Case Law[2022] ZAGPJHC 893South Africa
Shivanand v Krugkor Franchise (PTY) Ltd and Others (13634/2019) [2022] ZAGPJHC 893 (27 October 2022)
High Court of South Africa (Gauteng Division, Johannesburg)
15 July 2022
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Shivanand v Krugkor Franchise (PTY) Ltd and Others (13634/2019) [2022] ZAGPJHC 893 (27 October 2022)
Shivanand v Krugkor Franchise (PTY) Ltd and Others (13634/2019) [2022] ZAGPJHC 893 (27 October 2022)
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sino date 27 October 2022
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
LOCAL DIVISION, JOHANNESBURG
CASE
NO:
13634/2019
REPORTABLE: NO
OF
INTEREST TO OTHER JUDGES: NO
NOT
REVISED.
27
October 2022
In
the matter between:
KAMALJID
PREM SHIVANAND
First Applicant
SHIVCOM
CC
Second Applicant
(REGISTRATION
NO: 2007/108318/23)
and
KRUGKOR
FRANCHISE (PTY)
LTD
First Respondent
DEON
MARIUS BOTHA
Second Respondent
SUNE
SMITH
Third Respondent
PRIME
UNIVERSAL FOODS
Fourth Respondent
CUBISOL
INVESTMENTS 3 (PTY)
LIMITED
Fifth Respondent
SOUTH
AFRICAN REVENUE
SERVICES
Sixth Respondent
THE
MASTER OF THE HIGH COURT,
Seventh Respondent
JOHANNESBURG
THE
COMPANY AND INTELLECTUAL PROPERTY
Eighth
Respondent
COMMISSION
JUDGMENT
ON LEAVE TO APPEAL
YACOOB
J:
1.
The applicants purportedly bring an
application for leave to appeal against my judgment handed down on 15
July 2022, dismissing
with costs and application to rescind an order
placing the second applicant (“Shivcom”) in liquidation.
2.
As I pointed out in the main judgment,
Shivcom was not properly before me because it was in liquidation, and
the first applicant
(“Shivanand”) did not have the power
to bring an application on its behalf. Only the liquidators had that
power. This
applies equally, if not more so, to the application for
leave. Shivcom was not before me in the main application and
therefore
has no standing to apply for leave, even if the liquidators
suddenly made an appearance.
3.
However, as before, Shivkumar is entitled
to bring this application. Also as before, only the first respondent
(“Krugkor”)
participates in these proceedings.
4.
It is common cause that Shivcom has not
traded since 2018. There is no allegation in the papers that Shivcom
is not insolvent.
5.
Taking into account that an appeal lies
against an order rather than against the reasons for the order, I
enquired from the parties
what would be served by setting aside an
order liquidating a company which appears by common cause to be
insolvent. At least on
the face of it, this application falls within
the purview of
section 16(2)
of the
Superior Courts Act, 10 of 2013
,
which provides that an appeal may be dismissed on the ground that the
decision will have no practical effect, unless exceptional
circumstances exist.
Section 17(1)(b)
requires that the decision
sought on appeal must not fall under
section 16(2)
, for an
application for leave to be successful.
6.
Mr Kaplan for the applicant submitted that
the effect of the decision sought on appeal would be that Shivcom
then would be able
to pursue its claim against Krugkor, the avoidance
of which Shivkumar contends is the reason Krugkor sought to liquidate
Shivcom.
7.
I am not satisfied that that saves the
application. The claim against Krugkor can and should still be
pursued by the liquidator.
Without more, such as any allegation that
Shivcom has some kind of goodwill that may be lost, or some other
kind of prejudice,
it makes no practical difference whether the claim
is pursued by the liquidator or the company. Nor can I see any
exceptional circumstances
that would require the matter to be dealt
with by an appeal court.
8.
The applicant identified sixteen grounds of
appeal. I have read and considered all of them. Of them, the only one
which I consider
may have had some merit was the twelfth ground, that
the court failed to consider that Krugkor’s answering affidavit
disclosed
that Krugkor did not actually have the claim on which the
liquidation application was premised.
9.
In view of my conclusion that this
application falls under
section 16(2)
of the
Superior Courts Act, I
do not have to determine whether there is a likelihood that another
court would find in Shivkumar’s favour.
10.
For these reasons, I make the following
order:
“
The
application is dismissed, the first applicant to pay the costs.”
S.
YACOOB
JUDGE
OF THE HIGH COURT
GAUTENG
LOCAL DIVISION, JOHANNESBURG
Appearances
Counsel
for the applicants:
J L Kaplan
Instructed
by:
Ian Levitt Attorneys
Counsel
for Respondent:
E van As
Instructing
Attorneys:
De Kock and Associates
Date
of hearing:
27 October 2022
Date
of judgment:
27 October 2022
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