whether the respondent is entitled to judgment on admission in the sum of UGX 20,665,168.

Orders

  • The applicant is granted leave to appear and defend Civil Suit No. 1403 of 2025.
  • Judgment is entered for the plaintiff in Civil Suit No. 1403 of 2025 for the amount of UGX 20,665,168.
  • The applicant is to file his defence for the remaining disputed claim within ten (10) days from the date of this ruling.
  • The costs of this application are in the cause if a defence is filed, but upon default they will be borne by the applicant.

Rules and key headnotes

Civil Procedure — Summary Suits — Leave to Appear and Defend — Test for Grant of Unconditional Leave
Unconditional leave to appear and defend a summary suit will be granted where the applicant shows a bona fide triable issue of fact or law, including where there is a real dispute as to the amount claimed which requires taking an account to determine, or where the applicant demonstrates a state of facts which leads to the inference that at trial he may be able to establish a defence to the plaintiff's claim.
Civil Procedure — Summary Suits — Purpose of Application for Leave to Defend
In an application for leave to appear and defend a summary suit, the court is not required to determine the merits of the suit. The purpose of the application is not to prove the applicant's defence to the suit but to ask for an opportunity to prove it through a trial. What the court has to determine is whether the defendant has shown good cause to be given leave to defend.
Civil Procedure — Summary Suits — Disputes Requiring Reconciliation of Accounts
Where a dispute involves reconciliation of accounts and examination of records and evidence, the matter is unsuitable for summary determination and the defendant is entitled to unconditional leave to defend, even if indebtedness in principle is not contested.
Civil Procedure — Summary Suits — Judgment on Admission — Partial Admission
Where a defendant in a summary suit admits liability for part of the plaintiff's claim, the plaintiff is entitled to immediate judgment for the admitted amount under Order 36 rule 6 and Order 13 rule 6 of the Civil Procedure Rules, while the defendant may be allowed to appear and defend as to the residue of the claim.

Legislation cited (9)

Cases cited (8)

  • Maluku Interglobal Trade Agency v Bank of Uganda [1985] HCB 65
  • Board of Governors Nebbi Town S.S.S v Jaker Food Stores Limited (Miscellaneous Civil Application No. 0062 of 2016)
  • Visare Uganda Limited v Muwema and Co. Advocates and Solicitors (Miscellaneous Application Nos. 0826 and 0827 of 2023)
  • Children of Africa v Sarick Construction Ltd (Miscellaneous Application No. 134 of 2016)
  • Kinyanjui and another v Thande and another [1995-1998] 2 EA 159
  • Provincial Insurance Co. of East Africa Ltd v Kivuti [1995-1998] 1 EA 283
  • Continental Butchery Ltd v Nthiwa (Civil Appeal No. 35 of 1977)
  • Geoffrey Gatete and another v William Kyobe (SCCA No. 07 of 2005)

Full judgment

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The original judgment as reported. Read the original PDF before relying on any passage.

Prepaid Meters Limited v Lucle Investments Limited (Miscellaneous Application No. 3003 of 2025) [2026] UGCommC 115 (15 March 2026)
Source: this page presents Wakilii’s issue analysis and metadata for a publicly reported Ugandan judgment. Any AI-generated summary is marked as such. Judgment text is sourced from the Uganda Legal Information Institute (ulii.org). Wakilii is not affiliated with ULII.