Kiyaga v Segujja & Anor
Kiyaga v Segujja & Anor (Civil Appeal No. 37 of 2010) [2018] UGCA 26 (8 June 2018)
The Court of Appeal found that the interest rate charged on the loan was unconscionable and excessive, exercising its discretion under Section 26 of the Civil Procedure Act to reopen the transaction and substitute a fair interest rate of 20% per annum. The court held that the parties intended to create an equitable mortgage, and the right to redeem the property could not be fettered by any contractual provision. The transfer of the suit land to the second respondent was fraudulent, as it was effected while payments were still being made and the property was intended only as security. The firs…
Source excerpt
- Mortgage Equity Of Redemption
- Fraudulent Transfer Of Land
- Bonafide Purchaser
- Contractual Interest Rate
- Registration Of Titles
- Money Lending Transactions