. The Commercial Division of the High Court is set to mediate 520 disputes involving trade, construction and corporations in a fortnight-long exercise aimed at unlocking Shs325 billion tied up in commercial litigation.
The mediation drive, scheduled for August 17 to 28, is also intended to reduce the backlog of the aforementioned category of cases, which currently stands at 1,424, according to the Judiciary.
The exercise will bring together judges, advocates, mediators, business leaders and other stakeholders in an effort to encourage alternative dispute resolution and help businesses recover capital that could otherwise remain tied up in prolonged court battles.
The announcement was made on Tuesday during a roundtable discussion involving key commercial justice stakeholders, including Trade Minister Sanjay Tanna, who urged the Judiciary to prioritise the speedy resolution of commercial disputes.
‘My plea here today is that we work together. My offices will be available as and when you need us. But my request is, let us be fast in dispensing judicial decisions. There is a common acronym that justice delayed is justice denied. On our side, as the Executive, we pledge to work closely with the Judiciary,’ Mr Sanjay said.
The minister said delays in resolving commercial disputes can have far-reaching consequences for businesses, particularly small enterprises that often lack the capacity to withstand prolonged litigation.
He said about 35 per cent of the money collected by the Uganda Revenue Authority (URA) comes from trade, underscoring the importance of a functioning commercial justice system to the economy.
‘In my opinion, the court plays a central role. For a businessman, it’s all about a quick deal. A businessman never envisages that he is going to be caught by URA over something or disturbed by floods,’ Minister Sanjay said.
He added that traders plan their businesses around quick transactions and expect a dispute to be resolved within a short period, only to find themselves trapped in lengthy litigation.
‘You end up in a court of law, and the next thing you expect is for the matter to be resolved in one week, and you find that businesses that were set up with big visions crumble because of the delay in the justice system,’ he said.
Justice Andrew Khaukha, the executive director of the Judicial Training Institute, said traders are among the key contributors to the national economy.
He said URA collected Shs31.6 trillion against a national budget of Shs7.1 trillion, with about 35 per cent of the tax collections coming from trade.
‘What does this mean? Traders are key enablers and drivers of this economy,’ Justice Khaukha said.
Deputy Chief Justice Moses Kawumi Kazibwe said Uganda is at a critical stage of its development and requires an efficient commercial justice system to support economic growth.
‘Effective dispute resolution is therefore key to a healthy economy. ADR is therefore one of the ways of reducing the case backlog and fast-stimulating economic activity,’ he said.
The Deputy Chief Justice said alternative dispute resolution mechanisms, including mediation and structured settlements, make justice faster, more accessible and responsive to the needs of businesses.
‘The proposed settlement fortnight for Trade, Construction and Corporate disputes is therefore a key step that brings together the Judiciary, advocates, mediators, business leaders and other stakeholders, identifies barriers, develops solutions, and has a settlement culture where appropriate,’ he said.
The head of the Commercial Division, Justice Anna Mugenyi, said the mediation exercise will run for two weeks starting August 17.
She said the court has 7,480 pending cases, of which 1,250 relate to trade, 85 to corporations and 89 to construction, a category of interest for the forthcoming mediation.
The figures, she said, demonstrate the need for increased use of mediation and other alternative dispute resolution mechanisms to ensure that cases are concluded without unnecessary delays.
Mr Issa Ssekito, who represented downtown traders, also urged the Judiciary to expedite the hearing of commercial disputes, particularly cases involving landlords and tenants.
He said landlord-tenant disputes are common among the business community and often disrupt the operations of traders when they remain unresolved for long periods.