Mukama v National Housing And Construction Corporation (Civil Suit No. 794 of 1999) [2001] UGHC 7 (19 November 2001)

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COURT OF UGANDA AT KAMPALA \line }{\b\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 CIVIL SUIT NO. 794/99 }{\b\lang1033\langfe2057\langnp1033\insrsid2961452 \line GEORGE MUK}{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 AMA}{\b\lang1033\langfe2057\langnp1033\insrsid2961452 \'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85 PLAINT}{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 IFF \line VS \line NATIONAL HOUSING AND CONST. CORPORATION}{\b\lang1033\langfe2057\langnp1033\insrsid2961452 \'85\'85\'85}{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 DEFENDANT \line }{\b\lang1033\langfe2057\langnp1033\insrsid2961452 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2961452 {\b\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 BEFORE: THE HON. MR. JUSTICE }{ \b\ul\lang1033\langfe2057\langnp1033\insrsid2961452\charrsid2961452 MU}{\b\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2961452 GAMBA}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \line }{ \ul\lang1033\langfe2057\langnp1033\insrsid2961452 \par }\pard \s15\qc \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2961452

{\b\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 RULING }{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \line }{\b\lang1033\langfe2057\langnp1033\insrsid2961452 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2961452 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2961452 Messrs. National}{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Housing and Construction Corporation brought this applicatio}{\lang1033\langfe2057\langnp1033\insrsid2961452 n for review under sections 101}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 and 83 (b) of the Civil Procedure Act, section 35 of the Judicature Statute (Statute 13 of 1996) and Order 42 rule 1(b) of the Civil Procedure Rules. The applicants seek for the consent judgment ente}{\lang1033\langfe2057\langnp1033\insrsid2961452 r ed between themselves and Mr. Geo}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 rge Mukama, the respondent, to be set aside or varied. Needless to say, the application is opposed by respondent. \line }{ \lang1033\langfe2057\langnp1033\insrsid2961452 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 In an application of this nature

it is gainful to heed the wisdom of the Court of Appeal for Eastern Africa in }{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Ismail Sunder}{\ul\lang1033\langfe2057\langnp1033\insrsid2961452 j}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 i Hirani }{\ul\lang1033\langfe2057\langnp1033\insrsid2961452\charrsid10315566 vs.}{ \ul\lang1033\langfe2057\langnp1033\insrsid2961452 Noorali Esmail Kassam}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 (1952) 19 EACA 31 where at page 134 it is observed: \line }{\lang1033\langfe2057\langnp1033\insrsid2961452 \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2961452 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \lquote .... The position is clearly set out in Se}{\lang1033\langfe2057\langnp1033\insrsid2961452 ton on Judgment and Orders (7}{\lang1033\langfe2057\super\langnp1033\insrsid2961452\charrsid2961452 th}{\lang1033\langfe2057\langnp1033\insrsid2961452 }{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Edition), Vol.1, page 124, as follows:}{\lang1033\langfe2057\langnp1033\insrsid2961452 - \par }\pard \s15\ql

\li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid11428956 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \'93Prima facie, any ord er made in the presence and with the \line consent of Counsel is binding on all parties to the proceedings or action, and on those claiming under them -- and cannot be varied or discharge}{\lang1033\langfe2057\langnp1033\insrsid11428956 d unless obtained by fraud or }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 collusion, or by an agreement contrary t o the policy of the Court ---; or if the consent was given without sufficient material facts, or in misapprehension or in ignorance of material facts, or in general for a reason which would enable the Court to set aside an agreement.\'94\rquote \line }{ \lang1033\langfe2057\langnp1033\insrsid11428956 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid11428956 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 The same Court maintained this position in }{ \ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Brooke Bond Liebig (T) Ltd }{\ul\lang1033\langfe2057\langnp1033\insrsid11428956\charrsid10315566 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566

Mallya }{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 [1975] EA 266. This Court echoed this view in }{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Kamanzi & Others }{ \ul\lang1033\langfe2057\langnp1033\insrsid11428956\charrsid10315566 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Nkambwe & Others }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 [1978] HCB 105. The task facing this Court is to see if the consent judgment was attended by the variables neces sary to obviate the setting aside or variation of the same. The notice of motion in support of the application sets out three general grounds as follows: \line }{\lang1033\langfe2057\langnp1033\insrsid11428956 \par }\pard \s15\ql \fi-720\li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid11428956 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 1. }{ \lang1033\langfe2057\langnp1033\insrsid11428956 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 The consent judgment/decree is contrary to the policy of the Court as it tends to bind parties which are not before Court. \line }{ \lang1033\langfe2057\langnp1033\insrsid11428956 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 2.

}{\lang1033\langfe2057\langnp1033\insrsid11428956 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Parties to and in a civil matter cannot consent to compromise prosecution of a criminal case. \line }{\lang1033\langfe2057\langnp1033\insrsid11428956 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 3. }{\lang1033\langfe2057\langnp1033\insrsid11428956 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 The consent was entered into without sufficient material facts or in misapprehension or in ignorance of material facts. \line }{\lang1033\langfe2057\langnp1033\insrsid11428956 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid1339817 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 In }{ \lang1033\langfe2057\langnp1033\insrsid11428956\charrsid10315566 addition to}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 the motion there were three affidavits and, of course, spirited submissions on behalf of the applicant. The respondent, apart from submissions by Counsel, proffered two affidavits, one by the respondent himself and another by Charles Odere Esq. an Ad vocate which were in opposition to the motion. Counsel for the applicant in his submission argued that t}{\lang1033\langfe2057\langnp1033\insrsid11428956 he affidavits in support of the }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 respondent\rquote s case were incompetent because no fees had been paid in Court for them. It has since been confirmed by the Registry that the payment was effected and }{\lang1033\langfe2057\langnp1033\insrsid11428956 the affidavits are spotless. \line

\par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 I have referred to the case of }{\ul\lang1033\langfe2057\langnp1033\insrsid11428956 Ismail Sunderji Hirani (T) L}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 td. }{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 There it is shown that consent judgment entered by consent is binding on parties. Consequently, I find the argument t hat the consent judgment and decree is contrary to policy of Court unreasonable and I would dismiss it for what it is worth. \line }{\lang1033\langfe2057\langnp1033\insrsid11428956 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 The second ground is that parties to and in a civil matter cannot consent to compromise prosecution of a criminal nature. In his a rguments Counsel for the applicant stated that an agreement to stiffle prosecution is illegal and that when the consent judgment included provision for dropping and withdrawing all complaints and criminal charges against the respondent herein in respect o f Buganda Road Court Criminal Case No.1079 of 2001 on or before 4}{\lang1033\langfe2057\super\langnp1033\insrsid13391232\charrsid2365491 th}{\lang1033\langfe2057\langnp1033\insrsid2365491 Oc}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 tober 2001 the act was an infringement on the process of

the Director of Public Prosecutions and an illegal contrast came into being. This, he argued, called for review of the judgment and he called }{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Windhill Local Board of Health }{\ul\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Vint }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 (1890), 45 Ch. D.351 to his aid. I find this submission persuasive especially when Counsel accompanies this authority, as he does, with that of }{ \ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Makula International Ltd }{\ul\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 His Eminence Cardinal Nsubuga & Another }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 [19821 HCB 11 where it was held }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2365491 inter alia}{ \i\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 that a Court of law cannot sanction what is illegal and illegality on}{\lang1033\langfe2057\langnp1033\insrsid2365491 ce brought to the attention of

}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 the Court, overrides all questions of pleading, including any admissions made. What was agreed to under the consent judgment regarding to criminal case is tantamount to arrogating on tie parties powers of the Directo}{\lang1033\langfe2057\langnp1033\insrsid2365491 r of Public Prosecutions under A}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 rticle 120 of the Constitution. This is illegal and calls out for a remedial measure by way of review. \line }{\lang1033\langfe2057\langnp1033\insrsid2365491 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Another grou nd advanced by the applicants is that consent was reached without sufficient material facts or in misapprehension or in ignorance of material facts. I note that at the time of the consent judgment a fresh lawyer had been engaged by the applicant. That law yer was Kiboneka Esq. This followed an observation earlier on, by applicant\rquote s then Counsel, Mutaawe Esq. on 12}{\lang1033\langfe2057\super\langnp1033\insrsid13391232\charrsid2365491 th}{\lang1033\langfe2057\langnp1033\insrsid2365491 July 2001, }{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 that his personal acquaintance with the case was such that he was likely to be called as a witness. Therefore he stated that he w as withdrawing from

conduct of the case and an adjournment followed. Consequently on 27}{\lang1033\langfe2057\super\langnp1033\insrsid13391232\charrsid2365491 th}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 August 2001 Kiboneka Esq. appeared as Counsel for the defendant, the role previously played by Mutaawe Esq., and applied for adjournment to go and study details of the case. Adjournment was granted. On 4}{ \lang1033\langfe2057\super\langnp1033\insrsid13391232\charrsid2365491 th}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 September 2001 when it was time for hearing of the case to commence Counsel both for the plaintiff and defendant asked Court to record a consent judgment. This was done. }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 Given}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 the above chronological detail I }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 find}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 it hard to appreciate contention by the applicant regarding lack of, misapprehension or ignorance of material facts on the occasion, particularly after Kiboneka Esq. had prudently asked for time to go and study details of the case. I am not persuaded by the ground. \line }{\lang1033\langfe2057\langnp1033\insrsid2365491 \par

}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 It has been argued by Counsel for the applicant that the applicant should not pay Shs.23}{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 , 000,000}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 /= to the respondent given what had transpired between the parties prior to the suit. Respectfully I find this reasoning cannot be sustained given the fact that this is what the parties freely elected to agree to and that in any case the original amount claimed in the plaint by the respondent herein was Shs.32,350,000/= - an amount less }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 than}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 what came to be agreed upon. \line }{\lang1033\langfe2057\langnp1033\insrsid2365491 \par }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 For the reasons already given I w ould particularly review the consent judgment by running from it only those parts relating to the criminal case currently at Buganda Road Court and I would have the consent judgment read as under: \line }{\lang1033\langfe2057\langnp1033\insrsid2365491

\par }\pard \s15\ql \fi-720\li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2365491 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 1. }{ \lang1033\langfe2057\langnp1033\insrsid2365491 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 That the defendant pays the }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 plaintiff}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 a total sum of shillings twenty three million (Shs.23}{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 , 000,000}{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 /=) in full and final satisfaction of the plaintiff\rquote s claim in HCCS No.794 of 1999, such amounts being payable on or before the 4th day of October 2001, whereupon the plaintiff shall }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 relinquish}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 all claims to the }{\lang1033\langfe2057\langnp1033\insrsid2365491 land in dispute. \line }{ \lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2365491

{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 2. }{ \lang1033\langfe2057\langnp1033\insrsid2365491 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 Each p}{\lang1033\langfe2057\langnp1033\insrsid2365491 arty shall bear its own costs. }{ \b\lang1033\langfe2057\langnp1033\insrsid2365491 \par }\pard \s15\ql \fi-720\li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2365491 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 3. }{ \lang1033\langfe2057\langnp1033\insrsid2365491 \tab }{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 By this decree each party has indemnified the other of all civil claims it may have had against the other in respect of the suit property. \line }{\lang1033\langfe2057\langnp1033\insrsid2365491 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2365491 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 This review has been partial and is in consequ ence of a mistake originating from both parties. Parties to }{\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid10315566 this}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 application are therefore to meet their own costs.

\line }{\b\lang1033\langfe2057\langnp1033\insrsid2365491 \par }\pard \s15\qc \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2365491 {\b\lang1033\langfe2057\langnp1033\insrsid2365491 P.}{ \b\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid2365491 Mugam}{\b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2365491 ba}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \line }{ \b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2365491 Jud}{\b\lang1033\langfe2057\langnp1033\insrsid2365491\charrsid2365491 g}{\b\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid2365491 e}{\lang1033\langfe2057\langnp1033\insrsid2365491 \line 19/11/2001}{\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \line \par }\pard\plain \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1339817 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\lang1033\langfe2057\langnp1033\insrsid13391232\charrsid10315566 \par }}