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Uganda Judgment

Commercial Court of Uganda

Aya Investments (U) Ltd v Mugoya Construction & Engineering (U) Ltd (High Court Miscellaneous Application No. 514 of 2008) [2008] UGCommC 50 (26 October 2008)

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01

Holding and result

The court found that the applicant failed to demonstrate sufficient cause for non-attendance at the hearing and did not show seriousness in prosecuting the application. The grounds advanced did not justify setting aside the previous order or reopening the arbitration award, especially as the applicant failed to establish impartiality of the tribunal. The court emphasized that any loss suffered by the applicant due to counsel's absence should be addressed through legal representatives, not by seeking the court's intervention to remedy a breach that has already occurred. Consequently, the application was dismissed with costs.

Court disposition

application dismissed with costs

Orders

  • The application is dismissed with costs to the respondent.

02

Material facts

Parties

AYA Investments (U) Ltd

Applicant

Mugoya Construction & Engineering (U) Ltd

Respondent Counsel: Ronald Oine

03

Procedural history

  1. Posture

    Miscellaneous Application / Ruling

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant contends that their counsel was prevented from attending court by sufficient cause and made reasonable efforts to ensure representation at the hearing. They argue that Miscellaneous Application No. 210 seeks to set aside an arbitration award requiring the applicant to pay substantial sums, and that the tribunal was not impartial.
Respondent
The respondent, through counsel Ronald Oine, submits that the applicant's summons should be struck out for want of prosecution under Order 9 Rule 22 of the Civil Procedure Rules, as it discloses no grounds or merits. The respondent argues that the applicant did not show seriousness in prosecuting the matter and failed to demonstrate any basis for reopening the arbitration award.

05

Court’s reasoning

  1. 01

    Order 9 Rule 23, Civil Procedure Rules

    A party seeking to set aside a court order for non-attendance must show sufficient cause for their absence and seriousness in prosecuting their case.

  2. 02

    Section 33, Judicature Act; Section 98, Civil Procedure Act

    Courts will not re-evaluate matters of fact already considered by an arbitrator unless there is a clear basis for reopening the arbitration, such as proven impartiality.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the applicant failed to demonstrate sufficient cause for non-attendance at the hearing and did not show seriousness in prosecuting the application. The grounds advanced did not justify setting aside the previous order or reopening the arbitration award, especially as the applicant failed to establish impartiality of the tribunal. The court emphasized that any loss suffered by the applicant due to counsel's absence should be addressed through legal representatives, not by seeking the court's intervention to remedy a breach that has already occurred. Consequently, the application was dismissed with costs.

Obiter and limits

  • The court will not act as an insurance cover for parties who fail to prosecute their cases diligently.
  • Applicants suffering loss due to counsel's negligence should seek remedies against their lawyers, not the court.

Court disposition

application dismissed with costs

  • The application is dismissed with costs to the respondent.

Source and reliance status

Commercial Court of Uganda

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Judgment text

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Source document

Commercial Court of Uganda

Judgment

[2008] UGCommC 50

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INVESTMENTS (U) LTD\tab ::::::::::::::::::::::::::::::::::: APPLICANT \par \par VS \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\f0\fs24\insrsid12202391\charrsid5247627 MUGOYA CONSTRUCTION & ENGINEERING (U) LTD:::}{\f0\fs24\insrsid1856941\charrsid5247627 :}{ \f0\fs24\insrsid12202391\charrsid5247627 RESPONDENT \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\f0\fs24\insrsid12202391\charrsid5247627 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\f0\fs24\insrsid12202391\charrsid5247627 \par BEFORE:\tab JUSTICE ANUP SINGH CHOUDRY \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8323708 {\f0\fs24\insrsid12202391\charrsid5247627 R U L I N G \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\f0\fs24\insrsid12202391\charrsid5247627 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 This is an Application brought under Notice of Motion under Order 9 Rule 23 and Order 52 Rule 1 & 3 of the CPR and Section 98 of CPA and Section 33 of Judicature

Act. \par \par The Applicants have made an application for the Court that the order made on 22}{\b0\f0\fs24\super\insrsid12202391\charrsid5247627 nd}{\b0\f0\fs24\insrsid12202391\charrsid5247627 September be set aside and that a day be appointed for proceedings with respect to Miscellaneous Application No. 210 of 2008. \par \par The grounds stated in support of the Application are: \par \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid12202391\charrsid5247627 \hich\af0\dbch\af0\loch\f0 (a)\tab}}\pard \qj \fi-540\li540\ri0\sl360\slmult1\widctlpar \jclisttab\tx540\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin540\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 That the Counsel for the Applicant was p revented from attending court by sufficient course, that Counsel for the Applicant made a reasonable effort to ensure that the Application was represented by Counsel at the hearing, \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid12202391\charrsid5247627 \hich\af0\dbch\af0\loch\f0 (b)\tab}}\pard \qj \fi-540\li540\ri0\sl360\slmult1\widctlpar \jclisttab\tx540\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin540\itap0\pararsid5247627

{\b0\f0\fs24\insrsid12202391\charrsid5247627 That Application No. 210 seeks to set aside an Arbitration award requirin g the Applicant herein to pay substantial amount of monies. \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 \par When this Application came to the court on the 22}{\b0\f0\fs24\super\insrsid12202391\charrsid5247627 nd}{\b0\f0\fs24\insrsid12202391\charrsid5247627 September, the court made an order set it aside and the application was to set aside, in whole and the court to substitute it own award from the grounds of impartiality. The Applicants were challenging the award of Stephen Musisi on 26}{ \b0\f0\fs24\super\insrsid12202391\charrsid5247627 th}{\b0\f0\fs24\insrsid12202391\charrsid5247627 March 2008 on the grounds that the Tribunal was not impartial. \par \par On 22}{\b0\f0\fs24\super\insrsid12202391\charrsid5247627 nd}{\b0\f0\fs24\insrsid12202391\charrsid5247627 September the court looked at the application in the absence of the Applicants or their r epresentatives and took the view that the court could not re-evaluate matters which had already been considered by the Arbitrator as matters of fact. The Applicants at the hearing of 22}{\b0\f0\fs24\super\insrsid12202391\charrsid5247627 nd}{ \b0\f0\fs24\insrsid12202391\charrsid5247627 September did

not help the court by not turning up and secondly, they did not demonstrate the basis on which the court could re-open the Arbitration matter. \par \par Counsel for the Respondent Ronald Oine made and application for Applicant\rquote s summons to distract or want of prosecution under Order 9 Rule 22 of CPR as disclosing no grounds or merits and further that the Applicants did not show any seriousness in this matter as the Applicant \'85....be struck off in their absence. It was reinstated and it has come to the court, he came to the court when they were not present. \par \par In view of the history of the matter and in view of the Arbitration award, the court is not satisfied that the Applicants have shown good reasons for not turning up or for not prosecuting the days and therefore this court will not act as an Insurance cover to help the Applicants. \par \par It is true that the Applicant may have suffered loss he is entitled to look to that loss to legal representatives and not seek the assistance of the court to remedy a breach which has already taken place namely: duty of care by their Lawye rs to their client. \par }\pard \qj \li1440\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin1440\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 \par }\pard \qj

\li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8323708 {\b0\f0\fs24\insrsid12202391\charrsid5247627 As stated on 29}{\b0\f0\fs24\super\insrsid12202391\charrsid5247627 th}{ \b0\f0\fs24\insrsid12202391\charrsid5247627 September, no seriousness was shown in dealing with the Applicant\rquote s case and in those circumstances, the Applicant\rquote s case; application today is dismissed with costs.}{ \b0\f0\fs24\insrsid12202391\charrsid8323708 \par }\pard \qc \fi-1440\li1440\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin1440\itap0\pararsid5247627 {\f0\fs24\insrsid12202391\charrsid5247627 Anup Singh Choudry \par Judge \par 27/10/2008 \par }\pard \qj \fi-1440\li1440\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin1440\itap0\pararsid5247627 {\b0\f0\fs24\insrsid12202391\charrsid5247627 }{\b0\f0\fs24\insrsid12202391\charrsid5247627 \par \par \par }}

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Authorities

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Order 9 Rule 23, Civil Procedure Rules

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Order 52 Rule 1 & 3, Civil Procedure Rules

Legislation

Legislation referenced in the available case record.

Section 98, Civil Procedure Act

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Legislation referenced in the available case record.

Section 33, Judicature Act

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Legislation referenced in the available case record.

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