Kasese Hospital Limited & Another v The Miscro Finance Support Centre Limited & Another
Kasese Hospital Limited & Another v The Miscro Finance Support Centre Limited & Another (Civil Suit 684 of 2019) [2024] UGCommC 259 (19 August 2024)
The court found that the agreement between the parties was a Murabaha facility, not a profit-sharing Mudarabah. Under the Murabaha arrangement, the 1st Plaintiff was obligated to repay the cost of the assets plus a predetermined mark-up, regardless of whether profits were declared. The 1st Plaintiff defaulted on its repayment obligations, and the agreement, governed by both Sharia law and Ugandan law, permitted the 1st Defendant to enforce its rights under the Mortgage Act. The court determined that the 1st Defendant followed the statutory process for sale of mortgaged property, including iss…
Source excerpt
- Islamic Banking
- Murabaha Facility
- Mortgage Enforcement
- Sale Of Mortgaged Property
- Contractual Breach
- Valuation And Forced Sale