Wakilii

The Co-operative Bank Ltd (in liquidation) v Muganwa Sajjabi Michael T A Muganwa Enterprises and Anor - (HCT-00-CC-MA 716 of 2005)

High Court · [2006] UGCOMMC 16 · 2006 Application Granted AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application by objectors to release property from attachment in execution proceedings under O.19 rr 55, 56, 57 CPR
Decision
Property released from attachment; respondent may pursue rights under O.19 r.60 if aggrieved

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

Where objectors to execution prove they were in actual possession of attached property at the time of attachment and have an interest in it, the court must investigate the claim under O.19 r.55 CPR. The investigation focuses on possession rather than title. Where unchallenged affidavit evidence establishes the objectors' possession and interest, the property must be released from attachment. Questions of legal or equitable title are reserved for determination in a subsequent suit under O.19 r.60.

Outcome

Property released from attachment; respondent may pursue rights under O.19 r.60 if aggrieved

Facts

Muganwa Sajjabi Michael obtained credit facilities from Co-operative Bank Ltd using a power of attorney dated 18 November 1997 from Deziranta Kabanaku Sekabira, widow and administratrix of the estate of late Sekabira. Property comprised in LRV 1137 Folio 17 plot 840 Block 203 Kyadondo was offered as security. Bank of Uganda as liquidator registered a caveat on 18 April 2000. Muganwa failed to pay the debt. In February 2003, the bank obtained a court order in Civil Suit No. O.S. 5 of 2003 for sale of the mortgagor's interest. The property was advertised for sale. Eight objectors, claiming to be children of late Sekabira and in possession of the property, filed an objection application under O.19 r.55 CPR, alleging they had inherited the property from their late father and had been in possession throughout. The objectors were not party to the original proceedings.

Issues

  1. Whether the applicants/objectors adduced evidence to show that at the time of attachment they had some interest in the suit property.
  2. Whether the applicants/objectors adduced evidence to show that at the time of attachment they were in possession of the suit property.
  3. Whether the applicants were in possession on their own account or on account of the judgment debtor.

Orders

  • Application allowed.
  • Costs awarded to the applicants.
  • Suit property wholly released from attachment.
  • Release subject to any other course the respondent may wish to pursue as by law established.

Rules and key headnotes

Civil Procedure — Execution — Objection to Attachment — Test for Release of Property
When a court investigates an objection to attachment of property under O.19 r.55 CPR, the court is concerned with possession of the property rather than with who has title to it. The objector must adduce evidence showing that at the time of attachment he had some interest in the property and that he was in possession on his own account and not in trust for the judgment debtor.
Civil Procedure — Objection Proceedings — Unchallenged Affidavit Evidence
In an application proceeding by evidence supplied by affidavit, where there is no opposing affidavit, the application stands unchallenged, provided the unchallenged evidence is intrinsically tenable on its own.
Civil Procedure — Objection to Attachment — Interlocutory Nature of Order — Reservation of Title Issues
An order made under O.19 rr.55, 56 and 57 CPR is of an interlocutory nature. Questions of legal right, equitable right and title cannot be resolved in objection proceedings but must be determined in a subsequent suit filed under O.19 r.60 by any party aggrieved by the court's decision on the objection.

Legislation cited (7)

  • Civil Procedure Rules O.19 r.55
  • Civil Procedure Rules O.19 r.56
  • Civil Procedure Rules O.19 r.57
  • Civil Procedure Rules O.19 r.60
  • Civil Procedure Rules O.48 r.1
  • Civil Procedure Rules O.48 r.3
  • Registration of Titles Act s.134

Cases cited (4)

  • Chotabhai M. Patel v Chotabhai M. Patel & Anor (1958 EA 743)
  • Harilal & Co. v Buganda Industries ([1960] EA 318)
  • Uganda Mineral Waters Ltd v Piran and Another ([1994-95] HCB 87)
  • Makerere University v St. Mark Education Institute Ltd & Others (HCCS No. 378 of 1993)

Full judgment

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

The Co-operative Bank Ltd (in liquidation) v Muganwa Sajjabi Michael T A Muganwa Enterprises and Anor - (HCT-00-CC-MA 716 of 2005) [2006] UGCommC 16 (7 May 2006)
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.