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Rugo Farm Company v Attorney General of the Republic of Burundi (Reference No.14 of 2018)

East African Court of Justice · [2022] EACJ 3 · 2022 Application Partly Allowed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Reference challenging decision of Special Court of Land and other Assets of Burundi for alleged infringement of Treaty provisions
Decision
Reference partly allowed; declaration of Treaty violation granted but monetary compensation denied

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The East African Court of Justice held that it has jurisdiction to review decisions of Partner State courts where Treaty violations are alleged, and that the Reference was not time-barred. The Court found that the land sale contract between Ruzizi Company and Rugo Farm was legal, having been authorized by the Burundian Government. The Special Court of Burundi violated Article 230(3) of the Burundian Constitution by refusing to suspend proceedings pending a Constitutional Court determination, thereby breaching the rule of law principles enshrined in Articles 6(d) and 7(2) of the EAC Treaty. Claims for monetary compensation failed for lack of evidence.

Outcome

Reference partly allowed; declaration of Treaty violation granted but monetary compensation denied

Facts

In 1993, Rugo Farm Company purchased 1507 hectares of land in Nyakagunda, Burundi, from Ruzizi Company for BIF 131,250,000 under a sale contract. The Applicant obtained a certificate of registration and exploited the land for over 20 years, cultivating palm oil and patchouli and erecting factory buildings. In 2012, the Government of Burundi, through COGERCO, repossessed the land, claiming it was in the public domain and that Rugo Farm had grabbed land in cotton reserves. The National Commission for Lands and Other Assets ruled in favour of COGERCO. Rugo Farm appealed to the Special Court and also filed a constitutional challenge. The Applicant requested the Special Court to suspend proceedings pending the Constitutional Court's determination under Article 230(3) of the Burundian Constitution. The Special Court refused and upheld the lower decision, declaring the land public domain. Aggrieved, Rugo Farm filed this Reference alleging Treaty violations.

Issues

  1. Whether the Court has jurisdiction to entertain the Reference
  2. Whether the Reference is time-barred
  3. Whether the contract for the sale of land by Ruzizi to the Applicant was legal
  4. Whether the decision of the Special Court on Lands and Other Assets violates Articles 6(d) and 7(2) of the Treaty
  5. What remedies are available to the Parties

Orders

  • Reference is not time barred.
  • Contract of sale of land by Ruzizi to the Applicant was legal.
  • Failure of the Special Court of Lands and Other Assets to adhere to the provisions of the Constitution of the Republic of Burundi in the impugned decision is a violation of Articles 6(d) and 7(2) of the Treaty.
  • Claims for compensation by the Respondent to the Applicant fail.
  • Respondent to pay the Applicant costs of the Reference.

Rules and key headnotes

Constitutional Law — Supremacy of Constitution — Obligation of Courts to Suspend Proceedings Pending Constitutional Court Determination
Where a party invokes the exception of unconstitutionality before a court under Article 230(3) of the Constitution of Burundi, that court is constitutionally obliged to suspend its proceedings and await the determination of the Constitutional Court within thirty days.
Administrative Law — Rule of Law — Violation of Domestic Law as Breach of Treaty Obligations
A Partner State that violates its own domestic law, particularly constitutional provisions, thereby violates the principles of rule of law and good governance enshrined in Articles 6(d) and 7(2) of the EAC Treaty.
Statutory Interpretation — Jurisdiction of East African Court of Justice — Distinction Between Appellate Review and International Review
The East African Court of Justice does not exercise appellate jurisdiction over decisions of Partner State courts, but has jurisdiction under Article 30(1) of the Treaty to determine the legality of decisions of Partner State institutions where such decisions are alleged to infringe Treaty provisions, notwithstanding that the matter arises from a domestic court judgment.
Land & Property — Sale of Land — Legal Personality and Capacity to Dispose of Property
A company with legal personality acquired through registration has the capacity to hold rights and obligations, including the right to dispose of property, and where a sale is authorized by government and registered, the contract is legal in the absence of evidence to the contrary.
Human Rights — Right to Property — Deprivation Without Due Process
The right to property guaranteed under Article 14 of the African Charter on Human and Peoples Rights and Article 36 of the Constitution of Burundi may only be encroached upon in the public interest and in accordance with appropriate laws; deprivation of property without adherence to constitutional safeguards violates both domestic law and Treaty obligations.
Administrative Law — Rule of Law — Elements of Rule of Law
The rule of law requires adherence to the principle of supremacy of law, equality before the law, accountability to the law, fairness in application of the law, separation of powers, legal certainty, avoidance of arbitrariness, and procedural and legal transparency.
Constitutional Law — Supremacy of Constitution — Nullity of Laws and Decisions Contrary to Constitution
The Constitution is the supreme law and all judicial, administrative, and institutional orders must respect fundamental rights; all laws and decisions that do not conform to the Constitution are null and void.

Legislation cited (15)

  • Treaty for the Establishment of the East African Community Articles 3(3)(b), 6(d), 7(2), 8(4), 12, 23, 23(1), 27, 27(1), 27(2), 30, 30(1), 30(2)
  • Constitution of the Republic of Burundi 2005 Article 48
  • Constitution of the Republic of Burundi 2005 Article 225
  • Constitution of the Republic of Burundi 2005 Article 230(2)
  • Constitution of the Republic of Burundi 2005 Article 230(3)
  • Constitution of the Republic of Burundi Article 36
  • African Charter on Human and Peoples Rights Article 14
  • Burundi Land Code (Law No. 1/008 of 1 September 1986) Articles 329-340
  • Civil Code of Burundi Book III Article 33
  • Civil Code of Burundi Book III Article 38
  • Burundi Company Act 2011 Article 38(1)
  • Burundi Company Act 2011 Article 39
  • Burundi Company Act 2011 Article 617
  • East African Court of Justice Rules of the Court 2019 Rule 52(7)
  • East African Court of Justice Rules of the Court 2019 Rule 127(1)

Cases cited (9)

  • Manariyo Desire v Attorney General of the Republic of Burundi (EACJ Reference No. 8 of 2015)
  • Niyonqabo Theodore & 2 Others v Attorney General of the Republic of Burundi (EACJ Reference No. 4 of 2017)
  • East African Civil Society Organization Forum v Attorney General of the Republic of Burundi & Others (EACJ Reference No. 2 of 2015)
  • East African Civil Society Organization Forum v Attorney General of the Republic of Burundi & Others (EACJ Appeal No. 4 of 2016)
  • Attorney General of Rwanda v Plaxeda Rugumba (EACJ Reference Appeal No. 1 of 2012)
  • James Katabazi and 21 Others v Secretary General of the East African Community and Attorney General of Uganda (EACJ Reference No. 1 of 2007)
  • Plaxeda Rugumba v Attorney General of Rwanda (EACJ Reference No. 8 of 2010)
  • Muhochi v Attorney General of Uganda (EACJ Reference No. 5 of 2011)
  • Baranzira Raphael & Another v Attorney General of the Republic of Burundi (EACJ Reference No. 15 of 2014)

Full judgment

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

Rugo Farm Company v Attorney General of the Republic of Burundi (Reference No.14 of 2018) [2022] EACJ 3 (7 April 2022)
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.