A Critical Analysis of Consumer Protection Laws in Uganda

ABSTRACT This thesis entitled "A critical analysis of consumer protection laws in Uganda". It's majorly to focus on consumer protection laws in Uganda which include; The Uganda communication Act of 2013(as amended), the Contract Act 2010, Sale of Goods Act Cap 82, and Uganda National Bureau of Standards Act Cap 327,the National Drug Policy and Authority Act Cap 206, Foods and Drugs Act Cap 278 the Hire purchase Act of 2009,Agdcultural seeds and plant Act Cap 28,the Bank of Uganda Act Cap51 and among others as discussed in this research. Therefore, this research attempts to analyze and determine how these legislations have been effective on the implementation of consumer protection and they have failures thereof in the implementation due to weaknesses ineffectiveness in the provisions of the above mentioned laws due to the fact that most of these laws were adopted fi·o,n foreign laws which do not properly suit the social, economical and political problems of consumers in Uganda, I will discuss how the penalties established under the aforementioned laws work upon the unscmpulous traders and the middle men, and how such penalties are being abused by such business men and minimal fines of such laws in Uganda's economy and how the Govemment has done little to put in force the single law that govem consumers, therefore this thesis establishes a critical analysis of the aforementioned consumer protection laws by both theoretical and legal research methods. In nutshell therefore, I would actually recommend the enactment of a single and specific legislation called "Consumer protection Act" which could assume the effective protection of all consumer issues and not refen-ing to the variety of laws, which tend to cause complexity especially to illiterates, ignorant and poor consumers in Uganda. This Act will further prowide for the effective management of consumers' affairs of rights, meaning, an unambiguous procedure of lodging consumer complaints, remedies hence enabling consumers attain redress and fair justice.

TABLE OF CONTENTS

DECLARATION .............................................................................................................................. ii

APPROVAL .................................................................................................................................... iii

DEDICATION ................................................................................................................................. iv

ACKNOWLEDGMENT .................................................................................................................. v r CAUTION ....................................................................................................................................... vi

LIST OF LEGISLATION ............................................................................................................... vii

LIST OF CASES ........................................................................................................................... viii

TABLE OF CONTENTS ................................................................................................................ ix

ABSTRACT ................................................................................................................................... xii

CHAPTER ONE ............................................................................................................................. 1

CONSUMER PROTECTION UNDER THE LAWS OF UGANDA ......................................... 1

1.0 Introduction ............................................................................................................................. !

1.1 Who is a consumer? ................................................................................................................ 1

1.2 Consumer Protection ............................................................................................................... 1

1.3. Significance of the study ........................................................................................................ 2

1.4. Scope ofResearch .................................................................................................................. 3

1.5. Back ground and statement of the problem ........................................................................... 4

1.6. Research questions ................................................................................................................. 5

1.7. Objectives of the Research ..................................................................................................... 5

1.8. Hypothesis .............................................................................................................................. 6

1.9. Methodology .......................................................................................................................... 6

1.10. LiteratureReview ................................................................................................................. 6

1.11. Chapterisation ...................................................................................................................... 8

CHAPTER TWO .......................................................................................................................... 1 0

THE IDSTORlCAL, ECONOMIC AND PIDLOSOPIDCAL BACKGROUND OF

CONSUMER PROTECTION ..................................................................................................... 10

2.0 INTRODUCTION ................................................................................................................ 10

ix

2.1 The 12th and 13th Centuries- Feudal Era .............................................................................. 10

2.2 The 14th' 15th and 16'h Centuries ........................................................................................... 11

2.3 The 17th, 18th and 19'h Centuries ........................................................................................... 11

2.4 The 19th Century .................................................................................................................. 13

2.5 The 20th 21 '' Centuries .......................................................................................................... 13

2.6 Why protect the consumer? ................................................................................................... 14

2.7 Is a Consumer Properly Protected? ....................................................................................... 15

2.8 The United Nations guidelines for consumer protection, 1985 ............................................ 15

2.9 The Model law for consumer protection in Africa, 1995 ..................................................... 16

CHAPTER THREE ...................................................................................................................... 17

A CRITICAL ANALYSIS OF CONSUMER PROTECTION LAWS IN UGANDA ............ I?

3.0 hltroduction .................................... , ...................................................................................... 17

3.1 Acts of Parliament. ................................................................................................................ 17

3.1.1 TheContractAct,2010 ................................................................................................ : ..... 17

3 .1.2 Sale of Goods Act Cap 82 .................................................................................................. 19

3 .1.3 The Weights and Measures Act Cap 103 ........................................................................... 20

3.1.4 The Uganda Communications Act, 2013(as amended) ..................................................... 21

3.1.5 The Uganda National Bureau of Standards (Amendment) Act 2013 ................................ 22

3 .1.6 The National Drug Policy and Authority Act Cap 206 ...................................................... 23

3.1.7 Food and Drugs Act Cap 278 ............................................................................................. 23

3 .1.8 The Advocates Act Cap 267 .............................................................................................. 24

3 .1.9 The Penal Code Act Cap 120 ............................................................................................. 24

3.1.10 The Agricultural Seeds and Plant Act Cap 28 .......................................................... ! ...... 25

3 .1.11 The Control of Agricultural Chemicals Act Cap 29 ........................................................ 25

3.1.12 The Bank of Uganda Act Cap 51 ..................................................................................... 25

3 .1.13 The Hire Purchase Act 2009 ............................................................................................ 26

The Proposed Consumer Protection Bill of 2004 entitled the Consumer Protection Act, of 2004 .

..................................................................................................................................................... 26

X

CHARPTER FOUR ...................................................................................................................... 28

EXEMPTION CLAUSES AND IMPLIED TERMS AND HOW THEY APPLY TO

CONSUMERS ............................................................................................................................... 28

4.0 Introduction ........................................................................................................................... 28

4.1 Circumstances in which the seller may be disentitled from relying on the exemption clauses .

..................................................................................................................................................... 29

4,2 P1ivity of Contract ................................................................................................................. 31

4.3 Implied undertaking as to title and a among others .............................................................. 32

4.4 Conditions implied by description ........................................................................................ 33

4.5 Implied conditions as to quality or fitness ............................................................................ 33

4.6 Implied term in sale by sample ............................................................................................. 33

4.7 General remedies available to the consumer. ........................................................................ 34

4. 7.1 Refusal/rejection of further performance ........................................................................... 34

4.7.2 Damages ............................................................................................................................. 34

4.7.3 Quantnm Meruit ................................................................................................................. 35

4. 7.4 Specific performance ......................................................................................................... 3 5

4.7.5 Injunction ........................................................................................................................... 35

4.8 Other remedies ...................................................................................................................... 36

4.8.1 Action for non delivery ...................................................................................................... 36

4.8.2 Compensation ..................................................................................................................... 36

4.9 Tort based remedies .............................................................................................................. 36

4.10 Negligence .......................................................................................................................... 37

4.11 Standard of goods and services ........................................................................................... 3 7

4.12 Fraudulent misrepresentation .............................................................................................. 37

4.13 A general Conclusion .......................................................................................................... 38

CHAPTER FIVE .......................................................................................................................... 39

5.0 The Main Findings ................................................................................................................ 39

5.1 Recommendations ................................................................................................................. 41

5.2 Conclusion ............................................................................................................................ 43

BIBLIOGRAPHY ..................................................................................................................... -:: .... 44