National Bank of Commerce Limited versus MM Worldwide Trading Co Ltd; Msc Commercial Cause No. 217 of 2015: High Court of Tanzania ( Commercial Division at Dar es Salaam (Unreported)
- Taxation
- Reference – under what circumstances the court shall interfere with powers of the taxing master?
- Rates – Matter determined on a preliminary point – whether same rates are applicable as if the matter was determined at full trial.
- Rates – a taxing master awarded 3% on a matter determined on a preliminary objection – whether proper.
Held:-
(i) Taxation powers are discretional upon the taxing officer and the court shall not interfere with such powers unless it is safisfied that the same was based on a wrong principle (Cited Pardhan v. Osman (1969) 1 EA 528 and George Mbuguzi v. A.S Maskini [1980] TLR 53)
(ii) Judges, lacking the experience of taxing masters, will not interfere with the quantum allowed as an instruction fee upon taxation, unless it is manifestly so high or so low that it calls for interference by reason of some misdirection having occurred or some wrong principle having been adopted (Cited Pardhan v. Osman (1969) 1 EA 528).
(iii) Costs are taxable on the rates provided by the law regardless of whether the matter was determined on a preliminary point or after a full trial. Addition or deduction therefrom is discretional upon the High court judge, and as such, taxed at lower rate than the prescribed scales or additional rate than the prescribed scales has to lay grounds for the Judge or exercise such discretion.
(iv) As a matter of discretion, a taxing master can offer a lesser amount than 3% as the whole matter is within his discretion depending on the efforts and industry put in the case. (In this case, the Judge awarded 11/2 % of the amount of the subject matter of the suit instead of 3% which was awarded by the taxing officer as the matter was determined on a preliminary objection).