Date: March 9, 2016 (Yekatit 30, 2008 E.C.)
Summary of the Case:
In a suit filed by the 1st and 2nd Respondents against the 3rd Respondent for damages following a fatal car accident, the 3rd Respondent moved to join the Applicant (Ethiopian Insurance Corporation) as a third party. The Applicant was summoned to file a written statement of defense on May 6, 2014 (Miyazia 28, 2006 E.C.). When the Applicant failed to appear on that date, the trial court immediately concluded the case and rendered an ex-parte judgment ordering the Applicant to pay 40,000 ETB. The Afar Regional Supreme Court upheld the decision.
Legal Interpretation:
1. Under Article 70(a) of the Civil Procedure Code, ex-parte proceedings are only ordered when a defendant fails to appear on the date scheduled for the “hearing” (trial) of the suit.
2. If a defendant fails to appear on a date scheduled only for filing a written statement of defense, the legal consequence under Article 189(1) is that the defendant forfeits the right to file a written answer; the court cannot immediately proceed to an ex-parte judgment.
3. After the right to file a written answer is forfeited, the court is still obligated to set a subsequent date for oral arguments. This is consistent with Cassation File No. 15835.
Reasoning:
Procedural law distinguishes between the exchange of written pleadings and the hearing of oral arguments. A court cannot skip directly from a missed pleading deadline to a final judgment.
The date missed by the Applicant was for the “submission of a written answer,” not for a “hearing.”
By skipping the oral argument stage, the trial court severely violated the Applicant’s right to be heard and failed to follow the Civil Procedure Code.
Ruling:
1. The decisions of the Afar Regional Supreme Court and the Gebiresu High Court against the Applicant are reversed.
2. The judgment ordering the 3rd Respondent to pay 30,000 ETB to the 1st and 2nd Respondents is affirmed.
3. It is confirmed that the Applicant has forfeited the right to file a written statement of defense.
4. The ex-parte judgment against the Applicant is reversed, and the case is remanded to the Gebiresu High Court to hear oral arguments from both sides before rendering a decision.