Wakilii

Roko Construction Ltd v Male (H.C.Miscellaneous Application No. 37 of 2021)

High Court · [2021] UGCOMMC 65 · 2021 Application Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for leave to appear and defend arising from summary suit for debt
Decision
Application dismissed with costs; applicant denied leave to appear and defend the underlying summary suit

Observed later treatment

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Holding

The court dismissed the application for leave to appear and defend. The applicant failed to raise any bonafide triable issues of fact or law. The suit was filed within the limitation period as the cause of action accrued in July 2020 when payments ceased, and subsequent payments extended the limitation period under section 22(4) of the Limitation Act. The oral contract was enforceable in equity due to part performance evidenced by invoices, acknowledgements, and payments. The applicant's denials were unsupported by evidence and constituted vague allegations incapable of forming a plausible defence.

Outcome

Application dismissed with costs; applicant denied leave to appear and defend the underlying summary suit

Facts

The respondent sued the applicant for UGX 135,729,745 being outstanding payment for transport services of aggregate stones provided between 2014 and 2020. The applicant applied for leave to appear and defend under Order 36 of the Civil Procedure Rules, arguing that the suit was barred by limitation (over 8 years old), that the oral contract was unenforceable under section 10(5) of the Contracts Act as it exceeded 25 currency points, and that the invoices were computer-generated and unsupported. The respondent produced invoices ranging from January 2015 to August 2020, acknowledgements of receipt, and evidence of payments totalling UGX 2,014,961,030 made by the applicant between June 2015 and July 2020. The suit was filed on 20 December 2020.

Issues

  1. Whether the applicant satisfies the conditions for the grant of orders for leave to appear and defend Civil Suit No. 1099 of 2020.

Orders

  • Application for leave to appear and defend dismissed.
  • Costs awarded to the respondent.

Rules and key headnotes

Civil Procedure — Summary Suits — Leave to Appear and Defend — Test for Grant
For leave to appear and defend to be granted, the applicant must show by affidavit or otherwise that there is a bonafide triable issue of fact or law. The applicant is not bound to show a good defence on the merits but must satisfy the court that there is an issue or question in dispute which ought to be tried. Vague and general allegations unsupported by material facts in sufficient detail do not constitute bonafide triable issues.
Civil Procedure — Limitation — Accrual of Cause of Action — Acknowledgement of Debt
Under section 22(4) of the Limitation Act, where a person liable for a debt acknowledges the claim or makes any payment in respect of it, the right of action is deemed to have accrued on the date of the acknowledgement or last payment and not before. The cause of action for non-payment of debt accrues when the debtor stops effecting payment, and the limitation period runs from that date.
Contract Law — Form of Contract — Writing Requirement — Part Performance
Section 10(5) of the Contracts Act 2010 requires contracts exceeding twenty-five currency points to be in writing. The writing envisaged does not require a formal written contract but is satisfied by any signed writing that reasonably identifies the subject matter, indicates that a contract exists, and states the material terms with reasonable certainty. Invoices, acknowledgements of receipt, and payment vouchers can constitute a written agreement. Part performance of an oral contract makes it enforceable in equity where one party has invested time, labour, and money on the faith of the contract.
Civil Procedure — Summary Suits — Preliminary Objections — Disposal at Leave Stage
If the defendant's only suggested defence is a point of law and the court can see at once that the point is misconceived, the plaintiff is entitled to judgment. If at first sight the point appears arguable but with relatively short argument can be shown to be plainly unsustainable, the plaintiff is also entitled to judgment. A preliminary objection on limitation or enforceability of contract can be disposed of at the leave to defend stage if it does not require further evidence.

Legislation cited (10)

Cases cited (9)

  • Benon Tamusange & Timothy Justin Rover Mathew v Exim Bank (U) Ltd (Miscellaneous Application No. 1213 of 2016)
  • Makula Interqlobal Trade Agency vs Bank of Uganda M9851 HCB 65
  • Karangwa Joseph v Kulanju Willy (Civil Appeal No. 03 of 2016)
  • Uganda Commercial Bank vs Mukoome Agencies F1982] HCB 22
  • Sembule Investments Limited v Uganda Baati Ltd (Miscellaneous Application No. 0664 of 2009)
  • Musoke Kitenda v Roko Construction Limited (Miscellaneous Civil Application No. 1240 of 2020)
  • Face Technologies (PTY) Limited v Attorney General & Anor (Civil Suit No. 248 of 2008)
  • F.X. Miramaqo v. Attorney General H979] HCB 24
  • Abubaker Kato Kasule Vs Tomson Muhwezi T1992-1993] HCB 212

Full judgment

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Roko Construction Ltd v Male (H.C.Miscellaneous Application No. 37 of 2021) [2021] UGCommC 65 (3 September 2021)
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.