[2017] UGCommC 97

[2017] UGCommC 97

The court found that the respondent's claim, while specifying a sum of UGX 80,000,000 as liquidated, also included claims for interest and general damages. The Memorandum of Understanding did not provide for interest, and both interest and general damages require evidence and are not liquidated claims. This raised triable issues, entitling the applicant to leave to appear and defend the suit. The court therefore granted the application, allowing the applicant to file a defence within 10 days.

Citation
[2017] UGCommC 97
Parties
Applicant: Babirye Kityo Sarah; Respondent: Mutyaba David
Court
Commercial Court of Uganda
Jurisdiction
Uganda
Judgment Date
18 August 2017
Case Number
HCT-00-CC-CS 39 of 2017
Procedural Posture
Miscellaneous Application / Ruling on Application for Leave to Appear and Defend
Outcome
application granted
Legal Topics
Summary Procedure, Leave to Defend, Liquidated Claims, Memorandum of Understanding
Source Language
English
Civil Procedure Commercial and Corporate Summary Procedure Leave to Defend Liquidated Claims Memorandum of Understanding

Case Brief

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Parties

Babirye Kityo Sarah

Applicant

Mutyaba David

Respondent

Procedural Posture

Miscellaneous Application / Ruling on Application for Leave to Appear and Defend

Legal Issues

  1. 1 Whether the applicant has a good defence to the respondent's claim and should be granted leave to appear and defend the suit.
  2. 2 Whether the respondent's claim is for a liquidated sum under Order 36 of the Civil Procedure Rules.
  3. 3 Whether claims for interest and general damages in this context are liquidated or require proof.

Ratio Decidendi

The court found that the respondent's claim, while specifying a sum of UGX 80,000,000 as liquidated, also included claims for interest and general damages. The Memorandum of Understanding did not provide for interest, and both interest and general damages require evidence and are not liquidated claims. This raised triable issues, entitling the applicant to leave to appear and defend the suit. The court therefore granted the application, allowing the applicant to file a defence within 10 days.

Court Disposition

application granted

Orders

  • The applicant is granted leave to appear and defend Civil Suit 39 of 2017.
  • The applicant shall file a defence within 10 days from the date of the ruling.