THE REPUBLIC OF UGANDA

MEMORANDUM OF UNDERSTANDING
CONCERNING COMPENSATION FOR THE LAND
COMPRISED IN
KYAGGWE BLOCK 471 PLOT 69, LAND AT KUMBU,
KIGUGO VILLAGE, NAMUKUMA PARISH, SSI COUNTY,
BUIKWE DISTRICT

Drawn by:
Kampala Associated Advocates
KAA House, Plot 41 Nakasero road
P.O Box 9566
Kampala, Uganda

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 THE REPUBLIC OF UGANDA
IN THE MATTER OF
THE CONTRACTS ACT, 2010;
THE LAND ACT, CAP. 227 (AS AMENDED); &
THE REGISTRATION OF TITLES ACT, CAP. 230;
AND
IN THE MATTER OF
A MEMORANDUM OF UNDERSTANDING CONCERNING COMPENSATION
FOR THE LAND COMPRISED IN KYAGGWE BLOCK 471 PLOT 69, LAND AT
KUMBU, KIGUGO VILLAGE, NAMUKUMA PARISH, SSI BUIKWE
DISTRICT MEASURING APPROX 5.52 ACRES

This MEMORANDUM OF UNDERSTANDING is made this ........ day of ….......……

2020.

BETWEEN

ELIZABETH KIBUUKA MUSOKE of P.O Box 550, Mukono, Uganda (hereinafter referred
to as "First(1st) Party") which expression shall where the context so admits include its
successor(s) in title, legal representative(s) and assignees of the first part;

&

MOSES KAAYA of Mobile No. _______________________ and resident

of_________________________, Uganda (Hereinafter referred to as "Second (2nd)
Party") which expression shall where the context so admits include her successor(s) in title,
legal representative(s) and assignees of the second part;

Hereinafter collectively referred to as the “Parties”;

WHEREAS:

A. The First Party is the registered proprietor of the land comprised in Kyaggwe
Block 471 Plot 69 at Kumbu, Kigugo Village, Namukuma Parish, Ssi sub-county,
Buikwe District measuring approximately 5.52 Acres (the “Property");
B. The 2nd Party is in possession of the Property and is the owner of trees on the
property;

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 C. There is disagreement as to the nature of the 2nd Party’s interest on the land but
the 1st Party is desirous of obtaining vacant possession of the Property;
D. The 2nd Party is willing to be compensated for his interest in the property;
E. The said Parties have made assurances and representations to each other to fulfill
the terms and conditions of this agreement to the full satisfaction of each other
and the Parties relying on the said assurances and representations have agreed to
enter into this agreement.

NOW THEREFORE, in consideration of the mutual agreements and covenants

herein contained THIS AGREEMENT WITNESSETH as follows;

1.0 AGREEMENT

Without prejudice to the 1st Party’s legal rights on the Property, the !st Party
hereby agrees to compensate the 2nd Party and the 2nd Party hereby accepts to
be compensated for the delivery of vacant possession of the Property to the
former on the terms and subject to the conditions set out in this agreement.

2.0 CONSIDERATION

2.1 The parties hereby agree that the 1st Party shall be entitled to 62.5% (3.45
acres) of the property and the 2nd Party shall be compensated 37.5% (2.07
acres) of the property;
2.2 The 1st Party shall receive vacant possession of their part as stipulated in clause
2.1 above after completion of the sub-division by the Ministry of lands,
housing and urban development and receipt of signed Transfer forms by the
2nd Party in respect of the Title that relates to its share as herein specified .
2.3 For the avoidance of doubt, the compensation agreed herein above shall
include the value of the trees and any other temporary or permanent fixtures on
the land.
2.4 For the avoidance of doubt the compensation agreed is as indicated in the
below sketch.
2.5
3.0 EXPENSES

3.1 Both parties shall contribute towards the cost of this agreement.

3.2 The 1st Party shall cover the costs of producing a title. However the 2 nd party is
responsible for the costs associated with transferring the title into their own
names.

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 3.3 Where the 2nd Party processes the title, the receipted costs incurred shall be
reimbursed by the 1st Party.

3.4 The Parties shall be responsible and liable for all arrears in respect of rates,
levies and charges in respect of their respective portions of the land.

4.0 VACANT POSSESSION

4.1 For the avoidance of doubt, the 2 nd Party hereby undertakes to deliver vacant
possession to the 1st Party in line with the provisions of 2.2 above.

5.0 WARRANTIES AND REPRESENTATIONS

The Parties hereby warrant that they have not entered into any contract with any
third party the terms and conditions of which may render the sale of the
Properties hereunder void or voidable should they choose to sell their respective
portions of this land to one buyer.

6.0 INDEMNITY

6.1 Other than as a result of a breach of this Agreement, negligence or wilful

misconduct, the 1st Party shall not be liable for any third party claims in respect
of the sale of this agreement;

6.2 The 2nd Party hereto shall indemnify and hold harmless the 1st Party from and
against any and all losses, liabilities, claims, actions, damages and expenses,
including reasonable attorney fees and disbursements, actually incurred and
arising out of and in connection with any such third party claim provided the
same is reasonably attributable to the former ;

6.3 This indemnity shall survive the termination of this Agreement.

7.0 TERM

This Agreement shall terminate upon receipt of the compensation in Clause 2.0
above.

8.0 EXCLUSIONS

Excluded from this Agreement are all existing written agreements between the
parties in place at the time of the execution of this Agreement.

9.0 MODIFICATION

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 This Agreement may not be modified except by amendment reduced in writing
and signed by the Parties. No waiver of this Agreement shall be construed as a
continuing waiver or consent to any subsequent breach thereof.

10.0 ENTIRE AGREEMENT

10.1 This Agreement sets forth the entire agreement and understanding between the
parties relating to the subject matter herein and supersedes all prior discussions
between the parties.

10.2 No modification of or amendment to this Agreement, nor any waiver of any

rights under this Agreement, will be effective unless in writing signed by the
party to be charged.

11.0 GOVERNING LAW

This Agreement will be governed by and interpreted in accordance with the

Laws of Uganda.

12.0 DISPUTE RESOLUTION

The Parties agree that any dispute regarding an alleged breach of this Agreement
shall be resolved through final and binding Mediation and/or arbitration
through the auspices of the Centre for Arbitration and Dispute Resolution
(CADER). The parties agree that any Mediation and/or arbitration under this
provision shall be heard by a single Mediator/Arbitrator chosen by CADER, shall
be conducted according to the rules and regulations then in effect.

13.0 SEVERABILITY

If one or more of the provisions in this Agreement are deemed void by law, then
the remaining provisions will continue in full force and effect.

14.0 ADDITIONAL ACKNOWLEDGMENTS

ALL the parties herein acknowledge and agree that:

a) the parties are executing this Agreement voluntarily and without any duress
or undue influence;

b) the parties have carefully read this Agreement and have asked any questions
needed to understand the terms, consequences, and binding effect of this
Agreement and fully understand them; and

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 c) the parties have sought the advice of an attorney of their respective choice (if
so desired) prior to executing this Agreement. 

15.0 FURTHER DOCUMENT

If any other provisions or agreements are necessary to enforce the intent of this
Agreement, both parties agree to execute such provisions or agreements upon
request.

IN WITNESS WHEREOF, and acknowledging acceptance and agreement to the

foregoing, the Parties affix their signatures hereto as of the date written herein above:-

Dated this ……………………….. day of …………………………….., 2020.

Signed by the said;

ELIZABETH KIBUUKA MUSOKE ….…………………………….
[FIRST
PARTY]

Witnessed by

……………………………………………….
Name:

Signed by the said ]

MOSES KAAYA ……….……………………………….

[SECOND
PARTY]

DECLARATION OF CONSENT
I, ……………[insert wife’s name]……………………… hereby accept the terms and conditions set out
in this agreement. I declare that I have understood the contents of this agreement and I hereby
freely and voluntarily consent to the execution of this Agreement.

_______________________ _________________________
NAME SIGNATURE

All in the presence of:

_______________________
_______________________

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_______________________
_______________________

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