Case Law[2025] ZAGPPHC 1123South Africa
Minister of Public Works and Infrastructure v Naidu Consulting (Pty) Ltd and Another (124865/2023) [2025] ZAGPPHC 1123 (21 October 2025)
High Court of South Africa (Gauteng Division, Pretoria)
4 March 2024
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Minister of Public Works and Infrastructure v Naidu Consulting (Pty) Ltd and Another (124865/2023) [2025] ZAGPPHC 1123 (21 October 2025)
Minister of Public Works and Infrastructure v Naidu Consulting (Pty) Ltd and Another (124865/2023) [2025] ZAGPPHC 1123 (21 October 2025)
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sino date 21 October 2025
IN THE HIGH COURT OF SOUTH AFRICA
GAUTENG DIVISION, PRETORIA
CASE NO:
124865/2023
(1)
REPORTABLE:
YES
/NO
(2)
OF INTEREST TO OTHER JUDGES:
YES
/NO
(3)
REVISED.
DATE 21/10/2025
SIGNATURE
In
the rescission application of:
THE
MINISTER OF PUBLIC WORKS AND INFRASTRUCTURE
Applicant
and
NAIDU
CONSULTING (PTY) LTD
First Respondent
AFROTEAM
CONSULTANTS (PTY) LTD
Second Respondent
In
re:
NAIDU
CONSULTING (PTY)
LTD
Applicant
and
THE
MINISTER OF PUBLIC WORKS AND INFRASTRUCTURE
First Respondent
AFROTEAM
CONTANTS (PTY) LTD
Second Respondent
JUDGMENT
LABUSCHAGNE
J
[1]
This application deals with the interplay between rescission of
judgment
on the one hand and pursuit of an appeal against the
judgment on the other hand.
[2]
The first respondent in the application for rescission (Naidu
Consulting)
launched review proceedings as applicant on 28 November
2023 and the review application was heard by Mali, J on 23 October
2024
in the absence of appearance by the Minister, on which day an
order was granted in favour of Naidu Consulting in the review
application.
[3]
On 29 October 2024 the Minister of Public Works delivered an
application
for leave to appeal.
[4]
On 01 November 2024 the Minister also delivered an application for
rescission of the judgment of Mali, J
[5]
On 13 March 2025 Mali, J gave written reasons for the order granted
on 23 October 2024. Having heard the application for leave to
appeal, Mali J granted leave to appeal to the Full Court on
04 June
2025.
[6]
The Minister contends that the right to rescind the judgment and to
pursue
an appeal can co-exist. The question is whether this
proposition is correct. Further, the issue is whether the
Minister
has made out a case for rescission of judgment based on Rule
42 of the Common Law.
THE JUDGMENT OF MALI, J
[7]
Mali, J heard the review application on 23 October 2024 in the
Opposed
Motion Court. The Minister had filed an answering
affidavit, but the second respondent did not.
[8]
There was no appearance for the Minister on 23 October 2024.
[9]
The review application related to a decision of the Minister to
exclude the
bid of Naidu Consulting in respect of Tender HP22/002/GS
for the provision of technical support in the infrastructure sector
for
a period of 36 months.
[10]
On 25 October 2022 Naidu Consulting submitted a bid for the tender.
On 08 August
2023 the Minister posted the award for the tender, with
the result that the tender had been awarded to the second respondent
for
the sum of R20 899 824.00 (inclusive of VAT).
[11]
On 21 August 2023 Naidu Consulting lodged a notice of appeal and
requested
a copy of the bid adjudication report providing reasons for
its unsuccessful bid. Naidu Consulting’s tender offer was
for an amount of R4 253 225.14.
[12]
On 12 October 2023 Naidu Consulting was provided with the bid
evaluation report
from which the rejection of its bid was apparent.
It proceeded with an internal appeal on 20 October 2023.
However,
on 26 October 2023 the Minister notified Naidu Consulting
that it did not have an internal appeal process and that the
applicant
was required to bring a review in terms of PAJA.
[13]
The applicant requested a Rule 53 record to prepare for the judicial
review, and
the record was delivered on 04 March 2024.
[14]
The applicant and other bidders were invited to complete a pricing
schedule,
being
Annexure E
to the bid.
Annexure E
gave a choice to insert prices or not to insert prices at all.
Naidu Consulting used the word “
included”
to
indicate that other expenses were built in into its final tender
price. The Minister however regarded Naidu Consulting’s
bid as non-responsive, because it did not specifically set out the
rate required for care hire, flight rates and other monthly
costs
such as making copies, accommodation, office and administrative
expenses.
[15]
Mali, J then embarked on an interpretation exercise of the word
“included”
and found that the Minister’s decision
was reviewable. The applicant had applied a zero-based approach
for travel and
accommodation as it intended utilising a digital
approach to the implementation of the tender. The decision of
the Minister
was consequently found to be irrational and subject to
review. The Court then determined a just and equitable remedy
and
ordered substitution.
[16]
The Court found that, at the time of the order that it granted, the
36 months tender
period was substantially still in the future as only
6 months had expired. The Court found that to have referred the
decision
back to the Minister would be inappropriate and would not
have been in the interests of justice.
[17]
It is apparent that Mali, J had engaged the merits of the conflicting
contentions
in the Court proceedings before her and assessed the
substantive issues as part of the judgment.
ANALYSIS
[18]
In
Zuma v Secretary of the Judicial Commission of Inquiry into
Allegations of State Capture
[2021] ZACC the Constitutional Court
in the majority judgment stated the following at paragraph [68]:
“
Whether we consider this
application in terms of rule 42 or in terms of the common law, to
which I will turn my focus next, the
insuperable problem that Mr Zuma
is confronted with is that the law of rescission is clear: one
cannot seek to invoke the
process of rescission to obtain a rehearing
on the merits. The reason for that is that, as stated by this
Court in Daniel:
‘the general principle is that once a
court has duly pronounced a final order, it becomes functus officio
and has no power
to alter the order’. Of course, rule 42
creates an exception to the doctrine of functus officio, but only in
narrow
circumstances. As stated in Chetty –
‘
a distinction is drawn
between the rescission of default judgments, which had been granted
without going into the merits of the
dispute between the parties, and
the rescission of final and definitive judgments, whether by default
or not, after evidence had
been adduced on the merits of the
dispute. In the case of a default judgment granted without
going into the merits of the
dispute between the parties, the Court
enjoyed the relatively wide powers of rescission … In
the case of final and
definitive judgment, whether by default or not,
granted after evidence had been adduced, the Court was regarded as
functus officio.’
In the contempt judgment, this
Court traversed the merits of the submissions Mr Zuma is now making
in this rescission application.
Our discretion, at this stage,
is unwaveringly narrow. Accordingly, this Court is
unequivocally and irrevocably, functus
officio.”
[19]
The Constitutional Court expressly endorsed the principle that
emanated from
De Wet and Others v Western Bank Limited
1972
(2) SA 1031
(A) regarding default judgments where the Court has made
a finding on the evidence presented. The following is stated at
1041B:
“
The Courts of Holland, as I
have mentioned, appear to have had a relatively wide discretion in
regard to the rescission of default
judgments, and a distinction
seems to have been drawn between the rescission of default judgments,
which had been granted without
going into the merits of the dispute
between the parties, and the rescission of final and definitive
judgments, whether by default
or not, after evidence had been adduced
on the merits of the dispute. (Cf
Athanassiou v
Schultz
1956(4) SA 357 (W) at 360 G and
Verkouteren
v Savage
1918 AD 143
at 144). In the former instance
the Court enjoyed relatively wide powers of rescission, whereas in
the latter event the Court
was, generally speaking, regarded as being
functus officio, and judgments could only be set aside on the limited
grounds mentioned
in the
Childerley
case.”
[20]
In light thereof that Mali, J had made a considered judgment on the
evidence
presented before her, the only avenue available to the
Minister for challenging the judgment could be by means of an
appeal.
This, the Minister did, and he obtained leave to the
Full Court.
[21]
There is another reason why the rescission application is not
competent.
[22]
Once leave to appeal had been granted to the Full Court, only the
Full Court
has the power to “
confirm, amend or set aside the
decision which is the subject of the appeal”
(section 19(d)
of the Superior Courts Act, 10 of 2023).
[23]
While it is so that the setting aside of the decision in terms of
section 19(d)
relates to the exercise of the Court of its Appellate
jurisdiction, this nevertheless is an indication that the rescission
which
the Minister now seeks in this Court relates to a decision
which is subject to a Full Court Appeal. The Minister’s
section 34 rights in these circumstances require the decision to be
heard before the Court of Appeal, being the Court of competent
jurisdiction envisaged by section 34 of the Constitution.
[24]
A challenge to the judgment cannot be entertained before a single
judge
while the decision is subject to an appeal before the Full
Court. Where it not so, then a single judge would be
capable
of determining the results of an appeal in which three judges
would preside. This would offend against fundamental
principles within the hierarchy of the Court structures.
[25]
In light thereof that Mali, J had given a judgment after considering
the evidence
before her, this is not a case in which the Minister had
a choice whether to apply for rescission or to appeal the judgment.
A rescission was not competent due to the nature of the decision in
question.
[26]
It does not therefore become necessary to decide whether an election
to pursue an
application for leave to appeal constitutes a waiver of
a right to rescind or not. On the facts of this matter, there
is
no right to rescind before a single judge and only the
appeal before the Full Court can be pursued.
[27]
In the premises I make the following order:
1.
The application for rescission is dismissed with costs, such costs to
inclide
the costs of senior counsel on Scale C.
LABUSCHAGNE
J
JUDGE
OF THE HIGH COURT
APPEARANCES
COUNSEL FOR
APPLICANT :
ADV MANALLA
ATTORNEYS FOR
APPLICANT
:
COX YEATS
ATTORNEYS
COUNSEL FOR
RESPONDENT
:
APJ ELs
ATTORNEYS FOR
RESPONDENT
:
STATE ATTORNEY
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