Automated Summary
Key Facts
Ritha Dominic Mallya applied for an urgent temporary injunction to prevent Maendeleo Bank PLC from auctioning a mortgaged plot (Title 94159, Plot No. 1107, Mikocheni, Kinondoni Municipality) owned by her deceased husband Dominic Alphonce Mallya. The bank had secured a TZS 425 million loan with the property, which Mallya partially repaid before facing economic hardship. The bank refused loan restructuring and threatened auction, prompting the application. The court granted the injunction without ordering costs to the applicant, as the respondent did not contest the application but opposed cost allocation.
Transaction Type
2018 loan of TZS 425,000,000 secured by multiple properties including the disputed plot
Deceased Name
Dominic Alphonce Mallya
Issues
The main legal issue addressed in this case is whether the applicant's application for a temporary injunction to restrain the respondent from selling the disputed mortgaged property through auction has merit. The applicant argued that the respondent's refusal to restructure the loan and its threat to auction the property would cause irreparable harm, particularly as the guarantor (the applicant's late husband) has passed away and the beneficiaries of his estate have not yet decided on the property's fate.
Holdings
The court granted the applicant's application for a temporary injunction to restrain the respondent from auctioning the disputed plot (Title No. 94159, Plot No. 1107, Mikocheni area). The application was not contested, and the applicant established its merit by demonstrating the risk of irreparable loss if the property were sold, particularly given the deceased guarantor's estate beneficiaries had not yet resolved the property's fate. The court also ruled there would be no order for costs on the respondent.
Remedies
Temporary injunction granted to restrain the sale of the disputed plot (Title No. 94159, Plot No. 1107) pending determination of the main case. The court also dismissed the applicant's claim for costs against the respondent.
Contract Value
425000000.00
Probate Status
Estate of deceased guarantor is pending resolution of property disposition.
Legal Principles
The court granted an interim injunction to restrain the respondent from auctioning the disputed mortgaged property pending resolution of the main case, based on the applicant's established merit and risk of irreparable harm.
Succession Regime
Estate beneficiaries of deceased guarantor have not resolved property disposition
Judge Name
A. Msafiri
Passage Text
- Since the application was not contested, I am of the view that the applicant has managed to establish that the same has merit.
- The applicant averred that, in the event this application will not be granted, the applicant will suffer irreparable loss.
- In upshot, the application is hereby granted with no order as to the costs.
Damages / Relief Type
Injunction to prevent sale of mortgaged property through auction. No costs awarded to applicant.
Beneficiary Classes
Heir-At-Law