The Ramgarhia Sikh Society & Ors v The Ramgarhia Education Society Limited & Ors (Misc. Application No. 352 of 2015)
Observed later treatment
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Holding
The High Court dismissed an application to set aside a consent judgment, holding that the applicants failed to prove fraud or deceit on a balance of probabilities. The court found that persons signing the consent had authority as trustees, that lawyers had instructions to enter consent, and that failure to prove who the true trustees were was fatal to the fraud allegation. The court admitted a late-filed affidavit in reply in the interests of justice where the delay was minimal.
Outcome
Application to set aside consent judgment dismissed
Facts
The applicants were Sikh Society entities that owned land on Nakivubo Road. A management committee including the 2nd to 4th respondents was appointed to dispose of the land. After incorporation of the 1st respondent company, the land was sold for USD 2,717,000 and proceeds deposited in the 1st respondent's account. The applicants filed Civil Suit No. 392 of 2014. Before trial, a consent judgment was entered on 3 September 2015. The applicants alleged the consent was signed by persons without authority and that the 3rd applicant did not sign. They sought to set aside the consent on grounds of fraud and deceit. The applicants claimed former lawyers acted without instructions and were induced by payment of 80 million shillings as costs.
Issues
- Whether the respondents' affidavit in reply was filed out of time and if so whether it should be struck out.
- Whether the consent judgment in Civil Suit 392 of 2014 was obtained by fraud and deceit.
- Whether the applicant is entitled to the orders sought in the application.
Orders
- Application dismissed.
- Costs of the application awarded to the respondents.
- Costs of the preliminary point of law awarded to the applicants.
Rules and key headnotes
Legislation cited (8)
Cases cited (7)
- Attorney General v James Kamoga & Anor (Supreme Court Criminal Appeal No. 08 of 2014)
- Hirani v Kassam [1952] EA 131
- Stop and See (U) Limited v Tropical Africa Bank (High Court Miscellaneous Application No. 333 of 2010)
- Koluo Joseph Andrew & 20 Others v Attorney General & Ors (Miscellaneous Cause No. 106 of 2010)
- Peter Mulira v Mitchell Cotts Limited (Court of Appeal Civil Appeal No. 15 of 2007)
- BM Technical Services v Francis X Lugunda [1999] KALR 821
- Lenina Kemigisha Mbabazi/StarFish Ltd v Jing International Trading Ltd (Miscellaneous Application No. 344 of 2012)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.