Wodamba Nathan v M/S KOTS (U) Ltd (HCT-04-CV-MA-0069 2000)
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
Held that where a plaint under summary procedure claims interest at a rate not fixed by statute or agreed by contract, it takes the plaint outside the scope of Order 33 rule 2. Further, where an applicant raises issues of total lack of consideration and disputes the underlying debt, triable issues are disclosed. Unconditional leave to appear and defend granted.
Outcome
Applicant granted unconditional leave to defend the summary suit
Facts
The respondent supplied goods to a firm and the applicant issued a personal cheque as payment. The cheque was dishonoured upon presentation. The respondent filed a summary suit under Order 33 claiming the debt plus interest at 25%. The applicant sought leave to appear and defend, arguing that the goods were fully paid for, the cheque was issued only as security, and that the plaint improperly claimed interest at 25% when no such rate was agreed. The applicant also contended that he was not indebted to the respondent and that the cheque was presented only to embarrass him.
Issues
- Whether the plaint properly invoked summary procedure under Order 33 rule 2 of the Civil Procedure Rules where it claimed interest at 25% not fixed by statute or agreed by contract.
- Whether the applicant raised triable issues of fact or law sufficient to warrant unconditional leave to appear and defend.
Orders
- Unconditional leave to appear and defend granted.
- Costs of the application to be costs in the cause.
- Written statement of defence to be filed within 10 days from date of ruling.
Rules and key headnotes
Legislation cited (4)
- Civil Procedure Act s.101
- Civil Procedure Rules O.33 rr.2, 3, 4
- Civil Procedure Rules O.46 r.1
- Bills of Exchange Act Cap 76 s.57(a)(ii)
Cases cited (9)
- Nathan Wodamba v Midland Emporium (Mbale HHMA No. 42 of 2000)
- U.T.C Co. Ltd v Count Bela Pasture (1954) EACA 163
- Chalmers and Guest on Bills of Exchange, Cheques and Promissory Notes, (14th Ed) at page 228
- Gold Ores Reduction Co. v Parr (1892) 2 Q.B. 14
- Haji Ayajabu Kasule v I.I Kaweesa (1957) EA 611
- Abubakar Kato Kasule v Tomsen Mohwezi (1992-93) HCB 212
- Musoke Nsubuga v Ntabiru Nyanzi (1985) HCB 50
- Hasman v Banque du Congo Belge (1935) 5 EACA 89
- Hassali Issa & Co. v Jeraj Produce Store (1967) EA 555
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.