Liability of Company Directors

Jamal and Others v Uganda Oxygen Ltd and Others ((64 of 1995)) [1997] UGSC 4 (14 April 1997);


Search Summary: 

This was an appeal against judgment and orders of the High Court.

The respondents raised a preliminary objection of law that the appeal had been prematurely made to this court yet it ought to have been made first to the court of appeal, and a subsequent appeal to this court by the unsuccessful party.

The objection was over ruled since the appellant had complied with the requirement of first lodging the Notice of Appeal as it was then required.

Headnote and Holding: 

Concerning the merits of the appeal, the appellant contended that the trial judge erred in law and fact when he misdirected himself on the evidence that had been adduced thereby coming to wrong conclusions. The appellant therefore prayed that the appeal be allowed with costs, that judgment of the lower court be set aside and substituted with an order dismissing it.


The appellant argued that the respondent was not validly appointed the Director of the first respondent as it was held by the trail judge. Thus, he was not entitled to step in and take action against the appellant.


From the evidence that was adduced, it was found that the trail judge in his discretionary powers after adding the respondent as defendant to the main suit should have afforded an opportunity to the remaining parties, to amend the plaint and serve the same on the new defendants. In this regard, there was a failure of justice in his judgment.


Therefore, the appeal was allowed, the orders of learned trail judge were set aside.


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