[2017] UGCommC 248

[2017] UGCommC 248

The court found that the applicants were effectively served with summons to file a defence, as service on a director or principal officer of a corporation is deemed effective under the Civil Procedure Rules. The process server's affidavit and the acknowledgment of receipt by the 2nd applicant, who was a director,...

Source-derived case information.

Citation
[2017] UGCommC 248
Parties
Applicant: Bugiri High School Ltd; Applicant: Basalirwa Moses; Applicant: Basalirwa Edith; Respondent: DFCU Bank Limited
Court
Commercial Court of Uganda
Jurisdiction
Uganda
Judgment Date
2 November 2017
Case Number
Miscellaneous Application No. 984 of 2015
Procedural Posture
Miscellaneous Application / Ruling on Application to Set Aside Default Judgment
Outcome
application dismissed with costs
Legal Topics
Setting Aside Default Judgment, Service of Process, Loan Recovery, Corporate Directors Liability
Source Language
english
Civil Procedure Commercial and Corporate Setting Aside Default Judgment Service of Process Loan Recovery Corporate Directors Liability

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Parties

Bugiri High School Ltd

Applicant

Basalirwa Moses

Applicant

Basalirwa Edith

Applicant

DFCU Bank Limited

Respondent

Procedural Posture

Miscellaneous Application / Ruling on Application to Set Aside Default Judgment

Legal Issues

  1. 1 Whether the applicants were effectively served with summons to file a defence.
  2. 2 Whether there was sufficient cause preventing the applicants from appearing when the suit was called for hearing.
  3. 3 Whether the default judgment should be set aside and leave to defend granted.

Ratio Decidendi

The court found that the applicants were effectively served with summons to file a defence, as service on a director or principal officer of a corporation is deemed effective under the Civil Procedure Rules. The process server's affidavit and the acknowledgment of receipt by the 2nd applicant, who was a director, satisfied the requirements for proper service. The applicants failed to provide evidence that the 2nd applicant was not a director or that he was not authorized to receive service. Furthermore, the applicants did not demonstrate any sufficient cause, such as illness, mistake, or ignorance of procedure, that prevented them from appearing when the suit was called for hearing. As...

Court Disposition

application dismissed with costs

Orders

  • The application to set aside the default judgment is dismissed.
  • The applicants shall pay the costs of this application.