Travel agency sues NGO over Shs43m unpaid air ticket services

A travel company has dragged a non-government organization to court, seeking to recover over Shs43 million for unpaid travel services.

In a suit lodged before Buganda Road Chief Magistrate’s Court on Friday, Gallivanter Agency Limited claims that on May 9, 2025, it provided air travel services to Global Election Observation Mission Limited staff. Services included processing and re-issuance of air tickets.

On May 13, 2025, the defendant allegedly acknowledged in writing its indebtedness of USD 6,806 (about Shs 26 million) to the plaintiff.

The plaint further states that the agency issued another invoice on May 14, 2025, bringing the total debt owed to USD 11,393, equivalent to Shs 43,293,400million.

‘The plaintiff provided travel services of processing air tickets to the defendant’s staff, which were duly acknowledged and received. The defendant, however, failed to make full payment for the services rendered,’ the court documents read in part.

Gallivanter Agency accuses the NGO of issuing three cheques on May 19, 2025, toward payment of the debt, all of which were dishonoured by the bank.

‘The defendant only issued three cheques towards payment of the plaintiff’s debt, but they all bounced and were dishonoured,’ the plaint adds.

The travel agency states that on June 2, 2025, the defendant’s Chief Executive Officer committed in writing to pay the debt in four instalments of Shs10 million each, to be completed by July 30, 2025. However, the plaintiff claims the agreed payment plan was not honoured.

Gallivanter Agency asserts that the NGO made only one partial payment of USD 638 (about Shs2,424,400), leaving a balance of $11,393.

The company also notes that the defendant acknowledged the outstanding debt in its reply to a demand notice, which was attached to the plaint as evidence.

In the said letter dated August 25, 2025, and written through Stabit Advocates, Global Election Observation Mission admitted entering into an arrangement with Gallivanter Agency and confirmed owing the claimed amount.

‘Our client acknowledges that she entered into an arrangement with your client for the said respective services and further acknowledges that she made promises to clear the monies involved therein as claimed,’ reads the letter signed by Stabit Advocates on behalf of the NGO.

The NGO, however, attributed the delayed payment to the late arrival of donor funds.

‘Our client is a non-governmental organization that solely derives its income from donors and funders. The funds were delayed due to unforeseen circumstances,’ the letter adds.

The defendant requested additional time to settle the debt. ‘Our client has been in talks with her funders, and the funds are expected to be available within sixty (60) days. We pray for further time within which to clear the outstanding debt,’ the NGO’s lawyers wrote.

Gallivanter Agency is asking court to enter judgment in its favour and order the defendant to pay Shs 43,293,400 with interest at the court rate until payment in full, as well as the costs of the suit.

The case has been allocated to the Chief Magistrate’s Ronald Kayizzi for hearing.

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