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15 Mar 2011

Commercial And Corporate [2011] UGHC 28

Wasukira & 2 Ors v Harmony Group Ltd (HCT-04-CV-CS-0040-2009)

Wasukira & 2 Ors v Harmony Group Ltd (HCT-04-CV-CS-0040-2009) [2011] UGHC 28 (15 March 2011)

Court: High Court of Uganda
Case number: HCT-04-CV-CS-0040-2009
Judge: Musota, J

The suit is based on an unstamped commission agreement, which is inadmissible in evidence under Section 42 of the Stamps Act. The plaintiffs did not seek leave of court to pay the required stamp duty, rendering the agreement unenforceable. Furthermore, the 3rd plaintiff was not incorporated at the time the alleged contract was made, and the law does not permit a company to ratify or adopt contracts made prior to its incorporation. The pleadings do not demonstrate a legally protected interest or a valid cause of action against the defendant. Therefore, the suit is struck out for non-disclosure…

Source excerpt

Agency Agreement
Commission Claims
Preincorporation Contracts
Stamp Duty Requirements
Cause Of Action
Contract Enforceability

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1 Jan 1952

Commercial And Corporate [1952] EACA 180

Velji v Takim and Company

Velji v Takim and Company (Civil Appeal No. 40 of 1952) [1952] EACA 180 (1 January 1952)

Court: East African Court of Appeal
Case number: Civil Appeal No. 40 of 1952
Judge: Murphy J, Nihill P, Worley VP

The Court held that the document in question was a broker's note prepared and signed by the broker, setting out the terms and conditions of the sale above the broker's signature, with the signatures of the seller and buyer below. The presence of words in Gujarati did not alter the essential character of the document as a broker's note. As the stamp was affixed after execution and not by the broker, the document failed to comply with the mandatory requirements of the Zanzibar Stamp Decree. Consequently, the document was inadmissible in evidence, and the respondent's claim for damages could not…