Case Law[2025] ZAGPPHC 1081South Africa
L.N.M v K.M and Another (6055/2005) [2025] ZAGPPHC 1081 (25 September 2025)
High Court of South Africa (Gauteng Division, Pretoria)
25 September 2025
Headnotes
under pension fund number 9[…]. The Parties agree that the Defendant shall be entitled to THREE HUNDRED AND SISTY (sic) THOUSAND RANDS (R 360 000.00) of the pension interest held in the fund. [the paragraph numbering starts with the number 7.2]
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## L.N.M v K.M and Another (6055/2005) [2025] ZAGPPHC 1081 (25 September 2025)
L.N.M v K.M and Another (6055/2005) [2025] ZAGPPHC 1081 (25 September 2025)
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sino date 25 September 2025
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IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
CASE
NO: 6055/2005
(1)
REPORTABLE:
YES
/NO
(2)
OF INTEREST TO THE JUDGES:
YES
/NO
(3)
REVISED.
DATE:
25/09/2025
SIGNATURE:
In
matter between:
L[...]
N[...] M[...]
Applicant
and
K[...]
M[...]
First Respondent
GOVERNMENT
EMPLOYEES PENSION FUND
Second Respondent
In
re:
K[...]
M[...]
Plaintiff
and
L[...]
N[...]
M[...]
Defendant
JUDGMENT
STONE
AJ
Introduction
[1]
The applicant and the first respondent were previously
married in
community of property. Their marriage was dissolved in terms of an
order of this Court on 3 November 2006. The division
of their joint
estate is still in dispute. This application is a further chapter in
a history of litigation between them regarding
the division of their
joint estate and the applicant’s entitlement to a part of the
Respondent’s pension interest.
[2]
The second respondent is the Government Employee Pension
Fund (The
GEPF). The second respondent has not participated in the
application.
[3]
The first respondent (as plaintiff) instituted divorce
proceedings in
2005 under case number 6066/2005 against the applicant (the defendant
in such action). Subsequent litigation proceedings
between the
parties to which I refer herein, have all been instituted under the
same case number.
Relief
claimed by the applicant
[4]
The relief claimed by the applicant in her notice of
motion is
formulated as follows:
“
1.
The settlement agreement made an order of court on 31 October 2023
signed by me and the First Respondent is to be declared null
and void
and to have no force and effect.
2.
Alternatively, the settlement agreement made an order of
court on 31 October 2023 be varied and to include the following
clause:
That
the Plaintiff is a member of the Government Employee Pension Fund,
with Pension No.: 96221151, In terms of provisions of section
7 of
the Divorce Act, the said Plaintiff pension fund’s interest in
the Government Employee Pension Fund forms part of the
joint estate.
The
Defendant is entitled to an amount of R360 000.00 of the
Plaintiff’s pension fund interest in the Government Employee
Pension Fund, the Government Employee Pension Fund is hereby directed
to endorse the amount of R360 000 [Three Hundred and
Sixty
Thousand Rand] in favour of the Defendant against Plaintiff Pension
Fund interest and to pay the said amount of R360 000
to the
Defendant within 30 days of the order.”
That,
the immovable property situated at 1[…] R[...] Street, Sun
Valley, Mamelodi West, Pretoria, Mamelodi, which the joint
estate is
the owner thereof, shall be evaluated by a professional valuator to
be appointed jointly by the parties alternatively
by Association of
Professional evaluators of South Africa, within 30 [Thirty] days of
the order, and the cost of such evaluation
shall be on the account of
the parties in equal share.
After the
evaluation of the immovable property the property shall be sold
either by a direct sale, or estate agent or public auction
and the
proceeds thereof shall be shared between the parties.
The Plaintiff shall
exercise his rights of first preference to purchase the Defendant
half share of the immovable property within
30 [thirty] days of
order, if not, then it shall be sold to a third party.
3.
Costs of this application only in the event of opposition”.
Background
[5]
On 3 November 2006 this court per Shongwe DJP made an
order (“the
2006 order”) as follows:
“
1.
THAT the bonds of marriage subsisting between the plaintiff and
the defendant are hereby dissolved.
2.
THAT custody of the two minor children be and is hereby awarded to
the plaintiff, to the plaintiff, subject to the defendant’s
reasonable rights of access
3.
Division of the joint estate.
4.
No order as to costs. “
[6]
The remaining contentious issue is whether the joint
estate has been
fully divided as contemplated in paragraph 3 of the aforesaid order,
in terms of a settlement agreement that was
made an order of court on
31 October 2023, or whether it still remains to be implemented in
full.
[7]
Although it was previously disputed by the applicant,
it is common
cause in the present application that the parties signed the
aforesaid settlement agreement which is referred to in
the notice of
motion, on 14 December 2020 (the settlement agreement).
[8]
Despite the fact that she signed the settlement agreement
in 2020,
the applicant subsequently lodged an application to this Court for
the variation of the 2006 order, to include relief
that she be
awarded 50% of the first respondent’s interest in the GEPF.
The applicant did not rely on the settlement
agreement in such
application. Pursuant to such application, Kovari J granted an order
on 17 October 2022, in the absence of the
first respondent, varying
the 2006 order. His order read as follows:
“
1.
The Order dated 3 November 2006 is varied to include paragraph
4 in the following terms: -
“
That
the Second Respondent (the pension fund) be ordered to pay to the
Applicant the half share of the pension interest in the fund
known as
GOVERNMENT EMPLOYEES PENSION FUND WITH NUMBER: 96221153 within three
months of date of this order.”
2.
(Was deleted)
3.
No order as to costs”
[9]
The first respondent thereafter contended that the order
of
Koevertjie J was granted in his absence, and that it was at variance
with the abovementioned agreement of settlement. The first
respondent
therefore applied, in turn, for an order that the variation order
granted by Kovari J on 17 October 2022 be set aside
and/or varied, in
terms of rule 42 of the Uniform Rules of Court, and that the
aforesaid settlement agreement concluded between
the parties be made
an order of court.
[10]
Such application came before Molopa-Sethosa J on 31 October 2023. She
granted an order in the following terms:
“
1.
The order of Koevertjie J of 17 October 2022 is rescinded and set
aside.
2.
The settlement agreement entered into by the applicant (the
first respondent in the present application) and the first
respondent
(the applicant in the present application) herein dated 14 December
2020, marked ‘X” is made an order of
court
3.
Each party is ordered to pay his/her own cost.”
[11]
Although
such order does not indicate that it was made by agreement, I was
informed in argument by counsel, that the parties were
in agreement
that the order of Molopa-Sethosa J was granted by agreement. The
order of Koovertjie J was rescinded and paragraph
2 of the order of
31 October 2023 (making the settlement agreement an order of court)
was made by agreement. There is no judgment
of Molopa-Sethoa J on
record, which is evidently due to the fact that the parties agreed to
the said relief.
[1]
[12]
The relief in the present application is now aimed at declaring null
and void or varying the settlement agreement which was made an order
of court by Molopa-Sethosa J on 31 October 2023. (“the
2023
order”).
[13]
Applicant’s counsel approached the application on the basis
that
the agreement should be declared void or varied. The Applicant
did not make it clear in her papers whether the application was based
on common law grounds or rule 42. The respondent and his counsel
approached the matter on the basis that the application is brought
in
terms of rule 42 of the Uniform Rules of Court. In my view the
application must be determined in terms of such rule.
The
settlement agreement which was made an order of court
[14]
The settlement agreement of 14 December 2020, which was made an order
of court on 31 October 2023 (the 2023 order) reads as follows:
“
WHEREAS
the Plaintiff and the Defendant hereto were married to each other on
20 July 2000 at Pretoria, in community of property
in terms of the
Matrimonial Property Act, Act 88 of 1984.
AND
WHEREAS the marriage relationship has broken down and the parties
divorced on 03 November 2006.
AND WHEREAS Plaintiff
was a member of the GOVERNMENT EMPLOYEES PENSION FUND (“the
Fund”) at the time of divorce held
under pension fund number
9[…]. The Parties agree that the Defendant shall be entitled
to THREE HUNDRED AND SISTY (sic)
THOUSAND RANDS (R 360 000.00)
of the pension interest held in the fund.
[the paragraph
numbering starts with the number 7.2]
7.2
The said amount of the Plaintiff’s pension
interest shall be payable to the Defendant by the fund as
contemplated in section 37D(1)(d)(I) of the Pension Fund Act read
with section 7(8)(a) of the Divorce Act,
7.3
The Plaintiff will retain the remainder of the value of
his fund as his sole and exclusive property,
7.4
An endorsement shall be made in the records of the
Government Employees Pension Fund that the Defendant’s
share of
the Plaintiff’s pension interest is payable to defendant. The
Fund shall pay to the defendant his share of the interest
as referred
to herein within 90 days of being informed of how the amount must be
dealt with in accordance with Defendant’s
election.
NOW
THEREFORE the parties hereto agree as follows:
ENTIRE
AGREEMENT
11.1
This agreement is in full and final settlement of the
issues between the parties hereto and save as provided herein,
no
party hereto will have any further claim and/or claims against any
other party in any form whatsoever.
11.2
Any amendment and/or variation or change to any of the terms of the
agreement will only be of any force and/or effect if such
amendment,
variation and/or change is reduced to writing and signed by all the
parties hereto.”
Main
issues for decision
[15]
The main issues for decision are:
15.1
Whether the settlement agreement should be declared void and of no
force or
effect based on alleged fraud by the first respondent’s
representative.
15.2
Whether, in the alternative, the settlement agreement should be
rescinded or
varied.
15.3
Whether the 2023 order should be rescinded or varied.
15.4
Whether the applicant should be declared a vexatious litigant.
15.5
The interpretation of the settlement agreement: Whether it includes a
full
and final settlement of the division of the joint estate, or
only a settlement in respect of the pension interest.
15.6
Whether the order of Molopa-Sethosa J, as it stands, can be
implemented to
obtain payment from the GEPF.
The
applicant’s main contentions
[16]
The applicant relies thereon that the settlement agreement is void,
as
the first respondent was represented by a Mr Khoza when the
agreement was negotiated and signed, who was not an attorney, but
misrepresented
that he was (this is common cause). She contends that
the settlement agreement is to be set aside due to the fraud of Mr
Khoza.
[17]
She
avers in the alternative, if the settlement agreement is not set
aside, that it should be varied, as set out in the notice of
motion.
[2]
[18]
In
her founding affidavit the applicant relies thereon that the 2006
order only provided for the “
division
of the joint estate
”,
without providing how it should occur. She contends that the amount
in the settlement agreement is not a settlement in
full of the
division of the joint estate, but only constitutes a settlement of
her entitlement to receive a part of the first respondent’s
pension interest in the GEPF. It is common cause that an immovable
property in Mamelodi, Pretoria
[3]
(which she contends forms part of the common property owned by her
and the first respondent) remains in his possession. She avers
that
the immovable property should still be divided by selling and
dividing the proceeds, or that a liquidator be appointed to
divide
the joint estate.
[19]
She complains that the GEPF has failed to make payments to her in
respect
of the first respondent’s pension interest, as the
settlement agreement does not accord with the fund’s
requirements.
In her replying affidavit she avers that the request
for a variation of the settlement agreement stems from “
the
impracticability and short comings as the settlement fail to deal
with other joint estate, the errors come from the settlement
itself
”.
Unfortunately, she however does not provide full particulars of the
alleged short comings and the reasons why the GEPF’s
has
allegedly refused to make payments. She avers that the wording of the
clause containing an obligation that the GEPF must pay
her
R360 000.00 as contained in the settlement order, “
is
of such a nature that the Fund requires direction to pay and in the
absence of such they will not pay, it is therefore on that
basis that
the settlement agreement be varied”
as set out in her
notice of motion. A somewhat more detailed indication appeared from
her answering affidavit in the application
which served before
Molopa-Sethosa J, wherein it is stated:
“
In
order for me to be able to enforce joint division on the pension, the
pension fund clause, and pension number as well as full
details of
parties, were required to enforce the pay-out from the administrators
of the second respondent
(the GEPF).”
[20]
Her counsel unfortunately also could not provide more clarity
regarding
the exact nature of the reasons why the GEPF would not make
payment pursuant to the 2023 order, and the reasons why the fund
required
a varied court order. He argued that the “
precise
concern
” in the 2023 order is that if the settlement is not
corrected alternatively varied, there will not be finality on the
division
of the part of the joint estate (the property) as the
pension fund will still require a varied order to effect payments to
the
applicant.
[21]
The applicant denies that she ever waived her entitlement to receive
a division of the common property, which she says is not provided for
in the settlement agreement. She avers that she would not
have
accepted the amount reflected in the settlement as a settlement which
includes the division of the immovable property, as
she never
received particulars of the value of the pension fund nor of the
common property.
[22]
In her replying affidavit she responded to allegations by the first
respondent
(which he had also made in the application which served
before Molopa-Sethosa J, that the parties reached an agreement
at
a round table in 2018, for the settlement off all claims for a
specific amount of R360 000.00, and that it was intended to
consist of amounts of R250 000.00 for her half share in the
common property based on the market value thereof, and R110 000.00
from his pension interest calculated as at the date of divorce. She
contends that it is “
legally wrong to read his intention
into the agreement, whereas, such is not recorded, I have read the
settlement, but I could not
find such clause
.”
[23]
Her counsel submitted that the contention of the first respondent is
at variance with the contents of the settlement agreement, wherein no
such values or division are specified as being included in
the
R360 000.00.
[24]
Her counsel contended that the true intention of the parties with the
settlement was to only settle her claim in respect of the first
respondent’s pension interest, and that the settlement
agreement
should be interpreted accordingly. He submitted that such
division still has to take place.
[25]
On the basis of the applicant’s main contentions that the
agreement
is void, he submitted that the parties will still have to
convene again to agree on a division of the immovable property, and
if
they cannot agree, the court should then make a division order. I
understood him to contend, regarding the alternative relief of
a
variation of the agreement, that the court has a discretion to make
an order for the division of the immovable property, and
should do so
in the interest of justice, to set out how the division should occur,
with reference to the procedure mentioned in
the alternative prayer
in the notice of motion, in order to bring finality to the disputes
between the parties.
[26]
He submitted that although the parties now have divergent stances
regarding
the interpretation of the settlement agreement, the
settlement agreement is not ambiguous. He submitted that both parties
must
have intended to only settle the pension interest. If I
understood him correctly, he contended that, if the aforesaid is not
the
interpretation of the agreement, it does not conform with the
intention of the parties.
[27]
He submitted in argument that the main point, which is really in
issue,
is how the settlement agreement should be interpreted. He
contended that the dispute about what was included in the settlement
amount, is not a material dispute of fact on the papers.
[28]
He
indicated in argument that the applicant would be seeking a
rescission of paragraph 2 of Molopa-Sethosa J’S 31 October
2023
[4]
. In the alternative, if
relief is not granted as per paragraph 2 of the notice of motion,
then a 50/50 division of the joint estate
property should be ordered.
The
first respondent’s main contentions
[29]
In his answering affidavit the first respondent relies on the
following
main contentions:
29.1
The first respondent initially, submitted that the relief claimed
cannot be
sustained as the court, per Molopa-Sethosa J, has already
pronounced on the matter and is
res judicata
. This point was
however withdrawn by his counsel, in argument.
29.2
He submitted that the applicant’s recourse is to appeal against
the order
of Molopa-Sethosa J, not by way of the relief she presently
seeks.
29.3
The settlement agreement constitutes a full and final settlement of
the division
of the joint estate and should so be interpreted. The
settlement agreement (paragraph 11.1) provides for a full and final
settlement
of all claims between the parties for the amount of
R360 000.00, and the parties have agreed that they will have no
further
claims of whatsoever nature against each other. The applicant
is therefore not entitled to further relief in respect of the
division
of the joint estate.
29.4
The applicant’s reliance on the misrepresentation of the first
respondent’s
representative (Mr Khoza) that he was an attorney,
has no merit. The first respondent does not concede that this tainted
the consensus
between the parties.
29.5
The application is in essence an application in terms of rule 42, and
he submitted
that the applicant has not made out a case, in
compliance with such rule, for a rescission or variation of the order
of Molopa-Sethosa
J.
29.6
The application is also opposed on the ground that the applicant
should be
declared a vexatious litigant, and he seeks an order that
she should be declared as such.
29.7
The first respondent’s counsel initially submitted that there
was not
a meeting of the minds between the applicant and the first
respondent, but he withdrew this submission during argument and
submitted
that the settlement agreement reflects what was agreed
between the parties, and that there exist no grounds on which it is
void
or should be varied.
Rescission
or variation of the 2023 order: The legal position
[30]
It
is a well-established rule that once a court has duly pronounced a
final judgment or order, it has itself no authority to set
it aside
or to correct, alter or supplement it. The reasons are twofold:
first, the court becomes
functus
officio
and its authority over the subject matter ceases; secondly, it is in
the public interest that litigation be brought to finality,
which
dictates that the power of the court should come to an end.
[5]
[31]
In
Zuma
v Secretary of the Judicial Commission of Inquiry into Allegations of
State Capture Corruption and Fraud in the Public Sector
Including
Organs of State
[6]
the Constitutional Court observed:
“
[t]he
principle of finality in litigation which underlies the common law
rules for the variation of judgments and orders is clearly
relevant
to constitutional matters. There must be an end to litigation, and it
would be intolerable and could lead to great uncertainty
if courts
could be approached to reconsider final orders made.” There is
a reason that rule 42, in consolidating what the
common law has long
permitted, operates only in specific and limited circumstances. Lest
chaos be invited into the processes of
administering justice, the
interest of justice requires the grounds available for rescission to
remain carefully defined. In Colyn,
the Supreme Court of Appeal
emphasised that “the guiding principle of the common law is
certainty of judgments”. Indeed,
a court must be guided by
prudence when exercising its discretionary powers in terms of the law
of rescission, which discretion,
as expounded above, should be
exercised only in exceptional cases, having “regard to the
principle that it is desirable for
there to be finality in
judgments”.
[32]
Once
a settlement agreement is made an order of Court, it obtains the
status of a court order
[7]
, and
must be dealt with as such. Court orders may be set aside or varied
in terms the common law, under rule 31 or in terms of
rule 42,
whichever finds application. The applicant did not set out in her
application on which of these bases she relies. The
first respondent
accepted in his papers, and it was also argued by his counsel, that
the application should be assessed as a rule
42 application.
[33]
The applicant has failed to set out sufficient allegations in her
papers
to support a case in terms of the rule 31 or the common law,
and she did not rely thereon. She does not contend that the order was
made in her absence, and she has failed to provide a proper
explanation why the settlement agreement was made by agreement.
[34]
The
court has a discretion to rescind or vary an order in terms of rule
42, which must be exercised judicially, taking into account
considerations of fairness and justice, in view of the facts of a
particular case. Before relief is granted in terms of rule 42(1),
all
the jurisdictional requirements must be present. In the absence of
one of the jurisdictional facts as contained in rule 42
(a), (b) or
(c) the court does not have a discretion to set aside or vary an
order.
[8]
[35]
In terms of the common law a judgement can be set aside on grounds of
fraud,
Justus error
, in certain exceptional circumstances when
new documents have been discovered, where judgment was granted by
default, in the absence
of a valid agreement.
The only identifiable common law ground relied on by the applicant is
the alleged
fraud by the abovementioned Mr Khoza, who misrepresented
that he was an admitted attorney whilst acting on behalf of the first
respondent. She has not demonstrated good cause or sufficient cause
in her affidavits for a rescission under rule 31 or the common
law.
[36]
A
court may clarify its judgment or order if, on a proper construction,
the meaning thereof remains obscure, ambiguous or otherwise
uncertain, in order to give effect to its true intention, but it may
not alter the substance of the order or judgment
[9]
.
[37]
In
casu
the jurisdictional facts for an application in terms of rule 42(1)(a)
are absent. That leaves potentially rules 42(1)(b) or (c).
The
ambiguity or patent error or omission mentioned in rule 42(1)(b) must
be attributed to the court itself.
[10]
Whether a common mistake existed as contemplated in rule 42(1)(c),
must be proved by the party seeking such rescission or variation.
The
court however retains a residual discretion to rescind or vary an
order or judgment on the grounds in rule 42(1) if applicable.
It can
do so
Mero
motu
,
but this discretion should be exercised judicially, and sparingly.
Is
the settlement agreement void due to fraud?
[38]
An assessment of the applicant’s founding affidavit shows that
this is the only ground clearly relied on by her for the contention
that the agreement is void. The other allegations in her affidavits
are rather made in support of the alternative relief.
[39]
The
applicant submits that the first respondent cannot rely on the
agreement as Mr Khoza falsely represented that he was an admitted
attorney, and that he rendered advice to the first respondent whilst
not being an admitted attorney. She says that such misrepresentation
renders the agreement null and void. Her counsel relied on a reported
review application
[11]
where
criminal proceedings were set aside in circumstances where a person
held himself out to be a legal practitioner and represented
an
accused without being admitted as an attorney. The court considered
it a gross irregularity and set aside proceedings. In my
view the
facts in this matter are different. The first respondent, who was
represented by Mr Khoza, does not complain that Mr Khoza’s
position affected him or his decision to agree to the terms of the
agreement. He was not represented by Mr Khoza when the 2023
order was
made.
[40]
A
party who is induced by a misrepresentation of the other party to
enter into a contract, is entitled to rescind the contract.
A person
relying on a misrepresentation to avoid the contract, must allege and
prove that the misrepresentation induced her to
enter into the
agreement, or that she would not have entered into the agreement if
it was not for the misrepresentation
[12]
.
Such misrepresentation must however be material, or in respect of a
material fact. If not, a rescission will not follow. Whether
a
misrepresentation is material, is assessed by applying an objective
test. It must be such that it goes to the root of the contract,
and
it must have persuaded the other party to enter into the agreement.
It must have been made with the intention to induce a contract
and
must in fact have induced the person to conclude the agreement. The
maxim that fraud unravels a contract depends on its victim,
not the
fraudster or third parties. A party must have acted to his detriment,
or have been prejudiced by the fraud, to be able
to rely on
fraud.
[13]
[41]
The applicant’s averments regarding the misrepresentation fall
short of these requirements. It is not disputed that the applicant
herself was duly represented by attorneys when the settlement
agreement was negotiated and signed. Although she says that Mr Khoza
misrepresented his position during negotiations and the signing
of
the settlement agreement, she does not allege that the fraud of Mr
Khoza induced the settlement agreement, nor that she would
not have
signed it if she knew that Mr Khoza was not an attorney, nor does she
make out a case that she was prejudiced thereby.
In the absence
of clear allegations by the applicant that Mr Khoza’s
misrepresentations concerning his position as
an attorney affected
her in accepting and signing the settlement agreement, and how it
affected her, and as the first respondent
himself does not have such
a complaint, I am of the view that this does not afford a basis for a
finding that the agreement is
void.
The
alternative relief, to vary the settlement agreement which was made
an order of court on 31 October 2023.
[42]
The
court may grant orders regarding the way in which assets of a joint
estate should be divided, if the parties cannot agree thereto,
and if
the joint estate has not yet been divided
[14]
.
It is however trite that the court cannot make a new contract for the
parties. A request for a variation of the agreement can
be made if it
does not reflect the parties’ true intention.
[15]
.
[43]
The
applicant seeks alternative relief in the form of a variation of the
terms of the settlement agreement. She seeks relief that
is final in
nature.
[16]
Her real
motivation with the application appears to be to obtain an order that
could place her in a position to receive a part
of the first
respondent’s pension interest from the GEPF. The stated reason
for the amendments is to include practical arrangements
to achieve a
division, and to record her entitlement to an interest in the first
respondent’s pension fund. These allegations
are however not
presented as a basis to avoid the agreement. Her contentions, and
that of her counsel, illustrate that her requested
variations to the
settlement agreement constitute an attempt to obtain an order which
the GEPF would be willing or compelled to
implement. The applicant
does not rely on an ambiguity, a patent error or omission
attributable to the court, save insofar as it
is alleged that the
GEPF has requested a clearer or more circumscribed order. She equally
does not clearly rely in her papers on
a mistake common to the
parties. She has not made out a case on her affidavits in terms of
rule 42
[17]
.
[44]
In argument counsel for the applicant submitted that there has not
been
a meeting of the minds between the parties as to the question
whether the agreement included a total settlement of all disputes,
or
only a settlement in respect of the pension interest. Counsel for the
first respondent initially also submitted that there was
no meeting
of the minds, but he withdrew the submission in argument. He then
proceeded to contend that there was indeed a meeting
of the minds in
respect of the terms of the settlement agreement.
The
interpretation of the settlement agreement
[45]
In deciding whether a court order should be rescinded or varied, the
order itself must also be considered and interpreted.
In casu
,
this also entails the interpretation of the settlement agreement
which now forms part of the 2023 order. I deal with this
infra.
[46]
Counsel for both parties intimated that there should be finality to
the
disputes between the parties. They agree that the court should
decide on the correct interpretation of the settlement agreement
in
order to determine whether it includes a full and final settlement in
respect of the applicant’s entitlement to a part
of the first
respondent’s interest in the GEPF only, or whether it includes
a total settlement in respect of the division
of the joint estate.
The interpretation of the agreement also proved to be relevant to the
relief to be granted.
The
Law: Interpretation of contracts and court orders
[47]
Erasmus,
Superior Court Practice
[18]
,
summarise the principles applicable to the construction of court
orders, with reference to
Natal
Joint Municipal Pension Fund v Endumeni Municipality
[19]
,
as follows:
“
The
basic principles applicable to construing documents apply to the
construction of a judgment or order. This includes settlement
orders.
In a long line of cases the position has been held to be as follows:
(i)
The Court’s intention is to be ascertained primarily
from the language of the judgment or order as construed according to
well-known rules.
(ii)
As in the case of a document, the judgment or order and the court’s
reasons for giving it must be read
as a whole in order to ascertain
its intention.
(ii)
If, on such a reading, the meaning of the judgment or order is
clear and unambiguous, no extrinsic fact or evidence is admissible
to
contradict, vary, qualify or supplement it. In such case not even the
court that gave the judgment or order can be asked to
state what its
subjective intention was in giving it.
(iv)
If any uncertainty in meaning does emerge, the extrinsic
circumstances surrounding or leading up to the court’s
granting
of the judgment or order may be investigated and regarded in order to
clarify it;
(v)
If the meaning of the order is, however clear and unambiguous, it is
decisive, and cannot be restricted or extended
by anything else
stated in the judgment”.
[48]
In
Endumeni
Municipality
the
approach to interpretation of contacts was set out as follows by the
Supreme Court of Appeal:
[20]
“
The
present state of our law can be expressed as follows: Interpretation
is the process of attributing meaning to the words used
in a
document, be it legislation, some other statutory instrument, or
contract, having regard to the context provided by reading
the
particular provision or provisions in the light of the document as a
whole and the circumstances attendant upon its coming
into existence.
Whatever the nature of the document, consideration must be given
to the language used in the light of the
ordinary rules of grammar
and syntax; the context in which the provision appears; the apparent
purpose to which it is directed
and the material known to those
responsible for its production. Where more than one meaning is
possible each possibility must be
weighed in the light of all these
factors. The process is objective, not subjective. A sensible meaning
is to be preferred
to one that leads to insensible or unbusinesslike
results or undermines the apparent purpose of the document. Judges
must be alert
to, and guard against, the temptation to substitute
what they regard as reasonable, sensible or businesslike for the
words actually
used. To do so in regard to a statute or statutory
instrument is to cross the divide between interpretation and
legislation;
in a contractual context it is to make a contract for
the parties other than the one they in fact made. The 'inevitable
point of
departure is the language of the provision itself', read in
context and having regard to the purpose of the provision and the
background
to the preparation and production of the document.”
[21]
[49]
In
the same matter
[22]
Wallis JA
further explained:
“
[24]The
sole benefit of expressions such as 'the intention of
the legislature' or 'the intention of the parties' is to serve
as a warning to courts that the task they are engaged upon is
discerning the meaning of words used by others, not one of imposing
their own views of what it would have been sensible for those others
to say. Their disadvantages, which far outweigh that benefit,
lie at
opposite ends of the interpretative spectrum. At the one end, they
may lead to a fragmentation of the process of interpretation
by
conveying that it must commence with an initial search for the
'ordinary grammatical meaning' or 'natural meaning' of the
words
used seen in isolation, to be followed in some instances only by
resort to the context. At the other, they beguile judges
into seeking
out intention free from the constraints of the language in question,
and then imposing that intention on the language
used. Both of these
are contrary to the proper approach, which is from the outset to read
the words used in the context of the
document as a whole and in the
light of all relevant circumstances. That is how people use and
understand language and it
is sensible, more transparent and conduces
to greater clarity about the task of interpretation for courts to do
the same.
[25]
Which of the interpretational factors I have mentioned
will predominate in any given situation varies. Sometimes the
language of the provision, when read in its particular context, seems
clear and admits of little if any ambiguity. Courts say in
such cases
that they adhere to the ordinary grammatical meaning of the words
used. However, that too is a misnomer. It is
a product of a time
when language was viewed differently and regarded as likely to have a
fixed and definite meaning; a view that
the experience of lawyers
down the years, as well as the study of linguistics, has shown to be
mistaken. Most words can bear several
different meanings or shades of
meaning and to try to ascertain their meaning in the
abstract, divorced from the
broad context of their use, is an
unhelpful exercise. The expression can mean no more than that, when
the provision is read in
context, that is the appropriate meaning to
give to the language used. At the other extreme, where the context
makes it plain that
adhering to the meaning suggested by apparently
plain language would lead to glaring absurdity, the court will
ascribe a meaning
to the language that avoids the absurdity.
This is said to involve a departure from the plain meaning of the
words used. More accurately
it is either a restriction
[
or
extension of the language used by the adoption of a narrow
or broad meaning of the words, the selection of a less
immediately
apparent meaning
[
or
sometimes the correction of an apparent error in the language in
order to avoid the identified absurdity.”
[23]
[50]
The
shift to an emphasis on context recognises that attributing meaning
to words always involves a consideration of the context
in which they
are used
[24]
. A court should
seek the intention of the parties as it appears from the contract to
be assessed. As pointed out in Christie’s
the phrase “
intention
of the parties
”
should not be misunderstood to mean what the parties proposed to do,
rather than what the words they used mean. The authors
state in this
regard:
“
This
misunderstanding might cause courts to stray into the error of
seeking the parties’ intentions outside the contract terms
and
giving effect to the intention by substituting words that express
that intention for those actually used by the parties. This
is not
what the process of interpretation entails. It must be restricted to
construing the meaning of the language of the contract
in
context.”
[25]
[51]
In
University
of Johannesburg v Auckland Park Theological Seminary and Another
(University of Johannesburg)
[26]
the Constitutional Court dealt with the parole evidence rule as
follows:
“
[68]
Let me clarify that what I say here does not mean that
extrinsic evidence is always admissible. It is
true that a
court's recourse to extrinsic evidence is not limitless because
'interpretation is a matter of law and not of fact
and, accordingly,
interpretation is a matter for the court and not for witnesses'.
It is also true that 'to the extent that
evidence may be admissible
to contextualise the document (since ''context is everything'') to
establish its factual matrix or purpose
or for purposes of
identification, one must use it as conservatively as possible'. I
must, however, make it clear that this does
not detract from the
injunction on courts to consider evidence of context and purpose.
Where, in a given case, reasonable people
may disagree on the
admissibility of the contextual evidence in question, the unitary
approach to contractual interpretation enjoins
a court to err on the
side of admitting the evidence. There would, of course, still be
sufficient checks against any undue reach
of such evidence because
the court dealing with the evidence could still disregard it on the
basis that it lacks weight. When dealing
with evidence in this
context, it is important not to conflate admissibility and weight.”
…………
.
“
[89]
The rule consists of two subrules. This duality was outlined
by Corbett JA in Johnston:
'
As has been indicated, the parole evidence rule is not a single rule.
It in fact branches into two independent rules or sets of
rules: (1)
the integration rule . . . which defines the limits of the contract,
and (2) the [interpretation] rule, or set of rules,
which determines
when and to what extent extrinsic evidence may be adduced to explain
or affect the meaning of the words contained
in a written
contract.'
[
[90]
The parole evidence rule therefore has both an integration
facet and an interpretation facet. It is the latter facet
that
was relied on by the Supreme Court of Appeal. That facet of the rule
was explained by Corbett JA as follows:
'In many
instances recourse to evidence of an earlier or contemporaneous oral
agreement would, in any event, be precluded by . .
. that branch of
the rule which prescribes that, subject to certain qualifications,
when a contract has been reduced to writing,
the writing is regarded
as the exclusive embodiment or memorial of the transaction and no
extrinsic evidence may be given of other
utterances or jural acts by
the parties which would have the effect of contradicting, altering,
adding to or varying the written
contract. The extrinsic
evidence is excluded because it relates to matters which, by reason
of the reduction of the contract
to writing and its integration in a
single memorial, have become legally immaterial or irrelevant.'
[91]
He continued to say:
'(I)t
is clear to me that the aim and effect of [the integration] rule is
to prevent a party to a contract which has been integrated
into a
single and complete written memorial from seeking to contradict, add
to or modify the writing by reference to extrinsic
evidence and in
that way to redefine the terms of the contract. The object of the
party seeking to adduce such extrinsic evidence
is usually to enforce
the contract as redefined or, at any rate, to rely upon the
contractual force of the additional or varied
terms, as established
by the extrinsic evidence.'
[92]
The integration facet of the parole evidence rule relied on
by the Supreme Court of Appeal is relevant when a court
is concerned
with an attempted amendment of a contract. It does not prevent
contextual evidence from being adduced. The rule
is concerned with
cases where the evidence in question seeks to vary, contradict or add
to (as opposed to assist the court to interpret)
the terms of the
agreement…”
[27]
Evidence
[52]
In casu
, it was indicated in a practice note that the first
respondent would request to give oral evidence. At the hearing,
counsel for
the first respondent indicated that he would not present
oral evidence. Counsel for the applicant submitted that there were no
material disputes of fact, and the applicant did not apply that any
aspect of the matter be referred for oral evidence or for trial.
I
therefore deal with the matter on that basis.
[53]
The
gist of the first respondent’s extrinsic evidence is that the
parties met with their legal representatives and negotiated
in 2018,
deciding on the fixed amount of R360 000,00 calculated by way of an
amount of R110 000 as pension interest
as at date of the
divorce and R250 000.00 based on a half share of the immovable
propery value. The settlement agreement itself
however does not
contain an indication of such a division, or that the amount includes
a share of the property. The applicant disputes
this. In my view this
evidence regarding the settlement agreement and negotiations rather
fall in the second category of evidence
to which the parole evidence
rule pertains, namely evidence which seeks to vary, contradict or add
to the agreement, as contemplated
in
University
of Johannesburg
[28]
.
It is also of note that the round table was allegedly held in 2018,
whereas the agreement was only signed in December 2020.
[54]
In the application which served before Molopa-Sethosa J the first
respondent
also relied on the aforesaid agreement in 2018. The
applicant avers that she raised, in previous papers, that the
division of the
joint estate has not yet taken place. She disputes
that the parties agreed on the terms as alleged by the first
respondent.
[55]
The application unfortunately lacks full and supported particulars of
the way in which the amount of R360 000.00 was compiled and
calculated. The first respondent did not provide any valuation
of the
property as at the time of signature or on any other date, nor other
supporting evidence. The applicant has equally
placed no
valuation of the property before the court. Furthermore, neither of
the parties have submitted on record a certificate
of the GEPF or
other calculation of the actual value of the applicant’s
interest in the GEPF as at the date of the divorce
on record. In the
premises, even if the first respondent’s evidence regarding
prior negotiations is admitted, in my view
the available evidence
still does not conclusively show (even if the amount of R360 000.00
was in full and final settlement)
whether the calculation of the
amount includes a value for common property or not.
Content,
context and purpose.
[56]
In applying the principles set out in the abovementioned authorities,
and mindful of the importance of the words used, a contextual
interpretation, and the purpose of the agreement, I proceed to
consider
the words of the agreement.
[57]
In
my view the words in the agreement are not ambiguous, (save in
respect of minor ambiguity in paragraph 7.4. referred to
infra
[29]
,
which does not affect the core enquiry of whether the
settlement is a full and final
)
.
In my view the words of the agreement are sufficiently clear on the
question whether or not it contains a full and final settlement.
The
first two unnumbered paragraphs of the agreement, and the first
sentence of the third paragraph thereof, which respectively
begin
with words “WHEREAS” or “AND WHEREAS” contain
statements which are in the form of a preamble or recital
[30]
.
It records the fact that the parties were married in community of
property, and that they are divorced. The first sentence of
the third
unnumbered paragraph, which also starts with “AND WHEREAS”,
is also rather in the form of a preamble, recording
that the first
respondent (plaintiff) was a member of the GEPF.
[58]
The
aforesaid preamble paragraphs do not set out in respect of which part
of the joint estate the settlement is concluded. The second
sentence
of the third unnumbered paragraph to the settlement agreement
[31]
,
which provides for the payment by the Fund of an amount of
R360 000.00, does not specify how it is made up. It provides
that the payment is an amount “
of
the Plaintiff’s pension interest held in the Fund
”.
This in itself however does not indicate what the payment is for, it
only specifies the origin of the payment.
[59]
Read with the contents of paragraphs 7.2 to 7.4 (which all only deal
with the pension fund and pension interest), it is clear that the
origin of the payment of R360 000.00 is the first respondent’s
pension fund interest, and that the applicant is to receive such
payment from the Fund. The agreement places no obligation to pay
on
the first respondent himself.
[60]
Applicant’s
counsel submitted that paragraph 7.4 informs what is settled in terms
of the agreement. He referred to section
7(8)(a) of the Divorce
Act
[32]
, submitting that the
use of the word “
share
”
shows that it is only the applicant’s share in the pension
interest which was settled. The Divorce Act does not use
the same
terminology. It refers to a “
part
”
of the “
pension
interest
”
which is due or assigned to the party to a divorce which is not a
member of the pension fund. Section 7(8)(a) of the Divorce
Act
provides that the court granting a decree of divorce in respect of a
member of the fund may make an order that any part of
the pension
interest of the member due or assigned to the other party to the
divorce action, shall be paid to the other party by
the fund when the
pension benefits accrue. In my view the use of the words “
share
of the Plaintiff’s pension interest
”
in paragraph 7.4 of the settlement agreement can only refer to the
amount of R360 000.00. A different interpretation
would be
ambiguous.
[61]
In paragraph 7.2 of the agreement, reference is also made to
section
37D(1)(d)(i)
of the
Pension Funds Act 25 of 1956
. This subsection
provides that a registered fund may:
“
(d)
deduct from a member's individual account in the case of a defined
contribution category of a fund or, in any other case, from
a minimum
individual reserve in the fund as determined by the fund rules or as
determined in accordance with the Income Tax Act
and the Tax
Administration Act, 2011 (
Act
28 of 2011
)-
(i)
any portion of the pension interest assigned to a non-member
spouse in the court order”
[62]
In my view the references to section 7(8)(a) of the Divorce Act and
section 37D(1)(d)(I)
of the
Pension Funds Act, and
the reference to
the “
share
” of the pension interest on their own
inform an interpretation that the amount of R360 000.00 would be
payable from
the first respondent’s pension interest.
[63]
This
interpretation is reinforced by the content of paragraph 7.3 of the
agreement which provides that the first respondent would
retain the
remainder of the value of his fund as his sole and exclusive
property. It was argued on behalf of the applicant that,
as the
agreement does not in the same terms refer to a settlement of the
division of the rest of the joint estate, it is excluded
(apparently
on the basis of the
inclusion
unius exclusio alterius maxim
[33]
).
It was submitted that if the settlement agreement was intended to
include a settlement in respect of the immovable property,
one would
have expected that it would also have referred to the immovable
property.
[64]
A further consideration is the fact that the agreement does not refer
at all to the 2006 court order, in terms whereof the joint estate, so
it is argued, still had to be divided. In this regard consideration
should be had to the order of Molopa-Sethosa J, which did not vary
paragraph 3 of the 2006 order. She did not, as was done by Koevertjie
J, vary the 2006 order. The first respondent’s counsel submits
that her order was supplementary to the 2006 order. In my
view this
was the effect thereof.
[65]
The first paragraphs of the settlement agreement (up to paragraph 7.4
thereof) however do not exist in isolation. It must be read in the
context of paragraph 11.1 and 11.2 thereof. If regard is had
to the
words “NOW THEREFORE the parties agree as follows:” after
paragraph 7.4, it would appear that the preceding
paragraphs of the
agreement (from the unnumbered paragraphs before paragraph 7.2 up to
and including paragraph 7.4), serve to both
record what is agreed,
and in effect as a preamble to paragraphs 11.1 and 11.2.
[66]
The use of the words “NOW THEREFORE” after paragraph 7.4
leads to an interpretation that what is contained thereafter, in
paragraphs 11.1 and 11.2, is a consequence of or follows upon what
is
contained in the settlement agreement up to paragraph 7.4 thereof.
The context of clause 11.1 is that at the time of the agreement,
one
of the issues that remained unresolved was the division of the
property. The use of the word “
issues
” (plural)
also informs an interpretation that all disputes between the parties
are settled. It is not necessarily only the
claim for a portion of
the first respondent’s pension interest which is made part of
the settlement, but indeed of other
remaining issues in dispute. It
is also compatible with the first respondent’s contentions that
the settlement included a
settlement in respect of the common
property.
[67]
The second part of paragraph 11.1, which provides that “
save
as provided for herein, no party hereto will have any further claim
and/or claims against any other party in any form whatsoever
”,
is also clear and unambiguous. It must be read with the provision
that the agreement is a settlement “
of the issues between
the parties
”. In context, the parties must surely have
known when signing the agreement what issues still remained to be
resolved. The
words “
any other claim and/or claims in any
form whatsoever
” are wide in meaning, and inclusive. On the
face of it, it is not necessarily limited to a division in respect of
the pension
interest. Although the issues are not specified, the
words of paragraph 11.1 are clear, and leave no room for a contention
that
the agreement only contained a partial settlement. Such an
interpretation would be at variance with the words of the agreement,
and the mentioned principles of interpretation.
[68]
Interpreted as a whole, the fact that the preceding paragraphs only
deal
with the pension interest, does not create an ambiguity. From
the second sentence of the third paragraphs, up to paragraph 7.4,
the
settlement agreement deals with the existence of the pension interest
and that an amount will be paid to the applicant therefrom.
This is
not incompatible with the provision in paragraph 11.1 which can in my
view only be interpreted to mean that, save for payment
of such
amount by the fund, the applicant will have no further claim of
whatsoever nature against the first respondent.
[69]
An important consideration of the context in which the agreement was
signed, is that the applicant was at the time represented by
attorneys. There could have been no doubt in the mind of a legal
representative
that the settlement’s words, on the face of
paragraph 11.1, referred to a full and final settlement of more than
the pension
interest. I also take into account that the parties
subsequently agreed before Molopa-Sethosa J that the settlement be
made an
order of court. Thus, the applicant and her legal
representatives had more than one occasion to consider the contents
of the agreement,
including the import of clause 11, and agreed
thereto.
[70]
As to the purpose of the agreement, it appears from paragraph 11.1
the
agreement was to achieve a full and final settlement, so that the
parties would not have further claims against each other.
[71]
Christie’s
[34]
describe the effect of a compromise as follows:
“…
the
effect of a compromise is the same as res judicata, or a judgment
given by consent. It is an absolute bar to action on the cause
of
action compromised, but not, of course, on any claim not included in
the compromise. What claims were not included is ascertainable
from
the pleadings if the compromise settled an action, and from the terms
of the compromise interpreted in accordance with general
rules of
interpretation in any other case.”
[72]
In
Tololo
v Road Accident Fund
[35]
the Supreme Court of Appeal had to decide whether an agreement of
compromise was binding. The court found that it was binding,
in
circumstances where there was no basis on the pleadings or evidence
found to impugn the settlement agreement, no rectification
was
pleaded, and no evidence could be led to contradict the terms.
[36]
[73]
The
applicant has made no proper application for rectification of the
settlement agreement in respect of clause 11.1 and 11.2.
[37]
In order to succeed with rectification, the applicant
would have had to allege and prove that the settlement agreement
does
not correctly reflect the true common continuing intention of the
parties as it existed when the agreement was concluded,
due to a
mistake in drafting the document, as a result of a bona fide mutual
error or an intentional misleading act.
[38]
The requirements for rectification have not been alleged nor proved.
She did file a notice to amend the notice of motion, to include
an
alternative claim for rectification (in the alternative to a
variation of the agreement), but at the hearing, her counsel
indicated
that she would ask relief based on the original notice of
motion as set out above.
[39]
She also did not, for example, rely thereon that she signed the
agreement due to a unilateral
justus
error
,
caused by a misrepresentation on the part of the first respondent
[40]
nor did she set out sufficient averments to make out a case for a
common mistake or a mutual mistake.
[41]
[74]
The settlement agreement and the 2023 order must therefore be
assessed
and interpreted on the wording thereof, as it stands
[75]
My interpretation of the effect of the settlement agreement, is that
the parties settled all disputes and claims regarding the division of
their common property, including her entitlement to a part
of the
pension interest, for an amount of R360 000.00 and after the
settlement no party would have any claim against the other,
whatever
the form thereof. This finding however does not mean that I find that
the allegations of intention outside of the agreement
regarding the
way in which the amount of R360 000.00 was calculated are
accepted. The admissible evidence regarding this aspect
is not
sufficient.to support a conclusive finding on this. On the face of
the settlement agreement, it deals with the pension interest,
no
division, but it does constitute a full and final settlement.
[76]
In reaching the conclusions regarding the final settlement, I also
had
regard to the broader context within which the settlement
agreement was concluded, including the factual matrix mentioned
above,
and the following evidence and circumstances:
76.1
The parties had already been divorced for about 14 years at the time
of conclusion
of the settlement agreement. It stands to reason that
they would rather have been intent on a final solution.
76.2
At the time of the conclusion of the agreement the disputes regarding
the common
property had not been settled and the applicant’s
interest in the first respondent’s pension fund has not been
paid
to her.
76.3
In the previous application before Molopa-Sethosa J the first
respondent already
took the stance that the amount of R360 000.00
was an amount which settled both the pension interest and division of
the property.
In her answering affidavit in such application (dated
13 March 2023) the applicant denied having knowledge of the
settlement agreement,
and that she had signed it or agreed to the
terms thereof. This prompted the first respondent in his replying
affidavit to such
application, to attach a previous supplementary
affidavit filed by the applicant in her application which served
before Koevertjie
J. It is evident from such affidavit (dated 9 June
2022) that she had averred that she and the first respondent attended
at the
Fund with the settlement agreement in 2021 to seek payment of
the monies due to her, and she also attached the signed agreement
thereto. In the present application she however avers that the
agreement was signed by her. These conflicting statements under
oath
in different applications impact on her credibility in respect of her
denials regarding the agreement.
76.4
The settlement agreement was concluded whilst the parties were
represented.
The applicant was represented by an admitted attorney.
The fist respondent avers that the applicant’s legal
representatives
did not raise any objections and that there is no
evidence that she was misled.
76.5
None of the parties have set forth any indication that the settlement
agreement
was made with reservation of rights.
76.6
When the applicant applied for the order granted by Koevertjie J in
the absence
of the first respondent, the settlement agreement was
already signed (in December 2020). She however did not apply for an
order
in terms thereof, but for an order that she is entitled to 50%
of the pension interest. If she had in her mind that a division
of the joint estate still had to occur, one would have expected her
to request relief in respect thereof, at the same time.
76.7
Cause 11.2 of the settlement agreement contains a non-variation
clause, which
prevents an amendment without mutual consent.
[77]
The
first respondent’s contentions that a full and final settlement
was reached can also be assessed on the basis of the Plascon-Evans
rule
[42]
.
[78]
In
National
Director of Public Prosecutions v Zuma
[43]
the Plascon-Evans rule was explained as follows:
### "[26]
Motion proceedings, unless concerned with interim relief, are all
about the resolution of legal issues based on common
cause facts.
Unless the circumstances are special they cannot be used to resolve
factual issues because they are not designed to
determine
probabilities. It is well-established under thePlascon-Evansrule
that where in motion proceedings disputes of fact arise out on the
affidavits, a final order can be granted only if the
facts averred in
the applicant's affidavit, which have been admitted by the
respondent, together with the facts alleged by the
latter, justify
such order."[44]
"[26]
Motion proceedings, unless concerned with interim relief, are all
about the resolution of legal issues based on common
cause facts.
Unless the circumstances are special they cannot be used to resolve
factual issues because they are not designed to
determine
probabilities. It is well-established under the
Plascon-Evans
rule
that where in motion proceedings disputes of fact arise out on the
affidavits, a final order can be granted only if the
facts averred in
the applicant's affidavit, which have been admitted by the
respondent, together with the facts alleged by the
latter, justify
such order."
[44]
[79]
In
Mamadi
v Premier, Limpopo and Others
[45]
the Constitutional Court held as follows in respect of disputes of
fact and the Plascon-Evans rule:
“
General
principles governing the referral of a matter to oral evidence or
trial remain applicable. Litigants should, as a general
rule
,
apply for a referral to oral evidence or trial, where warranted, as
soon as the affidavits have been exchanged.
[
Where
timeous application is not made, courts are, in general, entitled to
proceed on the basis that the applicant has accepted
that factual
disputes will be resolved by application of Plascon-Evans.
Likewise, where an applicant relies on Plascon-Evans,
but fails
to convince a court that its application can prevail by application
of the
rule
,
a court might justifiably refuse a belated application for referral
to oral evidence.“
[80]
No request was made for a referral for oral evidence. Applying the
Plascon-Evans
rule, the applicant’s version that the settlement
agreement does not include a full and final settlement of all
disputes
between the parties, cannot be sustained.
Patent
error and ambiguity
[81]
The
applicant complains that she has been struggling to persuade the Fund
to pay the pension interest to her. She therefore seeks
an order as
per the first two paragraphs contained in the alternative relief set
out in the notice of motion
[46]
,
that she is entitled to an amount of R360 000.00 of the first
respondent’s pension benefit, and that the GEPF be directed
to
endorse such amount in favour of the applicant, and to pay same to
her within 30 days.
[82]
In
my view the applicant seeks orders in respect of the pension interest
which largely correspond with what has already been included
in the
settlement order.
[47]
[83]
An analysis of the 2023 order and settlement agreement which was made
an order of court on 31 October 2023, reveals that the GEPF is duly
identified, as well as the relevant pension fund number. The
names of
the parties contained therein, and the part of the pension interest
that is to be paid, is also identified therein (the
amount of
R360 000.00).
[84]
Paragraph 7.2 of the settlement order furthermore makes it clear that
the order pertains to payment of a part of the pension interest of
the first respondent as at date of the divorce.
[85]
It
was not necessary for the settlement order to refer to
section 7(7)
and that the pension interest is part of the joint estate
[48]
.
It is deemed to be an integral part of the joint estate upon divorce
which is to be shared between the parties.
[86]
A
court may clarify its judgment, or order, if, on a proper
construction, the meaning thereof remains obscure, ambiguous or
otherwise
uncertain, in order to give effect to its true intention,
but it may not alter the substance of the order or judgment
[49]
.A
court may substitute more accurate or intelligent language so
as to give effect to its true intention, provided it does
not thereby
alter “
the
sense and substance
”
thereof. A court may also supplement an order in respect of accessory
or consensual matters
[50]
and
correct a clerical or arithmetical error in an order so as to give
effect to its true meaning.
[51]
A court can rescind or vary an invalid judgment, if the requirements
of the common law have been met
[52]
.
[87]
In my view the paragraph of the settlement order that should be
varied
is paragraph 7.4 of the settlement agreement, to clarify and
correct a patent error and ambiguity.
[88]
In this regard, the provisions in the third unnumbered paragraph of
the
settlement agreement and paragraphs 7.2 and 7.3 thereof, in my
view clearly contain an intention that the applicant (defendant)
shall be entitled to R360 000.00 of the first respondent’s
pension interest, and that he will retain the remainder of
the value
of his interest in the pension fund.
[89]
Paragraph 7.4 of the settlement agreement provides:
“
7.4
An endorsement shall be made in the records of the Government
Employees Pension Fund that the Defendant’s share of the
Plaintiff’s
pension interest is payable to defendant. The Fund
shall pay to the defendant his share of the interest as referred to
herein within
90 days of being informed of how the amount must be
dealt with in accordance with Defendant’s election.”
[90]
In my view the words “
Defendant’s share of the
Plaintiff’s pension interest
” refer to the amount of
R360 000.00. The words “
The Fund shall pay to the
Defendant his share of the interest
” in the second sentence
of paragraph 7.4 is evidently a patent error, and ambiguous, if
regard is had to the context of the
preceding paragraphs of the
settlement agreement, and the paragraph in which such words occur.
The third unnumbered paragraph (which
contains the reference to the
amount of R360 000.00) in the settlement agreement provides that
the applicant (defendant) shall
be entitled to such amount “
of
the plaintiff’s pension interest
”. Paragraph 7.2
provides that “
the said amount of the Plaintiff’s
pension interest shall be payable to the Defendant
”, with
reference to section 7(8) of the Divorce Act and
section 37D(1)(d)(i)
of the
Pension Funds Act. Paragraph
7.3 provides that the first
respondent will retain the remainder of the value of his funds as his
sole and exclusive property.
In the first sentence of paragraph 7.4
reference is made to an endorsement which shall be made in the
records of the GEPF that
the “the Defendant’s share of
the Plaintiff’s pension interest is payable to defendant”.
In my view this
is meant to be a reference to the amount of R360 000,
if regard is had to the plain wording of the preceding paragraphs.
[91]
The
reference in the second sentence in paragraph 7.4 of the agreement to
“
his
share of the interest
”
is therefore a patent error. It causes an ambiguity, as it is at
variance with the preceding paragraphs. The word “
his
”
should clearly have read “
her
”.
Furthermore, the reference to “
share
of the interest
”
is unclear, and should be clarified, as it does not clearly reflect
the intention, that R360 000.00 of the Plaintiff’s
interest in the GEPF calculated as at the date of divorce is to be
paid to the defendant. The parties have also understood that
payment
would be made accordingly, as is for example evident from the
applicant’s application and the relief claimed therein.
I
intend to exercise my discretion to correct such patent error and
ambiguity
mero
motu
,
and to make an order to vary and clarify paragraph 7.4 of the
settlement agreement accordingly, formulating the order along the
same lines as a recent order of the Bull Bench
[53]
.
[92]
The ambiguity is perhaps a reason why it is contended by the
applicant
that she has struggled to obtain payment from the GEPF and
why the fund may have had difficulties with the interpretation of the
agreement. In my view the order that I propose to make should address
the issue.
[93]
In view of the lack of detail in the application regarding reasons
for
the GEPF’s previous failure to make payment, I will also
order that, in the event that the GEPF should fail to make the
endorsement
or any payment in terms of the order, any party may set
down the application, with such supplemented affidavits as may be
necessary,
for further relief.
Vexatious
litigation
[94]
The
first respondent avers that the applicant’s application is
vexatious in nature, relying on section 2(1)(b) of the Vexatious
Proceedings Act
[54]
He avers
that the applicant should be declared a vexatious litigant to prevent
her from engaging in abusive litigation which he
says is aimed at
harassing him.
[95]
The only application instituted by the applicant prior to the present
application, is the application that served before Koevertjie J.
Thereafter the first respondent lodged the application which resulted
in the order of Molopa-Sethosa J. The applicant then lodged the
present application.
[96]
Whatever
the merit of the applications, I am not satisfied that the first
respondent has established that the proceedings were simply
frivolous, improper, or instituted for the sole purpose of annoying
the first respondent, as he contends, nor that it constitutes
a mala
fide use of the proceedings, for an ulterior motive
[55]
.
In my view, even if she may have misconstrued aspects of her rights
and remedies, her applications were evidently aimed at obtaining
a
court order in terms of which she can enforce payment of amount what
she believes are owing to her.
[97]
The first respondent in any event did not file a proper formal
application
for such relief. I am not satisfied that the first
respondent has demonstrated that the applicant should
be declared a vexatious
litigant. Such relief is
refused.
Costs
[98]
I exercise my discretion to order that each party will pay his/her
own
costs. I do so in view of the fact that two decades have elapsed
since the parties’ divorce, and it is in my view undesirable
to
burden any of the parties with the other’s costs.
ORDER
1.
The first respondent’s application to declare the applicant a
vexatious litigant is dismissed.
2.
The order of Molopa-Sethosa J incorporating a settlement agreement
dated 31 October 2023. is amended to read
as follows:
2.1
“It is recorded that the Plaintiff is a member of the
Government Employees
Pension Fund (GEPF) with identity number
6412185401081, and with membership number 9[…]. It is ordered
that in terms of
section 7(8)(a)
of the
Divorce Act 70 of 1979
,
R360 000.00 of the Plaintiff’s pension interest in the
GEPF as at date of divorce, is assigned to the Defendant.
2.2
An endorsement is to be made in the records of the GEPF that the
amount or R360 000.00
(three hundred and sixty thousand rand) is
payable to the defendant within sixty days of being informed of how
the amount must
be dealt with in accordance with the Defendant’s
election, and the GEPF shall make payment to the defendant
accordingly.”
3.
In the event that the GEPF should fail to comply with paragraph 2.2
of this order, any party will be entitled
to set this application
down for further relief, on the same papers, with such supplementary
affidavits as may be required.
4.
Each party will pay his/her own costs of this application.
STONE
AJ
ACTING
JUDGE OF THE HIGH COURT
Counsel
for the Applicant: Adv
Mkheeva
Counsel
for the First Respondent: Adv
Netravali
[1]
Upon enquiry I was assured that Molopa-Sethosa J only made the order
on 31 October 2023.
[2]
See paragraph [4] supra.
[3]
Referred to in paragraph 2 of the notice of motion. See paragraph 4
supra
.
[4]
The applicant has not sought a rescission of the part of the order
of Molopa-Sethosa- J setting aside the order of Koertge J.
[5]
Gaborone v Gaborone 2025 JDR 0907 (GP) par [10]; Morae v Morae and
another 2023 JDR 2064 (GP) at par [19]-[21].
[6]
2021 (11) BCLR 1263
(CC) at para 97-98.
[7]
Eke v Parsons
2016 (3) SA 37
(CC).paras [8] – [14] & [24]
– [25].
[8]
Gaborone v Gaborone 2025 JDR 0907 (GP) par [10]; Morae v Morae and
another 2023 JDR 2064 (GP) at par [19]-[21].
[9]
Firestone South Africa (Pty) Ltd v Gentrack AG
1977 (4) SA 298
(A)
at 307 C – G; Thompson v South African Broadcasting
Corporation
2001 93) SA 746
(SCA) at par [5].
[10]
First National Bank of South Africa Ltd v Jurgens and other
1993 (1)
SA 245
(W) at 246 F; Mostert NO v Old Mutual Life Assurance Co
SA Ltd
2002 (1) SA 82
SCA at 86C-D
[11]
S v Sereni and other 2023 JDR 4041 (NWM); (HC 05/2023)
[2023] ZANWHC
193
(25 October 2023).
[12]
See the discussion in Christie’s, The Law of Contract in South
Africa, 8
th
Edition p 346 -347.
[13]
Nihongo Property Investments (Pty) Ltd v Groenewald and Others
2022
(2) SA 543
(WCC) at [25] –
[27].
[14]
Id.
[15]
LH
V NH 2020 JDR 2711 (GP) par [30];
[16]
JN
v NN 2022 JDR 1357 (ECMA).
[17]
Fritz v Feudatory Umbrella Pension Fund and Others 2013 94) SA 492
(ECP)
[18]
Second Edition, Volume 2 at p42-25/26.
[19]
2012 (4) SA 59
(SCA) at 603F-610C.
[20]
Id
par [18].
[21]
Also: MAS Stores (Pty) Ltd v Marray & Roberts Construction (Pty)
Ltd and Another
[2008] ZASCA 94
;
2008 (6) SA 654
(SCA) para 7; Ekurhuleni
Metropolitan Municipality v Germiston Municipal Retirement Funs
2010
(2) SA 498
(SCA) paras 12-14; Bothma-Batho Transport v S Bothma &
Seun Transport (Edms) Bpk
2014 (2) SA 494
(SCA) paras [10] –
[12]; Better bridge (Py) Ltd v Masilo and others NNO 2015 (GNP) par
[8], where Unterhalter J referred
to the approach as “
a
unitary endeavour requiring the
considerations
of text, context and purpose
”.
[22]
Indumeni,
supra
n19
paras [24] and [25].
[23]
See also Batho Transport (supra) n21 par [12].
[24]
Christie’s The Law of Contract in South Africa, 8
th
Edition, p 260; Natal Joint Municipal Pension Fund
supra
,
at par [18].
[25]
Id
p 257.
[26]
2021 (6) SA 1
(CC) paras [68], [89] [90],
[27]
See
also KPMG Chartered Accountants (SA) v Secure fin Ltd and Another
2009 (4) SA399 SCA par [30].
[28]
Supra n 28
[29]
Par [89] – [93].
[30]
Logistic Inc and Others v Van der Merwe
2010 (3) SA 105
(WCC) par
[11].
[31]
See paragraph [14]
supra.
[32]
Act 70 of 1979.
[33]
See Christie’s supra, at p 277.
[34]
Supra
p 557
[35]
2025 JDR 1212 (SCA) at [16] – [17]
[36]
See also Gollach and Gomperts (1967) (Pty) Ltd v Universal Mills &
Produce (Pty) Ltd
1978 (1) SA 914
(A0 at 922H.
[37]
Van Aardt v Galway
2012 (2) SA 312
(SCA) at par [9].
[38]
See for example: Kathern Investments (Pty) Ltd v Woolworths (Pty)
Ltd
1970 (2) SA 498
(A) at 503
E-G; Milner Street
Properties (Pty) Ltd v Eckstein Properties (Pty) Ltd
2001 (4) SA
1315
(SCA) para
[39]
As set out in paragraph 4
supra
[40]
For example: Prins v ABSA Bank Ltd
1998 (3) SA 904
(C); Spindrifter
(Pty) Ltd v Lester Donovan (Pty) Ltd
1986 (1) SA 303
(A) at 316-317;
Snap Petroleum v Papagiannis
[1992] ZASCA 56
;
1992 (3) SA 234
(A) at 239I -240.
[41]
Krapohl v Orange Cooperative BPK
[1990] ZASCA 53
;
1990 (3) SA 848
(A) at 865; Diamond
v Kernick 1947 (3) SA
[42]
Plascon-Evans v Van Riebeeck Paints
[1984] ZASCA 51
;
1984 (3) SA 623
A at 634F-G
[43]
[2009] ZASCA 1
;
2009 (2) SA 277(SCA)
par [26].
[44]
See also Room Hire Co (Pty) Ltd v Jeppe Street Mansions (Pty)
Ltd 1949(3) SA 1155 (T) at 1162. Gounder v Top Spec Investments
(Pty) Ltd
[2008] ZASCA 52
;
2008 (5) SA 151
(SCA) par 10.
[45]
2024 (1) SA 1 (CC)
[46]
Supra
,
par [4].
[47]
WR v PR 2011 jar 0327 (GNP) at par [12]; AVW v SVW and Others
(3118/2021) [2022] ZAWCHC
[48]
MP
v FN 2024 JDR 3781 (GP) par [15].
[49]
Firestone South Africa (Pty) Ltd v Gentrack AG
1977 (4) SA 298
(A)
at 307 C – G; Thompson v South African Broadcasting
Corporation
2001 93) SA 746
(SCA) at par [5].
[50]
Id
.
[51]
Id
at 307 D
[52]
Van Dyk and Another v Rhodes 2025(3) SA313 (GJ)
[53]
MP
v FN 2024 jdr 3781 (GP) nat par 29.
[54]
3 of 1956
[55]
Fisheries Development Corporation of SA Ltd v Jorgensen &
Another; Fisheries Corporation of SA Ltd v AW Investments (Pty)
Ltd
& Others
1979 (3) SA 1331
(W) at 1339E – F
sino noindex
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