Uganda Case Law

Brood 2 B.V & 2 Others v Brood (U) Limited (Winding Up Cause 5 of 2023)

Brood 2 B.V & 2 Others v Brood (U) Limited (Winding Up Cause 5 of 2023) [2024] UGCommC 338 (13 November 2024)

Court

Commercial Court of Uganda

Case number

Winding Up Cause 5 of 2023

Judge

Harriet Grace Magala, J

The court found that while the Petitioners had established the Respondent's insolvency and complied with the statutory demand and timing requirements for filing the petition, they failed to comply with Regulation 89 of the Insolvency Regulations, which requires public notice of the petition within seven working days of filing. This procedural step is mandatory and serves to notify all stakeholders, ensure transparency, and allow creditors and other interested parties to participate in the winding up process. The omission of this step is not a mere technicality but a substantive defect that un…

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• Company Liquidation
• Insolvency Procedure
• Statutory Demand
• Creditor Rights

Fosroc Kenya Limited v Lakes Construction Support Limited (Company Cause 27 of 2024)

Fosroc Kenya Limited v Lakes Construction Support Limited (Company Cause 27 of 2024) [2024] UGCommC 342 (12 November 2024)

Court

Commercial Court of Uganda

Case number

Company Cause 27 of 2024

Judge

Kahigi Asiimwe, J

The High Court dismissed a winding-up petition after finding the claimed debt was genuinely disputed over the quality of goods supplied and was not an ascertained debt.

• Winding Up Petition
• Insolvency
• Disputed Debt
• Merchantable Quality
• Statutory Demand
• Winding-up-petition

Stanbic Bank Limited v Jonah Investments Limited & Another

Stanbic Bank Limited v Jonah Investments Limited & Another (Miscellaneous Application 8 of 2017) [2024] UGCommC 228 (6 June 2024)

Court

Commercial Court of Uganda

Case number

Miscellaneous Application 8 of 2017

Judge

Stephen Mubiru, J

The High Court held that failure to comply with a duly served statutory demand presumed insolvency and justified a winding-up order against Jonah Investments Limited.

• Insolvency Proceedings
• Statutory Demand
• Winding Up Petition
• Judgment Debt Enforcement
• Insolvency-proceedings
• Statutory-demand

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…

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

Jomayi Consultants Limited v NC Bank Uganda Limited (Company Cause 5 of 2020; Miscellaneous Cause 43 of 2020)

Jomayi Consultants Limited v NC Bank Uganda Limited (Company Cause 5 of 2020; Miscellaneous Cause 43 of 2020) [2024] UGHCCD 58 (27 April 2024)

Court

HC: Civil Division (Uganda)

Case number

Company Cause 5 of 2020 ; Miscellaneous Cause 43 of 2020

Judge

Elubu, J

The High Court dismissed Jomayi’s bid to extend time to challenge a statutory demand and ordered winding up, finding the demand was properly served and the debt undisputed.

• Insolvency Proceedings
• Statutory Demand
• Winding Up Petition
• Consent Judgment Enforcement
• Company Debt
• Service Of Process

Fresh Cuts (U) Limited v Aya Investments (U) Limited

Fresh Cuts (U) Limited v Aya Investments (U) Limited (Bankruptcy Cause 3 of 2021) [2022] UGCommC 177 (7 November 2022)

Court

Commercial Court of Uganda

Case number

Bankruptcy Cause 3 of 2021

Judge

Anna B. Mugenyi, J

The Petitioner proved the Respondent's indebtedness by presenting evidence of supply contracts, acknowledgments, and a judgment from the Chief Magistrates Court for UGX 44,923,565 plus costs. The Respondent failed to pay the debt, and attempts to execute the judgment were unsuccessful. The Statutory Demand was properly served, and the Respondent did not comply within the statutory period. There was no evidence that the Statutory Demand was set aside or that execution was stayed or satisfied. The Petitioner filed the bankruptcy petition within the statutory 30 working days after the last date…

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• Bankruptcy Order
• Statutory Demand
• Creditor Petition
• Debt Enforcement
• Judgment Execution

Uganda Broadcasting Corporation v Appliance World Ltd (H.C.Miscellaneous Application No. 1298 of 2017)

Uganda Broadcasting Corporation v Appliance World Ltd (H.C.Miscellaneous Application No. 1298 of 2017) [2021] UGCommC 75 (19 August 2021)

Court

Commercial Court of Uganda

Case number

H.C.Miscellaneous Application No. 1298 of 2017

Judge

Gaswaga, J

The High Court held Uganda Broadcasting Corporation in contempt, awarded interest at 10% per annum on the agreed sum, and ordered costs and a contempt fine.

• Statutory Demand
• Contempt Of Court
• Award Of Interest
• Costs Award
• Out Of Court Settlement
• Contempt-of-court

Ayo v Achieng

Ayo v Achieng (Miscellaneous Cause 223 of 2020) [2020] UGHCCD 227 (15 December 2020)

Court

HC: Civil Division (Uganda)

Case number

Miscellaneous Cause 223 of 2020

Judge

Musa Ssekaana, J

The High Court extended time and set aside a statutory demand, holding it was premature because the consent judgment had not been endorsed and no execution had been attempted.

• Insolvency Proceedings
• Statutory Demand
• Extension Of Time
• Judicial Discretion
• Insolvency-proceedings
• Statutory-demand

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