Commercial Court Targets Shs325bn Locked in Trade Disputes

The Commercial Court has launched a Trade Dispute Settlement Fortnight aimed at resolving hundreds of commercial disputes and unlocking an estimated Shs325 billion tied up in trade, construction and corporate cases. The initiative, running from August 17 to 31, brings together judges, registrars, mediators, advocates, traders, businesspeople, law students and other stakeholders as the Judiciary steps up efforts to promote mediation as a faster, less costly and more efficient alternative to prolonged litigation.

Principal Judge Jane Frances Abodo, who launched the fortnight on Monday, said the success of the initiative would depend largely on the commitment of judicial officers and other stakeholders to embrace mediation. “Things start and fall with leadership,” Abodo said, commending the Commercial Court leadership and judges who had committed themselves to the mediation drive.

She said the presence of judges from other High Court divisions at the launch demonstrated that the Judiciary was united in supporting alternative dispute resolution. “When it matters, the High Court shows up,” she said.



Abodo said the Commercial Court registry had a crucial role to play by identifying cases suitable for mediation and bringing them to the attention of judicial officers at an early stage. She also recognised the contribution of support staff whose work enables the court to function efficiently, including those responsible for retrieving files and preparing facilities for mediation sessions.

The Principal Judge commended mediators for their commitment, efficiency, creativity and neutrality, saying their expertise was essential to the success of the process. She also urged traders to participate actively in mediation, saying businesspeople often understand the practical realities of commercial disputes and can help parties find workable solutions.

Abodo said advocates were equally important because clients often depend on their lawyers when deciding whether to pursue litigation or settle disputes. She said the Judiciary was seeking to change the perception among some lawyers that litigation is the primary route to justice. “Settlement is not a lesser form of justice. It is justice achieved in a different and often more effective way,” she said.

Abodo said prolonged litigation can tie up business capital, delay projects and damage commercial relationships, leaving people’s lives and businesses on hold for months or even years. “We want to use mediation so that we don’t put lives on hold,” she said.

She urged judges and registrars to identify suitable cases early and encourage parties to consider settlement, while cautioning judicial officers against forcing parties into mediation. Abodo said parties should instead be allowed to understand the benefits of settlement and make informed decisions.

She also urged advocates to give clients practical advice, including when settlement may serve their interests better than prolonged litigation.

The Principal Judge encouraged the business community to approach mediation with an open mind, saying commercial disputes do not always have to end with one party defeating another.“Sometimes the best outcome is one that enables both parties to move on. With mediation, it is a win-win. No one wins, no one loses; everyone gains something and moves on,” she said. Abodo said the success of the fortnight should not be measured only by the number of mediations conducted but by the number of disputes resolved and commercial relationships preserved.

She urged stakeholders to move “from conflict to conversation, from litigation to resolution, and from disputes to solutions.” The Head of the Commercial Court, Justice Anne Mugenyi Bitature, said the court had identified 1,250 cases in the trade, construction and corporate disputes cluster for possible mediation.

Of these, 520 cases valued at approximately Shs325 billion have been listed for mediation during the fortnight. Mugenyi said 26 mediators had been prepared to handle the cases and expressed confidence that the initiative would produce significant results. She said the exercise was intended to unlock capital tied up in disputes, reduce the commercial case backlog and demonstrate the Judiciary’s commitment to timely and efficient justice.

The initiative also comes as the Commercial Court marks 30 years of existence. Mugenyi pointed to the Banking Mediation Fortnight held in May, during which about 98 disputes were settled, releasing approximately Shs90 billion. She expressed optimism that the Trade Dispute Settlement Fortnight would produce even greater results because of its focus on trade, construction and corporate disputes.