[2009] UGCADER 5

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M. Muyanja}{\operator kgalenda} {\creatim\yr2009\mo9\dy2\hr9\min59}{\revtim\yr2009\mo9\dy2\hr9\min59}{\printim\yr2009\mo9\dy1\hr15\min48}{\version2}{\edmins0}{\nofpages5}{\nofwords911}{\nofchars5194}{\nofcharsws6093}{\vern24689}}\paperw11906\paperh16838\margl1440\margr1440 \widowctrl\ftnbj\aenddoc\noxlattoyen\expshrtn\noultrlspc\dntblnsbdb\nospaceforul\formshade\horzdoc\dgmargin\dghspace180\dgvspace180\dghorigin1440\dgvorigin1440\dghshow1\dgvshow1 \jexpand\viewkind1\viewscale100\pgbrdrhead\pgbrdrfoot\splytwnine\ftnlytwnine\htmautsp\nolnhtadjtbl\useltbaln\alntblind\lytcalctblwd\lyttblrtgr\lnbrkrule\nobrkwrptbl\snaptogridincell\allowfieldendsel\wrppunct \asianbrkrule\rsidroot921300\newtblstyruls\nogrowautofit \fet0{\*\ftnsep \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13598069 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\insrsid4074890 \chftnsep \par }}{\*\ftnsepc \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13598069 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\insrsid4074890 \chftnsepc \par }}{\*\aftnsep \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13598069 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\insrsid4074890 \chftnsep \par }}{\*\aftnsepc \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13598069 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\insrsid4074890 \chftnsepc \par }}\sectd \linex0\endnhere\sectlinegrid360\sectdefaultcl\sectrsid4074890\sftnbj {\footer \pard\plain \s15\qc \li0\ri0\widctlpar\tqc\tx4513\tqr\tx9026\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4074890 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\insrsid4074890 \hich\af38\dbch\af38\loch\f38 Page }{\field{\*\fldinst {\b\insrsid4074890 \hich\af38\dbch\af38\loch\f38 PAGE }}{\fldrslt { \b\lang1024\langfe1024\noproof\insrsid5182242 \hich\af38\dbch\af38\loch\f38 4}}}{\insrsid4074890 \hich\af38\dbch\af38\loch\f38 of }{\field{\*\fldinst {\b\insrsid4074890 \hich\af38\dbch\af38\loch\f38 NUMPAG\hich\af38\dbch\af38\loch\f38 ES }}{\fldrslt { \b\lang1024\langfe1024\noproof\insrsid5182242 \hich\af38\dbch\af38\loch\f38 5}}}{\b\fs24\insrsid4074890 \par }\pard \s15\qc \li0\ri0\widctlpar\tqc\tx4513\tqr\tx9026\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13598069 {\fs16\insrsid13598069 \hich\af38\dbch\af38\loch\f38 CAD/ARB/11}{\fs16\insrsid4074890 \hich\af38\dbch\af38\loch\f38 /2009 }{ \fs16\insrsid13598069 \hich\af38\dbch\af38\loch\f38 UgandaPostLtd}{\fs16\insrsid4074890 \hich\af38\dbch\af38\loch\f38 v }{\fs16\insrsid13598069 \hich\af38\dbch\af38\loch\f38 R4InternationalLtd}{\fs16\insrsid13598069\charrsid13598069 \par }\pard \s15\ql \li0\ri0\sa200\sl276\slmult1\widctlpar\tqc\tx4513\tqr\tx9026\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 {\insrsid4074890 \par }}{\*\pnseclvl1\pnucrm\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl2\pnucltr\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl3\pndec\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl4\pnlcltr\pnstart1\pnindent720\pnhang {\pntxta )}} {\*\pnseclvl5\pndec\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl6\pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl7\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl8 \pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl9\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}\pard\plain \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 THE REPUBLIC OF UGANDA \par \par \hich\af0\dbch\af38\loch\f0 THE CENTRE FOR ARBITRATION AND DISPUTE RESOLUTION \par \par \hich\af0\dbch\af38\loch\f0 CAD/ARB/NO.11\hich\af0\dbch\af38\loch\f0 OF 2009 \par \par \hich\af0\dbch\af38\loch\f0 UGANDA POST \hich\af0\dbch\af38\loch\f0 \hich\f0 LTD \'85\'85\'85\loch\af0\dbch\af38\hich\f0 \'85\loch\af0\dbch\af38\hich\f0 \'85\'85\loch\af0\dbch\af38\hich\f0 \'85\'85\'85\'85\'85\'85\'85\'85\loch\af0\dbch\af38\hich\f0 \'85 \loch\f0 .. APPLICANT \par \par \hich\af0\dbch\af38\loch\f0 v. \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 \hich\f0 R.4 INTERNATIONAL LTD \'85\'85\'85\'85\'85\'85\'85\loch\f0 \hich\f0 .\'85\'85\'85\'85\'85\loch\f0 \hich\af0\dbch\af38\loch\f0 RESPONDENT \par \par }{\b\f0\fs24\insrsid7885919\charrsid5182242 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\b\f0\fs24\ul\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 RULING \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 On 1}{\f0\fs24\super\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 st}{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 May 2008 }{\f0\fs24\insrsid4225678\charrsid5182242 \hich\af0\dbch\af38\loch\f0 (Annex A1) }{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 and 5}{\f0\fs24\super\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 May 2008}{\f0\fs24\insrsid4225678\charrsid5182242 \hich\af0\dbch\af38\loch\f0 (Annex A\hich\af0\dbch\af38\loch\f0 2)}{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ,}{\f0\fs24\insrsid4225678\charrsid5182242 \hich\af0\dbch\af38\loch\f0 }{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 the parties executed two tenancy agreements. \par \par \hich\af0\dbch\af38\loch\f0 The arbitration clause in both the tenancy agreements reads as }{\f0\fs24\insrsid13528164\charrsid5182242 \hich\af0\dbch\af38\loch\f0 follows,}{\f0\fs24\insrsid921300\charrsid5182242 \par }{\f0\fs24\insrsid13528164\charrsid5182242 \par }\pard \qj \li2160\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin2160\itap0\pararsid5182242 {\f0\fs24\insrsid13528164\charrsid5182242 \loch\af0\dbch\af38\hich\f0 \'93\loch\f0 11.0 ARBITRATION: \par \hich\af0\dbch\af38\loch\f0 Any disputes arising from this Tenancy Agreement other than interpretation shall be referred to Arbitration. Each \hich\af0\dbch\af38\loch\f0 party shall appoint an independent arbitrator which two arbitrators will appoint a third neutral arbitrator. From the avoidance of doubt, the UNCITRAL Rules shall apply. The arbitration shall be done at Kampala, Uganda and the language of arbitration sh \hich\af0\dbch\af38\loch\f0 a\hich\af0\dbch\af38\loch\f0 \hich\f0 ll be English. The award granted by the Arbitration Tribunal shall be FINAL and BINDING.\'94 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid13528164\charrsid5182242 \par }{\f0\fs24\insrsid4225678\charrsid5182242 \hich\af0\dbch\af38\loch\f0 The }{\f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 21}{\f0\fs24\super\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 st}{ \f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 July 2009 }{\f0\fs24\insrsid4225678\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Affidavit in support of the Application is deponed to by }{\f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Mr. Samuel Kaali, who indicates that on 21}{\f0\fs24\super\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 st}{\f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 May 2009 the Applicant }{ \f0\fs24\insrsid13598069\charrsid5182242 \hich\af0\dbch\af38\loch\f0 appointed}{\f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Mr. Chris \hich\af0\dbch\af38\loch\f0 Bwanika as the arbitrator}{\f0\fs24\insrsid13598069\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , on its part}{\f0\fs24\insrsid6887588\charrsid5182242 \hich\af0\dbch\af38\loch\f0 .}{\f0\fs24\insrsid921300\charrsid5182242 \par \par }{\f0\fs24\insrsid13598069\charrsid5182242 \hich\af0\dbch\af38\loch\f0 The 26}{\f0\fs24\super\insrsid13598069\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{\f0\fs24\insrsid13598069\charrsid5182242 \hich\af0\dbch\af38\loch\f0 August 2009 Supplementary Affidavit evidences the fact that notice of }{\f0\fs24\insrsid15885751\charrsid5182242 \hich\af0\dbch\af38\loch\f0 appointment was communicated to the Respondent .}{\f0\fs24\insrsid6887588\charrsid5182242 \par }{\f0\fs24\insrsid15885751\charrsid5182242 \par \hich\af0\dbch\af38\loch\f0 Mr. Ernest Sembatya}{\f0\fs24\insrsid13597104\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Kaggwa informed us that he was not opposed to the Application in p\hich\af0\dbch\af38\loch\f0 rinciple. In the same breath, he immediately exfoliated his stand without comp}{\f0\fs24\insrsid14942743\charrsid5182242 \hich\af0\dbch\af38\loch\f0 un}{\f0\fs24\insrsid13597104\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ction}{ \f0\fs24\insrsid14942743\charrsid5182242 \hich\af0\dbch\af38\loch\f0 when he elaborately argued that it was incumbent upon CADER to outline the scope of the arbitral tribunal\hich\f0 \rquote \loch\f0 s authority.}{\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 He maintained the same position after I had invite\hich\af0\dbch\af38\loch\f0 d him to read }{\b\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section}{\b\f0\fs24\insrsid7885919\charrsid5182242 \hich\af0\dbch\af38\loch\f0 s}{\b\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 16(2) and 16(3) Arbitration and Conciliation Act}{\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , }{ \b\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Cap.4}{\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 (hereinafter referred to as the ACA).}{\f0\fs24\insrsid14942743\charrsid5182242 \par }{\f0\fs24\insrsid13597104\charrsid5182242 \hich\af0\dbch\af38\loch\f0 }{\f0\fs24\insrsid921300\charrsid5182242 \par }{\f0\fs24\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 He illustrated this by reference to three other tenancy agreements between the parties [Annex R1 (10}{\f0\fs24\super\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{ \f0\fs24\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 June 2005), Annex R2 (10}{\f0\fs24\super\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{\f0\fs24\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 May 200 \hich\af0\dbch\af38\loch\f0 5) and Annex R3 (30}{\f0\fs24\super\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{\f0\fs24\insrsid12744527\charrsid5182242 \hich\af0\dbch\af38\loch\f0 June 2006)}{\f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ], which did not have arbitration clauses. It was for this reason he submitted that the arbitration proceedings should relate to period before 1}{\f0\fs24\super\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 st}{ \f0\fs24\insrsid1797202\charrsid5182242 \hich\af0\dbch\af38\loch\f0 August 2008.}{\f0\fs24\insrsid12744527\charrsid5182242 \par }{\f0\fs24\insrsid1797202\charrsid5182242 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid4332233\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Time has now come again to repeat the message that the appoint \hich\af0\dbch\af38\loch\f0 ment of an arbitrator is a mutual obligation}{\f0\fs24\insrsid7885919\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ,}{\f0\fs24\insrsid4332233\charrsid5182242 \hich\af0\dbch\af38\loch\f0 which is imposed on all parties.}{ \f0\fs24\insrsid7885919\charrsid5182242 \hich\af0\dbch\af38\loch\f0 A party unwittingly forfeits its statutory right, when it fails to participate in the appointment of the arbitrator. The duty would then fall upon }{ \f0\fs24\insrsid2688157\charrsid5182242 \hich\af0\dbch\af38\loch\f0 the advocate to advice the c\hich\af0\dbch\af38\loch\f0 lient that the}{\f0\fs24\insrsid7885919\charrsid5182242 \hich\af0\dbch\af38\loch\f0 appointment of an arbitrator is }{ \f0\fs24\insrsid2688157\charrsid5182242 \hich\af0\dbch\af38\loch\f0 a task, which ought to be performed by a party, since that is the essence of the undertaking, upon signing the arbitration clause. Assuming the party is not well versed with arbitration, then the advocate wou\hich\af0\dbch\af38\loch\f0 ld be best placed person to }{\f0\fs24\insrsid6428177\charrsid5182242 \hich\af0\dbch\af38\loch\f0 advice the client on the }{\f0\fs24\insrsid12658437\charrsid5182242 \hich\af0\dbch\af38\loch\f0 unpropitious }{\f0\fs24\insrsid6428177\charrsid5182242 \hich\af0\dbch\af38\loch\f0 task to be performed.}{\f0\fs24\insrsid2688157\charrsid5182242 \hich\af0\dbch\af38\loch\f0 }{\f0\fs24\insrsid4332233\charrsid5182242 \par \par }{\f0\fs24\insrsid12658437\charrsid5182242 \par \par }\pard \qj \li0\ri0\sa200\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Lord MacMillan wisely expounded by sixty-seven years ago, in }{ \b\i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Heyman v Darwins}{\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , [1942] All E. R. 337, 347D as follows, \par }\pard \qj \li3600\ri0\sa200\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin3600\itap0\pararsid5182242 {\i\f0\fs24\insrsid3087401\charrsid5182242 \loch\af0\dbch\af38\hich\f0 \'93\loch\f0 I venture to think that not enough attention h \hich\af0\dbch\af38\loch\f0 as been directed to the }{\b\i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 true nature and function of an arbitration clause in a contract}{\i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 . It is quite distinct from the other clauses. }{\b\i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 The other clauses set out the obligations which the parties undertake to each other hinc inde; but the arbitration claus\hich\af0\dbch\af38\loch\f0 e does not impose on one of the parties an obligation in favour of the other}{ \i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 . It embodies the agreement of both parties that, if any dispute arises with regard to the obligations which one the one party has undertaken to the other, such dispute shall be s \hich\af0\dbch\af38\loch\f0 \hich\f0 ettled by a tribunal of their own constitution.\'94 \par }\pard\plain \s19\qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\f0\fs24\insrsid12658437\charrsid5182242

\par }{\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 This obligation subsists notwithstanding that one party may be under the impression that there is in fact no dispute}{\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ; see }{\b\i\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Hayter v\hich\af0\dbch\af38\loch\f0 .\hich\af0\dbch\af38\loch\f0 Nelson}{\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , [1990] 2 Lloydds Report 265, 268 and }{\b\i\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Ellerine Bros Ltd v}{\b\i\f0\fs24\insrsid3087401\charrsid5182242 \hich\af0\dbch\af38\loch\f0 .}{\b\i\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Klinger}{\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ,\hich\af0\dbch\af38\loch\f0 [1982] 2 All E. R. 737, 741.}{\f0\fs24\insrsid3087401\charrsid5182242 \par \par }\pard\plain \qj \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 \fs22\lang2057\langfe1033\loch\af38\hich\af38\dbch\af38\cgrid\langnp2057\langfenp1033 {\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 I do not agree with the Respondent\hich\f0 \rquote \loch\f0 s counsel submission that CADER is not stopped from limiting the arbitral tribunal\hich\f0 \rquote \loch\f0 s scope of inquiry}{ \f0\fs24\insrsid7885919\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , for the reasons which I shall elaborate below}{\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 .}{\f0\fs24\insrsid4332233\charrsid5182242 \par }{\f0\fs24\insrsid9833669\charrsid5182242 \par \hich\af0\dbch\af38\loch\f0 Under }{\b\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 11}{\b\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ACA}{\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ,}{\f0\fs24\insrsid9833669\charrsid5182242 \hich\af0\dbch\af38\loch\f0 CADER is only task\hich\af0\dbch\af38\loch\f0 ed with putting in effecting the compulsory appointment of an arbitrator where the case is made out that the respondent has either refused or neglected to perform it\hich\f0 \rquote \loch\f0 s duty. \par }{\f0\fs24\insrsid5135391\charrsid5182242 \par }{\b\f0\fs24\insrsid5135391\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 16 ACA}{\f0\fs24\insrsid5135391\charrsid5182242 \hich\af0\dbch\af38\loch\f0 empowers the arbitral tribunal to determine it\hich\f0 \rquote \loch\f0 s own jurisdiction. \hich\af0\dbch\af38\loch\f0 \par \par \hich\af0\dbch\af38\loch\f0 Again }{\b\f0\fs24\insrsid5135391\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 16 ACA}{\f0\fs24\insrsid5135391\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , vests the parties with the complementary power to address the arbitral tribunal it\hich\f0 \rquote \loch\f0 s }{\f0\fs24\insrsid6029898\charrsid5182242 \hich\af0\dbch\af38\loch\f0 jurisdiction}{\f0\fs24\insrsid5135391\charrsid5182242 \hich\af0\dbch\af38\loch\f0 . \par }{\f0\fs24\insrsid12139520\charrsid5182242 \hich\af0\dbch\af38\loch\f0 That said only the arbitral tribunal has power to determine the scope of it\hich\f0 \rquote \loch\f0 s jurisdiction under }{\b\f0\fs24\insrsid12139520\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 16(6) ACA}{\f0\fs24\insrsid12139520\charrsid5182242 \hich\af0\dbch\af38\loch\f0 . }{\f0\fs24\insrsid3962737\charrsid5182242 \par \par }{\f0\fs24\insrsid3553324\charrsid5182242 \hich\af0\dbch\af38\loch\f0 The }{\f0\fs24\insrsid3962737\charrsid5182242 \hich\af0\dbch\af38\loch\f0 jurisdict\hich\af0\dbch\af38\loch\f0 ion question is so }{\f0\fs24\insrsid3553324\charrsid5182242 \hich\af0\dbch\af38\loch\f0 critical }{\f0\fs24\insrsid3962737\charrsid5182242 \hich\af0\dbch\af38\loch\f0 that it constitutes a ground upon which the arbitral award either can be set aside \hich\f0 \endash \loch\f0 }{ \b\f0\fs24\insrsid3962737\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 34(1)(iv) ACA}{\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 or}{\f0\fs24\insrsid3415291\charrsid5182242 \hich\af0\dbch\af38\loch\f0 cause continuance of the arbitral proceedings}{\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 or invoke further action from the tribunal \hich\f0 \endash \loch\f0 }{\b\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 34(4) ACA}{\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 . }{\f0\fs24\insrsid3962737\charrsid5182242 \par \par }{\f0\fs24\insrsid2253563\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Moreov\hich\af0\dbch\af38\loch\f0 er a}{\f0\fs24\insrsid12139520\charrsid5182242 \hich\af0\dbch\af38\loch\f0 ny attempt to }{\f0\fs24\insrsid6029898\charrsid5182242 \hich\af0\dbch\af38\loch\f0 delimit }{\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 the arbitral tribunal\hich\f0 \rquote \loch\f0 s}{\f0\fs24\insrsid6029898\charrsid5182242 \hich\af0\dbch\af38\loch\f0 jurisdiction may invite the criminal charge for threat of injury to the arbitrators}{\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 under }{\b\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 93 Penal Code} {\b\f0\fs24\insrsid6029898\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , }{\b\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Cap.120}{\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 , }{ \f0\fs24\insrsid6029898\charrsid5182242 \hich\af0\dbch\af38\loch\f0 given that they are}{\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 d}{\f0\fs24\insrsid8800123\charrsid5182242 \hich\af0\dbch\af38\loch\f0 eemed }{ \f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 persons in public employment under }{\b\f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 2(u)(iv) Penal\hich\af0\dbch\af38\loch\f0 Code}{ \f0\fs24\insrsid1390509\charrsid5182242 \hich\af0\dbch\af38\loch\f0 .}{\f0\fs24\insrsid12139520\charrsid5182242 \par }{\f0\fs24\insrsid4332233\charrsid5182242 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\faauto\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid3343478\charrsid5182242 \hich\af0\dbch\af38\loch\f0 I therefore find merit in this Application\hich\af0\dbch\af38\loch\f0 , since the \hich\af0\dbch\af38\loch\f0 Respondent failed to \hich\af0\dbch\af38\loch\f0 co-operate in the \hich\af0\dbch\af38\loch\f0 appoint\hich\af0\dbch\af38\loch\f0 ment\hich\af0\dbch\af38\loch\f0 an arbitrator\hich\af0\dbch\af38\loch\f0 by its inaction or negligence\hich\af0\dbch\af38\loch\f0 . \hich\af0\dbch\af38\loch\f0 \par \par \hich\af0\dbch\af38\loch\f0 I therefore appoint the retired Principal Judge (emeritus) Hon. Herbert Ntabgoba \hich\af0\dbch\af38\loch\f0 as the \hich\af0\dbch\af38\loch\f0 second \hich\af0\dbch\af38\loch\f0 arbitrator\hich\af0\dbch\af38\loch\f0 in this matter\hich\af0\dbch\af38\loch\f0 . \par \par \hich\af0\dbch\af38\loch\f0 Sh\hich\af0\dbch\af38\loch\f0 ould Hon. Herbert Ntabgoba \hich\af0\dbch\af38\loch\f0 decline this appointment under }{\b\f0\fs24\insrsid3343478\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Section 12(1) ACA}{ \f0\fs24\insrsid3343478\charrsid5182242 \hich\af0\dbch\af38\loch\f0 on grounds of impartiality then \hich\af0\dbch\af38\loch\f0 retired Supreme Court Judge (emeritus) Hon. Alfred Karokora\hich\af0\dbch\af38\loch\f0 or \hich\af0\dbch\af38\loch\f0 Mr. Stephen Musisi\hich\af0\dbch\af38\loch\f0 shall be deemed appointed in sequent\hich\af0\dbch\af38\loch\f0 ial order to act second arbitrator. \par \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid3343478\charrsid5182242 \hich\af0\dbch\af38\loch\f0 The arbitrator\hich\af0\dbch\af38\loch\f0 s \hich\af0\dbch\af38\loch\f0 \hich\af0\dbch\af38\loch\f0 are\hich\af0\dbch\af38\loch\f0 reminded to sign the Declaration of Impartiality, Party Undertaking Agreement and file the same with CADER upon assuming jurisdiction over this matter and return the file to CADER for archiving purpo\hich\af0\dbch\af38\loch\f0 ses upon completion of the case. \par \hich\af0\dbch\af38\loch\f0 The parties and the arbitrators are reminded that all monies regarding the arbitration should be submitted through CADER. \par \par \hich\af0\dbch\af38\loch\f0 Costs of this Application shall be borne by the Respondent. \par \par }{\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 CONTACT PARTICULARS}{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 :- \par }\trowd \irow0\irowband0\ts11\trgaph108\trleft-108\trbrdrt\brdrs\brdrw10\brdrcf1 \trbrdrl\brdrs\brdrw10\brdrcf1 \trbrdrb\brdrs\brdrw10\brdrcf1 \trbrdrr\brdrs\brdrw10\brdrcf1 \trbrdrh\brdrs\brdrw10\brdrcf1 \trbrdrv\brdrs\brdrw10\brdrcf1 \trftsWidth1\trftsWidthB3\trftsWidthA3\trautofit1\trpaddl108\trpaddr108\trpaddfl3\trpaddft3\trpaddfb3\trpaddfr3\tblrsid4074890\tbllkhdrrows\tbllkhdrcols \clvertalt\clbrdrt\brdrs\brdrw10\brdrcf1 \clbrdrl\brdrs\brdrw10\brdrcf1 \clbrdrb \brdrs\brdrw10\brdrcf1 \clbrdrr\brdrs\brdrw10\brdrcf1 \cltxlrtb\clftsWidth3\clwWidth8046\clshdrawnil \cellx7938\pard \qc \li0\ri0\sl360\slmult1\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0\pararsid5182242 { \b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Arbitrator\cell }\pard \ql \li0\ri0\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0 {\f0\fs24\insrsid921300\charrsid5182242 \trowd \irow0\irowband0\ts11\trgaph108\trleft-108 \trbrdrt\brdrs\brdrw10\brdrcf1 \trbrdrl\brdrs\brdrw10\brdrcf1 \trbrdrb\brdrs\brdrw10\brdrcf1 \trbrdrr\brdrs\brdrw10\brdrcf1 \trbrdrh\brdrs\brdrw10\brdrcf1 \trbrdrv\brdrs\brdrw10\brdrcf1 \trftsWidth1\trftsWidthB3\trftsWidthA3\trautofit1\trpaddl108\trpaddr108\trpaddfl3\trpaddft3\trpaddfb3\trpaddfr3\tblrsid4074890\tbllkhdrrows\tbllkhdrcols \clvertalt\clbrdrt\brdrs\brdrw10\brdrcf1 \clbrdrl\brdrs\brdrw10\brdrcf1 \clbrdrb \brdrs\brdrw10\brdrcf1 \clbrdrr\brdrs\brdrw10\brdrcf1 \cltxlrtb\clftsWidth3\clwWidth8046\clshdrawnil \cellx7938\row }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0\pararsid5182242 { \b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Hon.\hich\af0\dbch\af38\loch\f0 Rtd Principal Judge J. Ntabgoba }{\f0\fs24\insrsid921300\charrsid5182242 \par \hich\af0\dbch\af38\loch\f0 Kampala Associated Advocates \par \hich\af0\dbch\af38\loch\f0 5}{\f0\fs24\super\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 th}{\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Floor Workers House \par \hich\af0\dbch\af38\loch\f0 Pilkington Road, Kampala\cell }\pard \ql \li0\ri0\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0 {\f0\fs24\insrsid921300\charrsid5182242 \trowd \irow1\irowband1\lastrow \ts11\trgaph108\trleft-108\trbrdrt \brdrs\brdrw10\brdrcf1 \trbrdrl\brdrs\brdrw10\brdrcf1 \trbrdrb\brdrs\brdrw10\brdrcf1 \trbrdrr\brdrs\brdrw10\brdrcf1 \trbrdrh\brdrs\brdrw10\brdrcf1 \trbrdrv\brdrs\brdrw10\brdrcf1 \trftsWidth1\trftsWidthB3\trftsWidthA3\trautofit1\trpaddl108\trpaddr108\trpaddfl3\trpaddft3\trpaddfb3\trpaddfr3\tblrsid4074890\tbllkhdrrows\tbllkhdrcols \clvertalt\clbrdrt\brdrs\brdrw10\brdrcf1 \clbrdrl\brdrs\brdrw10\brdrcf1 \clbrdrb \brdrs\brdrw10\brdrcf1 \clbrdrr\brdrs\brdrw10\brdrcf1 \cltxlrtb\clftsWidth3\clwWidth8046\clshdrawnil \cellx7938\row }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 { \f0\fs24\insrsid921300\charrsid5182242 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 Delivered on \hich\af0\dbch\af38\loch\f0 1}{ \b\f0\fs24\super\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 st}{\b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 }{\b\f0\fs24\insrsid5460850\charrsid5182242 \hich\af0\dbch\af38\loch\f0 September }{ \b\f0\fs24\insrsid921300\charrsid5182242 \hich\af0\dbch\af38\loch\f0 2009\hich\af0\dbch\af38\loch\f0 . \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\tx3600\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\lang1024\langfe1024\noproof\langfenp2057\insrsid921300\charrsid5182242 \par }{\f0\fs24\lang1024\langfe1024\noproof\langfenp2057\insrsid5460850\charrsid5182242 \par }{\b\f0\fs24\insrsid921300\charrsid5182242 \loch\af0\dbch\af38\hich\f0 \'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\loch\f0 . \par \hich\af0\dbch\af38\loch\f0 JIMMY MUYANJA, \par \hich\af0\dbch\af38\loch\f0 EXECUTIVE DIRECTOR.}{\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \ql \li0\ri0\sa200\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }\pard \ql \li0\ri0\sa200\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5182242 {\f0\fs24\insrsid921300\charrsid5182242 \par }{\f0\fs24\insrsid4074890\charrsid5182242 \par }}