Liberty Construction Company Limited v Onen Kaitaita and Another
Liberty Construction Company Limited v Onen Kaitaita and Another (Civil Suit No. 331 of 2014) [2021] UGCommC 41 (24 August 2021)
The court found that the 1st Defendant, having received tax monies as part of the contract proceeds and admitted to retaining them, was liable to remit those sums to the Plaintiff, who was the tax payer under the contract. The proceeds sharing agreement did not expressly exempt the 1st Defendant from tax liability, and the definition of debt included tax obligations. The Plaintiff suffered penalties and loss of business opportunities due to failure to remit taxes, for which the 1st Defendant was responsible. The power of attorney granted to the 1st Defendant was irrevocable as it secured his…
Source excerpt
- Contractual Liability
- Vat Obligations
- Withholding Tax
- Agency And Power Of Attorney
- Damages For Non Payment
- Interest On Tax Liability