Case Law[2025] ZAGPPHC 133South Africa
Wesvaal Boerdery (Pty) Ltd v Luneburg and Janse Van Vuuren Inc. and Others (038125/2023) [2025] ZAGPPHC 133 (12 February 2025)
High Court of South Africa (Gauteng Division, Pretoria)
12 February 2025
Headnotes
“The test whether there has been non-joinder is whether a party has a direct and substantial interest in the subject matter of the
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Wesvaal Boerdery (Pty) Ltd v Luneburg and Janse Van Vuuren Inc. and Others (038125/2023) [2025] ZAGPPHC 133 (12 February 2025)
Wesvaal Boerdery (Pty) Ltd v Luneburg and Janse Van Vuuren Inc. and Others (038125/2023) [2025] ZAGPPHC 133 (12 February 2025)
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sino date 12 February 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
Case
number:038125/2023
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHERS JUDGES: NO
(3)
REVISED
2025/02/12
In
the matter between:
WESVAAL
BOERDERY (PTY) LTD
APPLICANT
and
LUNEBURG
& JANSE VAN VUUREN INC.
1
ST
RESPONDENT
LUCAS
CORNELIUS BASSON
2
nd
RESPONDENT
MARIA
JOHANNA BASSON
3
RD
RESPONDENT
MICHAEL
HELGARD VAN RESNBURG
4
th
RESPONDENT
THE
GAUTENG PROVINCIAL LEGAL PRACTICE COUNCIL
5
TH
RESPONDENT
MR
K O MABUNDA
N.O.
6
TH
RESPONDENT
JUDGMENT
MOTHA,
J
:
1)
In this matter, the fifth and sixth respondents raised the
non-joinder of the South African Legal Practice
Council (LPC), Fee
Dispute Resolution Committee (FDRC) and its members as points
in
limine
. In a matter involving the assessment of fees, the fifth
and sixth respondents submitted that the LPC plays a pivotal role as
the
custodian of the Legal Practice Act (LPA), therefore, it should
have been cited as a party to the proceedings. The same is true
of
the FDRC and its members, they maintained.
The
parties
2)
The applicant is Wesvaal Boerdery (Pty) Ltd t/a Ikotwe
Construction, a company incorporated in terms
of the company laws of
the Republic of South Africa.
3)
The first respondent is Luneburg and Janse Van Vuuren Inc, a personal
liability company in terms of
s 8(2)(c)
of the
Companies Act No. 71
of 2008
, incorporated in terms of company laws of the Republic of
South Africa, and conducts a legal practice.
4)
The second and third
respondents are Lucas
Cornelius Janse Van Vuuren and Maria Johanna Basson, respectively,
and they are attorneys and directors of
the first respondent. The
fourth respondent is Michael Helgard Van Rensburg, the former
director of the first respondent.
5)
The fifth respondent is the Gauteng Provincial
Legal Practice Council, a statutory body established in terms of
section 23 of the
Legal Practice Act with delegated powers and
functions to regulate the affairs and exercise jurisdiction over
legal practitioners
within its statutory determined area of
jurisdiction.
6)
The sixth respondent is Mr. KO Mabunda NO, an
adult attorney who is cited in his official capacity as the
chairperson of the Fee
Dispute Resolution Committee and appointed in
terms of Section 5 of the Legal Practice Act.
The facts in brief
7)
During
the years 2010 and 2013, the applicant employed the legal services of
the first respondent in the matter involving Toyota
and Rybak
arbitrations. After the successful execution of the mandate, the
applicant asked for the first respondent’s final
account for
both Toyota and Rybak arbitrations. The first respondent presented
the applicant with a consolidated account. The applicant
disputed it,
and a full-blown fee dispute arose between the applicant and the
first respondent
[1]
.
8)
Following the institution of legal actions against
each other, the applicant and the first respondent agreed to refer
the taxation
of the first respondent’s bills of costs of Toyota
and Rybak arbitrations to the fifth respondent. The fifth respondent
appointed
the FDRC, consisting of two practicing attorneys and one
practicing advocate. Unhappy with the outcome of the FDRC and citing
as
the respondents the chairman of the FDRC and the Gauteng Legal
Council (GLC), the applicant commenced these proceedings and failed
to cite the LPC, FDRC and its members. The fifth and sixth
respondents argued that there is a material non-joinder of the LPC,
FDRC and the rest of its members.
The
law
9)
It
is trite that: “A party is entitled to join and intervene in
proceedings where they have a direct and substantial interest
in the
matter.
A
person is regarded as having a direct and substantial interest in an
order if that order would directly affect that person’s
rights
or interests. The interest must generally be a
legal
interest
in the subject matter of the litigation and not merely a financial
interest…”
[2]
10)
Dealing
with this topic of non-joinder, the court in
Absa
Bank LTD V Nause NO And Others
[3]
held:
“
The
test whether there has been non-joinder is whether a party has a
direct and substantial interest in the subject matter of the
litigation which may prejudice the party that has not been
joined.”
[4]
11)
In
Gordon v Department of Health: Kwazulu-Natal
[5]
it
was held:
”
The
test is whether a party that is alleged to be a necessary party, has
a legal interest in the subject matter, which may be affected
prejudicially by the judgment of the court in the proceedings
concerned. In the
Amalgamated
Engineering Union
case
(supra) it was found that ‘the question of joinder should . . .
not depend on the nature of the subject
matter . . . but . . . on the
manner in which, and the extent to which, the court’s order may
affect the interests of third
parties’. The court formulated
the approach as, first, to consider whether the third party would
have
locus
standi
to
claim relief concerning the same subject-matter, and then to examine
whether a situation could arise in which, because
the third party had
not been joined, any order the court might make would not be
res
judicata
against
him, entitling him to approach the courts again concerning the same
subject-matter and possibly obtain an order irreconcilable
with the
order made in the first instance. This has been found to mean
that if the order or ‘judgment sought cannot
be sustained and
carried into effect without necessarily prejudicing the interests’
of a party or parties not joined in the
proceedings, then that party
or parties have a legal interest in the matter and must be
joined.”
[6]
Discussion
12)
As soon as
the parties to this dispute approached the fifth respondent for a
resolution of their dispute, they invoked the provisions
of the Legal
Practice Act (LPA). The LPA
created
a statutory succession in terms of which the former provincial law
societies were replaced by the South African Legal Practice
Council
(LPC) as the regulatory body for attorneys, advocates and the legal
profession.
13)
The
LPC is charged with the responsibilities of,
inter
alia
,
and for our purposes, ensuring that fees charged by legal
practitioners for legal services rendered are reasonable and promote
access to legal services thereby enhancing access to justice,
promoting and protecting the public interest, regulating all legal
practitioners and all candidate legal practitioners, enhancing and
maintaining the integrity and status of the legal profession.
14)
In
appropriate cases, and in terms of sections 40 (3)(a)(iv) and 44(1)
of the LPA, to launch an application for the striking off
the roll or
suspension from practice of a legal practitioner if the Court is
satisfied that the legal practitioner is not a fit
and proper person
to continue to practice.
15)
Flowing
from its responsibility as the custodian of the LPA, Rules and Code
of Conduct, it is patent that the LPC has a legal interest
in these
proceedings. What is more, the FDRC is not a standing Committee, but
an
ad
hoc
body, which was established by the Gauteng Provincial Council in
terms of Regulation 5(2). S.A. LPC in terms of s 6(1)(a)(x) of
the
LPA. Importantly, s 6(1)(a)(v) empowers the LPC to defend/oppose
legal proceedings.
16)
The
applicant relied on s21 of the LPA, which is, strictly speaking,
within the purview of the LPC. Any order that is made by the
court in
these proceedings will be prejudicial to the LPC, if not present to
argue its case. Some of the grounds for this conclusion
are found in
the supporting affidavit to the founding affidavit, which is deposed
to by the former director of the applicant, Adreas
Van Tonder.
17)
To
catalogue the engagements between the applicant and the LPC, the
fifth respondent mentioned paragraphs 17.2, 17.6, 18.1, 18.4,
19.3,
20.3, and 21.1 of Van Tonder’s supporting affidavit. For
instance, at paragraph 17.2 of the supporting affidavit, Van
Tonder
wrote the following:
“
Counsel
advise the applicant to approach the LPC and request the LPC to
either reconvene the FDRC with instructions to make a proper
fee
assessment or alternatively vary or set aside the findings of the
FDRC and appoint another fee assessment committee to perform
a proper
fee assessment and to do so in terms of the provisions of section 21
(3) of the LPA which empowers the LPC to vary or
revoke any decision
taken in consequence of a delegation or assignment.”
18)
From
this paragraph, it is patent that the LPC is at the front and center
of these proceedings. Accordingly, any order made, in
its absence,
would be prejudicial to the LPC. Having corresponded with the LPC to
the exclusion of GLC, as can be seen from the
letter dated 27 October
2022 from the Gauteng Legal Council, the applicant’s submission
that the LPC does not need to be
joined in these proceedings is
unsustainable. In this letter, the GLC laments the applicant’s
conduct of corresponding with
the LPC without their knowledge or
notifying them. Furthermore, it was the LPC that informed the
applicant of the outcome of the
matter. Therefore, it is bizarre to
not cite the LPC in these proceedings. Accordingly, the LPC must be
joined in these proceedings.
19)
Regarding
the point in
limine
of the non-joinder of the FDRC or some of its members, counsel for
the applicant referred to the VI Judicial Review Administrative
Action Rules dated 4 October 2019. For our purposes, it suffices to
refer to s 2, which reads:
“
(a)
An application for judicial review in terms of the Act that is
instituted in the High Court, in circumstances where no record
or
only part of the record has been furnished, shall be brought in terms
of rule 6 or 53 of the High Court rules, at the election
of the
applicant, as the case may be.
(2) Where an application
is brought in terms of rule 53 of the High Court rules-
(a) it shall, despite
rule 53 (1 ) of the High Court Rules, not be necessary when the
application for judicial review is directed
at a decision of a
tribunal or board, to cite the chairperson of such tribunal or board
as a respondent;”
20)
Having
cited the chairperson of the FDRC, counsel submitted that it was not
necessary to cite the FDRC or its other members. To
this end, he
referred to the matter of
Safcor
Forwarding (Pty) Ltd v NTC.
[7]
In this case, the court held:
“
I
cannot think that this was ever the intention underlying the Rule
[53]. Admittedly the rule does introduce a change as far as
statutory
boards are concerned. Whereas before it was necessary to cite merely
the board
eo nomine,
now
the rule requires the citation of the chairman of the board. But that
is a far cry from interpreting the rule as now requiring
the citation
of two separate parties in place of one. For I cannot see what
purpose could possibly be served by such a proliferation
of parties…
For
these reasons I am of the view that rule 53 (1) requires the notice
of motion to be directed and delivered to the chairman of
the board
in his representative capacity for and on behalf of the board. It
does not require the separate citation of the board
itself.”
[8]
21)
To
me, it seems that the 2019 Rule reverts to the position before the
enactment of Rule 53 of the Uniform Rules of Court. Under
the common
law, it sufficed to cite the statutory board
eo
nomine,
and
there was no specific requirement to cite the chairperson. The
regulation mimics the common law position. That being the case,
I am
of the view that,
ex
abudandi cautela
,
the FDRC should be cited. I do not see the need to cite the rest of
the members of the FDRC.
22)
It is my view
that the LPC has a direct and substantial interest in this matter. It
stands to be prejudiced by any judgment from
this matter.
Having
said all that, I must point out that this is a technical objection
and does not warrant the dismissal of the application
in
toto
.
An award of costs against the applicant should be sufficient to deal
with the prejudice that might have been occasioned. I am
comforted
that my rationale in this instance coincides with the utterances of
Corbett JA in the matter of
Safcor
when
he said the following:
“
the
position then is that appellant ought to have cited the chairman of
the Commission, as representative of the Commission; instead
it's
merely cited the Commission. Did this merit the dismissal of the
application would costs? In my opinion, it did not. I am
wholeheartedly in agreement with the views of Scheiner JA that: ‘…
technical objections to less than perfect procedural
steps should not
be permitted, in the absence of prejudice, to interfere with the
expeditious and if possible inexpensive decision
of cases on real
merits’”
Costs
23)
It
is trite that costs follow the results. As already hinted above, I am
minded to award costs against the applicant on a party
and party
scale C.
Order
1.
The fifth and sixth respondents' points in
limine
of
non-joinder of the South African Legal Practice Council and the Fee
Dispute Resolution Committee are granted.
2.
The fifth and sixth respondents' point in
limine
of the
non-joinder of the Fee Dispute Resolution Committee’s two other
members is dismissed.
3.
The applicant is ordered to join the South African Legal Practice
Council and Fee Dispute Resolution Committee within fifteen
(15) days
hereof.
4.
The applicant is to pay the costs on scale C.
M.P.
MOTHA
JUDGE OF THE HIGH
COURT, PRETORIA
Date of hearing: 18
November 2024
Date of judgment: 12
February 2025
APPEARANCES:
COUNSEL
FOR APPLICANT:
E P
VAN RENSBURG
INSTRUCTED
BY:
VZLR
INC
COUNSEL
FOR RESPONDENTS:
R
STOCKER
INSTRUCTED
BY:
ROOTH
& WESSELS
[1]
Applicant’s heads of argument page 6.
## [2]Minister of Finance v Afribusiness NPC (CCT 279/20) [2022] ZACC 4;
2022 (4) SA 362 (CC); 2022 (9) BCLR 1108 (CC) (16 February
2022)
[2]
Minister of Finance v Afribusiness NPC (CCT 279/20) [2022] ZACC 4;
2022 (4) SA 362 (CC); 2022 (9) BCLR 1108 (CC) (16 February
2022)
[3]
2016
(6) SA 540
(SCA) JUNE 2015.
[4]
Supra
para 10
[5]
(337/07)
[2008] ZASCA 99; 2008 (6) SA 522 (SCA)
[6]
Supra
para 9
[7]
1982(3)
SA 654 (A)
[8]
supra
page 671 E and 672 E
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