Here’s the converted article in markdown format:

Uganda’s Debt Recovery Laws: Key Procedures and Remedies

Overview

This article provides an overview of the key procedures and remedies available to creditors in enforcing their rights against defaulting borrowers or obligors under Ugandan law. It covers various aspects of debt recovery, including charge over shares, debenture, mortgage, bankruptcy, and insolvency.

Charge Over Shares

A chargee can enforce its security interest by transferring the shares to itself or a nominee, subject to the following conditions:

• Duty: The chargee must pay a duty of 1.5% of the value of the transfer.
• Filing: The share transfer forms must be filed with the companies’ registry.

Debenture Enforcement

Enforcement mechanisms for debentures include:

• Sale: The document may provide for the sale of the secured property.
• Appointment of Receiver or Manager: A receiver or manager can be appointed to manage the secured property, subject to express inclusion in the document.

Mortgage Remedies

A mortgagee may serve a 45-day notice on the mortgagor requiring rectification of default. If the default is not rectified, the mortgagee may exercise the following remedies:

• Payment: The mortgagor must pay all monies owing under the mortgage.
• Appointment of Receiver or Manager: A receiver or manager can be appointed to manage the mortgaged land.
• Lease or Sub-Lease: The mortgagee may grant a lease or sub-lease over the mortgaged land.
• Entry into Possession: The mortgagee may enter into possession of the mortgaged land.
• Sale: The mortgagee may sell the mortgaged land.

Bankruptcy and Insolvency

Uganda recognizes foreign law and jurisdiction, including the enforcement of foreign judgments and arbitral awards. However, specific procedures may be required for recognition and enforcement.