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Tanzania Judgment

TANZLII

CIVIL CASE D

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Source document

01

Holding and result

Defendant failed to obtain leave to defend or appear; thus, under Order XXXV Rule 2(2), the plaintiffs' claims are deemed admitted and judgment is entered for the claimed sum with interest.

Court disposition

judgment for plaintiffs

Orders

  • Defendant to pay Tsh. 65,199,221.28 to 1st plaintiff
  • Interest at 12% per annum on decretal sum from judgment date until final payment
  • No order as to costs

02

Material facts

Parties

Bunda Town Council

Plaintiff Counsel: Stamili Ndalo

Attorney General

Plaintiff Counsel: Stamili Ndalo

D.S Traders Company Ltd

Defendant

Amounts and remedies

  • Service Levy Principal: TZS 65,199,221.28
  • Interest Rate: 12

03

Procedural history

  1. Posture

    Civil Summary Suit / Summary Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
The defendant, a business in Bunda, failed to pay service levy for sales from January 2019 to June 2023, totaling Tsh. 65,199,221.28, despite meetings and demand notes.
Respondent
The defendant did not appear or file any defence or argument.

05

Court’s reasoning

  1. 01

    Order XXXV Rule 2(2) of the Civil Procedure Code Cap 33 R.E 2022

    In summary suits, the defendant must obtain leave to defend; failure to do so entitles the plaintiff to judgment as allegations are deemed admitted.

  2. 02

    Section 6(1)(u) of the Local Government Finance Act, Cap 290 R.E 2019

    Service levy is payable to the council at 0.3% of company sales.

06

Ratio, limits and disposition

Ratio decidendi

Defendant failed to obtain leave to defend or appear; thus, under Order XXXV Rule 2(2), the plaintiffs' claims are deemed admitted and judgment is entered for the claimed sum with interest.

Court disposition

judgment for plaintiffs

  • Defendant to pay Tsh. 65,199,221.28 to 1st plaintiff
  • Interest at 12% per annum on decretal sum from judgment date until final payment
  • No order as to costs

Source and reliance status

TANZLII · 22 July 2024

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Judgment text

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Source document

TANZLII

Judgment· 22 July 2024

CIVIL CASE D

IN THE HIGH COURT OF TANZANIA

MUSOMA SUB REGISTRY

AT MUSOMA CIVIL CASE NO. 000027198 OF 2023 REFERENCE NO. 20231208000027198

BETWEEN BUNDA TOWN COUNCIL........................................................... 1st PLAINTIFF ATTORNEY GENERAL................................................................ 2nd PLAINTIFF

VERSUS D.S TRADERS COMPANY LTD.......................................................... DEFENDANT

SUMMARY JUDGMENT 22nd AND 22nd July 2024 M. L. KOMBA, J.: In a way of summary suit, the 1st plaintiff is claiming from defendant a sum of Tsh. 65,199, 221.28 being service levy which was supposed to be paid to the 1st plaintiff for a diverse period of time from January 2019 up to June 2023. The amount claimed is a service levy which is payable to the council for services rendered within the Town. Basing on section 6(l)(u) of the Local Government Finance Act, Cap 290 R.E 2019, the amount claimed is calculated basing on 0.3% of the sales of the company. Page 1 of 3 In suits of this nature defendant has no automatic right to defend, the leave must be sought and obtained as per provisions of Order XXXV Rule 2 (2) of the Civil Procedure Code Cap 33 R.E 2022. Undoubtedly, failure to obtain leave, the Plaintiff will be entitled to the Judgement and Decree on the amount claimed. From the record, defendant failed to obtain leave to defend regardless that he was served with summons. He did not show up in any of the scheduled date although he is aware of this suit. That is to say, the Defendant have defaulted in obtaining leave to appear and defend the suit. Mr, Ndalo who represented the Plaintiffs has prayed for a summary judgment under Order XXXV Rule 2 (2). The cited provision is to the effect that in default of the defendant obtaining such leave or of his appearance and defence

in pursuance thereof, the allegations in the plaint shall be deemed to be admitted. It was pleaded by the 1st Plaintiff that, defendant is a business man in Bunda and from the year 2019 up to June 2023 he has never paid the service levy for his sales contrary to the law and make the debt to accrue to the tune of Tsh. 65,199, 221.28. In effort to collect the amount, plaintiff Page 2 of 3 called defendant in a meeting in order to discuss the debt and how he can settle but he did not turn up. Further, plaintiff served the defendant with a demand note for outstanding service levy but did not respond. Under Order XXXV Rule 2, I hereby pronounce judgment in favour of the plaintiffs and against the Defendant for the sum of Tsh. 65,199, 221.28 together with interest rate of 12% of the decretal sum from the judgement date till final payment. No order as to costs. Judgement delivered in chamber in the presence of Mr. Abdallah Makulo and Stamili Ndalo, both State Attorneys for plaintiffs and in the absence of defendant as he did not show interest to defend the suit. M. L. KOMBA Judge 22nd July 2024 Page 3 of 3

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Order XXXV Rule 2(2) of the Civil Procedure Code Cap 33 R.E 2022

Legislation

Legislation referenced in the available case record.

Section 6(1)(u) of the Local Government Finance Act, Cap 290 R.E 2019

Legislation

Legislation referenced in the available case record.

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