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Uganda Judgment

East African Court of Appeal

Musleh (Insolvency Jurisdiction) (Cause No. 23 of 1927) [1927] EACA 12 (1 January 1927)

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Source document

01

Holding and result

The court held that since Obed bin Musleh has not been formally adjudged a lunatic under the Lunacy District Courts Act, 1858, he is only an alleged lunatic. Therefore, the usual procedure for serving a petition on a person of unsound mind applies. The court directed that service should be effected by serving one copy of the petition on a relative (Ali bin Ahmed) at the last known residence or place of business of the debtor, and another copy on the medical officer in charge at Mathari Mental Hospital. The court distinguished the present situation from cases where a person has been formally adjudged a lunatic, noting that the question of whether such a person can be adjudicated bankrupt is unsettled but not relevant here, as no such adjudication has occurred. Costs of the application are to come out of the estate.

Court disposition

Application for directions on service granted.

Orders

  • Service of the petition to be effected by serving one copy on Ali bin Ahmed at the last known residence or place of business of Obed bin Musleh.
  • Service of another copy of the petition to be effected on Dr. McFiggans at Mathari Mental Hospital.
  • Costs of the application to come out of the estate.

02

Material facts

Parties

Obed bin Musleh

Respondent

Ali bin Ahmed

Applicant

03

Procedural history

  1. Posture

    Insolvency Application / Ruling on Service of Petition

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant sought directions on how to serve the insolvency petition on Obed bin Musleh, who is alleged to be of unsound mind and is currently detained at Mathari Mental Hospital. The applicant argued that service should be effected in a manner that ensures the debtor is properly notified, considering his mental state and current residence.
Respondent
The respondent, through counsel, raised the issue that the question of whether a lunatic can be adjudicated bankrupt remains unsettled, particularly where the person has not been formally adjudged a lunatic by the court under the Lunacy District Courts Act, 1858.

05

Court’s reasoning

  1. 01

    Bankruptcy Rules R. 115; Lunacy District Courts Act, 1858; O. 9 R. 5 of the English Rules

    Service on a person of unsound mind who has not been adjudged a lunatic should be effected by serving a copy of the petition on a relative at the last known residence or place of business, and another copy on the medical officer in charge of the debtor.

  2. 02

    Court observation; Lunacy District Courts Act, 1858

    The question of whether a lunatic can be adjudicated bankrupt is unsettled and only arises where the person has been formally adjudged a lunatic.

06

Ratio, limits and disposition

Ratio decidendi

The court held that since Obed bin Musleh has not been formally adjudged a lunatic under the Lunacy District Courts Act, 1858, he is only an alleged lunatic. Therefore, the usual procedure for serving a petition on a person of unsound mind applies. The court directed that service should be effected by serving one copy of the petition on a relative (Ali bin Ahmed) at the last known residence or place of business of the debtor, and another copy on the medical officer in charge at Mathari Mental Hospital. The court distinguished the present situation from cases where a person has been formally adjudged a lunatic, noting that the question of whether such a person can be adjudicated bankrupt is unsettled but not relevant here, as no such adjudication has occurred. Costs of the application are to come out of the estate.

Obiter and limits

  • The question as to whether a lunatic can be adjudicated bankrupt is still unsettled, but only arises where the person has been adjudged a lunatic by the court.

Court disposition

Application for directions on service granted.

  • Service of the petition to be effected by serving one copy on Ali bin Ahmed at the last known residence or place of business of Obed bin Musleh.
  • Service of another copy of the petition to be effected on Dr. McFiggans at Mathari Mental Hospital.
  • Costs of the application to come out of the estate.

Source and reliance status

East African Court of Appeal

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Source document

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Judgment text

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Source document

East African Court of Appeal

Judgment

[1927] EACA 12

INSOLVENCY JURISDICTION.

Before SHERIDAN, J.

In the matter of OBED MUSLEH. - Cause No. 23/1927.

Service of Petition on person of unsound mind.

Held:—That service be effected by serving one copy of the Petition<br>upon a relative, at the last known residence or place of business<br>of the debtor, and another copy upon the Medical Officer in charge of the debtor.

RULING.—At the present time Obed bin Musleh though said to be detained in a Mental Hospital cannot from the point of view of this Court be said to be a lunatic, he is an alleged lunatic but he has not been adjudged a lunatic under the only procedure in force in this country, namely, the Lunacy District Courts Act, 1858. In a similar case in England service on such a person as Obed would be effected under O. 9 R. 5 of the English Rules by directing service on the person with whom he resided or in whose care he was. The affidavit shows that Obed is at present residing at Mathari Mental Hospital under the care of Dr. McFiggans. R. 115 of the local Bankruptcy Rules is perhaps sufficiently wide to provide for the service on a person of unsound mind such as Obed at his last-known residence or place of business—the petition being served on an adult inmate of that place, but having regard to the fact that Obed is known to be at the Mathari Mental Hospital I consider the proper course to adopt is to serve one copy of the petition on Obed bin Musleh's nephew Ali bin Ahmed, at the last-known residence or place of business of Obed. and another on Dr. McFiggans at the Mathari Mental Hospital. A point has been raised by Mr. Daly for the information of the Court that the question as to whether a lunatic can be adjudicated bankrupt is still unsettled. This is so but it has reference only to a lunatic who has been adjudicated to be such by the Court sitting in Lunacy. In the present case as a Judge sitting in Bankruptcy I am not restricted by anything done by a Judge sitting in Lunaey, for although an application was made on the Lunacy side of the Court it did not result in an adjudication or in any order affecting the property of Obed bin Musleh.

Costs of application to come out of the estate.

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Lunacy District Courts Act, 1858

Legislation

Legislation referenced in the available case record.

Bankruptcy Rules R. 115

Legislation

Legislation referenced in the available case record.

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