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Uganda Judgment

HC: Civil Division (Uganda)

Tushabe Chris v Uganda Railways Corporation (Civil Suit No. 365 of 2019) [2023] UGHCCD 67 (17 March 2023)

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Source document

01

Holding and result

The court found that the plaintiff's claim was statute barred under the Limitation Act, as the cause of action arose in 1992 and the suit was filed in 2019, far beyond the statutory limitation period. The purported acknowledgment relied upon by the plaintiff did not satisfy the legal requirements, as it was neither signed nor unequivocal, and thus could not revive the claim. The court emphasized that limitation laws are intended to ensure finality and prevent the revival of stale claims, and that the plaintiff's delay of 27 years was unjustifiable. Consequently, the court dismissed the suit without considering the merits, sustaining the defendant's plea of limitation.

Court disposition

dismissed

Orders

  • The plaintiff's suit is dismissed as statute barred.
  • The defendant is awarded costs of the suit.

02

Material facts

Parties

Tushabe Chris Karobwa

Plaintiff Counsel: Waisswa Ramathan

Uganda Railways Corporation

Defendant Counsel: Apenya Robert, Rita Nakalema

Amounts and remedies

  • Plaintiff's Monthly Salary at Termination: USD 2,208.5

03

Procedural history

  1. Posture

    Civil Suit / Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
The plaintiff argued that his cause of action is not barred by the Limitation Act because the defendant acknowledged the claim in writing and promised to pay what it owed. He asserted that as a pensionable employee, his entitlements are protected under Section 18(1) of the Pensions Act, and that pension, gratuities, and allowances are emoluments protected by law. The plaintiff relied on minutes of meetings in 2019 as evidence of acknowledgment of liability by the defendant.
Respondent
The defendant contended that the plaintiff's claim is statute barred, as the termination occurred in 1992 and the suit was filed in 2019, well beyond the limitation period. The defendant argued that any alleged acknowledgment did not meet the statutory requirements under Section 23 of the Limitation Act, as there was no written and signed acknowledgment of liability. The defendant also maintained that the plaintiff's claim for pension was unsustainable, as the pension had already been paid, and that the plaintiff's action was essentially a breach of contract disguised as a statutory claim.

05

Court’s reasoning

  1. 01

    Section 22(4) and Section 23(1) of the Limitation Act

    A cause of action for recovery of debt or pecuniary claim is deemed to accrue on the date of acknowledgment or last payment, provided the acknowledgment is in writing and signed.

  2. 02

    Tabitha Lalango Lutara v Attorney General CACA No. 026 of 2011; Madhivani International v Attorney General SCCA No. 023 of 2010

    An acknowledgment must be clear, distinct, unequivocal, and intentional, with no doubt that the debt is admitted, though the amount need not be stated.

  3. 03

    Sulgrave Holdings Inc. v F. G. N (2012) 17 NWLR p. 309 (SC)

    Limitation statutes are designed to promote justice by preventing revival of stale claims and require diligent prosecution of known claims.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the plaintiff's claim was statute barred under the Limitation Act, as the cause of action arose in 1992 and the suit was filed in 2019, far beyond the statutory limitation period. The purported acknowledgment relied upon by the plaintiff did not satisfy the legal requirements, as it was neither signed nor unequivocal, and thus could not revive the claim. The court emphasized that limitation laws are intended to ensure finality and prevent the revival of stale claims, and that the plaintiff's delay of 27 years was unjustifiable. Consequently, the court dismissed the suit without considering the merits, sustaining the defendant's plea of limitation.

Obiter and limits

  • A statute of limitation is designed to stop or avoid a situation where a plaintiff can commence action anytime he feels like, even where human memory would have faded.
  • By statute of limitation, a plaintiff has no freedom to sleep or slumber and wake up at his own time to commence an action against a defendant.
  • The different statutes of limitation, founded on equity and fair play, will not aid a slumbering plaintiff.

Court disposition

dismissed

  • The plaintiff's suit is dismissed as statute barred.
  • The defendant is awarded costs of the suit.

Source and reliance status

HC: Civil Division (Uganda)

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Source document

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Judgment text

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Source document

HC: Civil Division (Uganda)

Judgment

[2023] UGHCCD 67

THE REPUBLIC OF UGANDA

IN THE HIGH COURT OF UGANDA AT KAMPALA

(CIVIL DIVISION)

CIVIL SUIT NO. 365 OF 2019

TUSHABE CHRIS KAROBWA-------------------------------------------------PLAINTIFF

VERSUS

UGANDA RAILWAYS CORPORATION----------------------------------DEFENDANT

BEFORE: HON. JUSTICE SSEKAANA MUSA

JUDGMENT

The facts of the plaintiff's case are that on 3rd November 1972 the plaintiff was offered employment by the defendant and thereafter was confirmed as a permanent and pensionable staff on 24th September 1973. He served in several capacities as Service Station Master at various stations, Instructor and Chief Instructor at the defendant's Training School at Jinja, Traffic Officer General Kampala and lastly the defendant's Resident Representative at Nairobi Kenya.

By letter dated 26th October 1992 Ref MD/32373 addressed to the plaintiff at his work station in Nairobi, the defendant terminated the plaintiff's employment with immediate effect. The plaintiff was immediately evicted from his official residence by the defendant on the 31st day of October 1992.

AGREED FACTS

According to the record of proceedings/Joint Scheduling memorandum, the following are the agreed facts;

• That the plaintiff was the defendant's employee from 3/11/1972 until 26th October 1992 when the contract of employment was terminated.

• That at the time of the termination the plaintiff was earning a salary of \$2,208.5

AGREED ISSUES.

- *(1) Whether the plaintiff's cause of action is barred by the Limitation Act?* - *(2) Whether the defendant is in breach of the Plaintiff's statutory right to be repatriated?* - *(3) Whether the plaintiff is entitled to terminal benefits from the defendants?* - *(4) Whether the plaintiff is entitled to the remedies sought?*

The plaintiff was represented by *Counsel Waisswa Ramathan* while the defendant was represented by *Counsel Apenya Robert and Counsel Rita Nakalema*

At the trial both parties led evidence of one witness each in proof of their respective case and other evidence was by way of documentary evidence that were exhibited at trial.

*Whether the plaintiff's cause of action is barred by the Limitation Act?*

The plaintiff counsel submitted that the plaintiff's cause of action is not barred by the Limitation Act since the plaintiff's claim is acknowledged in writing by the defendant and in fulfilment of that acknowledgement, the defendant has promised to pay what it thinks it owes the plaintiff.

The plaintiff claims and brings this suit to recover statutory post termination entitlement like repatriation and terminal benefits. As a pensionable employee, the plaintiff is protected until his death. It was counsel's argument that pension, gratuities and other allowances in respect to public service under the government of Uganda are emoluments which are protected by Section 18(1) of the Pensions Act.

The defendant's counsel submitted that following the plaintiff's termination of employment, the plaintiff filed a suit on 11th November 1992 in the high Court of Kenya challenging his dismissal and termination of employment contract by the defendant which action was heard and determined in favour of the defendant.

The plaintiff has construed as a breach of statutory action is in effect a breach of contract. The plaintiff is merely disguising an action in breach of contract of employment which is statute barred. Under Halsbury's Laws of England vol 1 2001 paragraph 186, the question whether the breach of duty imposed by statute gives rise to civil liability will be determined according to the same principles that apply generally to creation of statutory duty.

Secondly, the plaintiff claim for pension is unsustainable since the said pension allowance was already paid being a computation of pension and monthly pension.

The defendant's counsel submitted that section 23 requires such acknowledgement should be in writing and signed by the person making it. There is no evidence on record indicating that the defendant acknowledged liability for the plaintiff's claim.

The plaintiff's further in rejoinder contended that there were several meetings 24th April 2019 and 3rd May, 2019 wherein the defendant acknowledged liability and promised to pay the defendant.

*Analysis*

Where the issue of limitation is raised in defence of an action, it is only proper that the issue should be addressed first, as it makes no sense to decide the merit of a matter that is statute barred. In the event of a successful plea of limitation law against a plaintiff's right of action, the action becomes extinguished and unmaintainable at law.

The purpose of limitations, like equitable doctrine of laches, in their conclusive effects are designed to promote justice by preventing surprises through revival of claims that have been allowed to slumber. Once the action is stale and statute barred, no matter how well it is conducted and determined all the efforts put in it comes to naught and the court has no jurisdiction to deal with it.

The plaintiff filed this suit on 26th August 2019 seeking compensatory damages for breach of statutory provisions of employment laws, special damages, general and punitive, costs and interest.

The plaintiff's contract of employment was terminated on 26th October 1992 which termination was challenged in the High Court of Kenya No. 5994 of 1992 seeking to recover a sum of Kshs. 2,450,346 being a total sum for loss of net salary, commuted pension, transport allowance, 3 months emoluments, terminal leave settlements, long service award and transportation of personal effects as per Exh DE11.

It is indeed not in dispute that the plaintiff was not paid some terminal benefits as per exhibit DE13 in which the in which the AG Corporation Secretary requested the financial controller to hold on to Tushabe's terminal benefits until the issue of accounting for sum funds he had obtained is settled.

The plaintiff for a period of 27 years abandoned the claim until he made attempts to resuscitate the stale claim in 2019 through meetings which he now claims are an acknowledgment of indebtedness. The plaintiff has referred to exh PE 8 & 9 as the basis of bringing this claim and has called them minutes of the said meetings.

Section 22(4) of the Limitation Act provides that:

*Where any right of action has accrued to recover any debt or other liquidated pecuniary claim, or any claim to the personal estate of a deceased person or to any share or interest in it, and the person liable or accountable therefor acknowledges the claim or makes any payment in respect of the claim, the right shall be deemed to have accrued on and not before the date of acknowledgement or the last payment; but a payment of the rent or interest due at any time shall not extend the period of claiming the remainder then due, but any payment of interest shall be treated as a payment in respect of the principle debt.*

Section 23(1) provides;

*Every such acknowledgment as is mentioned in section 22 shall be in writing signed by the person making the acknowledgement.*

In the case of *Tabitha Lalango Lutara v Attorney General CACA No. 026 of 2011* Justice Egonda Ntende approved the definition of acknowledgement as stated in the Supreme Court in *Madhivani International v Attorney General SCCA No. 023* *of 2010* by holding that; *"An Acknowledgement is an admission which must be clear, distinct, unequivocal and intentional. There must be no doubt that the debt is being admitted although the amount does not need to be stated.*"

The plaintiff's purported acknowledgment falls far short of an acknowledgment within the above definition. The said minutes exh PE 8 & 9 do not state person who attended the said meeting in which the acknowledgement was made and neither does it bear any signature of the person who allegedly attended or signature of the defendant representative who signed on behalf of the defendant. The plaintiff merely relies on a stamp embossed on the alleged minutes which are unsigned or owned by any person as the author and even the plaintiff who claims to have attended the same meetings never signed the same.

The discussion about the plaintiff's claims would not amount to an acknowledgement as the plaintiff wants this court to believe. The plaintiff is responsible for the delay of 27 years and cannot use trickery to bring a stale claim which he abandoned for such a long period of time. A statute of limitation is a law that bars claim after a specified period. The purpose of such a statute is to require diligent prosecution of known claims thereby providing finality and predictability in legal affairs.

This court should not aid the plaintiff to resuscitate such a claim which is 27 years old. The essence of a limitation law is that the legal right to enforce an action is not perpetual right but a right generally limited by statute. A statute of limitation is designed to stop or avoid a situation where a plaintiff can commence action anytime he feels like doing so, even where human memory would normally have faded and therefore failed. Put in another language, by statute of limitation, a plaintiff has no freedom of air to sleep or slumber and wake up at his own time to commence an action against a defendant. The different statutes of limitation, which are essentially founded on the principle of equity and fair play, will not such a slumbering plaintiff. *See Sulgrave Holdings Inc. v F. G. N (2012) 17 NWLR p. 309 (SC)*

If an action succeeds on a plea of statute limitation, the court should not proceed to determine the merits of the case, irrespective of the evidence.

The defendant's defence to the plaintiff's action as being statute barred is accordingly sustained by this court and the plaintiff's claim is dismissed.

The defendant is awarded costs of the suit.

It is so ordered.

*SSEKAANA MUSA JUDGE 17th March 2023*

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Authorities

Authorities used by the court

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

Tabitha Lalango Lutara v Attorney General CACA No. 026 of 2011

Case cited

Madhivani International v Attorney General SCCA No. 023 of 2010

Case cited

Sulgrave Holdings Inc. v F. G. N (2012) 17 NWLR p. 309 (SC)

Case cited

Limitation Act, Cap 80

Legislation

Legislation referenced in the available case record.

Pensions Act, Section 18(1)

Legislation

Legislation referenced in the available case record.

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