Uganda Case Law

Civtec Africa Limited v Mantrac Uganda Limited

Civtec Africa Limited v Mantrac Uganda Limited (Miscellaneous Cause 154 of 2023) [2024] UGHCCD 63 (3 May 2024)

Court

HC: Civil Division (Uganda)

Case number

Miscellaneous Cause 154 of 2023

Judge

Boniface Wamala, J

The court found that the debt claimed by the Respondent was substantially disputed, as the computation of the outstanding sum was done unilaterally without the Applicant's participation, making the debt unascertained. The Applicant also raised a counter claim that required investigation in a separate civil suit. No evidence was presented to show that the Applicant was undergoing financial distress or was unable to pay its debts; the dispute was over the amount owed, not the ability to pay. The court emphasized that insolvency proceedings should not be used as a debt collection tool for disput…

Source excerpt

• Statutory Demand
• Insolvency Proceedings
• Debt Dispute
• Counter Claim
• Bad Faith In Debt Collection

Bahadukali v Springs International Hotel Limited (COMPANY CAUSE NO. 5 OF 2019)

Bahadukali v Springs International Hotel Limited (COMPANY CAUSE NO. 5 OF 2019) [2020] UGHCCD 25 (26 March 2020)

Court

HC: Civil Division (Uganda)

Case number

COMPANY CAUSE NO. 5 OF 2019

Judge

Musa Ssekaana, J

A winding-up petition was dismissed for lack of proof of service of the statutory demand and because the underlying debt was subject to an appeal.

• Company Insolvency
• Statutory Demand
• Debt Dispute
• Winding Up Procedure
• Company-insolvency
• Statutory-demand

Mbale Resort Hotel Limited V Babcon (U) Limited

Mbale Resort Hotel Limited V Babcon (U) Limited (MISCELLANEOUS CAUSE NO. 24 OF 2018) [2019] UGHCCD 216 (1 November 2019)

Court

HC: Civil Division (Uganda)

Case number

MISCELLANEOUS CAUSE NO. 24 OF 2018

Judge

Musa Ssekaana, J

The High Court set aside a statutory demand for an alleged debt arising from earlier arbitration and court proceedings, finding the debt was genuinely disputed and insolvency was not the proper enforcement route.

• Statutory Demand
• Insolvency Proceedings
• Arbitral Award Enforcement
• Debt Dispute
• Execution Of Judgments
• Statutory-demand

Omer farming company Ltd Vs Rehoboth Agricultural Management services Ltd (MISC. CAUSE NO. 21 OF 2019)

Omer farming company Ltd Vs Rehoboth Agricultural Management services Ltd (MISC. CAUSE NO. 21 OF 2019) [2019] UGHCCD 116 (14 June 2019)

Court

HC: Civil Division (Uganda)

Case number

MISC. CAUSE NO. 21 OF 2019

Judge

Musa Ssekaana, J

The court found that the debt claimed by the respondent was not ascertained, as the applicant genuinely disputed the sums claimed and raised substantial counterclaims regarding services not rendered and payments already made. The statutory demand was therefore improperly issued in circumstances where the existence and quantum of the debt were in dispute and required resolution through ordinary litigation or alternative dispute resolution mechanisms as provided in the parties' agreement. The court emphasized that insolvency proceedings are not intended to establish rights but to enforce them,…

Source excerpt

• Statutory Demand
• Insolvency Proceedings
• Debt Dispute
• Consultancy Agreements
• Alternative Dispute Resolution