๐๐๐๐ ๐ก๐๐๐ซ๐ฌ ๐๐ง ๐๐ฉ๐ฉ๐๐๐ฅ ๐๐ฒ ๐๐ฅ๐๐จ๐ง ๐๐ง๐ญ๐๐ซ๐ง๐๐ญ๐ข๐จ๐ง๐๐ฅ ๐๐ข๐ฆ๐ข๐ญ๐๐ ๐๐ ๐๐ข๐ง๐ฌ๐ญ ๐๐ญ๐๐ง๐๐๐ซ๐ ๐๐ก๐๐ซ๐ญ๐๐ซ๐๐ ๐๐๐ง๐ค ๐๐ง๐ ๐ญ๐ก๐ ๐๐จ๐ฏ๐๐ซ๐ง๐ฆ๐๐ง๐ญ ๐จ๐ ๐๐ ๐๐ง๐๐ East African Court of Justice, Arusha, 22 January 2014: The Appellate Division heard an appeal by Alcon International Limited Kenya, a construction company seeking the Court to overrule a decision of the First Instance Division which was delivered in September 2013. Alcon International Limited came to Court claiming an award of $8,858,469, with interest and costs, which was made in its favor by an arbitrator and adopted by the High Court of Uganda. The award arose from a contract between National Social Security Fund (NSSF), Uganda and Alcon International Limited (Kenya) of which the former terminated the contract leading to the dispute. The matter was first determined in an arbitration proceeding as provided under the contract of which Alcon claimed to have succeeded hence awarded the amount claimed. The disputed award is alleged to have been contested in the Courts in Uganda. The dispute also found way to the EACJ and on 2nd September 2013, the First Instance Division dismissed the case on grounds of lack of jurisdiction. On Appeal, Mr. Fred K. Athuok, Counsel for the Appellant (Alcon International Limited) told the Court that the rights of the Appellant were breached and the First Instance Division failed to grant redress. Counsel submitted that the Appellantโs cross boarder investment was not protected by the Respondents as guaranteed under Article 29 of the EAC Common Market Protocol. He further stated that the 1st Respondent (Standard Charted Bank) failed to promptly pay the award. Mr. Athuok further argued that the Court is vested with jurisdiction under Article 54(2) of the EAC Common Market Protocol to enforce a right under the Protocol. He therefore stated that the First Instance Division failed to exercise its jurisdiction to apply the Treaty and that it is a brave failure of justice and law. He asked Court to allow the Appeal. Mr.Barnabas Tumusingize, Counsel for the 1st Respondent (Standard Chartered Bank) submitted that, the Bank did not enforce the guarantee because a judgment of the Court of Appeal on the Arbitrator was overturned by the Supreme Court of Uganda. Mr. Tumusingize for the first Respondent also stated that the Bank is neither an institution nor a Partner State of the Community to be taken to Court as it is provided under Article 31 of the Treaty. He further argued that, this Court lacks jurisdiction to determine the matter as per Article 54 (2) of the Common Market Protocol saying that the provision provides the power to the National Authorities. Ms. Patricia Mutesi representing the Government of Uganda and the Registrar of the High Court also associated with the submissions of the 1st Respondent and said that they are not properly sued before the Court and asked the Court to uphold the decision of the First Instance Division. The Court will deliver the Judgement on notice. The matter came before the bench of the Appellate Division. For Editors: Article 29 (1) of the EAC Common Market Protocol provides that; The Partner States undertake to protect cross border investments and returns of investors of other Partner States within their territories. Article 54 (2) of the Common Market Protocol provides that; 2. In accordance with their Constitutions, national laws and administrative procedures and with the provisions of this Protocol, Partner States guarantee that: (a) any person whose rights and liberties as recognised by this Protocol have been infringed upon, shall have the right to redress, even where this infringement has been committed by persons acting in their official capacities; and (b) the competent judicial, administrative or legislative authority or any other competent authority, shall rule on the rights of the person who is seeking redress. About the EACJ The East African Court of Justice (EACJ or โthe Courtโ), is one of the organs of the East African Community established under Article 9 of the Treaty for the Establishment of the East African Community. Established in November 2001, the Courtโs major responsibility is to ensure the adherence to law in the interpretation and application of and compliance with the EAC Treaty. Arusha is the temporary seat of the Court until the Summit determines its permanent seat. The High Courts of the Partner States serve as sub-registries. For more information please contact: Ms. Geraldine Umugwaneza, Ag. Registrar Email: [email protected] Owora Richard Othieno, Head of Department; Corporate Communications and Public Affairs Department; EAC Secretariat Tel: +255 784 835021; Email: [email protected] East African Court of Justice Arusha, Tanzania eacj.org
Posted on: Mon, 26 Jan 2015 11:02:17 +0000
Trending Topics
Recently Viewed Topics
© 2015