[2005] UGCA 5
The Court of Appeal held that the sum of Shs 2,500,000 paid by the appellant was part payment of the purchase price, not a deposit. There was no forfeiture clause in the agreement. Upon the respondent's repossession of the vehicle, the contract was repudiated, entitling the appellant to a refund of the part payment....
Source-derived case information.
- Citation
- [2005] UGCA 5
- Parties
- Appellant: Mubaraka Batesaki; Respondent: Mubaraka Magala
- Court
- Court of Appeal of Uganda
- Jurisdiction
- Uganda
- Case Number
- Civil Appeal No. 29/2002
- Procedural Posture
- Civil Appeal / Second Appeal From High Court to Court of Appeal
- Outcome
- Appeal partially allowed.
- Legal Topics
- Contract Breach, Sale of Goods, Remedies for Breach, Deposit Vs Part Payment
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Mubaraka Batesaki
Appellant
Mubaraka Magala
Respondent
Procedural Posture
Civil Appeal / Second Appeal From High Court to Court of Appeal
Legal Issues
- 1 Whether the sum of Shs 2,500,000 paid by the appellant was a deposit or part payment of the purchase price, and whether it is refundable upon breach of contract.
- 2 Whether the respondent was entitled to retain both the vehicle and the part payment after repossessing the vehicle.
- 3 Whether the trial and appellate courts erred in their assessment of remedies and costs.
Ratio Decidendi
The Court of Appeal held that the sum of Shs 2,500,000 paid by the appellant was part payment of the purchase price, not a deposit. There was no forfeiture clause in the agreement. Upon the respondent's repossession of the vehicle, the contract was repudiated, entitling the appellant to a refund of the part payment. The respondent could only have sued for damages for breach of contract, not retained both the vehicle and the part payment. The appellate judge erred in awarding the respondent both the vehicle and the part payment, as these matters were not pleaded or properly assessed. The appellant is entitled to recover the Shs 2,500,000. On costs, the court found that neither party had...
Court Disposition
Appeal partially allowed.
Orders
- Appellant is entitled to recover Shs 2,500,000 from the respondent.
- Each party to bear its own costs.
Full Case Text
Judgment text and source record
6 paragraphs
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\keepn\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel0\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\insrsid6036965\charrsid11107557 THE REPUBLIC OF UGANDA. \par }\pard\plain \ltrpar\qc \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 IN THE COURT OF APPEAL OF UGANDA, AT KAMPALA. \par \par }\pard \ltrpar\ql \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 CORAM: \par \tab HON. JUSTICE L. E. M. MUKASA-KIKONYOGO, DCJ. \par \tab HON. JUSTICE A. E. N. MPAGI-BAHIGEINE, JA. \par \tab HON. JUSTICE C. K. BYAMUGISHA, JA. \par \par }\pard\plain \ltrpar\s2\qc \li0\ri0\sl360\slmult1\keepn\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel1\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \b\fs28\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 CIVIL APPEAL NO.29/2002 \par }\pard\plain \ltrpar\ql \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\qc \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 MUBARAKA BATESAKI:::::::::::::: ::::::::::::::::::::}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid11107557\charrsid11107557 : APPELLANT}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 . \par VERSUS \par MUBARAKA MAGALA::::::::::::::::::::::::::::::::::}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid11107557\charrsid11107557 : RESPONDENT}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 \par \par }\pard\plain \ltrpar\s23\qc \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \b\i\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\insrsid6036965\charrsid11107557 [Appeal from the Judgement of the High Court of Jinja at Jinja (Y. Bamwine J.), dated 17/10/2001 in Civil Appeal No. 4 of 1999] \par }\pard\plain \ltrpar\s1\qj \li0\ri0\sl360\slmult1\keepn\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel0\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\insrsid6036965\charrsid11107557 \par JUDGEMENT OF A. E. MPAGI-BAHIGEINE, JA. \par }\pard\plain \ltrpar\ql \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 This is a second appeal. The appellant, Mubaraka Batesaki, unsuccessfully appealed to the High court at Jinja (Y. Bamwine. J.) against the dismissal of his claim, by the Chief Magistrate, Iganga on 31/3/1999. \par \par The background facts were that, by a written agreement dated 3/1/1996, Mubaraka Magala, hereinafter the respondent, sold his motor vehicle, Hiace Minibus, to Mubaraka Batesaki, hereafter the appellant, at Shs 3,800,000 of which Shs 2.500,000/= cash was paid on the day of the agreement and the appellant took possession of the vehicle, but without the log book. The balance of 1.300}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /= was agreed to be paid in two equal instalments of Shs 650,000/= on 30/3.1996 and 15/4/1996 respectively. It was then that the appellant would receive the logbook. \par \par When the appellant failed to pay the instalments the respondent proceeded to repossess the vehicle on 15/6/1996, two months after the agreed last date of payment. He thereafter filed suit on 13/1/1997, seven months later, for recovery of the u npaid balance. \par \par The trial magistrate dismissed the suit and ordered that the sum of Shs 2.500,000/= paid by the appellant to the respondent be refunded with interest from the date of the agreement. Each party was ordered to meet its own costs. \par \par The appellate Judge upholding the magistrate\rquote s order of dismissal of the claim, set aside the order for the refund of Shs 2.500,000/= and ordered that it be retained by the respondent together with the vehicle. Each party was to meet its own costs. \par \par The memorandum of appeal comprises the following grounds, namely: \par {\pntext\pard\plain\ltrpar \s15 \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f39\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \hich\af39\dbch\af0\loch\f39 1.\tab}}\pard\plain \ltrpar\s15\qj \fi-300\li360\ri720\sl360\slmult1 \widctlpar\wrapdefault{\*\pn \pnlvlbody\ilvl0\ls5\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}\aspalpha\aspnum\faauto\ls5\adjustright\rin720\lin360\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\insrsid6036965\charrsid11107557 That the learned Judge erred in law and fact and reached on erroneous decision when he held that the appellant was entitled to retain possession of both the vehicle and the deposit of Shs 2.5 million when he had found:- \par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \f3\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard\plain \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlblt\ilvl0\ls3\pnrnot0\pnf3\pnstart1\pnindent360\pnsp120\pnhang {\pntxtb \'b7}}\aspalpha\aspnum\faauto\ls3\adjustright\rin720\lin420\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That it was wrongful for the appellant to have repossessed the vehicle.
\par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \f3\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlblt\ilvl0\ls3\pnrnot0\pnf3\pnstart1\pnindent360\pnsp120\pnhang {\pntxtb \'b7}}\aspalpha\aspnum\faauto\ls3\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That the proper course of action was to sue for breach of contract where he (appellant) would be considered for compensatory damages. \par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \f3\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlblt\ilvl0\ls3\pnrnot0\pnf3\pnstart1\pnindent360\pnsp120\pnhang {\pntxtb \'b7}}\aspalpha\aspnum\faauto\ls3\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That once the contract was considered repudiated, and the plaintiff was in possession of the vehicle, the suit for recovery of the balance on the purchase price was unmaintainable.
\par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f39\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \hich\af39\dbch\af0\loch\f39 2.\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx420\wrapdefault{\*\pn \pnlvlbody\ilvl0\ls5\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}\aspalpha\aspnum\faauto\ls5\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That the learned Judge erred when he made an award to the respondent to retain possession of both the vehicle and the deposit of Shs 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /=, a remedy that had not been pleaded or claimed for by the respondent both on appeal and in the final court. \par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f39\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \hich\af39\dbch\af0\loch\f39 3.\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlbody\ilvl0\ls5\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}\aspalpha\aspnum\faauto\ls5\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That the learned Judge erred in law and in fact when he failed to properly re-evaluate the evidence on record , and instead considered matters relating to mitigation damages and depreciation which were neither supported by any evidence nor raised in the lower court, hence reaching a wrong decision. \par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f39\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \hich\af39\dbch\af0\loch\f39 4.\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlbody\ilvl0\ls5\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}\aspalpha\aspnum\faauto\ls5\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That the learned Judge erred to base his findings on a counter \endash claim, which had already been shuck off in the trial court. \par {\pntext\pard\plain\ltrpar \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f39\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \hich\af39\dbch\af0\loch\f39 5.\tab}}\pard \ltrpar\qj \fi-360\li420\ri720\sl360\slmult1\widctlpar \jclisttab\tx450\jclisttab\tx540\wrapdefault{\*\pn \pnlvlbody\ilvl0\ls5\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}\aspalpha\aspnum\faauto\ls5\adjustright\rin720\lin420\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 That the learned Judge erred to deny the appellant costs of the appeal when the appeal was substantially dismissed.\rquote \par }\pard \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par The respondent filed written submissions while learned counsel for the appellant argued viva voce. \par Mr. Shaban Muziransa represented the appellant. Mr. Mugenyi Ivan was for the respondent. \par \par Regarding ground no. 1, Mr. Muziransa, learned counsel for the appellant argued that the learned Judge reached an erroneous decision in holding that the appellant was entitled to retain both the vehicle and deposit of Shs 2.500,000/=. The proper course would have been to sue for breach of contract and the respondent would be considered for damages. Once the respondent was in possession of the v ehicle, the suit for recovery of the balance of the purchase price was unmaintainable. \par He pointed out that once the vendor parted with possession of the goods, he lost his lien hereon, }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 and he}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 could only sue for breach of contract. Possession having been handed over to the appellant, the respondent should not have impounded it but should only have sued for the balance. In support of his submissions he cited}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 the case of}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Dies }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 and}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Another vs British and International Mining and Finance Corporation Limited (1939) I. K. B 724 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 where part of the purchase price and a deposit were distinguished. A deposit is forfeitable on the purchaser\rquote s default while a part payment is refundable. The respondent was not entitled to keep both the vehicle and Shs. 2,500,000/-. \par \par For the r espondent, it was argued that the learned Judge exercised his inherent powers to order that the respondent do retain possession of the vehicle and the deposit. He had such powers under 039 rule 2 of the Civil Procedure Rules. He had powers to go beyond the grounds of objection in the memorandum of appeal. He relied on }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Jane Bwiriza vs John Nathan Osapil SCCA No. 5 of 2002 at page 15 \endash 17 of the judgement of Hon Odoki C. J, Stockloser vs Johnson (1954) A. E. R 630}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 , amongst others. \par \par The learned Judge held: \par }\pard\plain \ltrpar\s18\qj \fi-630\li630\ri720\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin630\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \b\fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\insrsid6036965\charrsid11107557 \tab \'93\'85 it is settled law that in a case of breach of contract, the innocent party may elect to enforce the performance of the said contract or opt to sue for damages for the said breach. I take that to be the correct legal position\'85 .. this was not a hiring agreement. It was an agreement of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\insrsid11107557\charrsid11107557 sale;}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\insrsid6036965\charrsid11107557 the property was not to pass until the whole of the purchase price was paid. Appellant ensured that this was so by retaining the logbook. By impounding the vehicle, the vendor must be assumed to have regarded the breac h as serial, going to the very root of the contract. Having taken the course he did, he disentitled himself to sue for the balance of the purchase price. The learned trial Chief Magistrate was entitled to reject his claim for Shs 1,300,000/= in the circ umstances of the case. The proper course of action was to sue for the breach of contract where he would be considered for compensatory damages. He did not adopt that procedure. He can not be heard to complain that he was not offered any remedies\'85.
\par \tab Accordingly the judgement of the lower court dismissing the plaintiff\rquote s suit is upheld. The order of refund of Shs 2.5million to the respondent is set aside. The appellant is entitled to repossess the vehicle and retain the deposit\'85\'94
\par }\pard\plain \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par }\pard\plain \ltrpar\s16\qj \li0\ri0\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\insrsid6036965\charrsid11107557 It appears that the terms \lquote appellant\rquote and \lquote respondent\rquote are cross applied at times by the learned Judge. He refers to the \lquote appellant\rquote when it should be the \lquote respondent\rquote and vice versa. However, be that as it may, the agreement of sale was very, simple and brief. It ran along these lines: \par }\pard\plain \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\qj \li720\ri720\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin720\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \'93 I, Mubaraka Magala of Nakasubi Bugweri, have sold my vehicle to Mubaraka Batesaki of Nakasubi Bugweri Type of vehicle Hiace Minibus REG No 3Y \endash 0589488. \par CHASSIS No YH 61V - 0058507 \par }\pard\plain \ltrpar\s3\qj \li720\ri720\sl360\slmult1\keepn\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel2\adjustright\rin720\lin720\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \b\fs28\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid11107557\charrsid11107557 COLOR - WHITE}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 \par }\pard\plain \ltrpar\qj \li720\ri720\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin720\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 MODEL - 1987}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par I have sold it to him at only Shs 3.800}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /=. He has part paid 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /=. He remains with a balance of 1.300,000/= to pay. He will be paying 650,000/= on 30/3/1996. The balance, he will pay on 15/4/1996 without any excuse whatsoever. \'94 \par \par }\pard \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 The retention of the logbook was not embodied in the said agreement. It was, however, not a disputed fact. \par \par I think the issue is whether the Shs 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /= was a deposit or just part payment of the purchase price. It was dealt with}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 by}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Denning L J in Stockloser vs Johnson (1954) I. A. E. R 630 at 637,}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 thus: \par \par }\pard\plain \ltrpar\s16\qj \fi-630\li630\ri720\sl360\slmult1\widctlpar\jclisttab\tx540\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin630\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\insrsid6036965\charrsid11107557 \tab \'93It seems to me that the cases show the law to be this: \par }\pard\plain \ltrpar\qj \fi-120\li720\ri720\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin720\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 When there is no forfeiture clause, if money is handed over in part payment of the purchase piece, and then the buyer makes default as to the balance, then, so long as the seller keep s the contract open and available for performance, the buyer cannot recover the money but once the seller rescinds the contract or treats it as at an end owing to the buyer\rquote s default, then the buyer is entitled to recover his money by action at law, subject to a cross claim by the seller for damages\'85..\'94. \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 It is apparent that there was no forfeiture clause in the sale of agreement. The cash down Shs 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /= was thus clearly in part payment of the purchase price. The sum was quite a substantial percentag e of the purchase price. It was clearly not a mere deposit as found by the learned Judge. Once the respondent had decided to repossess the vehicle, he thereby put the contract at an end. He repudiated it. \par \par The buyer thereby became entitled to a refund of his 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /= he had paid. It was not a deposit to ensure performance which is not refundable but part payment of the purchase price which was refundable \endash }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Dies And Another vs British And International F. C. Limited (1939) I. K. B. 724. }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 As rightly po inted out by the learned Judge, the respondent had the option of not impounding the vehicle but suing for breach of contract since he had the additional security of the logbook in his possession. He would thus be compensated in damages covering the balan ce of the purchase price and non-use of his vehicle. }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Omer vs A Besse Ltd (1960) E A 907}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 . He chose not to follow this course. He is bound to refund the 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /=. \par }\pard \ltrpar\qj \li240\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin240\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\qj \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 The learned Judge was thus in error on this point. In an attempt to avoid a multiplicit y of suits he purported to compensate the respondent for breach of contract and non-use of the vehicle by allowing him to keep the part payment of the purchase price of Shs. 2,500,000/-. I think this was an error. These matters were never pleaded and were thus not properly assessed by the Judge. As a trial Judge, he had the opportunity of ordering amendments to the pleadings on which evidence could be adduced to assist him reach a just decision. \par \par The appellant buyer is thus entitled to recover his Shs 2.500}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 , 000}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 /=. This disposes of grounds 1, 2, 3 and 4, which I would allow. \par \par Ground 5 concerns the issue of costs. \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 The learned Judge ordered each party to meet the costs of its advocate in the High Court and the court below. The appellant objected that since he was the successful party he should have been awarded costs. The respondent contended that the award of costs being discretionary, the order made by the learned Judge was justified and could not be interfered with. The learned Judge considered the conduct of each party when making the order. \par }\pard\plain \ltrpar\s21\qj \li240\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin240\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs28\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 \par }\pard \ltrpar\s21\qj \li0\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 I entirely agree with him that none of the parties to the suit had clean hands. The appellant / buyer breached the agreement he had undertaken to honour without fail. The respondent / seller rushed to impound the ve hicle in-spite of the fact that he had the logbook in his possession and had received a substantial part of the purchase price. He could only have sued in damages. \par In }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\insrsid6036965\charrsid11107557 Devram Nanji Dattani vs Haridas K Dawda (1949), 16 EACA 35}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 . Where it was held that a su ccessful party can be deprived of his costs, the following passage was referred to: \par }\pard \ltrpar\s21\qj \li240\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin240\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 \par }\pard\plain \ltrpar\qj \li720\ri720\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin720\lin720\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \'93}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 It is well established that when the decision of such a matter as the right of a successful litigant, to recover costs is left to the discretion of the Judge who tried hi s case, that discretion is a judicial discretion, and if it be so its exercise must be based on facts\'85 . If, however, there be, in fact, some grounds to support the exercise by the trial Judge of the discretion he purports to exercise, the question of the s ufficiency of those grounds for this purpose is entirely a matter for the Judge himself to decide, and the court of Appeal will not interfere with the discretion in that instance.\rquote Per Lord Atkinson in Donald Compbell vs Pollock, (1927) A. C. 732 at p 813\'94. \par \par }\pard\plain \ltrpar\s22\qj \li0\ri360\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin360\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs28\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\insrsid6036965\charrsid11107557 This passage is on all fours with section 27 (1) Civil Procedure Act which the Judge must have followed. It gives him full powers and the discretion to determine by whom and out of what property and to what extent costs are to be paid. Thus this court cannot interfere with that discretion as it is apparent that it was exercised unjudicially or based on wrong principles. \par }\pard\plain \ltrpar\qj \li0\ri360\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin360\lin0\itap0\pararsid11107557 \rtlch\fcs1 \af0\afs20\alang1025 \ltrch\fcs0 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \par This ground of appeal would in my view fail. As indicated above, I would allow this appeal partially. I would also order each party to bear }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid11107557\charrsid11107557 its}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 own costs. \par \par }\pard \ltrpar\qc \li0\ri360\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin360\lin0\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 Dated this \'85\'85\'8521}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\super\langnp2057\insrsid6036965\charrsid11107557 st}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 \'85\'85 day of\'85\'85July\'85\'85.2005. \par \par \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \i\f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 A. E. N. Mpagi-Bahigeine}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 . \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f39\fs24\ul\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557 JUSTICE OPF APPEAL. \par }\pard \ltrpar\qj \li240\ri0\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin240\itap0\pararsid11107557 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f39\fs24\lang2057\langfe1033\langnp2057\insrsid6036965\charrsid11107557
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