Wakilii

Sanyu FM (2000) lIMITED V Kimuli (Miscellaneous Application No. 248 of 2019)

Industrial Court · [2021] UGIC 65 · 2021 Application Granted (Conditional) AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for stay of execution of Industrial Court award pending appeal to Court of Appeal
Decision
Stay of execution granted conditional on provision of bank guarantee for UGX 44,700,000 within ten days

Observed later treatment

No later-treatment classification is recorded for this judgment.

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AI-generated summary. This summary was generated by AI from the full text of the judgment. It may contain errors or omissions—always read the source judgment before relying on it.

Holding

The Industrial Court granted a stay of execution of its award pending appeal, on condition that the applicant furnish security by way of a reputable bank guarantee for the full judgment sum within ten days. The court balanced the applicant's right to appeal against the respondent's right to enjoy the fruits of the award.

Outcome

Stay of execution granted conditional on provision of bank guarantee for UGX 44,700,000 within ten days

Facts

The applicant, Sanyu FM (2000) Limited, sought a stay of execution of an Industrial Court award in Labour Dispute Reference No. 125/2015 pending appeal to the Court of Appeal. The applicant filed a notice of appeal on 19 March 2019 and brought this application supported by an affidavit stating that it would suffer substantial loss if execution proceeded and that the appeal would be rendered nugatory. The applicant expressed concern that the respondent, Ben Kimuli, had no known assets and would be unable to refund the judgment sum if the appeal succeeded. The respondent opposed the application, arguing it was intended to delay and frustrate him from realizing the fruits of his award, and that the applicant had made no effort to obtain the record of proceedings despite filing the notice of appeal months earlier.

Issues

  1. Whether the court should grant a stay of execution of the Industrial Court award pending appeal to the Court of Appeal.

Orders

  • Application allowed on condition that the applicant furnishes security in the form of a reputable bank guarantee in the sum of UGX 44,700,000 within ten days of delivery of this ruling.
  • No order as to costs.

Rules and key headnotes

Stay of Execution — Discretion of Court — Balancing Rights
The court has wide discretion to grant a stay of execution where proceeding with execution would render a party's right of appeal nugatory, but this discretion must be exercised by balancing the appellant's right to appeal against the successful litigant's right to enjoy the fruits of judgment.
Stay of Execution — Security for Judgment Sum — Bank Guarantee
Where a court grants a stay of execution on the ground that the respondent may be unable to refund the judgment sum if the appeal succeeds, the appropriate condition is to require the applicant to furnish security by way of a reputable bank guarantee for the full judgment amount.

Legislation cited (5)

Cases cited (1)

  • Souna Cosmetics Limited v Commissioner Customs URA (HCMA No. 424 of 2011)

Full judgment

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

Sanyu_FM_(2000)_lIMITED_V_Kimuli_(Miscellaneous_Application_No._248_of_2019)_[2021]_UGIC_65_(2_July_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.