[2021] UGCommC 94
The evidence on record, including the supply of goods on credit, dishonoured cheques, and an unfulfilled undertaking to pay, establishes the defendants' liability for the debt claimed by the plaintiff. The defendants failed to defend the suit, and their application for leave to appear and defend was dismissed for...
Source-derived case information.
- Citation
- [2021] UGCommC 94
- Parties
- Plaintiff: Javelin Limited; Defendant: Zimba Logistics & Hardware Limited; Defendant: Aeko Ali Awazi
- Court
- Commercial Court of Uganda
- Jurisdiction
- Uganda
- Case Number
- Civil Suit No. 865 of 2020
- Procedural Posture
- Civil Suit / Judgment
- Outcome
- Judgment entered for the plaintiff against the defendants jointly and severally.
- Judges
- Gaswaga, J
- Legal Topics
- Credit Supply Arrangement, Debt Recovery, Dishonoured Cheques
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Javelin Limited
Plaintiff
Zimba Logistics & Hardware Limited
Defendant
Aeko Ali Awazi
Defendant
Procedural Posture
Civil Suit / Judgment
Legal Issues
- 1 Whether the defendants are indebted to the plaintiff for the sum claimed.
- 2 Whether the plaintiff is entitled to interest at 24% per annum from the date of default until payment in full.
- 3 Whether the plaintiff is entitled to costs of the suit.
Ratio Decidendi
The evidence on record, including the supply of goods on credit, dishonoured cheques, and an unfulfilled undertaking to pay, establishes the defendants' liability for the debt claimed by the plaintiff. The defendants failed to defend the suit, and their application for leave to appear and defend was dismissed for want of prosecution. The court finds the debt of Ugx 270,272,100/= is due and owing, and the plaintiff is entitled to interest at 24% per annum from the date of default until payment in full, as well as costs of the suit.
Court Disposition
Judgment entered for the plaintiff against the defendants jointly and severally.
Orders
- Defendants to pay the plaintiff Ugx 270,272,100/=
- Defendants to pay interest at 24% per annum from date of default until payment in full.
Full Case Text
Judgment text and source record
19 paragraphs
# **THE REPUBLIC OF UGANDA**
## **IN THE HIGH COURT OF UGANDA AT KAMPALA**
## **[COMMERCIAL DIVISION]**
## **Civil Suit No.865 of 2020**
## **JAVELIN LIMITED:::::::::::::::::::::::::::::::::::::::::::::::::PLAINTIFF**
### **VERSUS**
- **1. ZIMBA LOGISTICS & HARDWARE LIMITED** - **2. AEKO ALI AWAZI:::::::::::::::::::::::::::::::::::::::::::""DEFENDANTS**
#### **BEFORE; HON. JUSTICE DUNCAN GASWAGA**
### **JUDGMENT**
This is a judgment on a claim for recovery of a liquidated sum of **Ugx 270,272,100/=** (Uganda Shillings Two hundred seventy million two hundred seventy two thousand one hundred only) with interest at a rate of 24% from the date of default until payment in full and costs of the suit. The cause of action arose as follows; that between 07/10/2019 and 13/05/2020 the 1st defendant through its managing director the 2nd defendant approached the plaintiff for credit supply arrangement. The plaintiff went ahead to supply to the defendants on credit with the requested cement and its hardware and the same was duly received, however the defendants issued cheques to the plaintiff for payment which were dishonoured. Consequently the defendants were notified and requested to pay to the plaintiff all the outstanding monies but the defendants ignored the same. The 2nd defendant, further in an undertaking on 03rd day of September 2020, agreed to pay all the
outstanding sums in weekly instalments of Ugx 5,000,000/= starting from 09/09/2020 and stated that any breach of the undertaking should be informed to him. The said undertaking was breached by the defendant, leaving the outstanding sum unpaid to date, the reason for the suit.
- [2] It should be noted that the defendants filed M. A. No. 1090 of 2020 for leave to appear and defend which was later on 22/03/2021 dismissed at the instance of the respondent's counsel for want of prosecution when the defendants refused, ignored and or failed to turn up in court. This was after various adjournments (01/03/2021, 11/03/2021, 18/03/2021 and 22/03/2021) with promises from the defendant's Counsel to pursue a settlement. This therefore left the main suit un defended. - [3] <sup>I</sup> have had opportunity once again to peruse the pleadings. <sup>I</sup> find that the evidence on record clearly establishes a debt of Ugx 270,272,100/= (Uganda Shillings Two hundred seventy million two hundred seventy two thousand one hundred shillings) owed by the defendants. The debt is not challenged.
[4] **Accordingly, <sup>I</sup> hereby enter judgment against the defendants jointly and severally in the following terms;**
**a) that the defendants pay to the plaintiff a sum of Ugx 270,272,100/= (Uganda Shillings Two hundred seventy million two hundred seventy-two thousand one hundred shillings)**
**b) that the defendants pay an interest rate of 24% per annum from date of default until payment in full.**
**c) costs of the suit.**
**Dated, signed and delivered at Kampala this 22nd day of March, 2021**
**Duncan**
**JUDGE**