Rock Trust Contractors (U) v Kibale District Local Council (HCT-00-CC-MA 433 of 2007) [2007] UGCommC 107 (19 December 2007)

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\li0\ri0\widctlpar\tqc\tx4320\tqr\tx8640\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 {\insrsid6956372 \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 \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 \fs24\lang2057\langfe1033\cgrid\langnp2057\langfenp1033 {\b\insrsid7415006\charrsid14771432 THE REPUBLIC OF UGANDA \par IN THE HIGH COURT OF UGANDA AT KAMPALA \par (COMMERCIAL COURT DIVISION) \par \par HCT-00-CC-MA-0433-2007 \par (ARISING FROM }{\b\insrsid14514075\charrsid14771432 ARBITRATION AWARD NO. }{\b\insrsid5376882\charrsid14771432 001 \endash 2006 }{\b\insrsid7415006\charrsid14771432 HCT-00-CC-}{\b\insrsid14514075\charrsid14771432 MA}{\b\insrsid7415006\charrsid14771432 -} {\b\insrsid14514075\charrsid14771432 0461}{\b\insrsid7415006\charrsid14771432 - 2006) \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\b\insrsid7415006\charrsid14771432 \par ROCK TRUST CONTRACTORS (U)\'85\'85\'85\'85\'85\'85\'85\'85..}{\b\insrsid5376882\charrsid14771432 A}{\b\insrsid12868081\charrsid14771432 P}{\b\insrsid7415006\charrsid14771432 PLICANT \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\b\insrsid7415006\charrsid14771432 VERSUS \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\b\insrsid14514075\charrsid14771432 K}{\b\insrsid7415006\charrsid14771432 IBALE DISTRICT LOCAL COUNCIL \'85\'85\'85 \'85\'85. RESPONDENT

\par \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\b\insrsid7415006\charrsid14771432 BEFORE: HON. JUSTICE LAMECK N. MUKASA \par }{\b\insrsid7350966\charrsid14771432 \par }{\b\insrsid7415006\charrsid14771432 RULING: \par }{\b\insrsid7350966\charrsid14771432 \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\b\insrsid7415006\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid7415006\charrsid14771432 This is an application brought by Notice of Motion under Article 139(I) of the Constitution, Section 39 (2) } {\insrsid10517710\charrsid14771432 of the J}{\insrsid15819329\charrsid14771432 udicature Act, Section 98 of the Civil Procedure Act and Order 52 of the Civil Procedure Rules for order that::-}{\insrsid7415006\charrsid14771432 \par }{\insrsid15819329\charrsid14771432 \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid15819329\charrsid14771432 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \qj \fi-360\li720\ri0\sl360\slmult1\widctlpar \jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid14771432 {\insrsid15819329\charrsid14771432 The award by the arbitrator from the Uganda Institute of Professional Engineers dated October, 2003 be revised to include award } {\insrsid10517710\charrsid14771432 on}{\insrsid15819329\charrsid14771432 certificates Nos 1 and 2. \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid15819329\charrsid14771432 \hich\af0\dbch\af0\loch\f0 2.\tab}Costs of this application be provided for. \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid15819329\charrsid14771432 \par On the off set I must point out that none of the provisions cited in the application applies for revision}{\insrsid6956372\charrsid14771432 ,}{\insrsid15819329\charrsid14771432 s}{\insrsid13769724\charrsid14771432 av}{\insrsid15819329\charrsid14771432 e that section 39 (2) of the Judicature Act states:- \par \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid15819329\charrsid14771432 \'93Where in any case no pro}{\insrsid5330053\charrsid14771432 c}{\insrsid15819329\charrsid14771432 edure is laid down for the High Court by any written law or by practice, the court may in its discretion, adopt a procedure }{\insrsid5330053\charrsid14771432 justifiable by }{\insrsid5591061\charrsid14771432 the circumstances of the case.\'94}{ \insrsid15819329\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid5591061\charrsid14771432 \par }{\insrsid10517710\charrsid14771432 However powers of revision}{\insrsid5591061\charrsid14771432 are granted to the High Court by Section 83 of the Civil Procedure Act in respect to}{\insrsid10517710\charrsid14771432 cas}{ \insrsid5591061\charrsid14771432 es determined by any magistrates}{\insrsid10517710\charrsid14771432 \rquote }{\insrsid5591061\charrsid14771432 }{\insrsid13769724\charrsid14771432 c}{\insrsid5591061\charrsid14771432 ourt. The award in issue was by an Arbitrator thus outside the provisions of the section. \par \par Prior to this application there had been HCT-00-CC-MA-0461 of 2006 before this court arising from the same arbitration award which is subject of this application and was between the same parties, though in that application the current }{ \insrsid10517710\charrsid14771432 A}{\insrsid5591061\charrsid14771432 pplicant, Rock Trust }{\insrsid10509803\charrsid14771432 Contractors (U) Ltd, was the Respondent.}{\insrsid5591061\charrsid14771432 \par }{\insrsid10509803\charrsid14771432 \par The grounds in support of this application are that:- \par \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid10509803\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (a)\tab}}\pard \qj \fi-420\li780\ri0\sl360\slmult1\widctlpar \jclisttab\tx780\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin780\itap0\pararsid14771432 {\insrsid10509803\charrsid14771432 The Arbitration Tribunal made the award in respect of Certifi cate No.3 but failed to finally and conclusively dispose of all the legal differences be}{\insrsid10517710\charrsid14771432 fore }{\insrsid10509803\charrsid14771432 it, in particular on Certificate}{\insrsid10517710\charrsid14771432 s}{ \insrsid10509803\charrsid14771432 No. 1 and 2 in respect of which the arbitrator decided that the applicant resolves the matter pertaining to those earlier certificates. \par }\pard \qj \li360\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin360\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid2521284\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (b)\tab}}\pard \qj \fi-420\li780\ri0\sl360\slmult1\widctlpar \jclisttab\tx780\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin780\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 The applicant at first attempted to execute the arbitration decision by making a company resolution to recover the claim under the said certificate from the respondent but this }{\insrsid10517710\charrsid14771432 l}{\insrsid2521284\charrsid14771432 i}{ \insrsid10517710\charrsid14771432 n}{\insrsid2521284\charrsid14771432 e was rejected by the High Court on an application by the respondent i.e. HCT-00-CC-MA-0461 of 2006.}{\insrsid10509803\charrsid14771432 \par }\pard \qj \li360\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin360\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid2521284\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (c)\tab}}\pard \qj \fi-420\li780\ri0\sl360\slmult1\widctlpar \jclisttab\tx780\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin780\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 The Applicant, after the High Court decision, asked the Respondent to pay certificate numbers 1 and 2 or else would be sued and the respondent acqui}{\insrsid10517710\charrsid14771432 e}{\insrsid2521284\charrsid14771432 s}{ \insrsid10517710\charrsid14771432 ced}{\insrsid2521284\charrsid14771432 . \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid2521284\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (d)\tab}The Applicants option to recover payments on certificates numbers 1 and 2 is to apply in this court to revise the arbitral tribunal \rquote s }{\insrsid10517710\charrsid14771432 decision on certificates}{\insrsid2521284\charrsid14771432 1 and 2 and substitute it with the order for the }{\insrsid8289211\charrsid14771432 Respondent}{\insrsid2521284\charrsid14771432 to pay the applicant the amount in those certificates. \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid2521284\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (e)\tab}}\pard \qj \fi-420\li780\ri0\sl360\slmult1\widctlpar \jclisttab\tx780\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin780\itap0\pararsid14771432 {\insrsid2521284\charrsid14771432 The arbitral tribunal and the High Court in }{\insrsid5991246\charrsid14771432 Miscellaneous }{\insrsid10122405\charrsid14771432 Application No}{\insrsid2521284\charrsid14771432 . }{\insrsid8289211\charrsid14771432 461 of 2006 (}{\insrsid5710671\charrsid14771432 C}{\insrsid8289211\charrsid14771432 ommercial Division) held that the respondent paid a wrong party instead of the applica}{\insrsid5710671\charrsid14771432 n}{\insrsid8289211\charrsid14771432 t in respect of Certificates number 1 and 2.}{\insrsid2521284\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid8289211\charrsid14771432 \par In paragraph 8 of the affidavit in support of this application it is stated that the arbitrator made an error in law wh}{\insrsid5710671\charrsid14771432 en}{\insrsid5991246\charrsid14771432 it failed to finally dispose off all the legal differences put before it. Despite having }{\insrsid5710671\charrsid14771432 f}{\insrsid5991246\charrsid14771432 ound that the payments in respect to certificate}{\insrsid5710671\charrsid14771432 s}{ \insrsid5991246\charrsid14771432 number 1 and 2 had been made to a wrong party }{\insrsid10122405\charrsid14771432 the adjudicato}{\insrsid5710671\charrsid14771432 r}{\insrsid5991246\charrsid14771432 did not conclusively pronounce himself on the recovery }{\insrsid5710671\charrsid14771432 thereof. Instead the adjudicat}{\insrsid5991246\charrsid14771432 o}{\insrsid5710671\charrsid14771432 r}{\insrsid5991246\charrsid14771432 stated:}{ \insrsid8289211\charrsid14771432 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5991246\charrsid14771432 \par \'93and that matter pertaining to earlier payments be resolved by manageme}{\insrsid10122405\charrsid14771432 nt of Rock Trust Contracts Ltd.\'94}{\insrsid5991246\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid5991246\charrsid14771432 \par And in the Adjudication }{\insrsid10122405\charrsid14771432 R}{\insrsid5710671\charrsid14771432 ec}{\insrsid10122405\charrsid14771432 o}{\insrsid5710671\charrsid14771432 r}{\insrsid13769724\charrsid14771432 d}{\insrsid5710671\charrsid14771432 under Award the Adjudicat}{\insrsid10122405\charrsid14771432 o}{\insrsid5710671\charrsid14771432 r}{\insrsid10122405\charrsid14771432 stated:-}{\insrsid5991246\charrsid14771432 \par }{\insrsid10122405\charrsid14771432 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5710671\charrsid14771432 \'93P}{\insrsid10122405\charrsid14771432 ayments made earlier to the }{ \insrsid14771432\charrsid14771432 attorney are}{\insrsid10122405\charrsid14771432 matters to be handled by management of Rock Trust Contractor Ltd and are not subject of this adjudication.\'94 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid10122405\charrsid14771432 \par The adjudication only ordered certificate No. 3 to be paid. It }{\insrsid14771432\charrsid14771432 is the}{\insrsid10122405\charrsid14771432 above order which M/S Roc k Trust Contractors (U) Ltd, by this application seeks this Court to revise by including certificates Nos 1 and 2. When asked why he had adopted the }{\insrsid14771432\charrsid14771432 produced in}{\insrsid10122405\charrsid14771432 this application Mr. Erick Muhwezi, Counsel for the applicant}{\insrsid5710671\charrsid14771432 ,}{\insrsid10122405\charrsid14771432 stated that the }{\insrsid14771432\charrsid14771432 Arbitration and}{\insrsid10122405\charrsid14771432 }{ \insrsid5710671\charrsid14771432 C}{\insrsid10122405\charrsid14771432 onciliation Act did not provide for }{\insrsid14771432\charrsid14771432 any procedure}{\insrsid10122405\charrsid14771432 in the circumstances. \par }{\insrsid8280693\charrsid14771432 . \par }{\insrsid10122405\charrsid14771432 With due respect to counsel, he was wrong. In my r}{\insrsid13769724\charrsid14771432 u}{\insrsid10122405\charrsid14771432 ling in Miscellaneous }{\insrsid14771432\charrsid14771432 Application 461}{ \insrsid10122405\charrsid14771432 of 2006 I clearly pointed out the procedure provided by the Act to be followed where there is an error in an arbitration a}{\insrsid8280693\charrsid14771432 ward}{\insrsid10122405\charrsid14771432 . The procedure to follow is provided by section 33 of the Arbitration and Reconciliation Act Cap 4. It provides:- \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid10122405\charrsid14771432 \par \'9333 (4) A party may, within thirty days after receipt of the arbitral award, request the tribunal to make an additional award as to claims presented in the arbitral proceedings but omitted from the arbitral award}{\insrsid5798102\charrsid14771432 . \'94}{\insrsid10122405\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 (5) }{\insrsid12736951\charrsid14771432 I}{\insrsid5798102\charrsid14771432 f }{ \insrsid12736951\charrsid14771432 the arbitral}{\insrsid5798102\charrsid14771432 tribunal considers the request made under subsection (4) to be justified, it shall make }{\insrsid14771432\charrsid14771432 the additional}{\insrsid5798102\charrsid14771432 arbitral award within thirty days.\'94 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 \par There is no re}{\insrsid8280693\charrsid14771432 cord to show when the adjudicat}{\insrsid5798102\charrsid14771432 o}{\insrsid8280693\charrsid14771432 r}{\insrsid5798102\charrsid14771432 gave the award. The award is not dated and it is not clear when the Applicant received the award. However, it is clear that following receipt of the award the Applicant convened a meeting on 20}{\super\insrsid5798102\charrsid14771432 th}{ \insrsid5798102\charrsid14771432 February 2006 at which it was resolved.:- \par \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 \'93(a) }{\insrsid7740757\charrsid14771432 }{\insrsid5798102\charrsid14771432 Kibaale District Council pay to the Company the money stated in the said certificates number 01 and 02 together with certificates No. 3 for shs31}{\insrsid14771432\charrsid14771432 , 638,377}{\insrsid5798102\charrsid14771432 as awarded. \par \par {\listtext\pard\plain\lang2057\langfe1033\langfenp1033\insrsid5798102\charrsid14771432 \hich\af0\dbch\af0\loch\f0 (b)\tab}}\pard \qj \fi-420\li567\ri567\sl360\slmult1\widctlpar \jclisttab\tx540\aspalpha\aspnum\faauto\ls3\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 That certificates numbers 01, 02 and }{\insrsid12736951\charrsid14771432 03 be}{\insrsid5798102\charrsid14771432 registered in High Court together with the Award dated October 2003 made by Uganda Institute of Professional Engineers against Kibaale District Council for payment to the company.\'94}{\insrsid6754790\charrsid14771432 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid5798102\charrsid14771432 From the Applicant}{\insrsid16070366\charrsid14771432 \rquote }{\insrsid5798102\charrsid14771432 s Resolution above it is clear that }{\insrsid7740757\charrsid14771432 the Arbitration Award was made sometime in October 2003 and must have been received by the Applicant before 20}{\super\insrsid7740757\charrsid14771432 th}{ \insrsid7740757\charrsid14771432 February 2006.}{\insrsid5798102\charrsid14771432 \par }{\insrsid7740757\charrsid14771432 \par The Applicant did not seek additional award in respect }{\insrsid16070366\charrsid14771432 of certificate No. 1 and 2 which the }{\insrsid7740757\charrsid14771432 adjudicator had omitted, as provided by section 33 (4) of the Act. Instead the }{ \insrsid12736951\charrsid14771432 applicant chose}{\insrsid7740757\charrsid14771432 to smuggle the Certificates into the award }{\insrsid12736951\charrsid14771432 by way}{\insrsid7740757\charrsid14771432 of its Resolution}{ \insrsid10420740\charrsid14771432 and seeking registration thereof by the High Court.}{\insrsid7740757\charrsid14771432 \par }{\insrsid10420740\charrsid14771432 \par It is clear that there is a statutory limitation of the period within }{\insrsid12736951\charrsid14771432 which to}{\insrsid10420740\charrsid14771432 proceed under section 33 (4) of the Act. The application for an additional award must be made }{ \insrsid7825143\charrsid14771432 to the}{\insrsid10420740\charrsid14771432 Arbitral tribu}{\insrsid16070366\charrsid14771432 nal }{\insrsid12736951\charrsid14771432 within thirty days after receipt of the arbitral award. Even if the date of the Resolution is considered as the date of receipt of the award i.e. 20}{\super\insrsid12736951\charrsid14771432 th}{\insrsid12736951\charrsid14771432 February 2006, the thirty days have long expired. }{\insrsid10420740\charrsid14771432 \par }{\insrsid12736951\charrsid14771432 \par In an effort to overcome the limitation period the }{\insrsid16070366\charrsid14771432 A}{\insrsid12736951\charrsid14771432 pplicant has tactfully chosen to pr}{\insrsid16070366\charrsid14771432 oceed by seeking a revision of t}{ \insrsid12736951\charrsid14771432 h}{\insrsid16070366\charrsid14771432 e}{\insrsid12736951\charrsid14771432 award from the High Court. Court cannot entertain such unprofessional procedure. Therefore this application is dismissed with costs. \par \par \par \par \par \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid12736951\charrsid14771432 \par Hon. Mr. Justice Lameck N. Mukasa \par Judge \par 20}{\super\insrsid12736951\charrsid14771432 th}{\insrsid12736951\charrsid14771432 12/ 2007 \par }{\insrsid5798102\charrsid14771432 \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid14771432 {\insrsid7415006\charrsid14771432 \par }}