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Court Summons Investor Over USh70m Munyonyo Rent Arrears

Ms Kalpana Abe, the investor. Image source: Daily Monitor

UGANDA, Munyonyo | Real Muloodi News | The High Court in Kampala has summoned Ms Kalpana Abe, an investor, over allegations of defaulting on rent payments amounting to $19,200 (over USh70 million) for her residence in Munyonyo.

The court documents state that Ms Abe has 15 days to file her defence against the allegations of breaching her rental contract with the landlord, Ms Magret Kumba Nakau.

The court summons explicitly warns,Should you fail to file a defense on or before the date mentioned, the plaintiff may proceed with the suit and judgment may be given in your absence.”

According to the court documents, Ms Nakau, the registered proprietor of the property located at Plot 1026 Block 257 Gaava Road, Munyonyo, rented the house to Ms Abe on August 1, 2023.

They agreed on an annual rent of $28,800 (about UShs105 million), translating to a monthly rent of $2,400 (about USh8.7 million).

The documents further detail,…After the agreement of both parties, the plaintiff (Ms. Nakau) through her agent, issued an invoice to the defendant (Ms. Kalpana) for payment of the agreed rent annually of USD 28,800.”

Despite repeated demands for the payment, Ms Abe allegedly has not paid rent since the agreement date, August 1, 2023.

The landlord asserts that this conduct constitutes a violation of her obligation to pay rent as agreed. Ms Nakau highlights that she has ongoing financial responsibilities, including property taxes, which have remained unpaid due to the alleged default by Ms Abe.

Ms Nakau’s complaint states,Upon numerous demands by the plaintiff (Ms. Nakau) through her agent for the defendant (Ms. Kalpana) to pay the said rent, the defendant has not paid rent since last year August 1 up to date which conduct amounts to a violation of her obligation to pay rent as agreed yet the plaintiff has to make some payments like property taxes in respect of the same premises to relevant authorities which are still in arrears.”

Ms Nakau contends that due to Ms Abe’s alleged default on her rent payments, she has suffered economic and financial losses as the rental income was her source of livelihood and used to cover other responsibilities.

She claims that despite several reminders, Ms Abe has refused to pay the outstanding rent.

Ms Nakau is now seeking a court declaration that her tenant breached the tenancy contract and is also requesting a court order for the vacant possession or repossession of her premises.

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