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Semliki Rift Trading Co. Ltd v ETS. Kamanzi Limited (HCT-01-CV-MA-0035-2025)

High Court · [2025] UGHC 525 · 2025 Application Granted — Suit Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application to dismiss underlying civil suit for failure to furnish security for costs as ordered
Decision
Underlying civil suit dismissed for non-compliance with order for security for costs

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The court dismissed the underlying civil suit for failure to furnish security for costs within the prescribed time. Under Order 26 Rule 2(1) of the Civil Procedure Rules, the court's power to dismiss a suit upon non-compliance with an order for security for costs is automatic. The respondent was ordered on 25 February 2025 to furnish UGX 50,000,000 as security within one month but failed to comply. The respondent did not oppose the application or provide evidence of compliance.

Outcome

Underlying civil suit dismissed for non-compliance with order for security for costs

Facts

The respondent filed Civil Suit No. 60 of 2024 against the applicant seeking special damages of USD 1,583,373 and UGX 200,000 together with interest of UGX 250,000,000 arising from alleged negligence. The applicant filed a defence raising preliminary objections and subsequently filed Miscellaneous Application No. 111 of 2024 asserting that the respondent's suit lacked merit and that the respondent had no known assets within the jurisdiction. On 25 February 2025, the court ordered the respondent to furnish UGX 50,000,000 as security for costs within one month. The respondent failed to comply with this order. The applicant then brought the instant application seeking dismissal of the suit for failure to furnish security. The respondent did not file a reply or appear to oppose the application.

Issues

  1. Whether Civil Suit No. 60 of 2024 should be dismissed for the respondent's failure to furnish security for costs as ordered by the court.

Orders

  • Civil Suit No. 60 of 2024 [ETS. Kamanzi Limited vs. Semliki Rift Trading Company Limited] is dismissed with costs for failure to furnish security for costs within the prescribed time.
  • Costs of this Application shall be provided for and borne by the Respondent, ETS. Kamanzi Limited.

Rules and key headnotes

Civil Procedure — Security for Costs — Consequences of Non-Compliance
Under Order 26 Rule 2(1) of the Civil Procedure Rules, the court's power to dismiss a suit for failure to furnish security for costs as ordered is automatic and the court has no alternative but to dismiss the suit in the event of non-compliance.
Civil Procedure — Court Orders — Compliance and Enforcement
Courts of law do not issue orders in vain and court orders must be obeyed. Failure to comply with court orders undermines the authority of the court and prejudices the party in whose favour the order was made.
Civil Procedure — Unopposed Applications — Burden of Proof
Even when an application is unopposed, the legal evidential burden of proving the case on a balance of probabilities still rests on the applicant, though the absence of a response from the respondent significantly strengthens the applicant's claim.

Legislation cited (6)

Cases cited (5)

  • Yoswa Kityo vs. Eria Kaddu HCB 58
  • Kabaco Uganda Limited vs. Turyahikayo UGHCCD 316
  • Siiko Muzamil v Fred Bamwesigye & Ors (Miscellaneous Application No. 387 of 2020)
  • Wandera Asuman & Anor v Hajji Mawazi Wandera & 2 Ors (HCCA No. 096 of 2027)
  • Banco Arabe Espanol v Bank of Uganda (Supreme Court Civil Application No. 23 of 1999)

Full judgment

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

Semliki Rift Trading Co. Ltd v ETS. Kamanzi Limited (HCT-01-CV-MA-0035-2025) [2025] UGHC 525 (14 July 2025)
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.