Twashaba & Anor v Virunga Finance Ltd (Miscellaneous Application No. 1725 of 2016)

Observed later treatment

No later-treatment classification is recorded for this judgment.

Citator coverage is limited to judgments in the Wakilii corpus and source-matched treatment records. Absence of a signal is not an assertion that the case remains good law.

Holding

Application for stay of arrest warrant granted on condition that applicants pay the admitted sum of UGX 87,000,000 in equal monthly installments over six months. Court rejected applicants' proposal to pay over twenty-two months, finding it unreasonable given respondent's willingness to accept payment by installments and forego substantial balance. First installment ordered payable by 4 November 2016 with subsequent monthly payments until March 2017. Failure to pay triggers execution.

Outcome

Stay of arrest warrant and execution granted conditionally. Applicants ordered to pay admitted debt by installments over six months with execution to proceed upon default.

Facts

An exparte judgment was entered against the applicants on 26 February 2016 for UGX 139,500,000 plus 25% interest and costs. Execution proceedings commenced on 3 March 2016. The applicants failed to appear on multiple occasions despite proper service. A warrant of arrest was issued on 7 July 2016, expired, and was reissued on 19 August 2016. On 5 September 2016, the respondent agreed to accept UGX 30,000,000 in settlement if paid immediately. The parties were directed to agree on a payment schedule but failed to do so. The applicants' interim application was dismissed for lack of prosecution on 19 September 2016. By October 2016, the decretal sum had risen to UGX 176,000,000 due to interest. The respondent agreed to accept UGX 87,000,000 (the admitted sum) and forego the balance of UGX 89,000,000. The applicants proposed paying UGX 4,000,000 monthly over twenty-two months. The respondent insisted on payment within six months.

Issues

1. Whether the arrest warrant should be stayed.
2. Whether execution should be stayed and the exparte judgment and decree set aside.
3. What payment schedule should be ordered for the admitted debt.

Orders

• Applicants to pay the admitted sum of UGX 87,000,000 in equal monthly installments of UGX 14,500,000 over six months.
• First installment of UGX 14,000,000 to be paid by 04.11.16.
• Balance of UGX 73,000,000 to be paid in installments of UGX 14,000,000 at the end of every month beginning 30.11.16 until 31.03.17.
• Half the costs of the application awarded to the Respondent.
• Taxed costs of the main suit and Bailiff's costs to be taxed before payment.
• On failure to pay any installment, execution to proceed.

Rules and key headnotes

Legislation cited (4)

• Civil Procedure Act s.98
• Civil Procedure Rules O.36 r.11
• Civil Procedure Rules O.52 rr.1 and 3
• Civil Procedure Rules O.9 r.22

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