Kitgum Municipal Council sued for breach of contract
They allege a breach of the agreement signed when they invested in the construction of the former Kitgum Main Market Building.
Kitgum: The Kitgum Main Market Private Developers Association has dragged Kitgum Municipal Council to the High Court of Uganda in Kitgum High Court Circuit, demanding compensation.
Through their lead lawyer, Nimungu Associate Advocates, the 69 members are seeking compensation ranging from UGX 1,380,000,000 (one billion three hundred eighty million shillings) to UGX 2,415,000,000 (two billion four hundred fifteen million shillings) from Kitgum Municipal Council.
They allege a breach of the agreement signed when they invested in the construction of the former Kitgum Main Market Building in Central Division, Kitgum Municipality.
The lawyer cited five grounds for breach of contract, including failure to form and involve the association in the market allocation committee, failure to give the members first priority in the allocation of lockups in the new market structures, demanding monthly payments for the randomly allocated lockups, removing the rights to occupy lockup shops in the market for the agreed 30-year period, and other unspecified grounds.
According to a letter obtained by this website on Wednesday, June 5, 2024, Kitgum Municipal Council is now required to file a defense against the claim within fifteen days from the date of service of summons.
In a phone interview with this publication, Mr. Tookwiny Amos Akuyon, the chairperson of the association, said that they opted for the legal option after realizing that the Kitgum Municipal Council has not considered their long-time pleas since the allocation of lockups in January 2024.
We would not have gotten a comment from the Kitgum Municipal Authorities by the time of publication.
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