The High Court in Kampala has overturned a Shs1.5 billion bill of costs that had been imposed on the administrators of the estate of the late businessman and former Buganda Kingdom minister Muhammad Katimbo.
Earlier this year, the deputy registrar directed the family to pay the hefty sum to Katimbo’s former lawyers, Mugisha, Namutale and Co. Advocates. But the administrators, Hawiya Nabaale Katimbo, Hakim Kasirye, and Mariam Nannozi appealed, arguing that the taxation was marred by grave legal and procedural errors, resulting in an excessive and unjustified award. In her ruling, High Court Judge Jacqueline Mwondha agreed with the administrators, finding that the taxation lacked a proper legal basis, and that the Registrar acted outside the law.
Justice Mwondha faulted several items in the questioned bill of costs, including a Shs1 million award for a purported six-hour client meeting that the Registrar did not adequately justify. ‘This cost is not justified, and the reasons for the award are not explicitly explained,’ the judge stated. Furthermore, the judge criticised the award of Shs400 million as instruction fees for opposing an application for a temporary injunction, noting that the prescribed fee for such work is only Shs300,000. ‘The law is clear that while a taxing officer has discretion to increase instruction fees, such discretion must be exercised judiciously and in line with established principles,’ Justice Mwondha ruled.
She added: ‘Where awards are so excessive as to amount to an injustice, an appellate court is entitled to interfere.’ Registrar faulted for errors In her ruling, Justice Mwondha cited numerous failures by the deputy registrar, including: absence of valuation of the subject matter, crucial for computing instruction fees, generalised taxation without item-by-item analysis or reasons. Others were excessive, arbitrary awards reaching over Shs100 million in simple applications, and rulings lacking proper reasoning, discretion, or reference to the Advocates (Remuneration and Taxation of Costs) Rules.
Given these shortcomings, Justice Mwondha held that the taxation rulings, orders, awards, and certificates issued on January 24, were invalid. Going forward, the judge set aside all the taxation rulings, orders, awards, and certificates issued on January 24, with no order for costs. She also directed that the bill of costs be re-taxed before another judicial officer. ‘The re-taxation must strictly follow the applicable rules, including review of the instruction letter, proper itemisation, and proportionality to the subject matter,’ she held.
Family accuses deputy registrar
In their submissions, the administrators argued that the deputy registrar misapplied the rules governing assessment of legal costs, used incorrect application numbers, failed to keep proper records, and did not provide a verbatim account of proceedings. They added that the registrar failed to determine and state the value of the subject matter-a key step in calculating instruction fees-which led to inflated and unlawful awards.
Law firm defends its claim
However, Mugisha, Namutale and Co. Advocates insisted the taxation was lawful and reasonable. The firm said it had represented the late Katimbo in multiple land disputes, including Kyaggwe Block 118 plots 18, 21, 23, 24, and 26, amounting to 200 acres and other land matters in Kangulumira, Kayunga District.
The law firm argued that the Shs1.5 billion represented only 10 percent of its original claim.
‘The deputy registrar was very lenient, having cut our bill of costs by 90 percent,’ the firm said. The matter will now go back for fresh taxation under a different judicial officer.