UGANDA CHRISTIAN UNIVERSITY – MUKONO

FACULTY OF LAW

OCTOBER 2021

THE LAW OF CONTRACT I READING LIST

COURSE LEADERS

KASULE PHILIP [email protected]

MUNANURA DONALD [email protected]

COURSE AIM

To be able to identify a valid contract, apply the Laws applicable to our daily
relationships with others in the form of contracts and critique the loopholes in
the law.

COURSE OBJECTIVES

At the end of this course, you should be able to:

1) Know the history of the Law of Contract in relation to its applicability to

Uganda;
2) Understand the elements required in the formation of a valid contract;
3) Analyze and critique the implied and express terms of a contract;
4) Understand the applicability and use of exclusion clauses.

SYLLABUS

1. Background to the Law of Contract

2. Formation of a Contract

3. Contents/ Terms of a Contract

4. Exclusion/ Exemption Clauses

5. Estoppel

The Law of Contract I 1

TEXT BOOKS

1. Ben Kiromba Twinomugisha, Principles of contract law in Uganda, First

published, 2018, Kampala: Makerere University Printery.

2. Cheshire, Fifoot & Furmston’s Law of Contract 12th edition (Butterworths,

1991)

3. Treitel, Law of Contract 8th Edition (Sweet & Maxwell, 1991)

4. Hodgin, The law of Contract in East Africa (Nairobi: E.A.L.B., 1991)

5. Corbin, Cases on contract

6. D. Bakibinga, Law of Contract in Uganda 2nd Ed (The Written Word

Publications, Kampala)

7. D. Nabudere, The political Economy of Imperialism (London & Dar-es-

salaam: TPH & Zed, 1977)

8. Atiyah, Essays on Contract (Oxford: Clarendon Press, 1986)

9. Beale Bishop & Furmston, Contracts, Cases and Materials (Butterworths,

1985)

10. Smith & Thomas, A Case Book on Contracts (9th Ed, Sweet& Maxwell,
1992)

11. Atiyah, The Rise and Fall of Freedom of Contract (Oxford: Clarendon
Press, 1986)

12. Atiyah, Essays on Contract (Oxford: Clarendon Press, 1986)

13. Simpsons, A History of the Common Law of Contract

14. Macniel I.R, Contract in East Africa (New Jersey: Rothman, 1986)

15. J. Beatson, Anson’s Law of Contract, 28th Edition, 2002, Oxford University
Press

ACTS

i. The Contracts Act No. 7 of 2010

ii. The Sale of Goods Act Cap 82 of the Laws of Uganda

The Law of Contract I 2

 iii. The Bills of Exchange Act Cap 68 of the Laws of Uganda

iv. The Civil Procedure & Limitation (Miscellaneous Provisions) Act 20/1969

v. Judicature Act Cap. 13 Laws of Uganda

1. Background to the Law of Contract

Cases

Uganda Motors Ltd. v Wavah Holdings Ltd. Civil Appeal 9/1991 (Supreme
Court)

Slade’s case (1602) 76 ER1072

Stone v Wythipol (1588)

Moses v Macferlan (1760)

Printing & Numerical Registering Co. v Sampson (1875) L.R. 19 Eq. 462 at 465

Texts & Articles

Atiyah, The Rise and Fall of Freedom of Contract (Oxford: Clarendon Press,
1986)

Atiyah, Introduction to the Law of Contract, Chap.1, pp 1-36

Cotran & Rubin, Readings in African Law, Vol. I Part III, pp 201-235

Cohen, The Basis of Contract 46 HLR 553

Fieldman, Law in a Changing Society 2nd Edn. (Stevensons, 1972)

Holdsworth, The History of English Law, Vol. 8 (Methuen Press, 1925)

J. Beatson, Anson’s Law of Contract, (28th Edition, 2002, Oxford University

Press) pp. 1-24

Lyall, Contract, Freedom and Exchange (1975) Vols. 7-8 EALP 261

Simpson A.W.B, Innovation in 19th Century Contract Law (1975) 91 LQR 247

Salmond J.W, The History of Contract (1887) 3 LQR 166

The Law of Contract I 3

2. Formation of a Contract

Articles

Winfield P.H, ‘Some aspects of offer and acceptance’ (1939) LQR 499

Prof. Frederick Ssempebwa, ‘The Law Relating to Formation of Contract in East

Africa: Some Differences’ 3 (1975) I& II Uganda Law Focus, 44

‘Contract by Letter’ (1843) LQR

Offer & Acceptance

Ddungu v East Africa Posts and Telecommunications [1974] HCB 290

Katalemwa Traders Ltd. v AG Civ. App. No. 2 of 1987

Sands v Mutual Benefits Ltd. (1971) EA 156

Afro Traders & Farmers (U) Ltd. v Gailey & Roberts (U) Ltd (1983) HCB 48

Pollen (U) Ltd. v Association Match Co. Ltd (1973) HCB 112

Cash Chemists (Southern) Ltd. (1953) 1 QB 256

Kampala Cycle Trading co. Ltd. v Universal 7 ULR 193

Henthron v Fraser (1892) 2 Ch.27

• Offer

Carlill v. Carbolic Smoke Ball Co. [1893] 1 Q.B. 256

Pharmaceutical Society of Great Britain v Boots [1952] 2 QB 795

Fisher v Bell [1961] 1 QB 394

Thornton v Shoelay Parking Ltd. [1972] 2 QB 163

Harris v Nickerson (1873) LR 8 QB 286

Mukisa Biscuit Manufacturing Co. Ltd. v West End Distributors [1970] EA 469

Kadir v British Overseas Engineering Co. [1957] EA 131

The Law of Contract I 4

Howard & Co. v Burton [1964] EA 540

Interphoto Picture Lib Ltd. v Stilleto Visual Programmes Ltd. (1989) QB 433 at
436

Harvey v Facey (1893) AC 552

Financings Ltd. v Stimson (1962) 1 WLR 1184

British Car Auction Ltd. v Wright (1972) 1 WLR 1519

Afro Traders & Farmers (U) Ltd (1983) HCB 48

Pollen v Association Match Co. Ltd. (1973) HCB 112

Otis Elevator Co. v Bhajar & Singh (1967) EA 78

• Termination of offer

Mayanja-Nkangi v National Housing Corporation (1992) K.A.L.R 32

Dickinson v Dodds (1876) 2 Ch.D 463
Hyde v Wrench (1840) 3 BEAV 334
East African Industries v Powysland Ltd. 5 EALR 121
Errington v Errington & Woods (1952)1 KB 290
Financing Ltd. v Stimson (1962)3 ALLER 386
Canning v Farquhar (1885) 16 QBD 722
Re Silvester (1895) 1 Ch 573
Re London & Northern Bank (1900) 1 Ch 220
Howell Securities Ltd. v Hughes (1974) 1 WLR 15
Entores Ltd. v Miles Far East Corp. Ltd. (1955) 2 QB 327 at 332
Kennedy v Thomasen (1929) 1 Ch 53
Nicolene Ltd. v Simmonds (1953) 1 QB 543
Bushwall Properties v Votex Properties (1976) 1 WLR 591
Kings Motors Oxford Ltd. v Lax (1970) 1 WLR 426

• Acceptance

Article

The Law of Contract I 5

‘Retraction of Letters of Acceptance’ (1966) 82 LQR 169

Cases

Mayanja Nkangi v National Housing & Construction Corporation (1972)1 ULR

37

Adams v Lindsell (1818) 106 ER 250

Carlill v Carbolic Smoke ball Co. Ltd. [1892] 2 QB 484; [1893] 1 QB 256

Felthouse v Bindley (1863) 7 LT 835

Khaled & ors v Attahanas Brothers (Aden) Ltd (1968) EA 31

Jetha Petrol Station v Lalani (1958) EA 455

Seni v Ram (1938) 18 KALR 21

Pan African Trading Ltd. v Chade Brothers (1952) EACA 141

Folab v Polymeca Ltd. (1967) 1 ALR 19

Capital Finance Co. Ltd. v Bray (1954) 1 WLR 323

Kampala Cycle Trading Co. Ltd. v Universal 7 ULR 193

Brancha v Cobaro (1947) 2 ALLER 101

Henthon v Fraser (1892) 2 Ch. 27

Kibona Enterprises v Departed Asians Custodian Board (1996) 2 KALR 129

Entores Ltd. v Miles Far East Corp. [1955] 2 ALLER 439

Fourways Travel Service Ltd. [1971] EA 251

• Consideration

Curie v Misa (1875) LR 10 Exch. 153

Dunlop Pneumatic Tyre Co. v Selfridge Ltd. (1915) AC 847
Roscorla v Thomas (1842) 3 QB 234
Pao On v Lau Yiu Long (1980) AC 614
Tweddle v Atkinson (1861) 1 B&S 393

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Sekandi v Musoke (1970) 3 ALR Comm. 260
Ward v Byham (1956) 2 ALLER 318
Pinnel’s case (1902) 5 Co. Rep 117
Foakes v Beer (1884) 9 App. Case 605
Ssekitoleko vKisiriko [1975] HCB 49
Vanbargeon v St. Edmund Properties Ltd. (1933)2 KB 223
D&C Builders Ltd. v Rees (1966) 2 QB 617
Central London Property Trust Ltd. v High Trees House Ltd [1947] KB 130
Combe v Combe (1951) 2 AB 215
Ajayi v Briscoe (Nigeria) Ltd. [1964] 3 ALLER 556
Bweya Steel Works v National Insurance Corporation (1985) HCB 58
Thomas v Thomas (1842) 2 QB 851

Adequacy & Sufficiency of Consideration

Hassanali Issa & Co. v Jeraj Produce Shop (1967) EA 555
Lombard Banking Ltd. v Ghadi (1964) EA 12
Rattans v Israel (1952) EACA127

Consideration needn’t be adequate

Foakes v Beer (1889) 9 AC 605
Chappelle v Nestle Co. Ltd. (1959) ALLER 701 at 712
Thomas v. Thomas (1842) 2 Q.B. 851

Consideration must be Legal

Re McArdle (1951) 1 ALLER 905
Roscorla v Thomas (1842) 3 QB 234
Dungate v Dungate (1965) ALLER 818

Past Consideration
Jetha Petrol Station v Lalani (1958) EA 445

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Nayar v Storling Gen. Insurance (1966) EA 184
Re McArdle [1951] Ch. 669
Re Cassey’s Patents v Cassey (1892) 1 Ch. 104
Roscorla v. Thomas supra compared to:
Motor Mart & Exhange Ltd v Ghandi & Another [1963] EA 657

Articles
Smith J.C, Unilateral Contracts and Consideration 69 LQR 99
The English Law of Consideration (1969) 85 LQR 372

3. Estoppel

Combe v Combe (1951) 2 KB 215

Nurdin Bandali v Lombank Tanganyika Ltd. (1963) E.A 304

Central London Property v High Trees Property Ltd. House Ltd. (1947) KB 130

Ajayi v Brisco (Nigeria) Ltd. (1964) 3 ALLER 556

D and C Builders v Rees (1966)

De Souza v Mandavia (1964) EA 682

Sekitoleko v Kisiriko [1975] HCB 49

Mulji Jetha Ltd. v CIT [1967] EA 50

Performance of an existing duty

England v Davidson (1840) 11 A&E 856

Glasbrook Brothers v Glamorgan County Council (1935) AC 270

Stilk v Myrick (1809) 2 CAMP 1817

Ward v Byham [1956] 2 ALLER 318

Williams v Williams [1975] 1 ALLER 305

• Privity of Contract
Articles
Whitford, 19 EALJ 338

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Cretney, (1968) JAL 119 at 120-131

Cases
Settlement Trustees v Nurani [1970] EA 562
Halal Shipping Co. Ltd v Securities Dremor Allegemene [1965] EA 690
Kayanja v New India Assurance Co. Ltd. [1968] EA 295
Barugahare v Ntarambi & anor [1987] HCB 95
North Ocean Shipping Co. Ltd. v Hyundai Construction Ltd. (1979) QB 705
Lubowa v Kitara Enterprises Ltd. [1987] HCB 162
The Eurymodon (1979) AC 154
British Russian Gazzette v Association Newspapers (1933) 2 KB 616
EA Plans Ltd. v Brickford Smith (1974) EA 462
Shamia v Joory (1958) 1 QB 448
Halal Shipping Co. v Securities Demor (1965) EA 490
Tarlock Singh v Sterling General Assurance Co. Ltd. [1966] EA 144

• Intention to Create Legal Relations

Okalebo v Euuara & anor [1975] HCB 200
Balfour v Balfour [1919] 2 KB 571
Merrit v Merrit [1970] 2 ALLER 760
Pettit v Pettit [1970] AC 77
Jones v Padavatton [1969] 2 ALLER 616
Heilbut, Symons & Co. v Buckleton [1913] A.C. 30

• Capacity to Contract

Articles
Atiyah, Liability of infants for Fraud (1959) 22 MLR 273
Miles, The Infant’s liability for necessaries (1927) 43 LQR 359
Winfield, Necessaries under the Sale of Goods Act 1893 (1942) LQR 82
Gross, Per-incorporation Contracts (1971) 87 LQR 367

The Law of Contract I 9

Cases
Price v Kelsal (1957) CA 752
De Franseco v Barnum (1850) 45 Ch. D 430
Chaplin v Leslie Frewin Publishers Ltd. (1966) Ch. 71
Edwards v Carter (1893) AC 360
Steinberg V Scarla (Leeds) Ltd. (1923) 2 Ch. 452
Pearce v Brain (1929)2 KB 310
Imperial Loan Co. v Stone (1892) QB 599
Bobonde v Waiswa (1974) HCB 120
Doyle v White City Stadium [1935] 1KB 110

Minors

Articles
Sawyer : Contractual Capacity in East Africa and The Conflict of Law in East
Africa. 1968
Kimera v. Jiwani [1971] U.L.R 194
Nash v Inman (1908) 2 KB 1
Roberts v Gray (1913) 1 KB 520
Re Leslie v Sheill [1914] 3 KB 607
Stocks v Wilson [1913] 2 KB 235
Edwards v Carter [1893] AC 360
Chaplin v. Leslie Frewin (Publishers) Ltd [1966] Ch 71

Companies

Ashbury Railway Carriage Co. v Riche (1875) LR 7 HL, 653

4. Contents/ Terms of a Contract

Articles

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Greig, Condition or warranty? (1973) 89 LQR 93
Howarth, Objectivity in Contract (1984) 100 LQR 93

Cases
Bweya Steel Works v National Insurance Corporation [1985] HCB 58
Mukisa Ltd. v West End Distributors (1970) 3 ALR Comm.310; [1970] EA 470
Dick Bentley Productions Ltd. v Harold Smith Motors Ltd. [1965] 2 ALLER 65
Mills & Co. Ltd. v Arcos Ltd [1932] ALLER Rep. 494
Schwartz v Gill & Co. Ltd. (1971) 3 ALR Comm. 38
Panesar v Popat (1968) EA 17
Neon & Norlo Signs (Kenya) Ltd. v Alarkhia & Ors (1990) EA 82
Caleb & Ors v Din & Ors (1972) ULR 89
Nagji v Abdulla bin Abdulla 6 ULR 43
Jinabhai & Co Ltd. v Eustace Sisal Co. Ltd. (1967) EA 153
S.S Ardonnes (Cargo Owners) v Ardennes (1951) 1 KB 55
Pragji v Lubega (1964) EA 689
Oscar Chess Ltd. v Williams (1957) ALLER 325
East African Power & Lighting Co. Ltd. v Dandora Balck Trap Quaries (1967) EA
128
Reigate v Union Manufacturing Co.s (Ramsbottom) Ltd. (1918) 1 KB 592
Robbialac Paints v K & D Construction Ltd. [1976] HCB 47
Kampala General Agency 1942 Ltd. v Modys East Africa Ltd. [1963] EA 549
Routledge v Mackay [1954] 1 ALLER 855
Wassimbo v Bukenya HCCS 174/1987
Hebuit v Buckleton [1913] AC 130
Dick Bantley Productions v Harrold Smith [1965] 2 ALLER 65
Rowland v Divall [1923] 2 KB 500
Grant v Australian Knitting Mills [1936] AC 85

5. Exemption/ Exclusion clauses

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Articles
Whitford, The Doctrine of Fundamental Breach in East Africa 1969 (1) EALP 87
Dawson, Fundamental Breach of Contract (1975) 91 LQR 380

Cases
Suisse Atlantique v Rotterdamche (1966) ac 361
Dodd v Nandha 1970 (3) ALR Comm 178
L’Estrange v Groucob [1932] 2 KB 394
Photoproduction Ltd. v Securicor Transport Ltd [1980] ALLER 556
Dar-es-salaam Motor Transport Co. v Mehta & Ors [1970] EA 596
United Garments Industry Ltd. v Notco (Kampala) Ltd. [1977] HCB 128
Express Transport v BAT Tanzania Ltd. [1968] EA 433
United Manufacturers Ltd. v Wafoo Ltd. [1974] EA 233
Schluter & Co. Ltd. v E.A Railways Corporation & Ors [1975] EA 157
Harbutt Plasticine v Wayne Tank & Pump Co. [1970] ALLER 255
Karsales (Harrow) Ltd. v Wallis [1956] 2 ALLER 866
Andrews Brothers (Bournmouth) Ltd. v Singer & Co. Ltd. [1934] 1 KB 394
Asadi Mugumuza v Agip Petrol Station [1975] HCB 288
Curtis v Chemical Cleaning & Dyeing Co. [1951] 1 KB 805
Olley v Malborough [1949] 1 KB 532
Adler v Dickinson [1955] 1 QB 158
Charterhouse Trading Co. v Tolly [1963] 2 ALLER 432
Express Transport Ltd. v BAT Kenya [1968] EA 433
Kenyon Craven Ltd. v Baxter [1971] 2 ALLER 708
Akerib v Booth [1961] 1 ALLER 380
Omer Saleh v Besse Ltd. [1960] EA 907

The Law of Contract I 12