M/s Apollo Construction Ltd & Ors v Kanyoro (Civil Suit No. 1202 of 1998) [2001] UGHC 9 (5 September 2001)

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\tqc\tx4153\tqr\tx8306\pvpara\phmrg\posxr\posy0\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid270283 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\field{\*\fldinst {\cs17\insrsid8917514 PAGE }}{\fldrslt { \cs17\lang1024\langfe1024\noproof\insrsid2504287 1}}}{\cs17\insrsid8917514 \par }\pard \s16\ql \li0\ri360\widctlpar\tqc\tx4153\tqr\tx8306\aspalpha\aspnum\faauto\adjustright\rin360\lin0\itap0\pararsid8917514 {\insrsid8917514 \par }}{\*\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 \s15\qc \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1 \widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid12543112 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 THE REPUBLIC OF UGANDA \line IN THE HIGH COURT OF UGANDA AT KAMPALA \line }{\b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 }{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 CIVIL SUIT NO. 1202 OF 1998 \line }{ \b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\qj \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid12543112 {\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 M/S APOLLO CORP}{ \b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 ORATION LTD & ORS::::::}{\b\lang1033\langfe2057\langnp1033\insrsid12543112 :::::::::::::::}{\b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 :::: }{ \b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 PLAINTIFFS \line }{\b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\qc \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid12543112 {\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 VERSUS \line }{ \b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par REUMAN KANYORO}{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 :::::::::::::::::::::::}{\b\lang1033\langfe2057\langnp1033\insrsid12543112 :::::::::::::::}{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 ::::::::::::::: DEFENDANT \line }{\b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Before: The Hon. Principal Judge }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 - }{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Mr. Justice J. H. Ntabgoba }{\b\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 RULING \line }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \'93Apolo Hotel Corporation, Ltd\'94 was formerl}{\lang1033\langfe2057\langnp1033\insrsid12543112 y Apolo Hotel Corporation\'94. The }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Government desired to divest itself of it and thus converted it into a public Limited liability Company, namely, \'93Apolo Hotel Corporation, Ltd,\'94 pursuant to }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid12543112 S.25}{\i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 of the }{ \b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Public enterprises Reform and Divestiture Statute, 1993 }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 which provides:}{\lang1033\langfe2057\langnp1033\insrsid12543112 -}{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid12543112 {\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \'932}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 5(1) subject to the Statute the Companies Act shall apply to the divestiture of enterprises under this statute. \line }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \'93(2) Where a public enterprise is subject to divestiture under class II, III or IV of the First Schedule to this statute and the enterprise is not already a public limited liability company under the companies Act, the e nterprise shall be registered as a public limited liability company under that Act for the purpose of effecting the divestiture with the respective shareholding as prescribed by S.20 of this statute.\'94 \line }{ \lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Apolo Hotel Corporation falls under Class II of the Statute. According to its Memorandum and Articles of Association it was registered as a public l}{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 imited liability company on 18}{ \lang1033\langfe2057\super\langnp1033\insrsid4267434\charrsid8917514 th}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 March 1998 and its certificate of incorporation was issued on the same date. \line }{ \lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\qj \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid12543112 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 High Court Civil Suit No. 1202/98 was instituted}{ \lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 against Reuman Kanyoro, on }{\lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 12}{\lang1033\langfe2057\super\langnp1033\insrsid12543112\charrsid8917514 th}{ \lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 November}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 1998 and the amended plaint }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 filed on }{ \lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 12}{\lang1033\langfe2057\super\langnp1033\insrsid12543112\charrsid8917514 th}{\lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 July}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 1999. I will hereafter refer to Apolo Hotel Corporation, Limited as the plaintiff and to Reuman Kanyoro as the defendant. \line }{ \lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 The suit seeks to recover a sum of shs. }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid12543112 4}{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid12543112 , 706, 480/}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid12543112 =}{ \i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 from the defendant as a liquidated amount arising out of a breach of contract. The suit also seeks general damages, interest and costs (see }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 Para}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 4 of the plaint). The facts constituting the cause of action alleged appear in paragraph }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid12543112 5 }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 as follows: \line }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid12543112 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \'93 (a) Between May 1991 and April 1998 or thereabouts, the defendant enjoyed the }{\b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Hotel and accommodation services }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 of the plaintiff at the plaintiffs hotel as, inter alia, represented by a Hut Lease Agreement between the parties dated }{\lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 1}{ \lang1033\langfe2057\super\langnp1033\insrsid4267434\charrsid8917514 st}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 November 1996 a copy whereof is attached hereto and marked as Annexture \'93AA\'94. \line }{ \lang1033\langfe2057\langnp1033\insrsid4267434\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (b) the defendant left unpaid an outstanding bill of U. Shs. 4,706,480/= on account of }{\b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 hotel accommodation Services accumulated }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 with effect from March 1996 to April, 1998 as }{\b\i\ul\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid12543112 per}{ \b\i\ul\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 numerous In}{\b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 voices }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 which shall be adduced at the trial and are indicated on the defendants\rquote statements of account hereto and marked }{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \'93}{ \b\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 B}{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \'94.}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \line }{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (c) Despite several reminders from the plaintiff, the defendant in breach of his obligation has to date persistently refused, neglected and or failed to settle his said indebtedness. \line }{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (d) By reason of the matters complained of above, the plaintiff has suffered grave financial loss and great inconvenience, all of which it holds the defendant liable.\'94 \line }{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Paragraph 1 of the plaint describ es the plaintiff as a scheduled Corporation established by statute and also registered as a limited liability company under the laws of Uganda. Paragraph 2 avers that the plaintiff carries on business in Uganda under the name and style of }{ \b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Sheraton Kampala Hotel. }{\b\i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \line }{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 The W. S. D challenges, inter alia, the contents of paragraph 2 and also ostensibly paragraph 1, basing on the \'93Hut Lease Agreement\'94 Annexture \'93AA\'94 of the plaint. The W. S. D. seems not to challenge the validity of the Agreement but avers that Sheraton Kampala Hotel cannot be the plaintiff and that, on the authority of Auto Garage & Ors - vs - Motokov (No.3) [1971] E. A. }{ \i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 514, }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 the plaintiff is not identifiable and therefore no cause of action can be raised by a non identifiable plaintiff. Mr. Mugenyi arg ued, in his preliminary objection, that the plaintiff, Apolo Hotel Corporation cannot exist both as a statutory Corporation and as a limited liability company. He further argued that it is not a scheduled Corporation since it does not appear in the schedu le of the latest of Statutory Instrument No. 77 of 1998 which was made on }{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 the }{\lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 19}{ \lang1033\langfe2057\super\langnp1033\insrsid12543112\charrsid8917514 th}{\lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 day}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 of November 1998. \line }{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Ms. Basaza Waswa, learned Counsel for the plaintiff, produced the Memorandum and Articles of Association and the Certificate of Incorporation of Apolo Hotel Corporation, Lim}{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 ited which bear the date of the18}{\lang1033\langfe2057\super\langnp1033\insrsid8917364\charrsid8917514 th}{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Day of March 1998. No doubt, after turning the Corporation from a Statutory one to a public limited liability company under }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid12543112 S.25 }{\i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 of the Public E}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 nterprises Reform and Divestiture Statute, 1993, it ceased to be a Scheduled Corporation. It became a limited liability company. Whereas therefore it was not correct to refer to the plaintiff as both }{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 a }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 limited liability compa}{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 ny and a scheduled corporation, that}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 cannot be said to have affected its identity s o as to render its suit liable to be struck out pursuant to order 6 rule 29 of the Civil Procedure Rules. It appears, Mr. Mugenyi, with due respect, was not aware of the subjection of the Corporation to the provisions of }{ \lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 S.25 (}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 2) of the Public Enterprises Reform and Divestiture Statute. And since it was described both by its former and its present name, the Court would have power to strike out its former na}{\lang1033\langfe2057\langnp1033\insrsid8917364\charrsid8917514 me and leave its present name. T}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 o strike out the suit on the ground that the plaintiff was given its wrong (former) name and its right (present) name would be in contravention of Article 126(2}{ \lang1033\langfe2057\langnp1033\insrsid12543112\charrsid8917514 ) (}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 e)}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 of the Constitution that:}{ \lang1033\langfe2057\langnp1033\insrsid12543112 -}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid12543112 {\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \'93(2) }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 In adjudicating cases of both a }{\lang1033\langfe2057\langnp1033\insrsid12543112 Civil and Criminal nature, the }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Court shall, subject to the law, apply the following principles: (a}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 )}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 - } {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (d) \par \line (e) substantive justice shall be determined without undue regard to technicalities.\'94 \line }{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Besides, striking out the former title of the plaintiff and leaving its present titl}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 e will occasion no injustice to}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 t}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 he defendant. In any case, the fact that under S.25}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (2) of the Public Enterprises Reform and Divestiture Statute a Corporation should be converted into a limited liability company as indeed was the case with regard to Apolo Hotel Corporation disproves Mr. Mugenyi\rquote s contention, save, of course, in as far as the subject matter ceases to be a public corporation and assumes the character of a limited liability company which is subject to the provisions of the companies Act. It can, however bear both the titles of \'93Corporation\'94 and \'93Limited \'94 as it is with the }{\b\i\ul\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Apollo Hotel Corporation Limited. }{\b\i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \line }{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 I will now pass on to the other preliminary objections raised by Mr. Mugenyi. One of them is based on the provisions of Order 7 Rule 29. Counsel argues that the suit relies on the provision by the plaintiff to the defen}{ \lang1033\langfe2057\langnp1033\insrsid2504287 dant of hotel and accommodation }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 services, and yet at the same time refers to land matters. In this regard, Counsel referred to paragraph }{ \i\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 5(a) }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 of the amended }{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 plaint which alleges that: \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \'93(a) }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Between May 1991 and April, 1998, the defendant enjoyed the hotel and accommodation services of the plaintiff\rquote s hotel as, inter alia, represented by a Hut Lease Agreement between the parties dated }{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 1}{\lang1033\langfe2057\super\langnp1033\insrsid13135081\charrsid8917514 st}{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 }{\b\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 November 1996 a copy whereof is}{ \lang1033\langfe2057\langnp1033\insrsid2504287 attached hereto and marked as }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Annexture \'93AA\'94. \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \line In paragraph 5(b) it is averred that:}{ \lang1033\langfe2057\langnp1033\insrsid2504287 -}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \'93The }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 defendant left unpaid an outstandi}{\lang1033\langfe2057\langnp1033\insrsid2504287 ng bill of U. Shs. 4,706,480/= }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 on account of hotel and accommodation services accumulated with effect from March 1996 to April 1998 as per numerous Invoices which shall be adduced at the trial and are indicated on the defendant\rquote s statements of account attached hereto and marked Annexture \'93B\'94.\'94 \line }{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }\pard \s15\qj \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Now, in this case the plaintiff is suing upon accumulated bills incurred and supported by invoices and an account. The plaintiff relies on the Hut Lease Agreement as th e bases under which such bills arose. I have to remind both Counsel that the Hut Lease Agreement offends against S.66 of the Advocates Act and should not have been recognised by this court. That means that it cannot be relied on in this case. However, the r e is an allegation supported by invoices on account and the invoices cannot be rejected on the same grounds the Hut Lease Agreement has been rejected. Whether those invoices are of any probative value or not cannot be a question for investigation when con s idering the preliminary objection. They should be subjected to the test during the hearing of the substantive case. Indeed nobody has stated that the invoices arose out of the Hut Lease Agreement although I notice that the W. S. D. refers to a Hut Lease Agr eement arising out of which a set-off has been pleaded. The invoices and the Hut Agreement acknowledged in the W. S. D. will no doubt constitute triable issues. \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \line In short, the fact that the Hut Lease Agreement pleaded in the plaint happens to offend against S.66 of the Advocates Act and is inadmissible in evidence cannot bar the plaintiff from adducing evidence on invoices and proving it if it can. \line }{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 I have examined the plaint in this case against rule 11 of order 7 which is the rule that provides the grounds upon which a plaint may be rejec}{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 ted. The rule provides that: \par \'93(1}{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 1) The plaint shall be rejec}{\lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 ted in the following cases: \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 (a)}{ \lang1033\langfe2057\langnp1033\insrsid2504287 \tab }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Where it does not disclose a cause of action; \line }{\lang1033\langfe2057\langnp1033\insrsid2504287 \par }\pard \s15\ql \fi-720\li1440\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin1440\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (b) }{ \lang1033\langfe2057\langnp1033\insrsid2504287 \tab }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Where the relief claimed is undervalued and the plaintiff, on being required by the Court to }{ \lang1033\langfe2057\langnp1033\insrsid13135081\charrsid8917514 correct the valuation within a }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 time to be fixed by the Court, fails to do so; \line }{ \lang1033\langfe2057\langnp1033\insrsid2504287 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (c) }{\lang1033\langfe2057\langnp1033\insrsid2504287 \tab }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 where the relief claimed is properly valued but an insufficient fee has been paid, and the plaintiff, }{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 on being required by the Court }{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 to pay the requisite fee within a time to be fixed by the Court, fails to do so; \line }{\lang1033\langfe2057\langnp1033\insrsid2504287 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (d) }{\lang1033\langfe2057\langnp1033\insrsid2504287 \tab }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Where the suit appears from the statement in the plaint to be barred by any law; \line }{\lang1033\langfe2057\langnp1033\insrsid2504287 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 (e) }{\lang1033\langfe2057\langnp1033\insrsid2504287 \tab }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Where the suit is shown by the plaint to be frivolous or vexatious. \'94 \line }{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 This suit does not fall under any of the se provisions. \line }{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Another point raised by Mr. Mugenyi was with regard to the inscriptions in the bottom right hand corner of the Sheraton Kampala Hotel as follows: \par \par }\pard \s15\ql \li720\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 \'93 The Sheraton Kampala Hotel is owned by the Government of Uganda and operated by the Sheraton overseas Management Corporation as its Agent.\'94 \line }{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \par }\pard \s15\qj \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid2504287 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 In my opinion such trade or business slogans cannot change the legal character of \'93Apolo Hotel Corporation Limited. Therefore}{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 ,}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 Mr. Mugenyi}{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \rquote }{\lang1033\langfe2057\langnp1033\insrsid2504287 s}{ \lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 argument that in view of those slogans, the plaintiff should ha ve been the Attorney General cannot be sustained. The legal position is now that the plaintiff, by its incorporation, is a limited liability company which can sue and be sued in its own name. \line }{ \lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \par }\pard \s15\ql \li0\ri0\sb100\sa240\sbauto1\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\ipgp1\pararsid8917514 {\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 In the result, I find that the suit discloses the plaintiff an d a cause of action against the defendant, subject to evidence that should be adduced. I, accordingly, dismiss the preliminary objection raised by Counsel for the defendant with costs. I order that the suit be set down for hearing as expeditiously as may be, in any case, not later than a month hereof. \line }{\lang1033\langfe2057\langnp1033\insrsid947209\charrsid8917514 \par 5/9/2001 \par }{\lang1033\langfe2057\langnp1033\insrsid604209\charrsid8917514 J. H. Ntabgoba \line Principal Judge \par }\pard\plain \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8917514 \fs24\lang2057\langfe2057\cgrid\langnp2057\langfenp2057 {\lang1033\langfe2057\langnp1033\insrsid604209 \par }{\lang1033\langfe2057\langnp1033\insrsid2504287 \par \par \par \par \par \par \par }{\i\fs16\lang1033\langfe2057\langnp1033\insrsid2504287 Uploaded by kivumbi Sheila.}{\i\fs16\lang1033\langfe2057\langnp1033\insrsid2504287\charrsid2504287 \par }}