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Commercial Court to unlock shs325bn held in trade, construction cases in two-week drive

by Michael Kironde
in News
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Commercial Court to unlock shs325bn held in trade, construction cases in two-week drive
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The Commercial Court has launched a two-week mediation drive targeting more than Shs325 billion tied up in disputes involving trade, construction and corporations.

Speaking during the launch in Kampala, Principal Judge Lady Justice Jane Frances Abodo welcomed the initiative, saying mediation offers a faster and more practical path to justice while helping businesses preserve valuable relationships.

“Let us remember that settlement is not a lesser form of justice. It is justice achieved in a different and, often, more effective way. For the business community, prolonged litigation ties up resources. It delays projects and, of course, not to mention damaging relationships. Mediation provides an opportunity to find practical solutions, preserve commercial relationships and allows parties to move on,” she said.

Abodo urged judges and registrars to identify suitable cases early and actively encourage parties to consider mediation.

“If a judicial officer has a negative mind about mediation, they will never refer. So, the leadership starts with us. We must identify matters. We must explain to the parties the advantages of mediation. Then the parties are actually left at liberty to choose whether they want to do mediation or they actually want to do litigation,” she said.

She, however, cautioned judicial officers against forcing parties into settlements, saying cases should proceed to trial where parties are unwilling to mediate.

“To the Bar (lawyers), I want to urge you to advise your clients realistically, not only on how to win a case but also on when settlement may actually serve their interests better,” Abodo said.

She encouraged parties to approach mediation with an open mind, noting that commercial disputes do not necessarily have to end with one side defeating the other.

“Sometimes the best outcome is one that enables both parties to move on. With mediation, it is a win-win. No one wins, no one loses. Everyone gains something and moves on,” she said.

The head of the Commercial Division, Lady Justice Anne Mugenyi, said the two-week mediation drive will handle 520 cases valued at about Shs325 billion, mainly in the trade, construction and corporation cluster.

“We have 26 mediators all set for this fortnight, and we are expecting excellent results. By this mediation fortnight, we intend to unlock substantial capital tied up in trade disputes, reduce the backlog and also to show the Judiciary the commitment of the Commercial Division to swift, efficient commercial justice, especially after being in existence for 30 years,” she said.

Mugenyi said the initiative builds on the success of the recent banking mediation fortnight, which resolved about 98 disputes and released approximately Shs90 billion.

“We are confident that, just like the banking mediation fortnight that settled about 98 disputes successfully, releasing about Shs90 billion, this mediation fortnight focusing on trade, construction and corporation will even produce better results,” she said.

Tags: Anne Mugenyibusiness disputesCase backlogcommercial casesCommercial CourtCommercial Divisioncommercial justiceconstruction casesconstruction disputescorporate casescorporate disputesJane Frances AbodoJudiciaryKampalalitigationmediationmediation fortnightsettlementShs325 billiontrade casestrade disputesUgandaUganda judiciary
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Michael Kironde

Michael Kironde

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