Case Law[2025] ZAGPPHC 318South Africa
Blair Atholl Homeowners Association and Another v City of Tshwane Metropolitan Municipality (68226/2010) [2025] ZAGPPHC 318 (27 March 2025)
High Court of South Africa (Gauteng Division, Pretoria)
27 March 2025
Headnotes
with Tshwane and, consequently, that Tshwane be entitled to restrict supply of water to Blair Atholl.
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Blair Atholl Homeowners Association and Another v City of Tshwane Metropolitan Municipality (68226/2010) [2025] ZAGPPHC 318 (27 March 2025)
Blair Atholl Homeowners Association and Another v City of Tshwane Metropolitan Municipality (68226/2010) [2025] ZAGPPHC 318 (27 March 2025)
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sino date 27 March 2025
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IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
CASE
NO: 68226/2010
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES: NO
(3)
REVISED
Date:
27 March 2025
Signature:
K. La M Manamela
In
the matter between:
BLAIR
ATHOLL HOMEOWNERS ASSOCIATION
First Plaintiff
WRAYPEX
PROPRIETARY LIMITED
Second
Plaintiff
and
CITY
OF TSHWANE METROPOLITAN MUNICIPALITY
Defendant
DATE
OF JUDGMENT:
This judgment is issued by the Judge whose name is
reflected herein and is submitted electronically to the parties/their
legal representatives
by email. The judgment is further uploaded to
the electronic file of this matter on Caselines by the Judge’s
secretary. The
date of the judgment is deemed to be 27 March 2025.
JUDGMENT
Khashane
Manamela, AJ
A
:
INTRODUCTION
A1
General
[1]
This judgment relates to two interlocutory applications brought by
the defendant,
City of Tshwane Metropolitan Municipality (‘Tshwane’),
the defendant in the action or main proceedings, on the eve of
the
trial (continuing) in a part-heard matter initiated over a decade ago
by the first plaintiff, Blair Atholl Homeowners Association
NPC
(‘Blair Atholl’) and the second plaintiff, Wraypex (Pty)
Limited. Wraypex is not taking part in these applications
and the
action.
[2]
The action by Blair Atholl concerns disputes on the quantity of water
supplied by
Tshwane to and/or consumed by Blair Atholl estate and the
charges associated therewith. The action, actually, morphed from
urgent
proceedings
launched
in December 2010 by Blair Atholl. In terms of an order granted -
years later - on 17 April 2014 by Preller J the matter
was referred
to trial or arbitration.
[1]
[3]
The current interlocutory applications were brought by Tshwane for
leave to amend
its pleadings, and for postponement of the trial. Both
applications were vigorously opposed by Blair Atholl on a number of
grounds.
I considered it opportune and sound to deal with both
applications by way of this (single) judgment. The issues in the
applications
are – to some considerable degree –
inextricably intertwined, although I have tried my earnest to deal
with the applications
under separate (and, perhaps, self-explanatory)
subheadings, as set out in the table of contents appearing under this
paragraph.
The table provides a layout or quick guide on locating the
contents of the two applications, indicating their joint and
divergent
areas.
Table 3: Layout or
table of contents of the material in the applications for leave to
amend and for postponement
Item
Paragraphs
Issue
Leave
to Amend
Postponement
1.
1-3
A:
INTRODUCTION
A1
General
ü
ü
2.
4
A2
Application for leave to amend (introduced)
ü
3.
5-7
A3
Application for postponement of the trial
(introduced)
ü
4.
8-28
B:
BRIEF BACKGROUND
ü
ü
5.
29-95
C:
APPLICATION FOR
LEAVE
TO AMEND
ü
6.
96-101
D:
APPLICATION FOR
POSTPONEMENT
OF
THE
TRIAL
ü
7.
102
E:
CONCLUSION
ü
ü
8.
103-104
F:
ORDER
ü
ü
9.
103
Leave
to Amend Order
ü
10.
104
Postponement
Order
ü
A2
Application for leave to amend (introduced)
[4]
On 30 October 2024, just over three weeks before the continuation of
the trial in
the action or part-heard matter, Tshwane launched the
application for leave to amend its pleadings (i.e. plea and
counterclaim).
The
application was heard on 21 November 2024, three days before the
recommencement
[2]
of the ten-day
trial, on 25 November 2024. Ms T Mkhwanazi appeared, jointly
with
Ms
P
Mathibela, for Tshwane and Mr P Lourens appeared for Blair Atholl.
Due to the significance of the issues to the parties and for
future
disposition of the matter, as well as the need for the Court to
properly reflect on same, this judgment was reserved. By
that time,
the postponement of the trial had become inevitable.
A3
Application for postponement of the trial (introduced)
[5]
In addition to seeking amendment of its papers, Tshwane applied for
postponement of
the trial. A lead member (i.e. senior counsel) of
Tshwane’s legal team had withdrawn earlier in the month of
November 2024.
He had been involved in the matter for around ten
years. Tshwane or its legal representatives have not indicated the
reason for
the senior counsel’s withdrawal, but considerations
to replace him were – at some stage - indicated.
[6]
The withdrawal of senior counsel became a cumulative factor (in
Tshwane’s application
for postponement) to the main issue:
amendment of Tshwane’s pleadings. Also, the timing of the
application to amend rendered
the issue of the postponement of the
trial in November 2024 unavoidable. What remained of the application
for postponement was
the determination of liability for costs and
associated issues. Consequently, it was agreed in one of the case
management meetings
before the trial that there was no need for a
formal application for postponement of the trial, but only argument
as to the costs
occasioned by or associated with the postponement.
[7]
On 25 November 2024 - at the commencement of the trial - the Court
heard argument
by counsel on the nature and extent of the liability
for costs of postponement of the trial. The appearances were as in
the application
for leave to amend, referred to above. After
listening to submissions by counsel, I granted an order for the trial
to be postponed
sine die
. But, I considered it opportune –
in the wake of the reserved judgment in the application for leave to
amend – to also
defer my ruling on the liability for costs of
the postponement of the trial. One of the considerations in this
regard was the implications
of the tender of costs made by Tshwane to
Blair Atholl about two weeks before date of trial. Therefore, in my
view, the issues
did not take a conventional form and deserved of a
further reflection. Regrettably, it took longer than initially
anticipated to
hand down this judgment.
B
: GENERAL
BACKGROUND
[8]
The issues to be determined in the current applications before the
Court, particularly
the application to amend, stretch over a decade
back. Some brief narration of the background to the matter is
necessary to place
context on the issues. The issues are - largely -
common cause between the parties, or the contrasting view would be
highlighted.
[9]
Blair
Atholl approached this Court on an urgent basis in December 2010
after Tshwane had interrupted the water supply to the Blair
Atholl
estate.
[3]
The parties were at
loggerheads with each other regarding the scale of tariffs applicable
for the water supplied by Tshwane to
the Blair Atholl estate.
Litigation ensued when, apparently, Blair Atholl had not paid its
water bills received from Tshwane for
about two years. In the urgent
court, Blair Atholl sought relief which - primarily – was in
the form of a declarator on the
rate to be used by Tshwane to charge
for water supplied to Blair Atholl estate in terms of the Engineering
Services Agreement (the
‘ESA’), concluded between Tshwane
and Wraypex, the developer of the Blair Atholl estate, on 3 February
2006. Blair
Atholl claimed that - on a proper application of the
terms of the ESA - it ought to be charged at the rate used by Tshwane
for
bulk water supply to other municipalities or local governments.
The urgent application came before Webster J (now late) in December
2010, when Blair Atholl was ordered to make two specified payments to
Tshwane on specified dates and with Tshwane interdicted from
limiting
or discontinuing water supply (as long as Blair Atholl has made the
payments) until the final disposal of the matter.
[10]
Following the conclusion of the ESA and development of the Blair
Atholl estate, Blair Atholl,
the homeowners association, was
incorporated to legally succeed Wraypex, the developer, as a party to
the ESA and its ramifications.
Tshwane’s answer in the urgent
application included a counter-application, also for declaratory
relief, for Blair Atholl
to be declared in arrears in respect of
accounts for the supply of water held with Tshwane and, consequently,
that Tshwane be entitled
to restrict supply of water to Blair Atholl.
[11]
A second urgent application in the matter later came before Preller J
in February 2011 when the
parties concluded an interim agreement
regarding water supply. The learned judge pronounced on the
application after period of
more than three years has elapsed on 17
April 2014. Other than referring the matter to trial, Preller J
directed that Blair Atholl
pay for water supplied to its estate by
Tshwane at the rate of ‘bulk supply’ plus 10%, pending
the conclusion of the
action (contemporaneously ordered) to evolve
from the urgent motion. Costs of the latter were deferred for
determination by the
trial court hearing the action between the
parties.
[12]
Pursuant to the judgment by Preller J, the action ensued when
pleadings were exchanged between
the parties. The relief sought by
Blair Atholl was the same as in the urgent application, although
Blair Atholl added, as an alternative,
a prayer for rectification of
the ESA so that reference to ‘normal rate’ be altered to
‘bulk normal rate’
with regard to charges by Tshwane for
water consumed by Blair Atholl. Essentially, Blair Atholl sought to
be charged by Tshwane
under the category ‘bulk water supply’
to other municipalities.
[4]
The
main reason for this comes from the history of the development of the
Blair Atholl estate. Blair Atholl was responsible for
construction of
the water supply infrastructure to its estate and remains responsible
for the internal water reticulation.
[13]
Tshwane disputed Blair Atholl’s claim, mainly, on the basis
that the rate or scale insisted
upon by Blair Atholl for water supply
charges by Tshwane, was not in accordance with the statutory or legal
instruments governing
Tshwane’s water supply. Tshwane also
filed a counterclaim – in the main – seeking payment for
water supplied
and charged at its rate of Scale D.
[14]
Blair Atholl defended Tshwane’s counterclaim, among others, and
replicated that the invoked
rate of water supply was in terms of
special arrangements entered into in terms of the ESA and that this
is permissible in terms
of the Municipal Systems Act 32 of 2000, lest
the impugned statutory or legal instruments are contrary to the
prescript of the
Constitution of the Republic of South Africa, 1996
(‘the Constitution’).
[15]
The action ripened for trial before Murphy J. On 30 August 2017, the
learned judge ordered a
separation of issues in terms of Uniform Rule
33(4) and decided the issue of the applicable rate for water supply
and interpretation
of clause 6.16 of the ESA, whilst postponing
Tshwane’s counterclaims
sine die
. The learned judge held
that the ‘normal rate of the Municipality’ referred to in
the ESA is the normal rate charged
for bulk water supply to other
municipalities and, consequently, directed Tshwane to render accounts
to Blair Atholl using that
rate.
[16]
Dissatisfied with the judgment by Murphy J, Tshwane approached the
Supreme Court of Appeal of
South Africa (‘the SCA’). The
SCA handed down its judgment on
3 December 2018
in
favour of Tshwane and, thus, upheld the appeal. The order made by the
SCA, reflected in its reported decision in
City
of Tshwane Metropolitan v Blair Atholl Homeowners Association
,
[5]
set aside the order by Murphy J and declared that the ‘normal
rate of a municipality’ in the ESA is not the rate charged
for
bulk water supply to other local governments. The SCA remitted the
remaining issues to this Court for further hearing.
[6]
[17]
After the SCA judgment, the parties engaged in activities to get the
matter ready for trial again.
In some respects, they sought to engage
on some of the issues to find a resolution in what I can label
curtailment of the issues.
These included case management process
overseen by Van der Schyff J.
[18]
But the parties are said to have begun discussions around the water
consumption and amounts owing
by Blair Atholl to Tshwane as far back
as March 2016. Some form of agreement was apparently reached in April
2016 between the parties
(whereat Tshwane was represented by Ms
Benita van Rede van Oudtshoorn (conveniently - with respect –
referred to as ‘Ms
VRVO’) and Blair Atholl was
represented by Mr Nico Maas (‘Mr Maas’)) based on
reconciliations provided by Tshwane.
According to Tshwane, the
agreement reached formed a basis upon which the parties agreed to a
separation of issues in terms of
Rule 33(4), which included the
quantity of bulk water supplied by Tshwane to Blair Atholl,
[7]
although the rate or tariff of the water supply charges remained a
hotly contested issue between the parties. As indicated above,
the
judgment by Murphy J decided the matter on a limited basis and was
successfully taken on appeal to the SCA by Tshwane.
[8]
[19]
On 7 July 2021, Ms VRVO, from the billing and invoicing department of
Tshwane, sent an email
to functionaries of Blair Atholl including Mr
Maas with attachments in the form of figures or reconciliations for
water supplied
and/or consumed by Blair Atholl according to
Tshwane.
[9]
Mr Maas responded to
the email by Ms VRVO on the same date stating the following:
Benita, from your
spreadsheet, copy attached, the total consumption through all the
meters at Blair Athol since inception up to
6 July 2021, the
following summary:
1 Total consumption
through meters for account ending in 3576
= 2 082 379 kl
2 Total consumption
through meters for account ending in 4851
= 757 714 kl
3 Total consumption
through both meters
= 2 840 093 kl
Are
these the figures you wish us to confirm?
[10]
[20]
Ms VRVO, also, replied to Mr Maas in the evening of the same date
with a ‘Yes’ and
the conversation concluded on 8 July
2021 with Mr Maas saying:
Thanks Benita, there is
then not much to discuss about the monthly or annual consumption.
We
accept the total consumption through all the meters from 31 March
2008 to 6 July 2021 to be 2 840 093 kilolitres (Two million
Eight
Hundred and Forty Thousand and Ninety Three kilolitres).
[11]
[21]
The email conversation between Ms VRVO and Mr Maas is pivotal to the
current application for
leave to amend by Tshwane and Blair Atholl’s
opposition thereof. What was ultimately agreed between these two
functionaries
on behalf of their respective principals (i.e. Tshwane
and Blair Atholl) is conveniently referred to as ‘the July
Agreement’.
[22]
The next month in August 2021 the legal representatives for the
parties held a pre-trial conference.
The terms of ‘the July
Agreement’ were confirmed at the pre-trial conference. The
latter confirmation is referred to
by Blair Atholl as ‘the
August Pretrial Agreement’. I agree with Tshwane that the
so-called ‘the August Pretrial
Agreement’, essentially,
was a confirmation of ‘the July Agreement’, as opposed to
a new agreement reached between
the legal representatives. But not
much would really turn on this and in a quest to comport with the
adopted references, I retained
references to ‘the August
Pretrial Agreement’.
[23]
Fast forward to 2023. The matter came before me for trial scheduled
to run for ten days from
13 to 24 November 2023 (‘the 2023
hearing’). The trial in the 2023 hearing proceeded - albeit
with conventional challenges,
but on the tenth day the proceedings
halted at the beginning of the day due to an unfortunate incident
(outside of the Court the
previous afternoon) involving Tshwane’s
erstwhile senior counsel. By then Blair Atholl had closed its case -
in the main
- save for what it labelled a rebuttal witness, still to
be called. Tshwane had also tendered the evidence of two witnesses
and
was busy with that of its third witness. On the tenth day, on 24
November 2023, the trial in the 2023 hearing was postponed
sine
die
with wasted costs of the tenth day reserved.
[24]
On 17 May 2024, I convened a case management meeting in the matter
attended by both teams of
legal representatives. This was to ensure
that the matter will be ready to run (by way of a trial), once
allocated. Of greater
significance for current purposes, was the
agreement reached at the meeting that any interlocutory issues or
applications which
may arise between the parties should be disposed
of during the third term of 2024 (i.e. 22 July to 22 September 2024).
The parties
had confirmed availability for a hearing or trial in the
matter in the fourth term of 2024. Ultimately, the matter was
enrolled
for ten-day trial from 25 November 2024.
[25]
On 30 September 2024, Tshwane delivered a notice of intention to
amend its plea and counterclaim
(‘the Notice to Amend’).
This was objected to by Blair Atholl on 14 October 2024 (‘the
Objection’).
[26]
On
30 October 2024, t
he
application to amend ensued. It was initially to be heard on 19
November 2024, but could not proceed on that day due to the
unavailability of Tshwane’s counsel. I deal with the latter
aspect - for purposes of costs of the application - below.
[12]
As stated above, the application for leave to amend was heard on 21
November 2024, when this judgment was reserved.
[27]
On 8 November 2024, Tshwane had tendered to Blair
Atholl – through their respective legal representatives –
the costs
occasioned by the amendment sought and wasted costs for the
postponement of the trial. Evidently, there was no agreement reached
in this regard.
[28]
On 25 November 2024, the trial in the part-heard matter was postponed
sine die
. This followed an application for postponement also
at the instance of Tshwane. The postponement of the action was
ordered and
the only issue outstanding in that regard relates to
costs occasioned by the postponement. This application is dealt with
below,
after the application for leave to amend, to which I turn,
next.
C
:
APPLICATION FOR
LEAVE TO AMEND
C1
Pleadings currently before the Court (i.e. prior to the
amendment sought)
[29]
As indicated in the background, although Blair Atholl commenced these
proceedings by way of urgent
motion, the proceedings were converted
into an action by an order of the Court.
[13]
[30]
In terms of the (consequential) declaration delivered on 30
May
2014
, Blair Atholl, is the first plaintiff,
and Wraypex was cited as the second plaintiff. Wraypex is the
developer of the townships in the Blair
Atholl estate comprising Blair Athol Extensions 1, 2, 3 and 4,
situated within Tshwane’s
jurisdiction, and other townships in
the Mogale City Municipality.
[31]
In its declaration, Blair Atholl – in short – asserts
that it is only liable to pay
Tshwane for water and other services
received from Tshwane to the extent that Blair Atholl is a consumer
of such services, as envisaged
by relevant legislation. Blair Atholl
contends that it is not liable for water and other services provided
by Tshwane to the owners
of erven or residential units (‘homeowners’)
within the Blair Atholl’s estate. Also, that the ESA does not
bind
Blair Atholl to collect payments due by the homeowners for
services provided to them by Tshwane. For such an obligation to arise
Tshwane requires service delivery agreements with the homeowners. It
is also argued that, Tshwane – and not Blair Atholl
– has
an obligation to provide municipal services to the homeowners in
terms of the law. Any provisions in the ESA placing
such obligation
on Blair Atholl would be unlawful and, therefore, invalid.
Consequently, Blair Atholl seeks declaratory relief
to that effect.
Another term of the relief sought by Blair Atholl is that Tshwane
ought to charge for municipal services it provides
to Blair Atholl
and the homeowners at the ‘normal rate’, as well as costs
of the litigation in the action (to which
this application relates)
and the other motion proceedings under case number 9654/2013.
[14]
[32]
Tshwane denies the assertions by Blair Atholl. It denies that the ESA
is not a service delivery
agreement envisaged by the relevant
legislation. Tshwane says that in February 2008 it received two
written applications from Blair
Atholl for the supply of water to
Blair Atholl. Blair Atholl also paid the requisite deposit and the
applications were approved
by Tshwane. These led to the two accounts
being opened for the supply of water, including
account
number 5[...]2 (‘the 3576 account’) which is of
particular relevance to this application
.
Accordingly, the supply of water is in accordance with the terms of
the two applications. Tshwane, in terms of the applications,
supplied
Blair Atholl with bulk water through the specific meters in respect
of the two accounts (i.e. account number 5[...] and
the
3576 account).
After
the accounts were opened, tax invoices or statements of account were
issued by Tshwane to Blair Atholl for the water consumption
in
respect of the accounts, including those dated 6 July 2021 and 15
July 2021.
[15]
It is the water
consumption indicated in the latter statements which were admitted at
the case management meeting of 16 August
2021, including the tally of
2 082 379 kl for the 3576 account for the First Period (i.e. since
inception to 6 July 2021).
[33]
Blair Atholl is the supplier of water to the homeowners within the
estate through its own ‘operated
and maintained …
internal water supply system’.
[16]
Blair Atholl, as averred by Tshwane, issued tax invoices and
statements of account to the homeowners within its estate and
received
payment for same. Tshwane says it has always understood the
dispute with Blair Atholl (until the declaration was amended) to be
only about the applicable tariff to be used for the water charges and
never that Blair Atholl had no agreement with Tshwane for
the water
supplied and the liability therefor. Therefore, according to Tshwane,
Blair Atholl owes or owed Tshwane the amount of
R10 186 768.63 in
respect of account number 5[...], due and payable on 29 July 2021,
and the amount of R44 797 243.38 in respect
of the 3576 account, due
and payable on 5 August 2021.
[34]
Tshwane, significantly, repeats in the counterclaim what is stated in
its plea. The counterclaim
was amended during the 2023 hearing,
consequentially, to Blair Atholl’s amendment of its
declaration.
[35]
Tshwane’s counterclaim comprises two claims. Claim 1, set out
in the latter part of paragraph
[33] above, is for water supplied to
Blair Atholl at Tshwane’s normal tariff and for administrative
fees and interest levied
in terms of the by-laws. Claim 2 is for
confirmation (or declaration) that Tshwane – in terms of the
law – has a statutory
right to restrict or disconnect the
supply of water and other services to Blair Atholl estate, when Blair
Atholl, as a consumer,
among others, fail to make full payment on the
due date or to make acceptable arrangements for the repayment of any
outstanding
amounts for services rendered.
[36]
Blair Atholl disputes the averments in Tshwane’s Plea and
Counterclaim. It is also fair
to mention that there are further
issues (in the pleadings) than what is reflected above. I only wanted
to reflect the pertinent
issues in the pleadings for current
purposes.
C2
Notice to amend /application to amend
[37]
Tshwane’s intended amendment is
directed towards its plea and counterclaim. This pleading, as
indicated above, was previously
amended during the 2023 hearing.
There were also consequential adjustments to Blair Atholl’s
pleadings. Blair Atholl included
reliance on the July Agreement and
the so-called ‘August Pretrial Agreement’, as part of its
defence to Tshwane’s
amended counterclaim.
[38]
Tshwane, now, wants to amend its plea to ‘correct’ the
July Agreement and record
the
total
water consumed by or supplied to Blair Atholl on the 3576 account for
the First Period as 3 082 379 kl, instead of 2 082 379
kl. Notably,
the difference between the two figures is 1 million kl of water.
Tshwane says the lower figure is incorrect and was
the result of a
bona
fide
mistake
on the part of its Ms VRVO when reaching the July Agreement with
Blair Atholl’s Mr Maas in respect of total consumption
for the
First Period. Tshwane, also, refers to the situation which led to
what it calls ‘incorrect’ or mistaken recording
of the
kilolitres reading, as a ‘mutual justus error between the
parties’.
[17]
According
to Tshwane the total water supplied to Blair Atholl on the 3576
account from inception to 9 September 2023 (i.e. beyond
the First
Period) is 3 523 352 kl. Tshwane also wants to correct the references
to annexures to its pleadings
.
[18]
The latter issue appears not to be opposed by Blair Atholl.
[39]
Tshwane explains the ‘incorrect’, ‘mistaken’
or erroneous recording as
being the result of ‘10 clock overs’
of 100 000 kl each on meter number 1[...]
which
allowed for 5 digits and consequently could only allow measuring a
maximum of 99 999 kl of water before it ‘clocked
over’
to zero
.
[19]
This
led to an incorrect assessment of the actual consumption on the 3576
account.
The
so-called ‘clock overs’ were not included by the parties
in calculating the water usage/consumption for the First
Period in
respect of
the
3576 account, Tshwane continues
.
Accordingly, there was a
mutual
error or
iustus
error
as the parties’ representatives were both of the view that the
actual consumption on the 3576 account was 2 082 379
for
the First Period, as borne by their e-mails. Tshwane, further, says
that the quantity of kiloliters consumed was not in the
circumstances
a settlement of a disputed quantity after a negotiated bargaining
process. And, on the other hand, Mr Maas did not
strike a bargain in
the sense that there was one or other discount in consumption units
given to Blair Atholl by Tshwane. What
is attempted to be placed
before the Court through the intended amendment is the true
consumption figures in respect of the 3576
account, the contention by
Tshwane concludes.
C3
Blair Atholl’s grounds of objection
[40]
Blair Atholl’s Objection to Tshwane’s proposed amendment
is based on six grounds,
which may be summarised as follows: (a)
First ground.
The
July Agreement and
the August Pretrial
Agreement subsequently incorporated into the pleadings constitute a
‘compromise’ of Tshwane’s
claim for the First
Period. (b)
Second ground
.
The proposed amendment seeks to ‘impermissibly’ ‘avoid,
set aside, rescind or resile’ from the August
Pretrial
Agreement and constitutes a withdrawal of factual admission(s) by
Tshwane. (c)
Third ground
.
There are no allegations to sustain the
iustus
error contended for by Tshwane in respect of the August Pretrial
Agreement. The requirements for a defence of
iustus
error are lacking, alternatively there are insufficient allegations
to establish such a defence, including in the proposed amendment.
(d)
Fourth ground
.
Rectification of the August Pretrial Agreement is impermissible. This
ground was later abandoned when it became clear that it
wasn’t
implicated in the proposed amendment. (e)
Fifth
ground
. Any claim which Tshwane may
have had based on the 1 million kilolitres of water has prescribed
after a period of three years from
the August Pretrial Agreement. (f)
Sixth ground
.
The proposed amendment would introduce material in conflict with the
evidence already on record and Tshwane does not have evidence
to
establish the allegations to be introduced by the proposed amendment.
Also, the amendments sought are objectionable due to their
timing
(i.e. at an advanced stage of the trial and after ‘extensive
evidence’ has been led by both parties) and implications
(i.e.
leading of further evidence and even the calling and recalling of
witnesses). Overall, the amendment sought is not
bona
fide
and would be prejudicial to Blair
Atholl, if allowed.
C4
Issues requiring determination
[41]
From what appears above, the following appears to be issues which
ought to be determined to dispose
of this application: (a) was ‘the
July Agreement’ or ‘the August Pretrial Agreement’
a ‘compromise’
of Tshwane’s claim; (b) is ‘the
August Pretrial Agreement’ incapable of variation or being set
aside or for Tshwane
to resile from it; (c) can Tshwane’s
proposed amendment withdraw any factual admission made; (d) was ‘the
July Agreement’
and/or ‘the August Pretrial Agreement’
concluded due to a
iustus
error and is this defence borne by
the proposed amendment; (e) did a claim for the 1 million kilolitres
prescribe, and (f) will
the proposed amendment introduce material
conflicting with the evidence already on record; (g) does Tshwane
have evidence to support
the proposed amendment; (h) the timing of
the amendment and its implications; (i) is the amendment
bona
fide
, and (j) will Blair Atholl be prejudiced.
[42]
A further issue requiring determination is the recalling of Ms VRVO
to testify on the correct
total water consumed by Blair Atholl on the
3576 account for the First Period. Leave will only be granted in this
regard if the
amendment is permitted, otherwise the door is closed
for Ms VRVO’s return.
[43]
The above issues are discussed below, in some instances jointly due
to interlinkages. But I do
so after looking at some of the legal
principles applicable to the issues.
C5
Applicable legal principles
General
[44]
The central legal principle to this application is Uniform Rule 28
of this Court
governing
amendment of pleadings and other documents, including its subrule
(10) providing for amendments at any stage of proceedings
before
judgment.
Basic principles to
amendments
[45]
The basic principles on the
Court’s
discretion
whether
to grant or
refuse
leave to amend
are
accurately
summarised in the durable decisions in
Trans-Drakensberg
Bank v Combined Engineering
[20]
and
Commercial
Union Assurance v Waymark
,
[21]
some of which are dealt with below, and emulated in other
decisions.
[22]
The discretion,
no doubt, is to be exercised judicially on the basis of all the facts
of a matter before the Court.
[23]
The principles gained the endorsement of the Constitutional Court in
Affordable
Medicines Trust v Minister of Health
.
[24]
[46]
The primary consideration in allowing amendment of pleadings or
documents is to ensure ‘proper
ventilation of the dispute
between the parties, to determine the real issues between them, so
that justice may be done’.
[25]
Further
principles or considerations include: (a) to do justice between the
parties; (b) to provide the Court with a true account
of the facts in
a matter, and (c) not to elevate a mistake made by the one party to
entitle the other party to a claim of forfeiture.
[26]
The
focus of the Court in leave to amend is on the real position beyond
the cloud of issues of a technical nature.
[27]
[47]
These principles are not to be understood to be elevating leave to
amend to an enforceable right.
It will always be an indulgence to be
justified by the seeker.
[28]
But,
the seeker should not be relegated to someone approaching the Court
‘cap in hand, seeking mercy for his mistake or neglect’.
[29]
For
the Court is not to refuse leave merely to punish a neglectful
litigant,
[30]
lest
the whole exercise is tainted by elements devoid of
judiciousness.
[31]
[48]
The touchstone for the grant or refusal of leave to amend is
prejudice.
[32]
An
amendment should be refused if it would result in prejudice or
injustice incapable of being cured or eliminated by an award of
costs
and, where appropriate, a postponement of the matter.
[33]
Prejudice
may be eliminated wholly or at least materially or substantially
so.
[34]
[49]
It is also material to determine whether an amendment is sought
bona
fide
or
not.
[35]
In
determining whether an application is sought
bona
fide
the
following is material: (a) new material facts which arose or became
known making the application to amend necessary; (b) timeous
application, and (c) whether the amendment would result in injustice
(as with prejudice) which cannot be avoided by a postponement
or an
award of costs.
[36]
[50]
The amendment, also, ought to have a reason and
prima
facie
‘something
deserving of consideration, a triable issue’, lest it
constitutes an impermissible harassment of an opponent
due to lack of
a foundation.
[37]
The
amendment ought to contribute to the real or genuine issues between
the parties.
[38]
Otherwise,
such amendment would only prolong and complicate the proceedings to
the prejudice (due to expenditure of time and money)
of the opposing
party facing such an amendment.
[39]
[51]
There ought to be supporting evidence for the issues in the
amendment, where evidence is required
for an issue material to the
amendment.
[40]
In
other words, the facts, as set out
in
the papers, ought to bear out the intended amendment, lest it
constitutes an intolerable abuse of process.
[41]
[52]
An amendment which would introduce a new factor into a matter would
not be allowed if it would
prejudice the opposing party by, for
example, requiring that a witness - who had not yet been called - be
called.
[42]
T
he
Court will allow all forms of amendments – including drastic
ones – provided they do not raise new question which
the
opposing party would not be prepared to meet.
[43]
[53]
In addition to the principles permeating into the substance of the
amendment, there are principles
applicable to the timing of or stage
in the proceedings at which the amendment is sought. This is
foreshadowed by Rule 28(10) allowing
- in principle – the
granting of leave to amend at any stage of the proceedings, before
judgment.
[44]
But,
delaying an amendment sought until late in the proceedings is not
without risks.
[45]
The
mischief guarded here is catching one’s opponent off guard by
knowingly refraining from or delaying to propose an amendment
until
late in the proceedings.
[46]
This,
however, does not entitle the opposing party to base its objection to
an amendment solely on the delay or late timing of the
request for
leave to amend.
[47]
For
the courts do not promote ‘an overly formal approach’
entrenched against amendments made late in the proceedings,
as this
would allow substance of the process to yield to form.
[48]
Again,
the
primary
issue remains whether prejudice would be visited upon the opposing
party by allowing the amendment.
[49]
[54]
The issue of delay was authoritatively dealt with in
Randa
v Radopile Projects CC
[50]
where
the court aptly observed that: ‘the commencement of a trial
is the fulcrum upon which the courts’ stance
in respect of
applications for amendments to pleadings should be balanced’.
[51]
Further,
it was observed that an amendment which is sought late, for example,
at the trial stage of the proceedings, may be considered
mala
fide
.
[52]
[55]
Other principles relating to the granting of leave to amend late in
the proceedings include the
following: (a) Leave is not to be refused
solely on the ground that it would lead to the reopening of the case
for further evidence
to be led, unless such evidence was deliberately
omitted by the applicant for leave.
[53]
(b) Leave is not to be granted ‘for the mere asking’,
but there should be an explanation for seeking the amendment
and
where the amendment was not timeously sought there ought to be
reasonable and satisfactory grounds for the delay,
[54]
which delay, as already mentioned,
[55]
ought not to result in prejudice to the other party.
[56]
[56]
The above general principles reflect the
so-called liberal approach to amendments.
Formal
agreements, admissions and concessions made within the context of
litigation
[57]
Blair Atholl, also, objects to the amendment sought by Tshwane as
according to Blair Atholl same
would amount to the withdrawal of a
factual admission made in terms of ‘the
August
Pretrial Agreement’ and even during the 2023 hearing.
[58]
Admissions made in pleadings can be withdrawn similarly to any other
form of amendment.
[57]
But,
the
principle
relating to the withdrawal of admissions includes that a party is not
permitted to withdraw an admission already made
without a full and
satisfactory explanation. This does not suggest a special basket made
up of amendments concerning withdrawal
of admissions.
[58]
The test or primary principle remains the likelihood of prejudice and
injustice.
[59]
[59]
Besides withdrawal of admissions, there are withdrawals of material
generated at
pre-trial
conferences. The decision of the SCA in
MEC
for Economic Affairs, Environment and Tourism, Eastern Cape v
Kruizenga and another
[60]
has useful aids. It concerned the issue whether a party may resile
from an agreement entered into at a pre-trial conference by
such
party’s attorney, without its knowledge. The SCA held that
admissions of a factual nature made at a pre-trial conference
amount
to sufficient proof of the material facts.
[61]
Therefore, a party may only resile from a pre-trial conference
agreement deliberately concluded only on special circumstances.
[62]
The principle finds more forceful application where the pre-trial
conference agreement is confirmed in court and, consequently,
made an
order or judgment of a court.
[63]
[60]
The enquiry includes whether a party desirous of resiling from an
agreement led its opponent
into reasonably believing that it was
binding itself.
[64]
The fact
that the impugned agreement was made over a lengthy period of time is
also relevant. A defeat of the objective of pre-trial
conferences of
encouraging settlements ought to be vigorously avoided, so that the
conduct of civil trials is not severely hampered.
[65]
[61]
On concessions made in court, the Constitutional Court in
Seebed
CC t/a Siyabonga Convenience Centre v Engen Petroleum Limited
[66]
confirmed the principle that a court is not bound by a legal
concession made in a matter before it, where such concession is
considered
by the court to be wrong in law, but concessions of fact
are, generally, accepted without the court deciding on the material
issues
further, as they effectively place the conceded facts beyond
dispute.
[67]
This rule also
applies to legal concessions ‘properly made’ in the view
of the court.
[68]
But a
concession made by counsel on a point of law may be withdrawn where
the withdrawal causes no prejudice to the other party.
[69]
Concessions of fact are binding,
[70]
subject to what I turn to next.
Legal
principles regarding iustus error in relation to agreements
[62]
The principles applicable to
iustus
error
,
[71]
particularly in settlement agreements, were usefully summarised by
the SCA in
MB
v RM
[72]
as follows:
[62.1] Generally,
settlement agreements are in the form of compromise between parties
desirous of avoiding protracted and
expensive litigation, as it is
essentially a compromise (i.e.
transactio
)
[73]
or final settlement by agreement of uncertain or disputed rights or
obligations or, where it says so, extinguishing of the disputed
rights or obligations.
[74]
Its
purpose is to avoid or terminate litigation and has the effect of
res
iudicata
.
[75]
This, in my view, is put in a proper context by the following
dicta
from
Estate
Erasmus v Church
:
[76]
A
transaction [sic] is an agreement between two or more persons, who,
for preventing or ending a law suit, adjust their differences
by
mutual consent, in the manner which they agree on; and which
every one of them prefers to the hopes of gaining, joined
with the
danger of losing
.
[77]
[62.2]
The grounds upon which a party can resile from a contract on the
basis of a mistake are very limited and include fraud
and
iustus
error
vitiating true consent and not merely concerning merits of the
dispute.
[78]
But these are not
the only grounds.
[79]
[62.3]
An error can be said to be
iustus
where
the party trying to resile has by mistake – caused by an
innocent or fraudulent misrepresentation of the other party
–
bound itself to the agreement.
[80]
A mistake implies a ‘misunderstanding, misrepresentation, and
resultant poor judgment’.
[81]
[62.4]
The test for withdrawal on the basis of an
error
or mistake is whether the party whose actual intention is said not to
be conforming with the expressed common intention led the
other party
– considered as a reasonable person - to believe that its
declared intention represented its actual intention.
[82]
The test involves a three-legged enquiry: (a) was the intention of
one of the parties misrepresented; (b) who was responsible for
the
representation, and (c) was the other party misled by the
representation (i.e. was the party actually misled and would a
reasonable
person have been misled).
[83]
[62.5]
No misrepresentation, which qualifies as
iustus
error
,
exists where a party has, subsequently had a change of heart and
belief about a settlement agreement reached after protracted
negotiations between the parties and made an order of court. It does
not matter that the party impeaching the contract genuinely
believes
the agreement is based on incorrect calculations and wrong legal
advice on his part.
[84]
A
mistake which is the result of a party’s own fault is not
iustus
and the party which is mistaken cannot be allowed to escape liability
derived from the agreement.
[85]
For such a mistake may constitute a unilateral error incapable of
serving as a ground for variation of the settlement agreement
on the
basis of a common mistake.
[86]
C6
Was ‘the July Agreement’ and/or ‘the August
Pretrial Agreement’ a ‘compromise’ of Tshwane’s
claim and can Tshwane avoid or resile from same?
Compromise or not?
[63]
Blair Atholl opposes the amendment – in the main – on the
ground that it would unravel
the ‘compromise’ (as borne
by the
July Agreement and/or
the August
Pretrial Agreement), reached between the parties and, subsequently,
incorporated into the pleadings, on Tshwane’s
claim for water
supplied to Blair Atholl estate during the First Period. The
agreement(s) made it no longer necessary to prove
at the trial the
total water consumption through all the meters at the Blair Atholl
estate during the First Period.
[64]
Tshwane disputes that the circumstances under which the
July
Agreement and/or
the August Pretrial Agreement
constituted a settlement of a disputed quantity after a negotiated
bargaining process or that Blair
Atholl – through the
instrumentality of Mr Maas – struck ‘a bargain’ by
way of some discount in the quantity
of water consumed by Blair
Atholl.
[65]
A ‘compromise’ is defined as ‘an adjustment of
claims and disputes by mutual
concession either without resort to
legal proceedings or on the condition of abandoning such proceedings
if already commenced’.
[87]
This accords with the definition in
Christie’s
Law of Contract in South Africa
[88]
that a
compromise
or
transactio
is a ‘settlement by agreement of disputed obligations,
whether contractual or otherwise’.
[89]
But it ought to be borne in mind that whether an obligation or
dispute has been compromised is denoted by the substance as opposed
to the form.
[90]
[66]
I understand what appears above to be accommodative of both parties’
assertions. The above
authorities clearly define ‘compromise’
as ‘an adjustment of claims and disputes by mutual concession’
for purposes of avoiding anticipated resort to legal proceedings or
where such proceedings are already under way on condition of
abandoning such proceedings.
[91]
[67]
In this matter the parties agreed ‘the total consumption
through all the meters at Blair
Athol since inception up to 6 July
2021’; the ‘[t]otal consumption through meters for
account ending in 3576’;
the ‘[t]otal consumption through
meters for account ending in 4851’ and the ‘[t]otal
consumption through both
meters’.
[92]
These aspects formed part of the overall disputes (i.e. claims and
counterclaims) between the parties. By reaching the aforesaid
agreement the parties ‘settled’ or ‘adjusted’
their claims and disputes over the agreed aspects in order
to carve
same out of their future battles or litigation.
[68]
Clearly, the parties wanted to prevent or end the lawsuit or
litigation on the total water consumed
or supplied during the First
Period by agreeing on the figures for that period
.
[93]
As to what they hoped to
gain
or feared to lose,
[94]
is
unclear. But it may be the resources (as in time, effort and money)
linked to adducing evidence to establish (for Tshwane) or
to disprove
(for Blair Atholl) ‘the total consumption through all the
meters at Blair Athol since inception up to 6 July
2021’
.
A
good indicator of this point is the agreement reached in respect of
account ending in 4851. The figures for this account are still
holding firm, despite the absence of concession of the form urged
upon in respect of the 3576 account. In other words, any compromise
reached in respect of the account ending in 4851 does not appear to
involve a discount. I do not understand Blair Atholl’s
case to
be that a different process led to the agreement reached over the
water meters for account ending in 4851 than those for
the 3576
account. Therefore, the material relied upon to assert a compromise
reached between the parties is the same for both accounts,
both in
form and substance.
Can Tshwane resile
from or avoid the compromise or agreements?
[69]
A ‘compromise’ between Tshwane and Blair Atholl would
constitute a contract and,
therefore, capable of being set aside on
the grounds, among others, of fraud and
iustus
error
.
[95]
Some of the principles relating to
iustus
error
appear above.
[96]
Tshwane says
there was a
‘mutual iustus error between the parties’.
[97]
Blair
Atholl urges this Court that the latter ground or defence is
unavailable to Tshwane.
[70]
Generally, the creation of contracts in terms of our law is
objective.
[98]
But our law
allows a party to rely on its own mistake in certain instances to
escape contractual obligations.
[99]
The mistake (
error
),
at least, would have to be reasonable (
iustus
)
and be pleaded.
[100]
[71]
The concept ‘mistake’- in the context of contracts - may
refer to a number of different
factual situations.
[101]
But, generally,
iustus
error
or operative mistake refers to a factual situation concerning a
mistake recognisable from a legal point of view.
[102]
Case law suggests a very limited possibility of
iustus
error
.
[103]
[72]
The principles regarding
iustus
error
include that: (a) The mistaken party ought to discharge the onus of
proving that the mistake was – from a legal point of
view -
reasonable. A mistake ought to be shown to be
iustus
,
lest it is ignored.
[104]
(b)
The mistake must relate to facts having a bearing on the validity of
a transaction as opposed to those pointing to ignorance
of a point
intended to be compromised.
[105]
(c) The scope for a defence of unilateral mistake is very narrow, if
it exists at all.
[106]
This
refers to where the other party has not made any misrepresentation
and has not appreciated at the time of acceptance that
its offer was
being accepted under a misapprehension.
[107]
(d) The other party ought to have caused the mistake or knew of the
mistake or ought to have known of the mistake.
[108]
(e) The materiality of the mistake would not avail the mistaken party
of an escape route from a contract where the mistake resulted
from
such party’s own fault.
[109]
[73]
But it is not only fraud and
iustus
error
which
serve as grounds for setting aside a compromise.
[110]
[74]
In this matter the parties differ on the labels they give to whatever
error that may have occurred
with regard to the July Agreement.
Whilst Tshwane calls the mistake a ‘mutual justus error
between the parties’,
[111]
Blair Atholl vehemently denies that there was any mutual error or
iustus
error. Tshwane bears the onus
of
proving that the nature of mistake and its elements
.
But, ultimately, the substance of the agreement and not the form or
tag given to it by the parties would determine what was agreed
upon
between the parties in respect of their obligation(s) or the
dispute(s).
[112]
[75]
From the facts available to me it appears common cause between the
parties that they were involved
in a ‘process through which an
agreement could be reached regarding the quantity of water provided
by Tshwane and consumed
by the HOA’.
[113]
There was litigation under way and both parties had legal
representatives formally appointed in the matter. But the actual
discussion
on the issue was left to Ms VRVO, coming from
billing and invoicing department of Tshwane and Mr Maas, from Blair
Atholl
or the two took the lead in this regard. Ms VRVO prepared some
figures or reconciliations relating to the water supplied to and/or
consumed by Blair Atholl estate and sent same to Mr Maas, ‘as
requested’.
[114]
Mr
Maas’ response, among others, referred to ‘the total
consumption’ through all the meters at Blair Athol.
[115]
Mr Maas concluded this part of his email with the question: ‘[a]re
these the figures you wish us to confirm?’.
[116]
It is not inconsequential that Mr Maas, used the phrase or words
‘total consumption’ four times in his email. Also,
he
referred to ‘through meters’ or a phrase to that effect
also four times in the email.
[117]
The phrases were used again in Mr Maas’ email confirming the
figures.
[118]
[76]
It appears to me, from what is currently available, that Mr Maas was
focussed on getting the
‘total’ or entire consumption of
the water that went ‘through’ the meters at Blair Atholl
supplied
by Tshwane for the First period. Ultimately, the figures
were confirmed as supplied by Ms VRVO. I agree with Tshwane that Mr
Maas
was not striking a ‘bargain’ when confirming the
figures. Also, Tshwane argues that Ms VRVO entirely premised her
figures
or reconciliation on the kilolitres of water contemplated by
the invoices and statements of Tshwane, and did not have a separate
or second ‘set of books or an alternative accounting system’
to advance any other position. Tshwane now says only the
figures for
account ending in 4851 were correct and those for the 3576 account
were incorrect. I have nothing before me suggesting
that Mr Maas (and
therefore Blair Atholl) knew that the figure for the 3576 account was
3 082 379 kl and not 2 082 379
kl as stated by Ms
VRVO (and therefore Tshwane) for the First Period. This appears to me
to suggest that no true or binding consensus
was reached at all on
the day in question in respect of the 3576 account.
[119]
The error was mutual. The parties had intended to agree on total
consumption of water which passed through all meters supplying
water
into Blair Atholl for the First Period, only to agree on an erroneous
figure for the one account.
[77]
Further, I deal with the issue whether the mutual error found to
exists, above, was
iustus
.
Ms VRVO (and Tshwane) say(s) that the error was picked up following
her testimony and due to the involvement of the expert Mr
Zeelie,
whose report was delivered in August 2024. The explanation given is
regarding the so-called ‘
clock
overs’ on meter number 1[...] relating to
the
3576 account, as stated above.
[120]
I find this explanation, if established, would prove the material
error to have been reasonable or
iustus
.
[78]
Tshwane also refers to contentions by Mr Hatzkilson, on behalf of
Blair Atholl, particularly
that there was a discrepancy in respect of
the consumption as reflected in the invoice and ‘the July
Agreement’. He
even mentioned that the total consumption was 2
935 085 kl in respect of the 3576 account and, thus, alluding to the
difference
of 852 706 kl from the agreed figure. All these
suggest to me that on the unamended pleadings, the parties had been
ventilating
the issues improperly based on wrong figures. This is so,
despite Tshwane being adamant that the error in the figures has no
bearing
on the actual meter readings on meter 1[...] or the
correctness of its invoices, and did not result in an
undermeasurement of water
supplied by Tshwane to Blair Atholl. I
agree with Blair Atholl that Tshwane bears the onus of proof in
respect of its invoices,
including in respect of the correct volume
of water actually consumed by a consumer and the charges therefor, as
based on the applicable
tariffs. The amendment sought does not seek
to interfere with this predisposition.
[79]
My finding in the preceding paragraphs equally applies to any
agreement subsequent to the July
Agreement. It appears that anything
after the July Agreement was simply a confirmation of the terms
initially agreed between Mr
Maas and Ms VRVO during July 2021. The
‘August Pre-trial Agreement’ and statements made in Court
by the witnesses and/or
legal representatives appear to owe their
existence to the July Agreement and to have no basis to exist
independent of or without
same.
[80]
It is also contended on behalf of Blair Atholl that the matter is
beyond the jurisdiction of
the Court as ‘a full and complete
compromise’ was reached between the parties on the material.
This appears to be on
the strength of the SCA decision in
Ubisi
and another v Road Accident Fund
[121]
which dealt with a settlement agreement reached in a personal injury
matter between the parties where neither of the parties challenged
the validity of the settlement agreement and, thus, the settled
issues were
res
judicata
.
[122]
Obviously, in the current matter before this Court, Tshwane
approached the Court attacking the settlement agreement. Any claim
of
res
judicata
can
only be disposed of in terms of a ruling of this Court. Therefore,
the jurisdiction of this Court is not ousted. The same applies
to
Blair Atholl’s argument based on the principle of
pacta
sunt servanda
(agreements must be honoured).
[123]
[81]
The question whether Tshwane may resile from or avoid the impugned
agreement(s) is also dependent
on
the
ultimate test whether any prejudice would accrue to the other party,
being Blair Atholl.
[124]
I
do not think that any prejudice suffered or still to be suffered by
Blair Atholl would be unaffected (i.e. either eliminated
wholly or at
least materially or substantially so) by an award of costs or the
postponement of the trial.
[125]
The latter has already been ordered in November 2024. Consequently,
on the basis of what appears above, I am of the view that Tshwane
–
when its pleadings are amended accordingly - may be able establish a
basis to resile from or escape the material obligations
in terms of
the impugned agreement(s).
C7
Is the proposed amendment a withdrawal of factual admissions by
Tshwane?
[82]
Another ground of objection by Blair Atholl is that the proposed
amendment if effected would
constitute a withdrawal of factual
admission(s) made by Tshwane regarding the quantity of water consumed
by Blair Atholl estate
for the First Period in respect of the 3576
account. Tshwane simply dismisses this as an unsound basis for an
objection and, further,
that it is a matter for the pleadings and
determination by the trial court.
[83]
Our law, as stated above, allows for admissions made in pleadings to
be withdrawn similarly to
any other form of amendment.
[126]
An admission constitutes an unequivocal agreement in terms of which
party A agrees with a statement of fact made by party B.
[127]
An
admission, effectively, renders it not necessary for a claimant or
plaintiff to prove the fact which is admitted.
[128]
But
amendment may be sanctioned by the court even when this would lead to
the withdrawal of an admission in a pleading and
such finding by the
court is not to be preceded by a finding that there was an error
involving the admission.
[129]
[84]
The principles relating to the
withdrawal
of factual admissions made by parties in litigation appear
above.
[130]
They confirm
that there is no complete bar to the withdrawal of such
admissions
or any peculiar basket for such form of amendments.
[131]
But there ought to be
a
full and satisfactory explanation. I am satisfied with the
sufficiency of the explanation given by Tshwane. I also do not think
the withdrawal of any admissions is likely to cause Blair Atholl any
prejudice and injustice, at least prejudice which cannot be
ameliorated by a cost order and/or the already granted postponement
of the matter.
[132]
C8
Did the 1 million kilolitres prescribe?
[85]
Blair Atholl, also, objects to Tshwane’s proposed amendment
because Tshwane’s claim
of 1 million kl of water - unaccounted
for at the time the July Agreement was concluded on the basis that
any claim linked to this
tally of water would have prescribed.
Tshwane disputes this part of the objection on the basis that the
amendment does not seek
to introduce a new claim, but rather to
reconcile the monetary aspect of its existing claim(s). I agree with
Tshwane that prescription
does not feature in this regard. If the
debt
underlying the claim in the current pleading had not become
prescribed, so would be the amended claim sought to be introduced
by
the amendment.
[133]
C9
Will the amendment introduce material conflicting with the
evidence already on record?
[86]
Blair Atholl’s objection also include that the proposed
amendment would introduce material
conflicting with the evidence
already on record. This may be correct. Any evidence already adduced
aligning with the July Agreement
in as far as the water consumption
for the 3576 account would be affected by the amendment, if allowed.
But this is ordinary effect
of an amendment which is allowed after
evidence is led. It cannot serve as a reason to refuse leave to
amend, unless any prejudice
suffered by the opposing party in this
regard is incapable of redress by way of a costs order. There appears
to be no such prejudice
on the part of Blair Atholl.
[134]
Therefore, this ground will not stifle the amendment.
C10
Does Tshwane have evidence to establish the intended amendment?
[87]
A further point of objection by Blair Atholl is that Tshwane does not
have evidence to establish
the allegations to be introduced by the
proposed amendment. But Tshwane is already on record with figures
accompanying the so-called
10 ‘clock overs’ of 100 000
kl each which appear to tally with the 1 million kl of water
allegedly left out of
the July Agreement.
[135]
Therefore, it appears that Tshwane would have evidence to establish
the allegations it seeks to introduce in terms of the opposed
amendment.
C11
Timing of the amendment and its implications
[88]
Blair Atholl, in its objection against Tshwane’s proposed
amendment, also, says that Tshwane
has not demonstrated that it did
not delay seeking leave to amend. Tshwane denies that there was delay
as the ‘clock overs’
were only discovered after the 2023
hearing during 2024 after ‘extensive investigation and
verification’ by Ms VRVO
and Mr Zeelie, the independent expert.
Tshwane also points to the fact that it applied for condonation.
[89]
It is argued on behalf of Blair Atholl that the trial in the
part-heard matter was already at
an advanced stage and ‘extensive
evidence’ has already been led by both sides. Allowing the
amendment would result
in the recall of witnesses and calling of new
witnesses with very serious financial implications for both parties
and prejudice
to Blair Atholl, the argument concludes.
[90]
I agree that the amendment would have financial implications due to
the need to adjust the pleadings
and the calling or recalling of
witnesses. But
Rule
28(10),
as
indicated
above, foresees such eventualities whilst allowing the granting of
leave to amend at any stage of the proceedings, before
judgment.
[136]
The
authorities are clear on the applicable legal principles in this
regard including those in the decision in
Randa
v Radopile Projects
about
the challenges in asking for leave to amend closer or during the
trial.
[137]
Cost orders are
intended to ameliorate financial strains occasioned by amendments and
issues relating to delay are not decisive
in this regard.
[138]
An
amendment
which arose from a reasonable cause, including a
bona
fide
mistake may be necessary, despite its timing.
[139]
The
primary issue again remains prejudice due to the amendment given the
stage it was to be effected.
[140]
I have also had regard to the holdings in
JMS
v MMAN
[141]
including the reiteration that amendments would be allowed unless
prejudice - incapable of being ‘cured by an order for costs
and, where appropriate, a postponement’ - would befall a party
in the position of Blair Atholl.
[142]
I do not think so.
C12
Is the amendment sought bona fide?
[91]
Blair Atholl says the application to amend also lacks
bona fides
,
a necessary requirement and, thus, constitutes an abuse of process.
Tshwane denies these. Tshwane, in an almost nostalgic cry
for
reciprocation, refers to postponements of the trial previously
granted to Blair Atholl in the 14 year lifespan of the
matter. Be
that as it may, I agree with Tshwane that the amendment is sought
bona fide.
C13
Prejudice and triable issue
[92]
I have already dealt with the issue of prejudice under different
context above. The Court’s
inherent great latitude in granting
amendments ought to be focussed on doing justice between the parties
and not to allow a mistake
by a party to be always decisive of the
matter, lest the matter is determined not on the true account of what
actually transpired,
but what is known to be wrong facts.
[143]
I belabour that prejudice on the part Blair Atholl will be
either cured or eliminated by a costs order, to the extent that the
postponement of the matter in November 2024 did not,
[144]
or
at least materially or substantially so.
[145]
The
remaining
issue (from the postponement in November 2024) is the liability for
costs and associated issues, to be dealt with below.
[93]
Another issue relates to the principle that an
amendment should have a reason and
prima
facie
‘something
deserving of consideration, a triable issue’, unless it is only
aimed at harassing one’s opponent due
to lack of a
foundation.
[146]
Blair
Atholl says that
Tshwane
has no triable issue to introduce in terms of the amendment sought.
But, I am of the view that the
amendment
would contribute to the real or genuine issues between the
parties,
[147]
regarding
the ten ‘clock overs’ and implications thereof for
Tshwane’s claim.
C14
Recalling of Ms van Rede van
Oudtshoorn (i.e. Ms VRVO) to testify
[94]
Tshwane also seeks leave to recall Ms VRVO to testify on the issues
introduced by the amendment.
Her evidence, it is submitted on behalf
of Tshwane, would also deal with her failure to account for the 10
clock-overs.
[148]
This would
ensure that the true nature of the disputes between the parties
predicate the determination of the issues by the Court.
Blair Atholl,
among others, argues that what led Ms VRVO’s accounting for the
ten clock overs is completely irrelevant to
the merits of the
proposed amendment. I do not agree. The reasons on which the
amendment will be allowed, significantly, motivate
for the necessity
to recall Ms VRVO as a witness in these proceedings. I will make an
order to facilitate her recalling as a witness.
C15
Conclusion and costs
[95]
The relevant principle or rule is that the applicant for leave to
amend seeks an indulgence and,
ordinarily, is liable for costs of the
amendment.
[149]
Blair Atholl
asked for punitive costs against Tshwane on a number of grounds. But
I hasten to say that the application was not
vexatious or frivolous.
It raised
bona
fide
issues with a serious and genuine bearing on the dispute between the
parties.
[96]
I think punitive costs are warranted for another reason: the fact
that Tshwane could have brought
the application earlier on the given
circumstances of this matter. Nothing prevented Tshwane from
delivering its notice to amend
around the time when Mr Zeelie’s
report was delivered in August 2024. This would also have accorded
with the agreement reached
at the May 2024 case management meeting to
dispose of interlocutory applications during Term 3 of 2024. I have
also considered
in this regard the cost order I will be making in
respect of the application I turn to next.
[97]
Therefore, leave to amend and to recall Ms VRVO will be granted with
Tshwane liable for the costs
on an attorney and client scale, which
costs will include costs consequent upon the employment of two
counsel, wherever it
was the case. The costs should include those
occasioned by the postponement of the application on 19 November
2024, due to the
unavailability of Tshwane’s counsel, as well
as costs
to effect the amendment and
consequential amendments.
I am mindful of
the tender for costs made by Tshwane with regard to this application,
but considers same to have no bearing on this
application.
D
:
APPLICATION FOR
POSTPONEMENT OF THE CIVIL TRIAL
[98]
On 25 November 2024, the trial in the action was postponed
sine
die
. The order made confirmed the
reservation of the declaration of liability for the wasted costs
occasioned by the postponement of
the part-heard trial. It also
catered for the administrative issue of approaching the office of the
Deputy Judge President of this
Division for a case management
meeting. The purpose of the latter meeting is to facilitate the
future disposal of the matter.
[99]
Two issues are relevant to determining who should be held liable for
the costs of postponement:
(a) the sudden withdrawal of Tshwane’s
erstwhile senior counsel, and (b) the opposed application for leave
to amend, dealt
with above. These two issues rendered the
postponement of the trial unavoidable. The indulgence sought - even
in this regard -
was for Tshwane. Tshwane was actually alive to this
aspect. Tshwane tendered the wasted costs to Blair Atholl on 8
November 2024,
but to no avail. Blair Atholl didn’t think much
of Tshwane’s tender. Blair Atholl lamented that Tshwane’s
tender
would hardly suffice as compensation for the prejudice
occasioned by the postponement.
[100] A
tender for wasted costs by a party in the shoes of Tshwane may denote
a quest to ameliorate resultant prejudice
of an opponent in the shoes
of Blair Atholl. It is sometimes the only thing and, actually, the
expected thing, such party can do.
Our law does not require that a
tender for costs of an opponent should always be complete
indemnification of such party’s
expenditure. This is also not
the basis on which cost orders, ordinarily, are made by the courts.
[101] Whilst,
Blair Atholl was not obliged to accept the tender by Tshwane for
‘reasonable and appropriate wasted
costs to mitigate’
prejudice arising from the postponement, I find Tshwane’s
tender was somewhat reasonable under the
circumstances. The
application for leave to amend was already on course. The tender was
accompanying a request for postponement
of the trial. In my view, 8
November 2024 represents a watershed point for the determination of
the issue of costs in this regard.
Liability for costs before that
date cannot be of the same quantum or at the same level as that
following that date. Tshwane’s
conduct prior to making the
tender for costs – no doubt – warrants being visited upon
with the necessary mark of disapproval.
The same cannot be said
post-tender. Therefore, I will only direct that Tshwane be liable for
wasted costs relating to the trial
up to and including 8 November
2024 on an attorney and client scale, but thereafter on a party and
party scale. I will also direct
that counsel’s fees be at scale
C for the latter part of the order, as I find this appropriate.
E
:
CONCLUSION
[102]
I must say that often the applications of the type of those in this
judgment constitute ordinary applications,
but the current ones
before the Court are not. The issues in both of them, particularly
the leave to amend are anything but ordinary.
But this was not
assisted by the issues raised by the parties in their papers and
counsel in the oral argument. I am not casting
any aspersions, but
there was a bit of an overload on the issues raised and the grounds
for and against such issues. It is no coincidence
that the oral
argument on the leave to amend lasted the whole day and even went
beyond the normal hours of the Court. The material
filed was also
voluminous. These added to the delay in the handing down of this
judgment.
F
: ORDERS
Application
for leave to amend
[103]
In the premises, in the application for leave to amend, I make the
order, that:
1.
the application for leave to amend brought by the applicant or
defendant (hereafter
‘the defendant’) in respect of the
defendant’s Consequential Plea and Claim 1 of the Counterclaim
amended in
Court on 21 November 2023 (CaseLines 001-1 to 001-33), to
the amended Declaration, dated 30 May 2022, as fully described in
paragraph
1 of the notice of motion to this application dated 30
October 2024, is granted;
2.
the defendant is granted leave to recall Ms Benita van Rede van
Oudtshoorn to
give evidence regarding the issues related to the
correct actual total water usage consumed by the respondent or first
plaintiff
(hereafter ‘the first plaintiff’) and provided
by the defendant in respect of account number 5[...]2 for the period
from inception to 6 July 2021;
3.
the defendant is liable for costs of the application, envisaged in 1
and 2 hereof,
on an attorney and client scale, including costs
consequent upon the employment of two counsel, wherever employed, and
4.
the costs referred to in 3 hereof shall include costs occasioned by
the postponement
of the application on 19 November 2024, and
costs
to effect the amendment and consequential amendments.
Application
for postponement
[104]
In the premises, in the application for postponement of the civil
trial, as read with the order of the Court made
on 25 November 2024,
I make the order, that:
1.
the applicant or defendant (hereafter ‘the defendant’) is
liable
for the wasted costs of the respondent or first plaintiff
(hereafter ‘the first plaintiff’) occasioned as a
consequence
of the postponement of the hearing of the part-heard
trial, which was set down for ten court days during the period 25
November
2024 to 6 December 2024;
2.
the costs in 1 hereof shall be:
2.1
at the scale of an attorney and client up to and including 8 November
2024, which costs
shall include (where applicable) costs consequent
upon the employment and/or reservation of two counsel, as well as the
reasonable
costs consequent upon the reservation of Mr T Hatzkilson
for trial, and
2.2
at the party and party scale
from
and including 9 November 2024 onwards, including (where applicable)
costs consequent upon the employment and/or reservation
of two
counsel at scale C, as well as the reasonable costs consequent upon
the reservation of Mr T Hatzkilson for trial.
Khashane La M.
Manamela
Acting Judge of the
High Court
Date
of Hearing
:
21
November 2024
(Application
for Leave to Amend)
Date
of Hearing
:
25
November 2024
(Application
for Postponement)
Date
of Judgment
:
27
March 2025
(both
applications)
Appearances
(both applications)
:
For the First Plaintiff
(i.e. Blair Atholl): Mr P Lourens (with Mr
CF
van der
Merwe
SC for
heads of argument)
Instructed
by
:
Werksmans
Attorneys, Johannesburg
c/o Brazington &
McConnell, Pretoria
For
the Defendant (i.e. Tshwane) :
Ms
T Mkhwanazi
(with Ms
P
Mathibela)
Instructed
by
: Diale
Mogashoa Inc, Pretoria
[1]
Pars
[8]-[28] below, for a brief background to the matter (i.e. Part B).
[2]
The
trial in the matter was postponed in Term 4 of 2023 after a ten-day
hearing. See pars [23], [28], [96]
et
seq
below.
[3]
Par [30] below on what
constitutes Blair Atholl estate.
[4]
Tshwane’s
varying scale of rates for the supply of water, including the
following: (1) Scale A: ‘agricultural holdings
and farm
portions for residential purposes excluding consumers under Scale
C’; (2) Scale B: ‘single dwelling-houses
(metered
separately by the Municipality and excluding dwelling-houses from
which an unregistered business is run)’; (c)
Scale D: All
Consumers Who Do Not Fall Under Scale A, B, C and E’; (e) Bulk
Water Supply to Other Municipalities’.
[5]
City
of Tshwane Metropolitan v Blair Atholl Homeowners Association
[2019]
1 All SA 291 (SCA).
[6]
City
of Tshwane v Blair Atholl
[2019]
1 All SA 291
(SCA)
[80].
[7]
Par [15] above on the
separation of issues in terms of Rule 33(4).
[8]
Pars [15]-[16] above.
[9]
Founding Affidavit (‘FA’),
annexure
‘ARA4’, CaseLines 029-129.
[10]
FA,
annexure
‘ARA4’, CaseLines 029-128.
[11]
FA,
annexure
‘ARA4’, CaseLines 029-127.
[12]
Par [95] below.
[13]
Pars [2] and [11] above.
[14]
Relating to the urgent application
before Southwood J on 14 February 2013.
[15]
Annexures
‘CTM8’ and ‘CTM9’.
[16]
Tshwane’s Plea and Counterclaim
at par
28.5.4,
CaseLines 018-119.
[17]
FA par 26.6, CaseLines 029-44.
[18]
Notice
of Motion par 1 of the amendment on p 2, CaseLines 029-2.
[19]
T
he
ten clock overs are said to have occurred from the 28th of October
2011 and 29th July 2015. See FA pars 31-33, CaseLines 029-52
to
029-54.*
[20]
Trans-Drakensberg
Bank Ltd (under judicial management) v Combined Engineering (Pty)
Ltd and another
1967 (3) SA 632
(D) at 640H-641C.
[21]
Commercial
Union Assurance Co Ltd v Waymark NO
1995
(2) SA 73
(Tk) at 77F-I.
[22]
Caxton
Ltd and others v Reeva Forman (Pty) Ltd and another
[1990] ZASCA 47
;
1990 (3) SA 547
(A) at 565G;
Benjamin
v SOBAC (Pty) Ltd
1989 (4) SA 940
(C) at 957G-H;
Magnum
Simplex International (Pty) Ltd v MEC Provincial Treasury,
Provincial Government of Limpopo
(556/17)
[2018] ZASCA 78
(31 May 2018) [9].
See
also DE
van
Loggerenberg,
Erasmus:
Superior Court Practice
(
Revision
Service 24, 2024
,
Jutastat October 2024) (‘
Erasmus:
Superior Court Practice
’)
RS 25, 2024, D1 Rule 28-6
et
seq
;
Cilliers,
AC, Loots, C and Nel, HC.
Herbstein
and Van Winsen:
Civil
Practice of the High Courts and the Supreme Court of Appeal of South
Africa
,
5
th
edition, Jutastat (November 2021)
at
675-693
.
[23]
GMF
Kontrakteurs (Edms) Bpk and another v Pretoria City Council
1978 (2) SA 219
(T) at 222B–D;
Ciba-Geigy
(Pty) Ltd v Lushof Farms (Pty) Ltd en 'n ander
2002 (2) SA 447
(SCA) [33]. See generally
Herbstein
& Van Winsen
Civil
Practice
at 676;
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-5.
[24]
Commercial
Union Assurance v Waymark
1995 (2) SA 73
(Tk)
at
76-77;
Affordable
Medicines Trust and others v Minister of Health and others
[2005] ZACC 3
;
2006 (3) SA 247
(CC) [9]
.
[25]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 638A. See also
Benjamin
v SOBAC
1989
(4) SA 940
(C) at 957I;
Commercial
Union Assurance Co Ltd v Waymark NO
1995
(2) SA 73
(Tk) at 76-77;
Randa
v Radopile Projects CC
2012 (6) SA 128
(GSJ) [7]
.
[26]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 638, 640E-F and the authorities cited there;
Gollach
& Gomperts (1967) (Pty) Ltd v Universal Mills & Produce Co
(Pty) Ltd
1978 (1) SA 914 (A)
at 928D.
[27]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 638, 640E-F.
[28]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 957I-J.
[29]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 640-641.
[30]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D)
at
639B.
[31]
GMF
Kontrakteurs v Pretoria City Council
1978 (2) SA 219
(T) at 222B–D;
Ciba-Geigy
v Lushof Farms
2002 (2) SA 447
(SCA) [33]. See generally
Herbstein
& Van Winsen
Civil
Practice
at 676.
[32]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 957J-958A. See also
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 640.
[33]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 638A, 640E-F. See also
Moolman
v Estate Moolman and another
1927 CPD 27
at 29;
Cross
v Ferreira
,
1950 (3) SA 443
(C) at 447;
Randa
v Radopile Projects
2012
(6) SA 128
(GSJ)
[7],
[12].
[34]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 957H.
[35]
Moolman
v Estate Moolman
at 29, cited with approval in
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 640. See also
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 957H and
Randa
v Radopile Projects
2012
(6) SA 128
(GSJ) [12], where reference is made to several
authorities.
[36]
Greyling
v Nieuwoudt
1951 (1) SA 88
(O) at 91;
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 640H. See also
Zarug
v Parvathie NO
1962
(3) SA 872
(D) at 876B-C on necessity of an amendment.
[37]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 641A. See
Caxton
v Reeva Forman
[1990] ZASCA 47
;
1990 (3) SA 547
(A) at 565G-566B.
[38]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 958A-C.
[39]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 958A-C.
[40]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 641A-B. See
Caxton
v Reeva Forman
[1990] ZASCA 47
;
1990 (3) SA 547
(A) at 565G-566B.
[41]
Erasmus:
Superior Court Practice
RS 23, 2024, D1 Rule 28-3 and the authorities cited there.
[42]
Randa
v Radopile Projects
2012
(6) SA 128
(GSJ) [6], citing with approval from
Robinson
v Randfontein Estates GM Co Ltd
1925
AD 173.
[43]
Zarug
v Parvathie NO
1962
(3) SA 872
(D) at 876A-B, as quoted in
Lizinex
(Pty) Limited v FPC Solutions (Pty) Limited and Others
(2022/17136) [2023] ZAGPJHC 1261 (3 November 2023) [22].
[44]
Pars [44]-[45] above.
[45]
Middleton
v Carr
1949
(2) SA 374 (AD)
at 385-386.
[46]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 641B, relying on
Florence
Soap and Chemical Works (Pty) Ltd v Ozen Wholesalers (Pty) Ltd
1954 (3) SA 945
(T) at 947H-948B.
[47]
Randa
v Radopile Projects
2012 (6) SA 128
(GSJ) [13] and the other cases cited there.
[48]
Four
Tower Investments (Pty) Ltd v André’s Motors
2005
(3) SA 39
(N) [19];
J
R Janisch (Pty) Ltd v W M Spilhaus & Co (WP) (Pty) Ltd
1992 (1) SA 167
(C) at 169H.
[49]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D)
at
642 C-D.
[50]
Randa
v Radopile Projects
2012 (6) SA 128 (GSJ).
[51]
Randa
v Radopile Projects
2012 (6) SA 128
(GSJ) [4]-[5], [17].
[52]
Randa
v Radopile Projects
2012 (6) SA 128
(GSJ) [17].
[53]
Myers
v Abrahamson
1951(3)
SA 438 C at 451A-D.
[54]
Zarug
v Parvathie NO
1962
(3) SA 872
(D) at 876C-D.
[55]
Par [53] above.
[56]
Trans-Drakensberg
Bank v Combined Engineering
1967 (3) SA 632
(D)
at
642H.
[57]
President-Versekeringsmaatskappy
Bpk v Moodley
1964 (4) SA 109
(T)
at
110H-111A.
[58]
Ibid
.
[59]
J
R Janisch v W M Spilhaus & Co (WP)
1992 (1) SA 167
(C) at 170
et
seq.
See
also
President-Versekeringsmaatskappy
v Moodley
1964 (4) SA 109
(T) at 110-111 on issue of prejudice. See also
par [48] above.
[60]
MEC
for Economic Affairs, Environment and Tourism, Eastern Cape
v
Kruizenga
and
another
2010
(4) SA 122
(SCA) (‘
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)’)
.
[61]
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)
[6].
[62]
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)
[6].
See also
Filta-Matix
(Pty) Ltd v Freudenberg and Others
[1997] ZASCA 110
;
1998
(1) SA 606
(SCA) at 613H- 614D.
[63]
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)
[6].
[64]
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)
[20].
[65]
MEC,
EC v Kruizenga
2010 (4) SA 122
(SCA)
[21].
[66]
Seebed
CC t/a Siyabonga Convenience Centre v Engen Petroleum Limited
(CCT
290/20)
[2022] ZACC 28
;
2023 (12) BCLR 1535
(CC) (20 July 2022).
[67]
Seebed
v Engen Petroleum
[2022]
ZACC 28
;
2023 (12) BCLR 1535
(CC) [49];
Matatiele
Municipality and others v President of the RSA and others
2006 (5) SA 47
(CC) [67];
Kruger
v President of Republic of South Africa
[2008] ZACC 17
;
2009
(1) SA 417
(CC) [
102].
[68]
Seebed
v Engen Petroleum
[2022]
ZACC 28
;
2023 (12) BCLR 1535
(CC) [49];
Kruger
v President of Republic of South Africa
[2008] ZACC 17
;
2009
(1) SA 417
(CC) [
102].
[69]
Seebed
v Engen Petroleum
[2022]
ZACC 28
;
2023 (12) BCLR 1535
(CC) [49];
Dengetenge
Holdings (Pty) Ltd v Southern Sphere Mining and Development Company
Ltd
2014
(5) SA 138
(CC);
2014 (3) BCLR 265
(CC) [
55].
[70]
Seebed
v Engen Petroleum
[2022]
ZACC 28
;
2023 (12) BCLR 1535
(CC) [49]
.
[71]
‘
I
ustus
error’
is described as ‘
reasonable,
pardonable error
’
in
VG
Hiemstra and HL Gonin,
Trilingual
Legal Dictionary
(3rd
edn, Juta 1992).
[72]
M.B
v R.B
(259/2023)
[2024] ZASCA 116
(24 July 2024).
[73]
‘
T
ransactio
’
is
explained as ‘
settlement
of a suit or matter in controversy
(by
the parties themselves, without arbiters)’ in
Hiemstra
and Gonin,
Trilingual
Legal Dictionary
.
See further par [65] below.
[74]
MB
v RB
[2024]
ZASCA 116
[9].
[75]
MB
v RB
[2024]
ZASCA 116
[9]. See also
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at 922C;
Blou
Bul Boorkontrakteurs v McLachlan
1991 (4) SA 283
(T) at 286F;
Mafisa
v Road Accident Fund and another
2024
(4) SA 426
(CC) [48];
Road
Accident Fund v Taylor and Related Matters
2023
(5) SA 147
(SCA)
[36]
;
Eke
v Parsons
2016 (3) SA 37
(CC) [25]
et
seq
.
See also
Slabbert
v MEC for Health and Social Development of Gauteng Provincial
Government
(432/2016)
[2016] ZASCA 157
(3 October 2016) [7]; Bradfield,
Christie’s
Law of Contract
at
557.
[76]
Estate
Erasmus v Church
1927
TPD 20.
[77]
Estate
Erasmus v Church
1927
TPD 20
at 24. See also
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at 921C-D and also at 923C-D.
[78]
MB
v RB
[2024]
ZASCA 116
[10]. See also
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
922-923.
[79]
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at
922C-923B
;
Blou
Bul Boorkontrakteurs v McLachlan
1991 (4) SA 283
(T) at
284-286;
Kambaku
Game Lodge BK v Joubert and another
1999 JDR 0193 (T) at 36
.
See also Bradfield,
Christie’s
Law of Contract
at
558-559.
[80]
MB
v RB
[2024]
ZASCA 116
[11]
.
See also
Hlobo
v Multilateral Motor Vehicle Accidents Fund
2001 (2) SA 59
(SCA)
at
[12].
[81]
MB
v RB
[2024]
ZASCA 116
[12], relying on
Sonap
Petroleum (SA) (Pty) Ltd (formerly known as Sonarep (SA) (Pty) Ltd)
v Pappadogianis
[1992] ZASCA 56
;
1992
(3) SA 234
(A) at 238H.
[82]
MB
v RB
[2024]
ZASCA 116
[12], relying on
Sonap
Petroleum (SA)v Pappadogianis
[1992] ZASCA 56
;
1992
(3) SA 234
(A) at 238H.
[83]
Ibid
.
[84]
MB
v RB
[2024]
ZASCA 116
[13].
[85]
MB
v RB
[2024]
ZASCA 116
[13].
[86]
Ibid
.
[87]
Vena
v Port Elizabeth Divisional Council
1933
EDL 75
at 87 (also cited in
RC
Claassen and M Claassen,
Dictionary
of Legal Words and Phrases
(LexisNexis,
2024) ‘
Claassen’s
Dictionary of Legal Words
’)).
See
also
Slabbert
v MEC for Health and Social Development of Gauteng Provincial
Government
[2016] ZASCA 157
[7].
[88]
GB
Bradfield,
Christie’s
Law of Contract in South Africa
(8th
edn, LexisNexis, 2022)
[89]
Bradfield,
Christie’s
Law of Contract
at
551 also referring to this definition in
Lawrie
v Nursing Response CC and others
[2016]
3 All SA 186
[8]. See also footnote 73 above.
[90]
Bradfield,
Christie’s
Law of Contract
at
551-552, relying on
National
Employers’ General Insurance Co Ltd v Springbok Timber and
Hardware Co (Pty) Ltd
1969 (3) SA 444 (W)
446-447.
[91]
Vena
v Port Elizabeth Divisional Council
1933
EDL 75
at 87;
Slabbert
v MEC for Health and Social Development of Gauteng Provincial
Government
[2016] ZASCA 157
[7]. See also
Claassen’s
Dictionary of Legal Words
’
.
[92]
Pars [19]-[20] above.
[93]
Estate
Erasmus v Church
1927
TPD 20
at 24. See also
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at 921C-D and also at 923C-D.
[94]
Estate
Erasmus v Church
1927
TPD 20
at 24. See also
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at 921C-D and also at 923C-D.
[95]
Bradfield,
Christie’s
Law of Contract
at
558-559.
[96]
Par
[62] above.
[97]
Pars
[38]-[39] above.
[98]
Bradfield,
Christie’s
Law of Contract
at
385 and the cases therein.
[99]
National
and Overseas Distributors Corporation (Pty) Ltd v Potato Board
[1958]
3 All SA 13
, 1958 (2) SA 473 (A) at 479G;
Slip
Knot Investments 777 (Pty) Ltd v Du Toit
2011 (4) SA 72 (SCA)
[9]. See also Bradfield,
Christie’s
Law of Contract
at
385.
[100]
National
and Overseas Distributors Corporation v Potato
Board
1958 (2) SA 473 (A)
at 479;
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
926H-927A;
Slip
Knot Investments 777 v Du Toit
2011 (4) SA 72 (SCA)
[9]-[10]. See also Bradfield,
Christie’s
Law of Contract
at
385.
[101]
Bradfield,
Christie’s
Law of Contract
at
383.
[102]
Bradfield,
Christie’s
Law of Contract
at
383.
[103]
Bradfield,
Christie’s
Law of Contract
at
385. See also P Fvrier-Breed, ‘A perspective on
the
justus
-requirement
in
justus-error
’
(1995) 2
Tydskrif
vir die Suid-Afrikaanse Reg (‘TSAR’)
300.
[104]
Bradfield,
Christie’s
Law of Contract
at
386 and the authorities cited there. See also
Blou
Bul Boorkontrakteurs v McLachlan
1991 (4) SA 283
(T) at 286G.
[105]
Bradfield,
Christie’s
Law of Contract
at
558-559, relying on
Gollach
and Gomperts (1967) (Pty) Ltd v Universal Mills & Produce Co
(Pty) Ltd
1978 (1) SA 914 (A)
922–3.
[106]
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
926H-927A.
[107]
Bradfield,
Christie’s
Law of Contract
at
385, partly relying on
National
and Overseas Distributors Corporation (Pty) Ltd v Potato Board
[1958]
3 All SA 13
, 1958 (2) SA 473 (A).
[108]
Hlobo
v Multilateral Motor Vehicle Accidents Fund
2001 (2) SA 59 (SCA).
See also Bradfield,
Christie’s
Law of Contract
at
385; Frier-Breed ‘A perspective on the
justus
-requirement
in
justus-error
’
1995
TSAR
300.
[109]
Bradfield,
Christie’s
Law of Contract
at
386.
[110]
Gollach
& Gomperts (1967) v Universal Mills & Produce
Co
1978 (1) SA 914 (A)
at
922C-923B
;
Blou
Bul Boorkontrakteurs v McLachlan
1991 (4) SA 283
(T) at
284-286;
Kambaku
Game Lodge BK v Joubert and another
1999 JDR 0193 (T) at 36
.
See also Bradfield,
Christie’s
Law of Contract
at
558-559.
[111]
Pars [38]-[39] above.
[112]
National
Employers’ General Insurance v Springbok Timber and
Hardware
1969 (3) SA 444 (W)
446-447. See also Bradfield,
Christie’s
Law of Contract
at
551-552.
[113]
FA, par
19.1,
CaseLines 029-30.
[114]
FA, annexure ‘ARA4’, CaseLines
029-129.
[115]
FA, annexure ‘ARA4’, CaseLines
029-128. See also par [19] above.
[116]
Ibid
.
[117]
FA, annexure ‘ARA4’, CaseLines
029-128. See also par [19] above.
[118]
FA, annexure ‘ARA4’, CaseLines
029-127. See also par [20] above.
[119]
Blou
Bul Boorkontrakteurs v McLachlan
1991 (4) SA 283
(T) 286G;
Van
Reenen Steel v Smith
2002
(4) SA 264
(SCA) [7].
[120]
Par [39] above.
[121]
Ubisi
and another v Road Accident Fund
(711/2023)
[2024] ZASCA 93
(11 June 2024).
[122]
Ubisi
v Road Accident Fund
[2024]
ZASCA 93
[11].
[123]
Ubisi
v Road Accident Fund
[2024]
ZASCA 93
[12]-[13];
Mafisa
v Road Accident Fund
2024
(4) SA 426
(CC) [36], [48]
.
[124]
Pars [59]-[60] above.
[125]
Par [48] above.
[126]
Pars [57]-[59] above.
[127]
Botha
v Van Niekerk
1947
(1) SA 699
(T) at 703;
Thompson
Kusela CC t/a Thompson Security Group v Dewald Buys
t/a Masima Block Watch
(2017/39176)
[2023] ZAGPJHC 692 (13 June 2023) [15]. See also
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-12.
[128]
Bellairs
v Hodnett and another
1978 (1) SA 1109
(A) at 1150D
;
Thompson
Kusela v Dewald Buys
[2023]
ZAGPJHC 692 [11]. See also
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-12.
[129]
Amod
v South African Mutual Fire And General Insurance Co Ltd
1971 (2) SA 611
(N) at 614F-G.
See
also
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-12.
[130]
Pars [57]-[59] above.
[131]
President-Versekeringsmaatskappy
v Moodley
1964 (4) SA 109
(T)
at
110H-111A.
[132]
J
R Janisch v W M Spilhaus & Co (WP)
1992
(1) SA 167
(C) at 170
et
seq
;
President-Versekeringsmaatskappy
v Moodley
1964 (4) SA 109
(T) at 110-111;
South
African Post Office Ltd v Chairperson, Western Cape Provincial
Tender Board, and others
2001 (2) SA 675
(C) [24.2]-[24.3]
.
See
par [96]
et
seq
below regarding the postponement of the trial due to, among others,
the amendment application.
[133]
Mazibuko
v Singer
[1979]
1 All SA 30
(W) at 37-38.1;
Ergo
Mining (Pty) Limited v Ekurhuleni Metropolitan Municipality
[2020]
3 All SA 445
(GJ) [8]
Wholesale
Housing Supplies (Pty) Ltd v Rich Rewards Trading 556 (Pty) Ltd
and Others
(22189/2016)
[2021] ZAWCHC 215
(29 October 2021)
[7]–[17].
See also
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-15.
[134]
The issue of timing of the amendment is
discussed further in pars [88]-[90] below.
[135]
FA,
pars 31-33, CaseLines 029-52 to 029-54. See also par [39] above.
[136]
Pars [44], [53] above.
[137]
Randa
v Radopile Projects
2012 (6) SA 128
(GSJ) [4]-[5]. See also
Ciba-Geigy
v Lushof Farms
2002 (2) SA 447
(SCA)
at
450
A-D (i.e. headnote).
[138]
Par [54] above. See also
Erasmus:
Superior Court Practice
RS 25, 2024, D1 Rule 28-13.
[139]
Zarug
v Parvathie NO
1962
(3) SA 872
(D)
at
876B-C.
[140]
Trans-Drakensberg
Bank v Combined Engineering
1967 (3) SA 632
(D)
at
642 C-D.
[141]
J.M.S
v M.M.A.N
[2023]
ZAGPPHC 2240; 40230/2020 (21 June 2023).
[142]
J.M.S
v M.M.A.N
[2023]
ZAGPPHC 2240; 40230/2020
[10]-[15] and the authorities cited there, which form part of those
appearing above.
[143]
Standard
Bank of South Africa Limited v Davenport NO and others
(847/10)
[2014] ZAECGHC 27 (25 April 2014)
[6],
as quoted in
National
Director of Public Prosecutions v Goqwana
(2938/2022) [2024] ZAECMHC 50 (18 June 2024) [59].
[144]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 638A, 640E-F;. See also
Moolman
v Estate Moolman and another
1927 CPD 27
at 29;
Cross
v Ferreira
,
1950 (3) SA 443
(C) at 447;
Randa
v Radopile Projects
2012
(6) SA 128
(GSJ)
[7],
[12].
See
par [48] above.
[145]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 957H. See par [48] above.
[146]
Trans-Drakensberg
Bank v Combined Engineering
1967
(3) SA 632
(D) at 641A. See
Caxton
v Reeva Forman
[1990] ZASCA 47
;
1990 (3) SA 547
(A) at 565G-566B. See par [50] above.
[147]
Benjamin
v SOBAC
1989 (4) SA 940
(C) at 958A-C.
[148]
Pars [38]-[39] above.
[149]
Meintjies
NO v Administrasieraad van Sentraal-Transvaal
1980 (1) SA 283
(T)
at
294H–295D and
Meyerson
v Health Beverages (Pty) Ltd
1989 (4) SA 667
(C) at
679A–D.
See also
J.M.S
v M.M.A.N
[2023]
ZAGPPHC 2240; 40230/2020
[10] on the issue of indulgence and liability for costs. See also
Erasmus:
Superior Court Practice
RS 25, 2024, D5-8 and D5-10.
sino noindex
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