Uganda Case Law

East Africa Foam Limited v Attorney General and 2 Others

East Africa Foam Limited v Attorney General and 2 Others (Civil Appeal 2 of 2022) [2025] UGSC 5 (3 March 2025)

Court

Supreme Court of Uganda

Case number

Civil Appeal 2 of 2022

Judge

Tuhaise, JSC, Elizabeth Musoke, JSC, Stephen Musota, JSC, Madrama , JSC, Catherine Bamugemereire, JSC

The Supreme Court held that the misnaming of the appellant in the mortgage and debenture documents was a rectifiable misnomer, as the context and evidence demonstrated that all parties intended East Africa Foam Limited to be the guarantor. The Court found that the managing director was literate, based on documentary evidence, and thus the Illiterates Protection Act did not render the documents void. The loan to EFIL, though made to a non-existent company, did not absolve the appellant of liability as guarantor, as the managing director's representations estopped the appellant from denying EFI…

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• Company Guarantees
• Mortgage Enforcement
• Pre Incorporation Contracts
• Misnomer In Legal Documents
• Removal Of Caveats
• Receivership

Blue Wave Beverages Limited & 2 Others v Kiiza & Another

Blue Wave Beverages Limited & 2 Others v Kiiza & Another (Civil Application 1308 of 2023) [2024] UGCA 202 (30 July 2024)

Court

Court of Appeal of Uganda

Case number

Civil Application 1308 of 2023

Judge

Kibeedi Mutangula, JA

Court of Appeal of Uganda dismissed an application for stay of execution pending appeal, finding no irreparable harm, no strong likelihood of success, and no balance of convenience in the applicants’ favour.

• Stay Of Execution
• Receivership
• Foreclosure
• Debenture Enforcement
• Arbitration Clauses
• Right To Legal Representation

Rwenzori Cotton Ginners Company Limited v Jinda International Textiles Co. Limited & 2 Others

Rwenzori Cotton Ginners Company Limited v Jinda International Textiles Co. Limited & 2 Others (Miscellaneous Application 3061 of 2023) [2024] UGCommC 154 (3 May 2024)

Court

Commercial Court of Uganda

Case number

Miscellaneous Application 3061 of 2023

Judge

Ocaya, J

The High Court ordered the respondents to provide UGX 350 million as security for costs in a commercial dispute, finding a real risk of non-recovery if costs were awarded.

• Security For Costs
• Receivership
• Company Striking Off
• Mortgage Transfers
• Counterclaims
• Enforcement Of Costs

Standard Chartered Bank Uganda Limited v Parambot Distilleries Limited & 2 Others

Standard Chartered Bank Uganda Limited v Parambot Distilleries Limited & 2 Others (Civil Suit 924 of 2020) [2024] UGCommC 285 (2 May 2024)

Court

Commercial Court of Uganda

Case number

Civil Suit 924 of 2020

Judge

Anna B. Mugenyi, J

The High Court held the defendants liable under corporate and personal guarantees for a consolidated loan facility and entered judgment for the bank.

• Guarantee Liability
• Loan Facility Disputes
• Contract Enforcement
• Burden Of Proof
• Receivership
• Remedies And Costs

Nalea General Merchants Ltd v Equity Bank Of Uganda and 2 Ors

Nalea General Merchants Ltd v Equity Bank Of Uganda and 2 Ors (Civil Suit No.0246 of 2012) [2023] UGHCCD 368 (14 December 2023)

Court

HC: Civil Division (Uganda)

Case number

Civil Suit No.0246 of 2012

Judge

Douglas Karekona Singiza, J

High Court invalidated a bank’s chattels mortgage over company buses, held the recall and receivership unlawful, and ordered damages and return of the buses.

• Chattels Mortgage
• Invalid Security Interest
• Foreclosure Procedure
• Company Directors Authority
• Remedies For Unlawful Disposal
• Lien And Equitable Charge

Lweza Clays Limited and Another v Tropical Bank Limited and Another

Lweza Clays Limited and Another v Tropical Bank Limited and Another (Miscellaneous Application 625 of 2008) [2022] UGCommC 168 (14 September 2022)

Court

Commercial Court of Uganda

Case number

Miscellaneous Application 625 of 2008

Judge

Stephen Mubiru, J

The High Court refused a temporary injunction over mortgaged commercial property, holding that the applicants showed a triable issue but not irreparable harm.

• Temporary Injunctions
• Mortgage Enforcement
• Receivership
• Security Interests
• Irreparable Harm
• Balance Of Convenience

Crane Bank Limited (In Liquidation) v Sudhir & Another

Crane Bank Limited (In Liquidation) v Sudhir & Another (Civil Application 2 of 2021) [2021] UGSC 16 (12 August 2021)

Court

Supreme Court of Uganda

Case number

Civil Application 2 of 2021

Judge

Opio-Aweri, JSC, Mwondha, JSC, Tibatemwa-Ekirikubinza, JSC, Muhanguzi, JSC, Tuhaise, JSC

The Supreme Court of Uganda refused leave to substitute Crane Bank Limited (In Receivership) with Crane Bank Limited (In Liquidation) in a pending appeal.

• Amendment Of Pleadings
• Substitution Of Parties
• Capacity To Sue
• Receivership
• Liquidation
• Financial Institutions

Ndugga v Kabito and Anor (Receivers of Spencon Services Limited in Receivership)

Ndugga v Kabito and Anor (Receivers of Spencon Services Limited in Receivership) (Miscellaneous Cause No. 219 of 2020) [2021] UGHCCD 3 (4 February 2021)

Court

HC: Civil Division (Uganda)

Case number

Miscellaneous Cause No. 219 of 2020

Judge

Nambayo, J

The court held that the Insolvency Act, 2011 prescribes a mandatory order of priority for payment of creditors in insolvency, with secured and preferential creditors to be satisfied before any payment to unsecured creditors. The applicant, being an unsecured creditor, cannot be paid ahead of secured creditors regardless of his personal circumstances. The court emphasized that while Article 126(2) of the Constitution calls for substantive justice, it is expressly subject to the law, and the statutory scheme cannot be circumvented by judicial discretion. The court found that the application sou…

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• Insolvency Proceedings
• Priority Of Creditors
• Unsecured Creditors
• Receivership
• Statutory Distribution Scheme

Kabiito Karamagi and Donald Nyakairu (The Receivers/Managers of Spencon Services Limited-In Receivership) v Musisi

Kabiito Karamagi and Donald Nyakairu (The Receivers/Managers of Spencon Services Limited-In Receivership) v Musisi (MISCELLANEOUS CAUSE NO. 80 OF 2017) [2020] UGHCCD 166 (11 June 2020)

Court

HC: Civil Division (Uganda)

Case number

MISCELLANEOUS CAUSE NO. 80 OF 2017

Judge

Mugambe, J

The High Court set aside a disputed sale of company machinery in receivership, finding the asset was sold at gross undervalue without proof of authority or proper payment.

• Receivership Directions
• Asset Recovery
• Sale Of Company Assets
• Bona Fide Purchaser
• Undervalue Transactions
• Receivership

Lweza Clays Ltd & Anor v Tropical Bank Ltd & Anor

Lweza Clays Ltd & Anor v Tropical Bank Ltd & Anor (Civil Application 31 of 2018) [2019] UGSC 12 (19 February 2019)

Court

Supreme Court of Uganda

Case number

Civil Application 31 of 2018

The Supreme Court dismissed three preliminary objections to an interim application, holding it could hear the matter, and that mortgage security rules did not apply.

• Interim Injunctions
• Stay Of Proceedings
• Mortgage Enforcement
• Receivership
• Court Jurisdiction
• Security For Costs