High Court Commercial Division

The Commercial Court was officially inaugurated on 15th September, 1999. The Government of Tanzania endorsed the recommendations in 1997. It is a division of the High Court of Tanzania. The difference with other High Court Registries is that this court specializes in the determination of commercial disputes only.

33 judgments
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33 judgments
Citation
Judgment date
May 2023
Leave to appeal granted where proposed grounds raise arguable legal and factual issues on taxation of advocate’s fees.
Commercial law — Leave to appeal under section 5(1)(c) Appellate Jurisdiction Act — Taxing Master’s discretion under Advocates Remuneration Order 2015 — Paragraph 68 application — Taxation of instruction fees on counterclaim — Factual versus legal issues in leave applications.
31 May 2023
Leave to appeal granted for arguable issues; advocate-verified affidavit held valid within personal-knowledge limits.
Appellate procedure – leave to appeal – grantable where proposed appeal is prima facie arguable or raises issues needing Court of Appeal guidance
Affidavits – advocate verification – advocate may swear affidavit limited to matters of personal knowledge acquired while acting for the client; source of information must be disclosed where not personal knowledge. Commercial disputes – escrow management and leasehold interest issues as grounds for appeal
31 May 2023
A petition under the Arbitration Act is an "application" for taxation; instruction fees limited to TZS1,000,000 under Item 1(m)(ii).
Taxation of costs – classification of a petition under the Arbitration Act as an "application" for taxation purposes – application of Item 1(m)(ii) of the 11th Schedule to Advocates Remuneration Orders (instruction fee TZS 1,000,000). Applicability of Order 48 (one-sixth rule) – conditions for invoking Order 48 and exclusion of court fees in computation
31 May 2023
Applicant failed to show sufficient cause or apparent illegality; extension of time to appeal refused with costs.
Extension of time – sufficiency of cause – alleged illegality must be apparent on the face of the record – diligence and accounting for delay – counsel's illness not per se sufficient.
30 May 2023
30 May 2023
29 May 2023
Default judgment granted for unpaid goods after substituted newspaper service and sufficient affidavit proof under Rule 22(1).
Commercial law – Default judgment under Rule 22(1) – substituted service by newspaper publication – requirement to file Form No.1 and affidavit in proof – burden of proof under s.110 Evidence Act – decree publication condition under Rule 22(2).
26 May 2023
A company may be wound up by court where members pass a special resolution; court appointed a liquidator for three months.
Companies Act – Voluntary winding up – Members' special resolution under s.279(1)(a) – Procedural requirements (Gazette and newspaper publication) – Appointment of liquidator under s.294 – Liquidator’s powers under ss.299–306 – Court discretion to grant winding up orders.
26 May 2023
Application for leave to appeal in arbitration enforcement was time‑barred under Regulation 65(1) and dismissed with costs.
Arbitration — Enforcement proceedings — Leave to appeal under s.74(4) Arbitration Act — Time limit governed by Regulation 65(1) GN.146/2021 — Fifteen‑day filing requirement — Clerical reference to s.69(3) read as s.74(3) — Court of Appeal Rules (Rule 45(a)) not applicable where specific regulation exists.
26 May 2023
Extension of time denied where arbitral award was not filed and alleged illegality was not apparent on the face of the record.
Arbitration — extension of time under s.14(1) Law of Limitation — illegality as ground for extension — illegality must be a point of law of sufficient importance, apparent on the face of the record and embedded in the award — application premature where arbitral award not filed for registration — Rule 51(4) Arbitration Rules — discretionary nature of extension.
26 May 2023
26 May 2023
26 May 2023
Court granted winding up after members' special resolution and appointed an official liquidator for three months.
Companies Act – Voluntary winding up by special resolution (s279(1)(a)) – Compliance with Companies (Insolvency) Rules Rule 99(2)(b) – Appointment of official liquidator (s294) – Liquidator’s powers (ss299–306).
26 May 2023
A tripartite payment agreement transferred and extinguished the defendant's debt; plaintiff failed to prove additional claim, suit dismissed with costs.
Contract law – alleged breach for non-payment of supply invoices; effect and enforceability of tripartite payment agreement transferring debt to a third party; evidentiary burden in civil claims and assessment of credibility; negative inference from failure to produce key documents or witnesses.
26 May 2023
Illegality in the impugned decision justified granting the applicant an extension of time to file a notice of appeal.
Extension of time – Section 11 Appellate Jurisdiction Act; illegality in impugned decision as sufficient reason for extension; time spent pursuing prior appeal; Principal Secretary v Devram Valambhia applied.
24 May 2023
Applicant granted 30‑day extension to file notice of appeal due to illegality in the impugned decision despite delay.
Civil procedure – extension of time under section 11 Appellate Jurisdiction Act; Illegality in impugned decision as sufficient ground for extension irrespective of delay (Principial Secretary v Devram Valambia); Time spent pursuing prior appeal which was later struck out; Requirement to account for delay.
24 May 2023
Whether failed electronic filing in JSDS constitutes sufficient cause for extension to file a Bill of Costs.
Extension of time – sufficiency of cause; electronic filing (JSDS) failures as ground for extension; admissibility/authentication of electronic printouts under the Electronic Transactions Act; considerations: length of delay, reasons, prejudice, conduct of parties.
22 May 2023
Court granted leave to appeal after finding the applicant raised a prima facie arguable appeal; costs awarded.
Appellate jurisdiction – leave to appeal – requirement of prima facie or arguable appeal; leave not automatic. Standard for leave – chances of success or matters of general importance/novelty (Harban Haji Moshi; BBC v Ng’imaryo)
Facts – grounds in supporting affidavit (paras 4(a)–(g)) found to raise an arguable appeal
Relief – leave to appeal granted with costs
19 May 2023
Applicant granted leave to appeal as proposed grounds constituted an arguable case meriting Court of Appeal review.
Leave to appeal — Appellate Jurisdiction Act s.5(1)(c) and Court of Appeal Rules r.45; test for leave — arguable/prima facie appeal, novel point of law or issue of general importance; requirement that grounds capture Court of Appeal's attention; draft memorandum as supporting evidence.
19 May 2023
Suit commenced despite agreed arbitration was struck out; parties directed to arbitrate and applicant ordered to pay costs.
Arbitration – contractual arbitration clause – clause 11.3 and 11.5 require disputes to be referred to arbitration before court proceedings. Scope of arbitration – dispute arising from principal supply contract extends to claims involving the guarantor’s performance bond
Arbitration Act 2020, s.15(4) – court prohibited from hearing matters that ought to be arbitrated
Remedy – courts may strike out proceedings commenced contrary to arbitration agreements; costs may be awarded
17 May 2023
Applicant failed to account for delay and alleged illegality was not apparent on the face of the record; application dismissed.
Civil procedure – extension of time – applicant must account for every day of delay; unsupported or vague affidavits insufficient. Illegality as ground for extension – must be apparent on the face of the record (e.g., jurisdictional defect), not one requiring extended argument. Execution procedure – reliance on Order XXI Rule 20(1) CPC (notice to show cause) must demonstrate clear procedural illegality to justify relief
12 May 2023
Absence of an annexed board resolution does not ordinarily render a company’s suit incompetent; contextual authority may be required.
Companies — board resolutions — necessity to plead/attach resolution when instituting suit; Companies Act s.147 — interpretation; Mukisa Biscuit test for preliminary objections; Bugerere principle — scope limited to internal disputes and locus/representation; Court of Appeal authorities (Pita Kempap, Ursino Palm) distinguishable; locus standi — corporate personality preserved absent contested authority to sue.
12 May 2023
Extension of time granted because alleged illegality in the Taxing Officer's dismissal justified reopening the matter.
Extension of time — requirement to account for delay; each day must be explained. Illegality on the face of the record — sufficient ground to extend time
Taxing Officer — dismissal for non-appearance and exercise of jurisdiction. Advocate’s non-appearance/negligence — relevance to extension applications and limits as a ground. Procedural relief — discretion to grant extension and order filing timelines
12 May 2023
Consent settlement recorded as judgment requiring USD 316,438 repayment, securities to remain, and enforcement on default.
Commercial law – consent judgment – deed of settlement recorded under Order XXIII Rule 3 – enforcement of settlement as decree – securities to remain in force until full payment – default clause rendering decree immediately payable – costs each party bears own.
12 May 2023
Applicant failed to prove good cause to set aside dismissal; non-appearance found negligent and application dismissed with costs.
Commercial procedure — application to set aside dismissal under rule 31(2) and section 95 — requirement to show good cause; alleged clerical/error in recording court date; evidential burden when relying on third-party acts — necessity of affidavits; weight of audio and office records indicating actual notice; discretion exercised against unexplained/non‑corroborated non‑appearance.
12 May 2023
The respondent cannot relitigate the decree or assert the mortgagee’s interest in execution; execution granted and prohibitory orders issued.
Execution proceedings – judgment debtor’s duty to show cause – challenge to decree improper in execution forum – issue belongs to appeal or proper challenger Objections to execution – Order XXI r.57(1) – judgment debtor not entitled to assert third‑party mortgage interest on behalf of the third party Third‑party interests – mortgagee’s rights should be pursued by the mortgagee, not the judgment debtor
12 May 2023
Written share sale existed; only US$900,000 paid, court ordered US$1.1M repayment, damages, interest and costs.
Contract — Sale of shares — Written agreement prevails; parol evidence cannot vary written terms; payment only US$900,000 established; remaining US$1.1M unpaid. Breach of contract — Failure to pay consideration — entitled injured party to compensation
Remedies — Court declined to annul share transfer; awarded monetary relief (repayment, general damages, interest, costs)
Joinder — Target company not a contracting party but was a necessary party to suit
10 May 2023
Court recorded parties' settlement as a consent judgment fixing instalments and making the agreement a final enforceable decree.
Commercial dispute — Consent judgment — Deed of settlement recorded as final decree under Order XXII Rule 3 CPC — Instalment payment plan fixed and delay constitutes breach — Costs to be borne by respective parties.
8 May 2023
Failure to appoint the umpire within contractual/regulatory time and non‑joinder of the co‑arbitrator rendered the petition incompetent.
Arbitration — contractual timing and umpire appointment — clause 12.3 compliance; Arbitration (Rules and Procedure) Regulations — Regulation 20(2), 24(1) and 63(1)(e); time‑bar and procedural irregularity; non‑joinder of necessary party; right to be heard; striking out incompetent petition.
5 May 2023
Respondent breached sale agreement by failing to convert jointly-owned mining licences to sole ownership; applicant awarded general damages and costs.
Contract law – Sale of mining licences – advance to facilitate buyout of co-owner – failure to effect transfer – breach of contract; Evidence – requirement to strictly prove specific damages; Tax claim – unproved assertion of TRA demand for capital gains tax.
5 May 2023
Court registered the parties' deed of settlement as a consent judgment under the Civil Procedure Code and marked the suit settled.
Civil procedure — Deed of Settlement — Registration and scrutiny by court — Consent judgment — Order XXIII Rule 3, Civil Procedure Code (Cap.33 R.E.2019) — Incorporation of settlement into court decree.
5 May 2023
A consent settlement fixes monetary liability but does not by itself prevent execution against charged properties; no reviewable error found.
Civil procedure — Review — Error on the face of the record — Whether attachment of property subject to review; Execution of consent decree — Effect of parties’ agreement listing properties — Consent settlement fixes monetary liability but does not by itself limit execution; Security/charge — Attachment of property offered as security for supply of goods.
3 May 2023
An applicant cannot obtain postponement of sale under a mortgage decree by mere intent to raise funds; application dismissed.
Civil Procedure – Order XXI Rule 81 – Postponement of sale – applicability to mortgage decrees – sub-rule (3) excludes mortgage enforcement from Rule 81 postponement regime. Land law – enforcement of mortgage decrees – right of sale implicit in mortgage deed and confirmed by decree
Evidence – applicant’s mere intention to lease property without particulars or projected receipts insufficient to obtain postponement
2 May 2023