New details have emerged on the ongoing High court suit in which Nyamityobora President Joseph Mbazzi Muguluma aka Ben Misagga, through Muwema $ Co. Advocates and Solicitors, battles FUFA registered trustees, FUFA Super league limited (FSLL) and Star DTV (Uganda) LTD (StarTimes) over commission arising from the 10-year StarTimes exclusive Title and Broadcast rights sponsorship agreement signed last year (June, 2018) between the three defendant parties respectively. StarTimes agreed $7.24m (exclusive VAT) for ten years till 2017/2028 season and Misagga claims to have been the ‘commission agent’ for deal and thus entitled to a commission share (reportedly 10%) off the total amount.
In its defence, StarTimes claims to be a wrong party to the suit and that it performed and fulfilled its duties and obligations as stipulated in the agreement.
It further denies promising anyone commission, considering that the agreement was negotiated by its self or its appointed agents. However in the same defence shared to this website, StarTimes (Third Defendant) avert that it is aware that the plaintiff (Misagga) approached it in respect to a prospect of reaching a broadcast sponsorship agreement for Ugandan football with FUFA and FSSL.
“(5b) That thereafter several negotiations were held involving the plaintiff (Misagga), First Defendant (FUFA) and second Defendant (FSLL) culminating into the execution of the Agreement referred to above. (5c) At all material time during the negotiations, the Plaintiff was ostensibly acting as an official, agent and /or liaison of the First and Second Defendants. (5d) The Third Defendant is not aware of the relationship amongst the Plaintiff, First and Second Defendants but what it can state is that they worked and seemed to be working as a single party on one hand and the Third Defendant on the other hand,” reads part of StarTimes’ defence as drawn by KSMO ADVOCATES.
StarTimes further avert, in the defence, that their officials only got involved in the dispute over commission so as to have good-faith negotiations to resolve the matter amicably to save their reputation and brand after bad media publication.
FUFA confirm Misagga participation but insist he volunteered
FUFA however, through M/S Ochieng Associated Advocates and Solicitors, insists that it, through, its officials, directly approached the Third Defendant (StarTimes) for the possible league broadcast Sponsorship in July 2017 and that there was a non disclosure agreement as a basis of further contractual dealings.
FUFA claims that Misagga (in his capacity then as SC Villa President), alongside KCCA FC chairman then Julius Kabugo (‘both of which are members of FUFA’) only approached it (through FUFA President and chairman marketing) in May 2018 with information that they had learnt from FSLL of advanced stages of negotiation and concluding sponsorship agreement.
“That the Plaintiff and said Kabugo requested and volunteered to participate in further negations. That it was on the basis of the foregoing, that the Plaintiff participated in some of the meetings. That long after the execution of the sponsorship agreement, the 1st Defendant (FUFA) was shocked to receive baseless, unfounded and outrageous demands for commission from the Plaintiff when no such commission or remuneration have ever been agreed upon whether explicitly, impliedly or otherwise,” partly reads FUFA’s defence.
FSLL to raise preliminary objection of nullity
The Red Pepper has also learned that, through M/S Luganda, Ojok and Companay Advocates, FSLL shall, before commencement of trial raise a preliminary Objection that the instant suit is a nullity, frivolous and vexatious as it does not disclose a cause of action against it. “We shall pray that the suit against 2nd defendant be dismissed. That the 2nd defendant is a private limited liability company which is composed of football clubs in the Ugandan top tier league and runs the local league with independence from 1stdefendant,” read part of FSLL defence.
According to the Plaintiff lead counsel Roberts Kagolo, the confirmation of Misagga participation by both StarTimes and FUFA makes a good case to argue. “FUFA denies his role and says he was a volunteer. Do volunteers negotiate business deals? How come StarTimes understand him (Misagga) as an agent or official, who worked together with both FUFA and FSLL in negotiations? Why was there a meeting to settle the matter amicably involved by all parties if there was no merit? Let us wait in court good enough the judge has already been appointed,” noted Kagolo. Away from the commission battle, Misagga has also proven a sworn enemy of FUFA President Eng. Moses Magogo, whom he attributes his unceremonious exit as SC Villa president to and the former has already declared intent to replace the latter as FUFA President.