Maxims of Equity

Equity is a body of rules of fairness or natural justice or public morality. Courts administer justice
by applying rules of fairness or principles of natural justice and not any other law.
Equity is applicable to Uganda with reference to the judicature Act 1[1] which states that, in every
cause or matter before the high court, the rules of equity and rules of common law shall be
administered concurrently. The contract Act 2[2] also preserves the rights of parties to a contract both
at law and in equity.
Equity therefore is law3[3], in the sense that its part of Ugandas law with reference to the
magistrates court Act4[4], which provides that, in every civil cause or matter before a magistrates
court, law and equity shall be administered concurrently.
However in underlying the application of equity are certain maxims or principles which guide the
courts. These maxims not only help to explain the essence of equity but indicate situations in which
equitable rules would or wouldnt be applied as well as the relationship between law and equity 5[5].
As such they act as rather general guidelines to a court in reaching a decision 6[6]. These maxims
include, Equity looks at substance rather than form, Equity looks at that as done which ought to be
done, where equities are equal, the first in time prevails, Delay defeats equities, Equity acts in
personam, Equality is equity, he who seeks equity must do equity, equity follows the law, equity wont
suffer a wrong without a remedy, equity imputes an intention to fulfill an obligation, equity wont
allow a trust to fail for a want of a trustee, equity wont allow a statute to be used as a cloak for fraud,
equity wont complete an imperfect gift, equity wont aid a volunteer, equity will take jurisdiction to
avoid a multiplicity of suits, equity delights to do justice and not by halves, equity doesnt require an
idle gesture, equity abhors a forfeiture.
It should be noted that not all the maxims are applicable to Ugandas legal system, however there
are those which are applicable as discussed below;
Equity looks at the substance rather than the form
Equity developed with the aim of achieving justice rather than sticking to the forms. This approach
to technicalities has constitutional backing which requires courts to administer justice without undue
regard to technicalities7[7]. In applying this provision the supreme court of Uganda, in Stephen
Mabosi Vs Uganda Revenue Authority, held that a memorandum of appeal which was filled out of
time couldnt be rejected because the appellant couldnt file it before obtaining the official record of
proceedings from the high court which were released after the 60 day period required for filing the
memorandum of appeal had elapsed. This maxim is intended to examine instances where equity has
intervened to ensure that the substance is upheld over formalities and this instances include; time
clause, covenants, mortgage, penalties, deeds and under instruments of possession where justice
okello, in jaffer Bros limited Vs Hajji Bagalaaliwo8[8], held that since the relevant letter was issued
by a competent authority there was valid repossession by the appellant, in essence court looked at the
1[1]

SECTION 14 (4) CAP 13.

2[2]

SECTION 3 CAP 75.

3[3]

GLANVILLE WILLIAMS learning the law 10 EDITION.PP 23.

4[4]

SECTION 11 (1) CAP 16.

5[5]

D.J D.BAKIBINGA, equity and trust in Uganda . PP 18.

6[6]

SNELLS principles of equity 29th EDITION 1990 PP. 27.

7[7]

ART 126(2)(e) 1995 constitution of Uganda

substance of the action of the minister rather than the form of the instrument required under the
Expropriated properties Act.
Equity looks at that as done which ought to be done
This maxim is illustrated by the principle that an agreement for a lease is as a good as a lease, this is
further illustrated by a provision of the Registration of Titles Act 9[9] where by in breach of or non
observance of any of the covenant expressed in a lease or implied by law, the lesser may exercise the
right of re-entering the leased property this is because equity treats an agreement as done since the
parties had agreed and one had fulfilled the obligation then its fair for the other to benefit the principal
is followed in the case of serunjogi Vs katabira,10[10] in this case by a memorandum of agreement it
was dully signed by both parties. The defendant sold to the plaintiff a piece of land and a house
situated thereon, the plaintiff paid the full price but the defendant neglected to transfer title and deliver
up possession to the plaintiff. The plaintiff sued and court held that equity treats an equitable interest
as if it were already conveyed hence the defendant was ordered to deliver up vacant possession of the
premises.
This maxim can also be seen in a situation were a contract to create a mortgage was treated as a
promise by the debtor to execute a legal mortgage when called upon to do so such an agreement
created an equitable mortgage as illustrated in Barclays bank Vs Gulu millers11[11], where court held
that under a doctrine of equity a deposit of title deeds by way of security whether or not accompanied
by a memorandum was equivalent to one agreement to execute a legal mortgage and carried with it
the entire remedies incidental to a legal mortgage. Creation of an equitable mortgage by deposit of a
certificate of title is provided for under the Registration of Titles Act 12[12].
Where equities are equal the first in time prevails
The maxim deals with priority where there is a conflict between two competing equitable interests in
property because priority of time gives better equity. In Ndigejjerawa Vs Kizito and
Kubulwamwana13[13] court held that Kizitos /Kubulwamwanas equitable interests had priority
because it was created earlier than Ndigejjerawas interest. Court further stated that the first in time
rule only applies where equities are equal.
It should be note that in determining priorities between competing equitable interests the doctrine o
notice does not apply. In Ugandas legal system the general law rules for determining priorities are
substantially different with respect to the land registered under The Registration of Title Act.
However there situations where the courts do not apply the maxim for example in situation where
there are successive assignments or mortgages of equitable interest
Delay defeats equities/Doctrine of laches
The essence of the doctrine is that an equitable relief wont be given if the applicant has unduly
delayed in bringing the action unlike adverse possession, the doctrine can only be used as a defense
against an action and not as a basis for establishment of a cause of action thus where the land owner
knows that his rights are being violated and he chooses to sit idly, he is taken to have delayed in the
violation and will be stopped from arguing otherwise, in climatong Vs Olinga14[14] the applicant for a
8[8]

Civil appeal no. 43 1997(court of appeal of Uganda).

9[9]

SECTION 130. CAP 230

10[10]

[1988-90] HCB PP.148

11[11]

[1959]E.A PP. 540

12[12]

SUPRA 9. SECTION 139

13[13]

[1952-56] 7 ULR PP.31

14[14]

[1985]H.C.B PP 86

period of thirty years occupied and cultivated the respondents land although the latter was aware of
the intrusion, he made no attempt to stop it or recover the land. High court held that the applicant had
taken to long to enforce his right. there is no fixed time for the doctrine to operate its up to the court to
decide whether or not in the circumstances of a particular case it considers that delay to ring an action
was unreasonable.
However the courts wont apply the doctrine in situations which are governed by statutes of
limitations for example under The Limitation Act15[15], provides that no person shall make an action
to recover land after the expiration of twelve years from the date the cause of action accrued to him,
where fraud is alleged there is no limitation period 16[16].
There are three basic defenses to the invocation of the doctrine of laches, where by courts wont
permit delay so as to bar a claim and they include disability or infancy of the plaintiff, fraud on the
part of the defendant, ignorance of the facts on which the claim is based 17[17]
Equity acts in personam
In personam, that is against the defendant personally for example beneficial interests are a right in
personam because like all equitable rights it was done or enforced in personam for a trustee to observe
a trust. Where one acquires an equitable interest then its enforceable against the vendor thus in
katarikawe Vs William katwiremu (deceased) and Oneziforo Bakampata.Where court held that where
the purchaser acquires an equitable interest in the nature of right in personam its enforceable against
the vendor only. This is further illustrated in a situation where a defendant fails to comply with a
decree of specific performance; the court may appoint another person to execute the transfer in respect
of the disputed property18[18]. Alternatively, the courts may make a vesting order19[19]. The effect of
this courts decision is to transfer property from one person to another without a formal conveyance.
It should be noted that courts wont apply the maxim in situation where a bonafide purchaser for
value of the legal estate without notice of an earlier equitable claim over the subject property
Equality is equity
This maxim applies in three broad circumstances that is, the presumption of tenancy in common
severance of joint tenancies and the principle of equal divisions. In Ugandas legal system there is a
presumption of tenancy in common since the basic rule is that equity operates against joint tenancies
hence a right of survivorship.
In relation to Ugandas Succession Act20[20], equity operates against the right of survivorship and
presumes a tenancy in common because they share of the deceased tenant passes to those who are
entitled to his property under his will or under the rules of intestacy. This is further illustrated by the
Partnership Act21[21] which states that where there is no basis for distributing property between two
or more claimants the court may apply this maxim to divide the property equally for example where a
parent has died leaving many children, the presumption inequity is that they should all share equally
in the property.
Equity follows the law

15[15]

SECTION 6,19,21 CAP.70.

16[16]

Ibid. SECTION 20 (1)

17[17] Ibid SECTION 3,22,26

18[18]

CIVIL PROCEDURE ACT CAP 65 SEC.53,Cvil Procedure Rules Order 19, rules 13

19[19]

TRUSTEES ACT CAP. 142.SEC.40

20[20]

CAP 139(AMENDMENT) DECREE NO 22.1972.

21[21]

SECTION 28(1) CAP 86

According to the Judicature Act,22[22] provides that equity is based on the law. Equity has adopted
some of the rules of common law for example those affecting mistake that is under mistake common
law is rigid or at times harsh thats why equity has attempted to temper the unfairness in some areas
by introducing certain remedies where the common law failed to grant any, a leading example of an
equitable remedy could be granted at common law is solle Vs Butcher .
The principle that only parties to a contract will be bound by that contract under the law of contract
is observed by a doctrine of equity for example special performance cant be granted where damages
will provide adequate remedy, this is because equity follows the law and is designed to supplement
the grant of damages but not to over ride them like in contracts for sale or lease of land or where
chattels sold have a special beauty or interest specific performance will be decreed
However if the common law rules are ancient or too rigid then equity wont follow them since it
wont promote fairness to the litigants.
He who comes to equity must come with clean hands
The plaintiff must approach the court free from any blame on his part because court wont grant
equitable relief to the plaintiff if there is any evidence of fraud, mistakes, misrepresentation or
illegality, thus in Katarikawe Vs Katwiremu where court held that if a tenant is in breach of several
terms of his agreement with the land owner then court wont grant relief.
Also when certain transactions are illegal and one seeks to get an equitable relief out of such a
transaction for example under the Employment Act23[23] which provides that wages can only be paid
in local currency and not in kind and any agreement to such will be illegal, null and void. However for
the inequitable conduct to amount to un clean hands, it need not be illegal strictly as required by law.
Its sufficient if the conduct is un conscionable and morally reprehensible and need not have been to
the other party to the action.
Equity wont suffer a wrong to be without a remedy.
Trusts exemplifies this maxim, equity enabled the beneficiary through the procedures of the trust, to
enforce obligations where no remedy at common law existed 24[24]. That is the beneficiary has no
right at common law to have the terms of the trust enforced but our legal system never the less
requires the trustee to carryout those terms to prevent him or her to commit what would be in effect
wrong against that beneficiary.
Specific performance and injunctions constitute one of the chief ways in which equity supplements
the law by granting auxiliary or additional remedies where the common law remedies where
inadequate. The remedy will only be granted where its just and equitable to do so having considered
all the circumstances of the case for example it wont be awarded in contracts of every description but
only where legal remedy is inadequate or defective that it becomes necessary for equity to interfere
like in the Sale Of Goods Act25[25], contracts for sale of goods, damages may be a warded for failure
to supply goods.
However there are situations where equity cant provide a remedy for example in situations of
unfair trade competition or contracts involving personal services. In such situations, courts may be
unable to order specific performance even where damages are inadequate 26[26].therefore the maxim is
subject to what is realistic, practicable and convenient for the court.
Equity imputes an intention to fulfill an obligation
The doctrine of performance and satisfaction are based on this maxim because both doctrines are
based on intention, however in our legal system courts tend to rely more on the presumptions as to the
22[22]

Supra 2; SECTION 2

23[23]

CAP 219 SECTION 30

24[24]

Trustees Act, CAP 164, SECTION 55

25[25]

CAP79, SECTION 52

26[26]

D J BAKIBINGA, Law Of Contract In Uganda(1996) pp 379

partys intensions that is where a person who is under a duty to do an act, does an act amounting to the
performance of the duty, in equity he/ she will be deemed to have executed the duty.
He who seeks equity must do equity
A person seeking an equitable remedy must him or her self act fairly, thus in case of Bank Of Uganda
Vs Hassan Bassajabalaba where court held that Bassajabalaba failed to act fairly when he forged a
court order so as to get back his land titles hence an equitable remedy couldnt be granted to him.
This maxim can be illustrated through the following arrangements that is, doctrine of election, notice
to redeem mortgage, consolidation of mortgage and illegal loans.
CONCLUSION
Basing on the above discussion, equity didnt deny the existence of the legal right but it has added
something to it .Our legal system as a whole would have been un fair to justice if the system of the
common law hadnt been supplemented by the system of equity

BIBIOGRAPHY
1. LEARNING THE LAW, 10 edition, Glanville Williams
2. THE JUDICATURE ACT, CAP 13
3. THE CONTRACT ACT, CAP 75
4. THE MAGISTRATES COURT ACT, CAP 16
5. EQUITY AND TRUST IN UGANDA, D J Bakibinga
6. THE LAW OF CONTRACT IN EAST AFRICA, D J Bakibinga
7. ELEMENTS OF THE LAW OF CONRACT, 1st edition, W I Tuhumwire
8. THE 1995 CONSTITUTION OF UGANDA
9. THE LIMITATION ACT CAP 70
10. THE TRUSTEES ACT CAP 142
11. THE PRINCIPLES OF LAND LAW, Mugambwa