Alozio Sebatya & 2 Ors v Israel Kayonde & David Lule (Civil Session Case No. 456 of 1997) (Civil Session Case No. 456 of 1997) [2000] UGHC 18 (13 December 2000)

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)}}{\*\pnseclvl6\pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl7\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl8 \pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl9\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}\pard\plain \s15\qc \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1 \widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid669039 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 THE }{ \b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 REPUBLIC}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 OF }{ \b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 UGANDA}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 \line }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 IN }{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 THE }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 HIGH COURT OF UGANDA \line CIVIL SESSION }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 CASE}{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 NO. 456 OF 1997 \line }{\b\lang1033\langfe2057\langnp1033\insrsid669039 \par }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 ALOZIO SEBATYA & 2 }{\b\lang1033\langfe2057\langnp1033\insrsid12866217\charrsid12070017 OTHERS:}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 ::::::::::::::}{ \lang1033\langfe2057\langnp1033\insrsid669039 :::::::::::::::::::::::::::}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 ::::: }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 PLAINTIFFS \line VERSUS \line }{ \b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 ISRAEL}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 }{\b\lang1033\langfe2057\langnp1033\insrsid12866217 KAYONDE & DAVID LUL}{ \b\lang1033\langfe2057\langnp1033\insrsid12866217\charrsid12070017 E:}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 :::::::::::::}{\lang1033\langfe2057\langnp1033\insrsid669039 :::::::::::::::::::::}{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 :::: }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 DEFENDANTS \line }{\b\lang1033\langfe2057\langnp1033\insrsid12866217 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid12866217 {\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 BEFORE: }{ \b\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 THE}{\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 }{\b\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 HONOUR. ABLE MR. JUSTICE PAUL K. }{ \b\ul\lang1033\langfe2057\langnp1033\insrsid12866217\charrsid12866217 MUGAM}{\b\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12866217 BA}{\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 \line }{ \b\ul\lang1033\langfe2057\langnp1033\insrsid12866217 RUL I NG}{\b\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 : }{\b\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 \line }{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 A preliminary objection }{\i\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 was }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 raised by counsel for the defendants. His argument is that the defendants, two individuals, were wrongly joined to this suit. \line }{\lang1033\langfe2057\langnp1033\insrsid12866217 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid14895243 {\lang1033\langfe2057\langnp1033\insrsid12866217\charrsid12070017 On}{ \lang1033\langfe2057\langnp1033\insrsid12866217 28}{\lang1033\langfe2057\super\langnp1033\insrsid12866217\charrsid12866217 th}{\lang1033\langfe2057\langnp1033\insrsid12866217 }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 February, 1990 an agreement was signed between one Ben Ssenkungu and }{\lang1033\langfe2057\langnp1033\insrsid12866217 M/}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 S Ntangawuzi & Vegetable Growers Association. That agreement is appended to the plaint as annexture B. In the course of time Ben Ssenkungu died and letters of Administration to his estate were granted to the plaintiffs in this action. Upon being granted Letters of Administration it dawned upon the plaintiffs that land which forms part of }{\lang1033\langfe2057\langnp1033\insrsid12866217\charrsid12070017 the}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 estate of late Ssenkungu had been given, under the agreement already cited, for a limited number of years to be used as security with a bank. The loan secured had not been repaid and there was danger of the land title being forfeite}{ \lang1033\langfe2057\langnp1033\insrsid12866217 d. The agreement had provided }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 for the title to be returned to Ssenkungu within 3 years of 30}{ \lang1033\langfe2057\super\langnp1033\insrsid3901\charrsid12866217 th}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 September, 1989. \line }{\lang1033\langfe2057\langnp1033\insrsid669039 \par }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 This action is brought against one Hon. Israel Kayonde and one David Lule. The agreement does not show, contrary to what counsel for the defendants would let us believe, that the enterprise signatory to the agreement is a limited liability company. Counsel for the plaintiff is correct when he refers to the signatory as an assoc i ation which is not a limited liability company. As a matter of fact counsel for the plaintiff admitted that it was upon failure to find evidence of limited liability that the plaintiffs elected to proceed against the two persons now joined as defendants. In an association such as the one sought to be sued, or a members club, the proper procedure to follow is laid down in Order 1 rule 8 of the Civil Procedure Rules. Referring to a similar provision court had this to say in }{ \ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 J. J. Campos & Another }{\ul\lang1033\langfe2057\langnp1033\insrsid669039\charrsid12070017 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 A. C. L. De Souza & 5 Others }{ \lang1033\langfe2057\langnp1033\insrsid669039 (1933) 15 KLR 86, 87. \line \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid669039 {\lang1033\langfe2057\langnp1033\insrsid669039 \'93}{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 It would seem that Order 1 Rule 8, not only lays down the practice to be followed in cases where there are numerous persons having the same interest in one suit and where one of such persons is suing or }{\lang1033\langfe2057\langnp1033\insrsid669039\charrsid12070017 being}{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 sued on behalf of all, but it contains a direction as to the manner in which the rights of all such persons must be safeguarded. It is in fact mandatory upon the court to see that noti}{ \lang1033\langfe2057\langnp1033\insrsid669039 ce of the institution of the }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 suit is given to all parties interested, and from this it may be inferred that in a case of this sort }{ \ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 the court is not at liberty to take cognisance of a suit by or against one or several persons selected from the body of interested persons unless and until the steps set out in the rule are carried out.\'94 }{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 The emphasis is mine. \line }{\lang1033\langfe2057\langnp1033\insrsid669039 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid669039 {\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 The same principle is evident in }{ \ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 Kearsley (Kenya) Ltd }{\ul\lang1033\langfe2057\langnp1033\insrsid669039\charrsid12070017 vs.}{\ul\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 Anyumba & Others }{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 [1974] EA 112. \line }{\lang1033\langfe2057\langnp1033\insrsid669039 \par }{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 In the circumstances this suit cannot be properly before this court in the premise that the defendants are representatives of an associati on without limited liability and the elaborate procedure should have been followed. Nor can it be said that they represent a limited liability company. By its nature a }{\lang1033\langfe2057\langnp1033\insrsid669039 limited liability company is an }{ \lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 independent entity to sue and be sued in its name. \line }{\lang1033\langfe2057\langnp1033\insrsid669039 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid14895243 {\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 In t he result I find I must uphold the objection and dismiss the suit with costs against the plaintiffs. }{\lang1033\langfe2057\langnp1033\insrsid669039 \par }{\lang1033\langfe2057\langnp1033\insrsid669039\charrsid12070017 13}{\lang1033\langfe2057\super\langnp1033\insrsid669039\charrsid669039 th}{\lang1033\langfe2057\langnp1033\insrsid669039 }{\lang1033\langfe2057\langnp1033\insrsid669039\charrsid12070017 December}{\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 , 2000 \line \par }\pard\plain \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14895243 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\lang1033\langfe2057\langnp1033\insrsid3901\charrsid12070017 \par }}