Wakilii

Uganda Investment Authority v Kaguhangire (Miscellaneous Application No. 211 of 2018)

Industrial Court · [2019] UGIC 19 · 2019 Application Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Application for third party notice arising from Labour Dispute Reference No. 237/2018
Decision
Application for third party notice dismissed

Observed later treatment

No later-treatment classification is recorded for this judgment.

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Holding

The Industrial Court dismissed an application to join a former executive director as a third party in a labour dispute concerning the termination of an employee she had appointed. The court held that the subject matter of the underlying dispute was the lawfulness of the termination, not the circumstances of the appointment, and that the proposed third party had no direct right to indemnity arising from the termination decision.

Outcome

Application for third party notice dismissed

Facts

Uganda Investment Authority (the applicant) sought to join Jolly K. Kaguhangire (the respondent) as a third party to Labour Dispute Reference No. 237/2018, which was brought by Carol Karungi against the applicant. The applicant alleged that the respondent, while serving as their executive, had irregularly appointed Carol Karungi and paid her excessive remuneration. The applicant had directed the respondent to terminate Karungi's contract, but the respondent refused. The respondent was subsequently interdicted, and the applicant terminated Karungi's employment on grounds that her appointment was illegal. Karungi then sued the applicant for unlawful termination. The applicant sought to join the respondent to explain her role in the irregular appointment.

Issues

  1. Whether the respondent should be joined as a third party to Labour Dispute Reference No. 237/2018 concerning the termination of Carol Karungi.

Orders

  • Application dismissed.
  • No order as to costs.

Rules and key headnotes

Civil Procedure — Third Party Notice — Requirements for Joinder
For a third party to be lawfully joined, the subject matter between the third party and the defendant must be the same as the subject matter between the plaintiff and the defendant, and the original cause of action must be the same, with the defendant having a direct right to indemnity which generally arises from contract express or implied.
Employment & Labour — Termination — Third Party Liability
Where an employer terminates an employee on grounds that the appointment was irregular and illegal, a former executive who made the irregular appointment is not a necessary party to a subsequent unfair termination claim, as the subject matter of that claim is the lawfulness of the termination itself, not the circumstances of the original appointment.
Civil Procedure — Third Party Notice — Alternative Means of Participation
A person whose conduct is relevant to proceedings but who lacks a direct right to indemnity may participate as a witness for either party or as an independent witness, rather than being joined as a third party.

Cases cited (3)

  • Panyahululu Co. Ltd v New Ocean Transporters Co. Ltd & Others (HCCS No. 523 of 2006)
  • D.S.S Motors Ltd v Afri Tours and Travel Ltd (HCCS No. 12 of 2003)
  • NBS Television v UBC (HCCS No. 246 of 2012)

Full judgment

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

Uganda_Investment_Authority_v_Kaguhangire_(Miscellaneous_Application_No._211_of_2018)_[2019]_UGIC_19_(28_February_2019)
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.