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Uganda Judgment

East African Court of Appeal

Omar v Ex-Officio Agent (Civil Appeal No. 26 of 1939) [1942] EACA 45 (1 January 1942)

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01

Holding and result

The court held that the dismissal of the plaintiff's case in the lower court was erroneous because the magistrate wrongly required registration of the wakala, whereas the law only required proper stamping. Once the wakala was stamped and the penalty paid, it became admissible in evidence. The promissory note was found to be valid and supported by credible evidence, including an admission by the deceased's husband. The omission to entitle the action in the attorney's name was not sufficient to defeat the plaintiff's rights. Accordingly, the appeal was allowed and judgment entered for the plaintiff for the amount of the promissory note and costs.

Court disposition

appeal allowed; judgment for plaintiff

Orders

  • Judgment entered for the plaintiff for the amount of the promissory note, Sh. 260, with costs in this court and the court below.
  • Costs do not include the cost of stamping the wakala or the penalty of Sh. 20.

02

Material facts

Parties

Ali bin Omar bin Omar

Appellant

Ex-Officio Agent, wasi of the Estate of Hafsa Binti Omar

Respondent

Amounts and remedies

  • Amount of Promissory Note: KES 260
  • Penalty for Stamping Wakala: KES 20

03

Procedural history

  1. Posture

    Civil Appeal / Judgment After Remand for Stamping of Wakala

04

Questions and positions

Legal issues

Party arguments

Applicant
The appellant contends that the wakala (special power of attorney) is valid and sufficient if properly stamped, and that registration is not required for its admissibility in evidence. The promissory note is a valid acknowledgment of a loan, and the attorney was properly authorized to sue the estate's wasi, not the heirs directly.
Respondent
The respondent (original defendant) argued in the lower court that the wakala was inadmissible because it was not registered, leading to dismissal of the plaintiff's case. No further arguments were presented on appeal as neither party appeared.

05

Court’s reasoning

  1. 01

    Ruling and Judgment of Thacker, J.; local laws on stamping and registration.

    A wakala or special power of attorney to sue on behalf of the grantor need not be registered before being admitted in evidence; proper stamping is sufficient.

  2. 02

    Ruling of Thacker, J.; Inland Revenue requirements.

    A document produced unstamped at trial should be impounded and the party given an opportunity to have it stamped and pay any penalty.

06

Ratio, limits and disposition

Ratio decidendi

The court held that the dismissal of the plaintiff's case in the lower court was erroneous because the magistrate wrongly required registration of the wakala, whereas the law only required proper stamping. Once the wakala was stamped and the penalty paid, it became admissible in evidence. The promissory note was found to be valid and supported by credible evidence, including an admission by the deceased's husband. The omission to entitle the action in the attorney's name was not sufficient to defeat the plaintiff's rights. Accordingly, the appeal was allowed and judgment entered for the plaintiff for the amount of the promissory note and costs.

Obiter and limits

  • The costs in this Court of Appeal cannot be much as the appellant has not appeared, and do not include the cost of stamping the wakala or the penalty.

Court disposition

appeal allowed; judgment for plaintiff

  • Judgment entered for the plaintiff for the amount of the promissory note, Sh. 260, with costs in this court and the court below.
  • Costs do not include the cost of stamping the wakala or the penalty of Sh. 20.

Source and reliance status

East African Court of Appeal

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Judgment text

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Source document

East African Court of Appeal

Judgment

[1942] EACA 45

APPELLATE CIVIL

BEFORE THACKER, J. (with Chief Kathi as an assessor)

ALI BIN OMAR BIN OMAR. Appellant (Original Plaintiff)

$\mathbf{v}$

EX-OFFICIO AGENT, wasi of the Estate of HAFSA BINTI OMAR. Respondent. (Original Defendant)

Civil Appeal No. 26 of 1939

Action on Promissory Note—Wakala or Power of Attorney— Not stamped— Registration unnecessary.

The facts sufficiently appear from the Ruling and Judgment.

Held (27-8-42).—That a wakala or special power of attorney to sue on behalf of the grantor • need not be registered, before being admitted in evidence. It is sufficient if it is properly stamped.

Anneal allowed with costs.

Neither the appellant nor respondent appeared at the hearing of the appeal.

RULING.—This Court cannot go into the merits of this appeal until and unless the document called the wakala is stamped and any penalty demanded by the Inland Revenue paid. It was produced in the lower Court and appears to be a special power of attorney to recover on behalf of the plaintiff, given by him to his brother Abubaker bin Omar.

The plaintiff's case in the lower Court was dismissed *inter alia* on the ground that this wakala was not registered. The Magistrate ought to have impounded the document and given the plaintiff an opportunity of having it stamped in this Colony. It is not a matter of registration, as the Magistrate thought, but a matter of stamping according to the laws of this Colony. The document is impounded and if the appellant wishes this Court to proceed with the merits of this appeal he must have it stamped and any penalty imposed must be paid.

We will then consider the matter further.

JUDGMENT.—Neither appellant nor respondent has wished to be present at the hearing of this appeal.

Since the delivery by this Court of the ruling on 13th March, 1942, the appellant has had stamped the wakala referred to in the Ruling and has also paid the penalty demanded by the Inland Revenue namely Sh.

20. The Court is therefore now in a position to go into the merits of this appeal and to consider the arguments thereon.

The promissory note upon which this action was brought appears to be in order and a valid acknowledgment of a loan made by the plaintiff Ali bin Omar bin Omar to the deceased Hafsa Binti Omar.

The plaintiff appointed his brother Abubaker bin Omar as his attorney by means of a *wakala* produced. A *wakala* appears to be equivalent to a Power of Attorney. This particular wakala appears to be in order and valid. It authorizes the Attorney to sue the heirs but of course the Attorney was correct in suing not the heirs but the Wasi of the estate who represented the heirs.

He is the *ex-officio* Agent, the defendant in the lower Court. The case was dismissed in the lower Court because the *wakala* was not registered. I cannot find however any authority for saying that such a *wakala* must be registered. If it is in order, is stamped and is produced at the trial that is sufficient. It was produced unstamped at the trial but the Magistrate should have given the appellant the opportunity of having it stamped. It appears to me that the plaintiff ought to succeed upon the promissory note. There is no suggestion that it was obtained. by fraud and indeed the husband of the deceased, who signed it, admits it is. valid and that his wife did borrow the money from the plaintiff. That evidence is against his own interest as one of the heirs in the estate and therefore. prima facie rings true.

The action ought properly to have been entitled "Ali bin Omar bin Omar" by his Attorney Abubaker bin Omar," but that omission is not sufficient to deprive the plaintiff of his rights.

The appeal is allowed and judgment will be entered for the plaintiff for the amount of the promissory note namely Sh. 260 with costs here and in the Court below.

The costs in this Court of Appeal cannot be much as the appellant has not appeared, and of course do not include the cost of stamping the *wakala* or the penalty of Sh. 20.

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