True African (U) Ltd v Kalangala Infrastructure Services Ltd (Miscellaneous Application No. 361 of 2025)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The High Court set aside an ex parte judgment where the applicant's former lawyers acted negligently by failing to file a defence despite being duly instructed and paid. The court held that the mistake of counsel, though negligent, should not be visited on a vigilant litigant who had promptly instructed lawyers upon being served. The applicant demonstrated sufficient cause under Order 9 rule 27 of the Civil Procedure Rules, and the interests of justice required that the substance of the dispute be investigated.
Outcome
Ex parte judgment set aside; matter remitted for filing of defence and continuation of proceedings
Facts
The Respondent filed Civil Suit No. 1424 of 2024 against the Applicant. The Applicant was served with the plaint and summons on 4th December 2024 and promptly instructed M/s Lukwago Matovu & Co. Advocates on 9th December 2024, paying the requisite instruction fees. The lawyers acted negligently and failed to file a defence despite being instructed. An interlocutory judgment was entered against the Applicant, and final judgment was delivered on 18th February 2025. The Applicant discovered the judgment during its annual audit when it inquired about the case status. The Applicant filed this application to set aside the ex parte judgment, contending that it had duly instructed lawyers and should not suffer for their negligence. The Respondent opposed, arguing the Applicant had no defence and that any grant should be conditional on depositing the outstanding amounts.
Issues
- Whether the application raises sufficient grounds to warrant the setting aside of the ex parte Judgment in Civil Suit No. 1424 of 2024?
- What remedies are available to the parties?
Orders
- The ex parte Judgment in Civil Suit No. 1424 of 2024 delivered on 18th February, 2025 is hereby set aside.
- The Applicant is ordered to file its Written Statement of Defence within fifteen (15) days from the date of this Ruling.
- The Respondent shall file a reply to the Written Statement of Defence within fifteen (15) days from the date of receipt of the Written Statement of Defence.
- Costs of this application shall be in the cause.
Rules and key headnotes
Legislation cited (9)
- Judicature Act Cap. 16 s.33
- Judicature Act Cap. 16 s.37
- Civil Procedure Act Cap. 282 s.98
- Civil Procedure Rules SI 71-1 Order 9 rule 12
- Civil Procedure Rules SI 71-1 Order 9 rule 27
- Civil Procedure Rules SI 71-1 Order 15 rule 3(1)
- Civil Procedure Rules SI 71-1 Order 51 rule 6
- Civil Procedure Rules SI 71-1 Order 52 rule 1
- Civil Procedure Rules SI 71-1 Order 52 rule 3
Cases cited (4)
- Oriental Insurance Brokers Limited v Transocean (U) Limited (Supreme Court Civil Appeal No. 55 of 1995)
- Nicholas Roussos v Gulam Hussein Habib Virani & Another (Supreme Court Civil Appeal No. 9 of 1993)
- Attorney General v AKPM Lutaaya (Supreme Court Civil Appeal No. 12 of 2002)
- Godfrey Magezi and Brian Mbazira v Sudhir Ruparelia (Supreme Court Civil Application No. 10 of 2002)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.