Infotech Systems Ltd v Raps U Ltd (HCT-00-CC-MA 545 of 2005) [2005] UGCommC 51 (7 September 2005)

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\jexpand\viewkind1\viewscale100\pgbrdrhead\pgbrdrfoot\splytwnine\ftnlytwnine\htmautsp\nolnhtadjtbl\useltbaln\alntblind\lytcalctblwd\lyttblrtgr\lnbrkrule\nobrkwrptbl\snaptogridincell\allowfieldendsel\wrppunct \asianbrkrule\rsidroot1901100\newtblstyruls\nogrowautofit \fet0\sectd \linex0\headery708\footery708\colsx708\endnhere\sectlinegrid360\sectdefaultcl\sftnbj {\*\pnseclvl1\pnucrm\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl2 \pnucltr\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl3\pndec\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl4\pnlcltr\pnstart1\pnindent720\pnhang {\pntxta )}}{\*\pnseclvl5\pndec\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\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 \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\insrsid1901100 THE REPUBLIC OF UGANDA}{\insrsid15861250 \par }{\insrsid1901100 \par IN THE HIGH COURT OF UGANDA HOLDEN AT KAMPALA \par \par (COMMERCIAL COURT DIVISION) \par \par HCT-00-CC-MA-0545-2005 \par \par (Arising from HTC-00-CC-CS-0586-2003) \par \par INFOTECH SYSTEMS LTD APPLICANT/DEFENDANT \par \par VERSUS \par \par RAPS (U) LTD RESPONDENT/PLAINTIFF \par \par \par \par \par }{\b\ul\insrsid1901100\charrsid6435891 BEFORE: THE HON. MR. JUSTICE FMS EGONDA-NTENDE \par \par RULING \par }{\insrsid1901100 \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid1901100 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \ql \fi-360\li720\ri0\sl360\slmult1\widctlpar\jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid6435891 { \insrsid1901100 The applicant is seeking to set aside the decree entered in the head suit on 8}{\super\insrsid1901100\charrsid1901100 th}{\insrsid1901100 June 2005 after dismissing i ts application for leave to appear and defend for lack of prosecution. This application is made under Order 33 rule 11, order 48 rule 1 and Section 98 of the Civil Procedure Act.}{\insrsid15676946 }{\insrsid5454892 The application seeks no further orders except for provision of costs to be made. Surprisingly it does not seek leave to appear and defend.}{\insrsid1901100 \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid15676946 \hich\af0\dbch\af0\loch\f0 2.\tab}}{\insrsid15676946 The grounds of the application are that }{\insrsid6435891 the advocate for the plaintiff }{\insrsid15676946 mistakenly entered the wrong date in his diary and he communicated that same wrong date to the client. On the day that app lication came for hearing they were not in court, as a result of this mistake. Mr. Baguma Rogers, the managing director, has sworn an affidavit to that effect. It is not contested. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid15676946 \hich\af0\dbch\af0\loch\f0 3.\tab}Mr. Fred Ruhindi, learned counsel for the applicant, submitted that the fa ilure of the advocate to turn up was due to a mistake of the advocate and the consequences of this mistake should not be visited on the party. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid5454892 \hich\af0\dbch\af0\loch\f0 4.\tab}}{\insrsid5454892 Mr. Obonyo, learned counsel for the respondent opposed this application. He submitted that in an application of t his nature, the applicant must also show that }{\insrsid7091794 it }{\insrsid5454892 has a good defence to the merits of the case. He referred this court to the decision of Caltex Oil (U) Ltd v Kyobe HCCS No.89 of 1990 [unreported]. He further submitted that the applicant had failed in his application to show that he has a good defence.

\par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid11427963 \hich\af0\dbch\af0\loch\f0 5.\tab}}{\insrsid11427963 Order 33 Rule 11 of the Civil Procedure Rules provides the court with the discretion to set aside decrees already entered under Order 33 where service of summons was not effective or for other good cause. The court is authorised to grant leave to the applicant to appear and defend. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid10496080 \hich\af0\dbch\af0\loch\f0 6.\tab}}{\insrsid10496080 In applications for setting aside a decree under Order 33 Rule 11}{\insrsid7091794 ,}{\insrsid10496080 it is usual to include a prayer to be granted leave to appear and defend, as this may}{\insrsid7091794 ,}{\insrsid10496080 in effect}{\insrsid7091794 ,}{\insrsid10496080 be the reason why }{\insrsid7091794 ultimately}{\insrsid10496080 , it is sought to set aside the decree. This would enable an applicant to proceed and put its case before the court in accordance with the rules. It may be tactless for an applicant who wishes to set aside a decree not to seek leave, at the same time, to appear and defend as consideration of the application for setting aside a decree lawfully entered, would necessitate inquiring into whether the applicant has a defence on the merits. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid10496080 \hich\af0\dbch\af0\loch\f0 7.\tab}In J. Hodge v P. E. Page HCCS No.75 of 1958 [unreported] considering application to set aside a decree under rule 11}{\insrsid7091794 ,}{ \insrsid10496080 McKisack, C. J.}{\insrsid7091794 ,}{\insrsid10496080 held that before an application to set aside a judgment regularly obtained, could be granted, the court had to be }{\insrsid6435891 satisfied not}{\insrsid10496080 only that the defendant had had a reasonable excuse, (e.g. illness) for failing to enter an appearance, but also as to his \'93merits\'94 i.e., (his prospects of success in the action). \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid5454892 \hich\af0\dbch\af0\loch\f0 8.\tab}}{\insrsid5454892 In Caltex Oil (U) Ltd v Kyobe (supra), Byamugisha, J., }{\insrsid7091794 (}{\insrsid5454892 as she then was}{\insrsid7091794 ), considering an application under Order 33 Rule 11,}{\insrsid5454892 held that as to whether the applicant should be granted leave to appear and }{\insrsid6435891 defend the}{\insrsid5454892 test to be applied was whether }{\insrsid11427963 he had disclosed such facts as might be deemed sufficient to entitle him to defend.}{\insrsid5454892 \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid11427963 \hich\af0\dbch\af0\loch\f0 9.\tab}}{\insrsid11427963 Clearly in the case before me the applicant had not only failed to disclose any facts that may entitle it to defend, but the applicant had not in fact simultaneously applied for leave to appear and defend under Order 33 Rule 11 of the Civil Procedure Rules which it ought to have done. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid11427963 \hich\af0\dbch\af0\loch\f0 10.\tab}The applicant ha}{\insrsid6435891 s}{\insrsid11427963 provided an ex cuse as to why it did not turn up in court when its application came up for hearing. I agree that the excuse may be sufficient to explain the absence of counsel and his client from court on that day, but taken alone it is not sufficient to vacate a decree lawfully entered, as it has failed to show if it is entitled to defend the suit on the merits. \par {\listtext\pard\plain\lang2057\langfe1033\langnp2057\insrsid6435891 \hich\af0\dbch\af0\loch\f0 11.\tab}}{\insrsid6435891 This application is dismissed with costs. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid6435891 {\insrsid6435891 \par Dated at Kampala this 7}{\super\insrsid6435891\charrsid6435891 th}{\insrsid6435891 day of September 2005 \par \par \par \par \par FMS Egonda-Ntende \par Judge \par }}