Case Law[2022] ZAGPJHC 968South Africa
NT Makhubele Enterprise CC and Another v Business Partners Limited (2220/2017) [2022] ZAGPJHC 968 (25 November 2022)
High Court of South Africa (Gauteng Division, Johannesburg)
19 June 2020
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## NT Makhubele Enterprise CC and Another v Business Partners Limited (2220/2017) [2022] ZAGPJHC 968 (25 November 2022)
NT Makhubele Enterprise CC and Another v Business Partners Limited (2220/2017) [2022] ZAGPJHC 968 (25 November 2022)
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sino date 25 November 2022
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
CASE
NO:
2220/2017
REPORTABLE:
NO
OF
INTEREST TO OTHER JUDGES: NO
REVISED:
24
November 2022
In
the matter between:
NT
MAKHUBELE ENTERPRISE CC
First Applicant
NATHANIEL
TSAKANE MAKHUBELE
Second Applicant
and
BUSINESS
PARTNERS LIMITED
Respondent
JUDGMENT
ON LEAVE TO APPEAL
GRENFELL
AJ
[1]
INTRODUCTION
1.1.
The applicants, unsuccessfully applied to amend
their particulars of claim. The judgment, refusing leave to amend on
the ground
that to grant same, would render the applicants’
particulars of claim excipiable, as failing to disclose a cause of
action,
was handed down on 19 June 2020. Leave to appeal is sought on
three grounds, namely, a misdirection on the facts, a misapplication
of the relevant legal principles and bias against the applicants in
refusing leave to amend.
1.2.
This application was heard by video-conference on
18 November 2022, the first available date, after I had been notified
of an application
for leave to appeal. The more than two year delay
in getting to that point was not addressed by either party, and
remains unexplained,
but nothing more need be said about it.
1.3.
Mr Makhubele filed a practice note, heads of
argument and a list of authorities in support of the leave to appeal
sought, and addresses
his submissions at length during the hearing.
He submitted that the Full Bench of this division should be the forum
to hear the
appeal.
[2]
FACTS
AND LEGAL PRINCIPLES
2.1.
There is no dispute on the principles governing
amendments to pleadings. They should always be allowed, subject to
prejudice to
other party. Courts should take a benevolent approach to
pleadings, which need not be a picture of perfection and if there are
differing interpretations, the amendment should be allowed. An
amendment that would render a pleading vague and embarrassing within
the amendment context, should not be refused but the refusal of the
amendment should be reserved for rare cases where the effect
thereof
would be to render the pleadings defective by failing to make out a
cause of action.
2.2.
The applicants submissions, both in heads of
argument and during the hearing, relied on a plethora of authorities,
which were unhelpful
as they set out trite principles that are not in
dispute, but failed to deal with the crux of the judgment and the
authority of
Nxumalo v First Link Insurance Brokers (Pty) Ltd and the
cases therein cited, which are authority for the proposition that if
to
allow an amendment would result in no cause of action being
disclosed, the amendment should be refused, which is precisely what
the judgment holds. This aspect was pertinently raised with Mr
Makhubele during argument and the extract from the judgment was
read
to him and his submissions sought. There was no attempt to
distinguish the Nxumalo decision or counter the effect of same.
It
remains unchallenged as the correct approach.
2.3.
Instead, Mr Makhubele made the submission that
because the upholding of an exception, invariably and on settled
authority, resulted
in a court always granting leave to amend, the
judgment should have found that if the notice to amend was
unsatisfactory, I should
have granted the applicants further leave to
amend, rather than dismissing the application. This erroneous and
circuitous reasoning
arises from a failure to appreciate that the
applicants do not need the court’s leave to bring a further
amendment on notice
in terms of the rules. The attempt to conflate
the notice of intention to amend and the objection thereto, with an
exception is
the very situation that is avoided by refusing leave to
amend if the result would be excipiablility.
2.4.
This links to the point also raised with Mr
Makhubele in argument, namely, that the refusal to grant the
amendment sought on the
grounds that to do so would render the
pleadings defective in the truly excipiable sense of failing to
disclose a cause of action,
is not a final judgment that closes the
doors of court to the applicants. It was framed another way in the
heads of argument of
Mr Shepherd for the respondent, namely that the
judgment is not dispositive of the applicants’ rights.
2.5.
Two other points were emphasised by Mr Makhubele
from the 15 complaints numbered in letters in his practice note.
First, that the
applicants were not obliged to state whether their
claims were in contract or delict, which is accepted, but it is a
peripheral
point, as the amendment failed to set out averments that
would make out a case for either cause of action for the new parties
and
secondly, that the court didn’t take into account the
annexures to the pleadings, in particular the actuarial report. This
complaint fails to address paragraph 5.3 of the judgment, which
expressly deals with the averments that are lacking to sustain
a
cause of action for the two further entities, and deals specifically
with the actuarial report annexed as NTM4.
[3]
BIAS
3.1.
The submission of bias was proceeded with in
argument by Mr Makhubele, after much deliberation on his part. When
interrogated however,
it appears that the foundation of bias is based
on the judgment’s confining itself to what is relevant to
decide the matter,
nothing more.
3.2.
The applicants were given every opportunity to
state their case and make their submissions, both in the court a quo
and in this
application for leave to appeal. They delivered heads of
argument and made full submissions. The applicants are disappointed
with
the outcome of the application to amend, but never availed
themselves of the opportunity to reflect on what was found to be
lacking
in the proposed amendment as specified in the judgment, which
they could have done and brought a further application to amend,
which they could have done at any time since 2020 and can still do.
However, it is not for the court to give the applicants legal
advice
on how best to proceed when the applicants are dominus litis and must
conduct their litigation as they see fit, having taken
the legal
advice of their choosing.
[4]
THE APPLICATION FOR LEAVE TO APPEAL
4.1.
I have summarised the three grounds on which
leave to appeal is sought above.
4.2.
The applicants referred in their heads of
argument to Makate v Vodacom Ltd at [88], in submitting that the Bill
of Rights must inform
the interpretation of the rules, termed in the
applicants heads of argument as the “Rule 28(4) jurisprudence”.
I shall
consider this as a standalone ground in considering whether
the test for leave to appeal has been met.
4.3.
The test for leave to appeal is no longer whether
another court might hold differently, as submitted by Mr Makhubele,
but rather
whether there are prospects of success on appeal or
whether there is some other compelling reason why the appeal should
be heard.
This formulation by me during argument, was agreed to by Mr
Makhubele as the standard to be met.
[5]
THE TEST FOR LEAVE TO APPEAL
5.1.
It is a precondition to the granting of leave to
appeal, that the court is of the opinion, that either, the appeal
would have a
reasonable prospect of success or that there is some
other compelling reason why the appeal should be heard.
5.2.
The wording of
section 17(1)
of the
Superior
Courts Act 10 of 2013
provides:
“
Leave to appeal
may only be given where the judge or judges concerned are of the
opinion that –
(a)(i)
The appeal would have reasonable prospects of success; or
(ii)
There is some other compelling reason why the appeal should
be heard
including conflicting judgments on the matter under consideration;
(b) The decision
sought on appeal does not fall within the ambit of
section 16(2)(a)
and (c). Where the appeal sought to be appealed does not dispose of
all the issues of the case the appeal would lead to a just
and prompt
resolution of the real issues between the parties.”
5.3.
The wording of the rule was amended by virtue of
the inclusion of the word “
would”
in
section 17(1)(a)(i)
thereof. As a precursor to the granting of
leave to appeal, same should be seen as a more stringent requirement
of reasonable prospects
of success on appeal, as opposed to another
court coming to a different conclusion. I now consider whether the
applicants have
reasonable prospects of success on appeal.
[6]
GROUNDS OF APPEAL
6.1.
I am of the view that the refusal of leave to
amend was not dispositive of the applicants rights, nor did it
comprise a final judgment.
The matter is pleaded and ready for trial
and should additions be required to be made to the applicants
pleadings, they can bring
a notice to amend that sets out a cause of
action. This was an avenue always open to them, and which remains
open.
6.2.
The constitutional point deals with the
interpretation of
Rule 28(4)
dealing with amendments and there is no
challenge of the validity thereof by Mr Makhubele.
6.3.
I cannot form the opinion, in the absence of a
dipositive order and proper cause of action sought to be introduced
by amendment
that the applicants have prospects of success on appeal
or that there are special considerations requiring leave to appeal.
6.4.
There is no reason why costs should not follow
the result.
[7]
CONCLUSION
7.1.
Having failed to satisfy the test for leave to
appeal the application falls to be dismissed.
[8]
ORDER
I
grant the following order:
1
The application for leave to appeal the order of
19 June 2020 is dismissed;
2
The costs of the application for leave to appeal,
are to be paid by the applicants, jointly and severally, the one
paying the other
to be absolved.
Grenfell
AJ
Appearances
For
the applicants:
Mr N T Makhubele
For
the respondent:
Adv M
T Shepherd
Instructed
by:
Strydom Britz Mohulatsi Inc
Date
of hearing : 18 November 2022 by video-conference and Date of
judgment: 25 November 2022 - deemed date by email and uploading
onto CaseLines
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