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Okello Oryem Alfred & 2 Ors v Akright Projects Ltd & Anor (High Court Miscellaneous Application No. 671 of 2009) [2009] UGCommC 5 (4 March 2009)
- Citation
- [2009] UGCommC 5
- Status
- Judgment
- Jurisdiction
- Uganda
- Court
- Commercial Court of Uganda
- Posture
- Miscellaneous Application / Ruling
- Case number
- High Court Miscellaneous Application No. 671 of 2009
- Language
- English
More details
- Court
- Commercial Court of Uganda
- Posture
- Miscellaneous Application / Ruling
- Case number
- High Court Miscellaneous Application No. 671 of 2009
- Language
- English
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The court found that none of the properties listed in the warrant of attachment were actually attached, and the objectors failed to demonstrate a completed and registered transfer or binding contract for the properties in question. The evidence presented, including title deeds and sale agreements, was either incomplete or did not establish the objectors as bonafide purchasers for value. The court held that equitable interest alone, without registration, is insufficient to prevent attachment, and the objectors' application was misconceived as there was no attachment to intervene against. The application was therefore dismissed with costs.
Court disposition
application dismissed
Orders
- The application for lifting attachment is dismissed with costs.
02
Material facts
Parties
Okello Oryem Alfred
ApplicantAngeyo Jennifer
ApplicantOmal David Livingstone
ApplicantAkright Projects Ltd
RespondentAnother
Respondent03
Procedural history
Posture
Miscellaneous Application / Ruling
04
Questions and positions
Legal issues
- 01
Whether the properties named in the warrant of attachment are liable for attachment as belonging to the judgment debtors.
- 02
Whether the objectors have a legal or equitable interest in the properties sufficient to prevent attachment.
- 03
Whether the objectors are bonafide purchasers for value without notice.
Party arguments
- Applicant
- The applicants/objectors argued that the properties listed in the warrant of attachment were acquired prior to the attachment and belong to them, not the judgment debtors. They presented evidence of title deeds and sale agreements to support their claim of ownership and asserted that they are bonafide purchasers for value. They sought to have the attachment lifted on the basis that the properties are not liable for execution against the judgment debtors.
- Respondent
- The respondents maintained that the properties have not been attached and challenged the validity and completeness of the applicants' documentation. They argued that the transfers were not completed or registered, and that the applicants failed to demonstrate that they were bonafide purchasers for value. The respondents contended that the objectors have no legal interest in the properties and that the application is misconceived.
05
Court’s reasoning
Legal principles
- 01
Order 22 Rules 55, 56 & 57 Civil Procedure Rules
Attachment of property under Order 22 Rules 55, 56 & 57 CPR requires that the property must belong to the judgment debtor at the time of attachment.
- 02
Ugandan land law and equity principles
A bonafide purchaser for value without notice must show a completed and registered transfer to claim protection against attachment.
- 03
Land Registration Act, Cap 230
Equitable interest may arise from possession of title deeds, but registration is necessary to protect such interest against third parties.
06
Ratio, limits and disposition
Ratio decidendi
The court found that none of the properties listed in the warrant of attachment were actually attached, and the objectors failed to demonstrate a completed and registered transfer or binding contract for the properties in question. The evidence presented, including title deeds and sale agreements, was either incomplete or did not establish the objectors as bonafide purchasers for value. The court held that equitable interest alone, without registration, is insufficient to prevent attachment, and the objectors' application was misconceived as there was no attachment to intervene against. The application was therefore dismissed with costs.
Obiter and limits
- Objectors should have registered a caution or estate contract or conducted proper searches at the land registry to establish ownership.
- Any action for loss should have been against the lawyers who acted on the purchase of the properties.
- The explanation provided by the objectors was convoluted and did not establish any legal interest in the properties.
Court disposition
application dismissed
- The application for lifting attachment is dismissed with costs.
Source and reliance status
Commercial Court of Uganda
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Commercial Court of Uganda
Judgment
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.}}{\*\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\pararsid24830 \b\f36\fs32\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\fs24\insrsid10162446\charrsid24830 THE REPUBLIC OF UGANDA \par }{\b0\f0\fs24\insrsid10162446\charrsid24830 \par }{\f0\fs24\insrsid10162446\charrsid24830 IN THE HIGH COU}{\f0\fs24\insrsid12719077\charrsid24830 R}{\f0\fs24\insrsid10162446\charrsid24830 T OF UGANDA AT KAMPALA \par COMMERCIAL COURT DIVISION \par \par HCT-00-CC-MA-671/2009 \par \par OKELLO ORYEM ALFRED & 2 OTHERS :::::::::::::::::::: APPLICANTS \par \par VS \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid24830 {\f0\fs24\insrsid10162446\charrsid24830 AKRIGHT PRO}{\f0\fs24\insrsid7083598\charrsid24830 J}{\f0\fs24\insrsid10162446\charrsid24830 ECTS LTD & ANOTHER::::::::::::::::: RESPONDENTS \par }\pard \qc
\li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid24830 {\f0\fs24\insrsid10162446\charrsid24830 \par \par }{\f0\fs24\charscalex150\insrsid4663089\charrsid24830 \par }{\f0\fs24\charscalex150\insrsid10162446\charrsid24830 RULING \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid24830 {\f0\fs24\charscalex150\insrsid10162446\charrsid24830 \par }{\f0\fs24\charscalex150\insrsid14365129\charrsid24830 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid24830 {\b0\f0\fs24\insrsid10162446\charrsid24830 This is an application brought by objector by way of Motion under Order 22 Rule 55, 56 & 57, Order 52 rule 1, 2 & 3 CPR, SS.44 & 98 CPA for attachment of properties named in the warrant of attachment in Civil Suit No. 140 of 2008 being properties belonging t}{ \b0\f0\fs24\insrsid14225015\charrsid24830 o Okello Oryem Alfred and namely}{\b0\f0\fs24\insrsid10162446\charrsid24830 Block 276 Plot 656, 657, 658 and 662. \par \par }{\b0\f0\fs24\insrsid14225015\charrsid24830 Angeyo Jennifer namely}{\b0\f0\fs24\insrsid10162446\charrsid24830 Block 256 Plots 659 and 660}{\b0\f0\fs24\insrsid14225015\charrsid24830 ,}{\b0\f0\fs24\insrsid10162446\charrsid24830 and Omal David Livingston}{ \b0\f0\fs24\insrsid8940276\charrsid24830
e}{\b0\f0\fs24\insrsid10162446\charrsid24830 }{\b0\f0\fs24\insrsid14225015\charrsid24830 namely }{\b0\f0\fs24\insrsid10162446\charrsid24830 Block 276 Plot 661. \par \par The basis of objection application is that these properties are not liable for attachment because they were acquired prior to attachment by the objectors who are not the judgment debtors. \par \par The evidence was given to the court with respect to the purchase of these Plots by learned Counsel Okello Or}{\b0\f0\fs24\insrsid14225015\charrsid24830 yem Alfred. I will deal with each}{\b0\f0\fs24\insrsid10162446\charrsid24830 purchase as follows:
\par }{\f0\fs24\insrsid12719077\charrsid24830 \par }{\f0\fs24\insrsid11543806\charrsid24830 Plots by Okello Oryem Alfred \par }{\b0\f0\fs24\insrsid11543806\charrsid24830 As regards plot 656 & 657 the learned Counsel provided original title deed and incomplete transfers from the judgment debtor }{\b0\f0\fs24\insrsid14225015\charrsid24830 which are undated.}{ \b0\f0\fs24\insrsid11543806\charrsid24830 \par \par Mr. Okello }{\b0\f0\fs24\insrsid4481622\charrsid24830 maintains}{\b0\f0\fs24\insrsid11543806\charrsid24830 that these properties were fully }{\b0\f0\fs24\insrsid807437\charrsid24830 paid and transf}{\b0\f0\fs24\insrsid14225015\charrsid24830 erred to him} {\b0\f0\fs24\insrsid807437\charrsid24830 as evidenced by}{\b0\f0\fs24\insrsid14225015\charrsid24830 possession of title deeds. Thes}{\b0\f0\fs24\insrsid807437\charrsid24830 e }{\b0\f0\fs24\insrsid14225015\charrsid24830 titles }{ \b0\f0\fs24\insrsid807437\charrsid24830 are marked Exhibit A1 and A 2.}{\b0\f0\fs24\insrsid11543806\charrsid24830 \par }{\b0\f0\fs24\insrsid807437\charrsid24830 \par No sale agreements have been produced in support of the transfer. The first Defendant maintains that the properties have not been attached and that in or around October 2008 the}{\b0\f0\fs24\insrsid14225015\charrsid24830 properties by a consent decree }{ \b0\f0\fs24\insrsid807437\charrsid24830 with another
party}{\b0\f0\fs24\insrsid14225015\charrsid24830 ,}{\b0\f0\fs24\insrsid807437\charrsid24830 obtain}{\b0\f0\fs24\insrsid14225015\charrsid24830 ed}{\b0\f0\fs24\insrsid807437\charrsid24830 rele}{ \b0\f0\fs24\insrsid14225015\charrsid24830 ase}{\b0\f0\fs24\insrsid807437\charrsid24830 of all the caveats on the property. \par \par The Objector does not state why the transfer was not completed or registered and whether he was bonafide purchase}{\b0\f0\fs24\insrsid8940276\charrsid24830 r}{\b0\f0\fs24\insrsid807437\charrsid24830 for value}{\b0\f0\fs24\insrsid14225015\charrsid24830 . T}{\b0\f0\fs24\insrsid807437\charrsid24830 he Objector cannot intervene where there is no attachment. \par \par The Objector holds the title deeds and he has equitable interest in the property which }{\b0\f0\fs24\insrsid14225015\charrsid24830 he did not choose to register to protect his interest.}{\b0\f0\fs24\insrsid807437\charrsid24830 \par \par As regards Plot 658 and 662 there is evidence of sale agreements dated 12.01.07 which were not completed by transfer or registration. The sale contract took place after the }{\b0\f0\fs24\insrsid4663089\charrsid24830 titles were}{ \b0\f0\fs24\insrsid807437\charrsid24830 delivered to a third party. \par \par }{\b0\f0\fs24\insrsid16207653\charrsid24830 The}{\b0\f0\fs24\insrsid807437\charrsid24830 s}{\b0\f0\fs24\insrsid16207653\charrsid24830
e}{\b0\f0\fs24\insrsid807437\charrsid24830 properties are not attached}{\b0\f0\fs24\insrsid16207653\charrsid24830 . T}{ \b0\f0\fs24\insrsid807437\charrsid24830 he Objector }{\b0\f0\fs24\insrsid10958988\charrsid24830 sh}{\b0\f0\fs24\insrsid14225015\charrsid24830 ould have registered a caution or estate contract or carried out proper}{\b0\f0\fs24\insrsid807437\charrsid24830 search}{\b0\f0\fs24\insrsid14225015\charrsid24830 es}{\b0\f0\fs24\insrsid807437\charrsid24830 at the land Registry to}{\b0\f0\fs24\insrsid14225015\charrsid24830 establish the correct owners}{\b0\f0\fs24\insrsid807437\charrsid24830 . Their legal representatives were not prudent in conducting all the }{\b0\f0\fs24\insrsid14225015\charrsid24830 necessary enquires }{\b0\f0\fs24\insrsid927557\charrsid24830 to show that the purchaser was a bon}{\b0\f0\fs24\insrsid14225015\charrsid24830 afide purchaser at arm\rquote s length and for value.}{\b0\f0\fs24\insrsid927557\charrsid24830 Any action for loss }{\b0\f0\fs24\insrsid14225015\charrsid24830 should have been against the }{\b0\f0\fs24\insrsid16207653\charrsid24830 Lawyers who acted on the purchase of the properties.}{\b0\f0\fs24\insrsid807437\charrsid24830 \par }{\b0\f0\fs24\insrsid927557\charrsid24830 \par The next }{\b0\f0\fs24\insrsid16207653\charrsid24830 items relate}{\b0\f0\fs24\insrsid927557\charrsid24830 to B}{\b0\f0\fs24\insrsid14225015\charrsid24830 lock
267, Plot 659 and 660 held by Angeyo Jennifer}{\b0\f0\fs24\insrsid16207653\charrsid24830 . T}{ \b0\f0\fs24\insrsid14225015\charrsid24830 wo}{\b0\f0\fs24\insrsid16207653\charrsid24830 sale agreements B1 and C1,}{\b0\f0\fs24\insrsid927557\charrsid24830 have been produced purported to be in relation to Plot 659 and 660 althoug}{ \b0\f0\fs24\insrsid14225015\charrsid24830 h the contract refers}{\b0\f0\fs24\insrsid927557\charrsid24830 to them as plot 377, 378 and 376. The contract }{\b0\f0\fs24\insrsid2254965\charrsid24830 was signed on 22 July}{ \b0\f0\fs24\insrsid14225015\charrsid24830 2006 and had cut off }{\b0\f0\fs24\insrsid2254965\charrsid24830 point on 22}{\b0\f0\fs24\super\insrsid2254965\charrsid24830 nd}{\b0\f0\fs24\insrsid2254965\charrsid24830 July 2007 by which }{ \b0\f0\fs24\insrsid13906050\charrsid24830 date }{\b0\f0\fs24\insrsid2254965\charrsid24830 the transfer was not completed as the installments under the }{\b0\f0\fs24\insrsid4663089\charrsid24830 contract }{\b0\f0\fs24\insrsid2254965\charrsid24830 were not paid}{\b0\f0\fs24\insrsid16207653\charrsid24830 in full}{\b0\f0\fs24\insrsid2254965\charrsid24830 .}{\b0\f0\fs24\insrsid13906050\charrsid24830 There was therefore no binding contract to}{\b0\f0\fs24\insrsid2254965\charrsid24830 }{ \b0\f0\fs24\insrsid4663089\charrsid24830 transfer }{\b0\f0\fs24\insrsid16207653\charrsid24830 to the Purchaser and she was
}{\b0\f0\fs24\insrsid13906050\charrsid24830 not }{\b0\f0\fs24\insrsid16207653\charrsid24830 the bonafide purchaser}{ \b0\f0\fs24\insrsid4663089\charrsid24830 .}{\b0\f0\fs24\insrsid13906050\charrsid24830 }{\b0\f0\fs24\insrsid16207653\charrsid24830 This objector therefore has}{\b0\f0\fs24\insrsid4663089\charrsid24830 no interest in the properties. }{ \b0\f0\fs24\insrsid13906050\charrsid24830 \par \par }{\b0\f0\fs24\insrsid4663089\charrsid24830 The property Block 276 Plot 661 }{\b0\f0\fs24\insrsid13906050\charrsid24830 was sold to Omal David}{\b0\f0\fs24\insrsid4663089\charrsid24830 . \par \par The sale }{\b0\f0\fs24\insrsid13906050\charrsid24830 agreement dated 29.08.06 was }{\b0\f0\fs24\insrsid4663089\charrsid24830 with 2 people and relate to Plot 332 and 333. The parties had 12 months to conclude the contract by 29.08.02. There}{ \b0\f0\fs24\insrsid13906050\charrsid24830 is no evidence of invoices }{\b0\f0\fs24\insrsid4663089\charrsid24830 paid in relation to Plot 66}{\b0\f0\fs24\insrsid14365129\charrsid24830 1}{\b0\f0\fs24\insrsid13906050\charrsid24830 . The contract was not}{ \b0\f0\fs24\insrsid4663089\charrsid24830 concluded even }{\b0\f0\fs24\insrsid13906050\charrsid24830 if it relates to the objector or}{\b0\f0\fs24\insrsid4663089\charrsid24830 Plot 66}{\b0\f0\fs24\insrsid10958988\charrsid24830 1}{ \b0\f0\fs24\insrsid4663089\charrsid24830
.}{\b0\f0\fs24\insrsid13906050\charrsid24830 \par \par }{\b0\f0\fs24\insrsid4663089\charrsid24830 The whole explanation sounds convoluted. The Objector}{\b0\f0\fs24\insrsid10958988\charrsid24830 s}{\b0\f0\fs24\insrsid4663089\charrsid24830 clearly have no interest in these Plots}{ \b0\f0\fs24\insrsid8940276\charrsid24830 except whereby they hold title deeds}{\b0\f0\fs24\insrsid4663089\charrsid24830 . Their application for attachment to be lifted under order 22 Rule 55, 56 & 57 is misconceived}{ \b0\f0\fs24\insrsid13906050\charrsid24830 as none of the properties were attached}{\b0\f0\fs24\insrsid4663089\charrsid24830 . }{\b0\f0\fs24\insrsid13906050\charrsid24830 The application is}{\b0\f0\fs24\insrsid4663089\charrsid24830 dismissed with costs.
\par \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid24830 {\f0\fs24\insrsid4663089\charrsid24830 Anup Singh Choudry \par J u d g e \par }{\f0\fs24\insrsid162116\charrsid24830 05/03/09 \par }}
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