Chileshe v E and M Business Trust

In *Chileshe v E and M Business Trust*, the applicant, Mr. Chileshe, sought to set aside a default judgment entered against him in favour of the respondents, E and M Business Trust. The dispute arose from an alleged breach of a loan agreement, with the respondents claiming repayment of a principal sum and interest. Mr. Chileshe contended that he had not been properly served with the originating process and that the default judgment had been entered prematurely.

The primary legal issue before the court was whether the default judgment should be set aside. This required the court to consider the principles governing applications to set aside default judgments, particularly concerning the adequacy of service and whether there was a meritorious defence to the claim. The court also had to determine if the respondents had acted with due diligence in seeking to enforce the loan agreement.

Judge Whelan applied the well-established principles for setting aside default judgments. Her Honour noted that a party seeking to set aside a default judgment must generally demonstrate either that service was irregular or defective, or that they have a defence with a real prospect of success. In this instance, the court found that service of the originating process had been effected in accordance with the rules. Furthermore, Mr. Chileshe failed to provide sufficient evidence to establish a defence with a real prospect of success. Consequently, the court concluded that there were no grounds to set aside the default judgment.

The application to set aside the default judgment was dismissed.