B.D.S.Ltd v Antone. H. Akroush (High Court Miscellaneous Application No. 503 of 2008) [2008] UGCommC 49 (20 October 2008)

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{\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\pararsid5797233 \b\f36\fs32\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\fs24\insrsid11485506\charrsid5797233 THE REPUBLIC OF UGANDA \par }{\b0\f0\fs24\insrsid11485506\charrsid5797233 \par }{\f0\fs24\insrsid11485506\charrsid5797233 IN THE HIGH COUT OF UGANDA AT KAMPALA \par COMMERCIAL COURT DIVISION \par \par HCT}{\f0\fs24\insrsid15032037\charrsid5797233 \endash }{\f0\fs24\insrsid11485506\charrsid5797233 00}{\f0\fs24\insrsid15032037\charrsid5797233 \endash }{\f0\fs24\insrsid11485506\charrsid5797233 CC}{\f0\fs24\insrsid15032037\charrsid5797233 \endash }{ \f0\fs24\insrsid11485506\charrsid5797233 MA}{\f0\fs24\insrsid15032037\charrsid5797233 }{\f0\fs24\insrsid11485506\charrsid5797233 -}{\f0\fs24\insrsid15032037\charrsid5797233 }{\f0\fs24\insrsid11485506\charrsid5797233 503}{ \f0\fs24\insrsid15032037\charrsid5797233 -

}{\f0\fs24\insrsid11485506\charrsid5797233 2008 \par \par B. D. S LIMITED\tab }{\f0\fs24\insrsid1443459\charrsid5797233 ::::::::::::::::::::::}{\f0\fs24\insrsid11485506\charrsid5797233 ::::::::::::::: APPLICANT \par \par VS \par \par ANTONE . H. AKROUSH ::::::::::::::::\tab RESPONDENT \par \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5797233 {\f0\fs24\insrsid11485506\charrsid5797233 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5797233 {\f0\fs24\insrsid11485506\charrsid5797233 RULING \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5797233 {\f0\fs24\insrsid11485506\charrsid5797233 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5797233 {\b0\f0\fs24\insrsid11485506\charrsid5797233 This is a n Application brought by the Defendants/Applicants B. D. S Limited to set aside the orders made in the main suit }{\b0\f0\fs24\insrsid16085821\charrsid5797233 CS }{\b0\f0\fs24\insrsid11485506\charrsid5797233 230 of 2008 and for stay of execution an}{ \b0\f0\fs24\insrsid16085821\charrsid5797233 d unconditional leave to appear }{\b0\f0\fs24\insrsid11485506\charrsid5797233 and defendant and for}{\b0\f0\fs24\insrsid16085821\charrsid5797233

co}{\b0\f0\fs24\insrsid11485506\charrsid5797233 st}{ \b0\f0\fs24\insrsid16085821\charrsid5797233 s. \par \par The}{\b0\f0\fs24\insrsid11485506\charrsid5797233 said application is made under Section 33 of the Judicature Act, Section 98 of the Civil Procedure Rule}{\b0\f0\fs24\insrsid16085821\charrsid5797233 s}{\b0\f0\fs24\insrsid11485506\charrsid5797233 , Order 36 Rule 11 of }{\b0\f0\fs24\insrsid16085821\charrsid5797233 Civil Procedure Rules}{\b0\f0\fs24\insrsid11485506\charrsid5797233 , Order 22 Rule 24 and Order 52 Rule 1 & 3 of }{\b0\f0\fs24\insrsid16085821\charrsid5797233 Civil Procedure Rules}{ \b0\f0\fs24\insrsid11485506\charrsid5797233 . }{\b0\f0\fs24\insrsid16085821\charrsid5797233 \par \par }{\b0\f0\fs24\insrsid11485506\charrsid5797233 The Plaintiffs brought the claim following issuance of cheque by BDS Limited in the sum of 225,000 dollars}{\b0\f0\fs24\insrsid16085821\charrsid5797233 . A}{\b0\f0\fs24\insrsid11485506\charrsid5797233 pparently that cheque was issued by the company which was previously called Jae}{\b0\f0\fs24\insrsid16085821\charrsid5797233 l}{\b0\f0\fs24\insrsid11485506\charrsid5797233 Limited as stipulated in paragraph 2 of the Plaint. \par \par }{\b0\f0\fs24\insrsid16085821\charrsid5797233 The Applicants/}{\b0\f0\fs24\insrsid11485506\charrsid5797233 Defendant}{\b0\f0\fs24\insrsid16085821\charrsid5797233 s}{\b0\f0\fs24\insrsid11485506\charrsid5797233

claim that they were not served }{ \b0\f0\fs24\insrsid1331279\charrsid5797233 and that they have a good cause of action and particularly that when the cheque was dishonored no notice of dishonor was given to them. }{\b0\f0\fs24\insrsid5590666\charrsid5797233 \par \par }{\b0\f0\fs24\insrsid1331279\charrsid5797233 The application before the court is to set aside the decree and the court has to consider whether the Defendants/Respondents were served or not a nd secondly whether there is any merit in the case in order to proceed ahead. }{\b0\f0\fs24\insrsid2889717\charrsid5797233 \par }{\b0\f0\fs24\insrsid1331279\charrsid5797233 The court has looked at the }{\b0\f0\fs24\insrsid5590666\charrsid5797233 Affidavit of service which was filed by the court Process server who gave a very detailed explanation of what happened particularly explaining that he was referred to one Isaac}{\b0\f0\fs24\insrsid2889717\charrsid5797233 ,}{ \b0\f0\fs24\insrsid5590666\charrsid5797233 supposed to be the Manager of BDS Limited at Hannington road and that he would not sign the documents but nevertheless }{\b0\f0\fs24\insrsid9593820\charrsid5797233 accepted the documents pointing out that he would seek advise from his Lawyers before he signs anything.}{\b0\f0\fs24\insrsid11485506\charrsid5797233 \par }{\b0\f0\fs24\insrsid9593820\charrsid5797233 \par The court is satisfied that the service of documents at

the Company\rquote s place of business or registered address is conclusive. As far as the merits are concerned, the Defendants allege that }{\b0\f0\fs24\insrsid198250\charrsid5797233 the Plaintiffs have not shown any consideration }{\b0\f0\fs24\insrsid3935805\charrsid5797233 and that the Plaintiffs were informed that they had to serve any proceedings on their Lawyers. \par \par The claim was brought on the }{\b0\f0\fs24\insrsid10821309\charrsid5797233 dishonored}{\b0\f0\fs24\insrsid3935805\charrsid5797233 cheques and the plaintiffs did not have to show any consideration and if the cheque was }{ \b0\f0\fs24\insrsid10821309\charrsid5797233 dishonored}{\b0\f0\fs24\insrsid3935805\charrsid5797233 the defendants did not write back to the Plaintiff explaining why the cheque had been }{\b0\f0\fs24\insrsid10821309\charrsid5797233 dishonored}{ \b0\f0\fs24\insrsid3935805\charrsid5797233 or any other proposals to make sure that the cheque was met in due course. }{\b0\f0\fs24\insrsid8469882\charrsid5797233 \par \par }{\b0\f0\fs24\insrsid3935805\charrsid5797233 In those circumstances, the court is sa}{\b0\f0\fs24\insrsid7886815\charrsid5797233 tisfied that this is not a case where the Application should be allowed but nevertheless in }{ \b0\f0\fs24\insrsid8469882\charrsid5797233 v}{\b0\f0\fs24\insrsid7886815\charrsid5797233 ie}{\b0\f0\fs24\insrsid8469882\charrsid5797233

w}{\b0\f0\fs24\insrsid7886815\charrsid5797233 of the large sums of monies claimed or in issue, the court will grant a conditional leave to}{\b0\f0\fs24\insrsid1443459\charrsid5797233 defend and set aside the orders already made subject to the Defendant\rquote s/Applicant\rquote s paying the sum of 225,000 dollars into the court within two (2) wee ks. If the Defendants/Applicants have any problem in making payment into the court because their client is out of the country, then they should re-apply to the court for extension of time or communicate with the other side informing them of their problems so that the }{\b0\f0\fs24\insrsid8132297\charrsid5797233 extension of time may be given by }{\b0\f0\fs24\insrsid1443459\charrsid5797233 mutual }{\b0\f0\fs24\insrsid8132297\charrsid5797233 consent rather than coming back to the court. If at the end of two week}{\b0\f0\fs24\insrsid8469882\charrsid5797233 s}{\b0\f0\fs24\insrsid8132297\charrsid5797233 the sum of 225,000 dollars is not paid to the court then the conditional leave }{ \b0\f0\fs24\insrsid16085821\charrsid5797233 will be discharged}{\b0\f0\fs24\insrsid8469882\charrsid5797233 ,}{\b0\f0\fs24\insrsid16085821\charrsid5797233 the previous orders will be revived and the Plaintiffs will be free to go ahead with the}{ \b0\f0\fs24\insrsid8469882\charrsid5797233 respective }{\b0\f0\fs24\insrsid16085821\charrsid5797233 execution of their

judgment/order.}{\b0\f0\fs24\insrsid3935805\charrsid5797233 \par }{\b0\f0\fs24\insrsid16085821\charrsid5797233 \par Cost of this Application to be paid by the Defendants to the Plaintiff.}{\b0\f0\fs24\insrsid15032037\charrsid5797233 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid5797233 {\f0\fs24\insrsid15032037\charrsid5797233 \par \par \par }{\f0\fs24\insrsid16085821\charrsid5797233 Anup Singh Choudry \par Judge}{\f0\fs24\insrsid8469882\charrsid5797233 \par }{\f0\fs24\insrsid16085821\charrsid5797233 21/1}{\f0\fs24\insrsid8469882\charrsid5797233 0}{\f0\fs24\insrsid16085821\charrsid5797233 /2008 \par }}