Case Law[2023] ZAGPPHC 592South Africa
Hen-Boisen v Christensen N.O and Others (23644/2016) [2023] ZAGPPHC 592 (10 April 2023)
High Court of South Africa (Gauteng Division, Pretoria)
10 April 2023
Headnotes
as follows at 897A - B: “ ….In my view the word ‘erroneously’ covers a matter such as the present one, where the allegation is that for want of an averment there is no cause of action, i.e nothing to sustain a judgment, and that the order was without legal foundation and as such was erroneously granted for the purpose of Rule 42(1)(a).” [Also see: Silver Falcon Trading v Nedbank 2012 (3) SA 371 KZP] [25] In the result, the application should succeed. [26] The question, however, remains whether the application was brought within a reasonable time. If not, the application must be dismissed.
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Hen-Boisen v Christensen N.O and Others (23644/2016) [2023] ZAGPPHC 592 (10 April 2023)
Hen-Boisen v Christensen N.O and Others (23644/2016) [2023] ZAGPPHC 592 (10 April 2023)
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sino date 10 April 2023
SAFLII
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Certain
personal/private details of parties or witnesses have been
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IN THE HIGH COURT OF
SOUTH AFRICA
(GAUTENG DIVISION,
PRETORIA)
REPUBLIC OF SOUTH
AFRICA
Case Number:
23644/2016
(1) REPORTABLE: NO
(2) OF INTEREST TO OTHER
JUDGES: NO
(3) REVISED:/NO
DATE: 10 APRIL 2023
SIGNATURE:
JANSE VAN NIEUWENHUIZEN J
In
the matter between:
## VERNONHEN-BOISENApplicant
VERNON
HEN-BOISEN
Applicant
and
## SEANCHRISTENSENN.O.1stRespondent
SEAN
CHRISTENSEN
N.O.
1
st
Respondent
(In his capacity as duly
appointed
Liquidator for Alkmaar
Beleggings (Pty) Ltd
## BURGERBRUGBELEGGINGS(Pty)Ltd2ndRespondent
BURGERBRUG
BELEGGINGS
(Pty)
Ltd
2
nd
Respondent
THE SHERIFF OF THE
COURT PRETORIA EAST
3
rd
Respondent
IN RE:
## Alkmaar Beleggings (Pty)
Ltd
Plaintiff
Alkmaar Beleggings (Pty)
Ltd
Plaintiff
And
VERNON
HEN-BOISEN
1
st
Defendant
WINSOME ELIZABETH
COETZER
2
nd
Defendant
# JUDGMENT
JUDGMENT
JANSE VAN
NIEUWENHUIZEN J:
[1]
This is an application for the rescission
of a default judgment granted on 1 March 2021 and certain ancillary
relief.
[2]
The first respondent (plaintiff in the
action) issued summons against the applicant (first defendant in the
action) and Winsome
Elizabeth Coetzer (“Coetzer” –
second defendant in the action) for payment of arrear rental and for
an eviction
order.
[3]
The action is based on a written lease
agreement entered into between the first respondent and Almenta 159
(Pty) Ltd t/a Harvey
Junior Education on 1 August 2011. The lease
agreement was in respect of an industrial premises situated at 1[...]
B[...] Street,
Koedoespoort, Pretoria (“leased premises”).
The first respondent’s claim against the applicant and Coetzer
is
based on a suretyship agreement.
[4]
The summons was served at the leased
premises, being the
domicilium citandi
et executandi
of the applicant, by
affixing to the principal door. The applicant did not enter
appearance to defend and the first respondent brought
an application
for default judgment in 2016.
[5]
Due to a series of administrative errors,
default judgment was only granted on 1 March 2021.
[6]
On 4 March 2021 the first respondent’s
attorney obtained a warrant of execution against the movable property
of the applicant
and Coetzer. On 26 March 2021 the sheriff attended
at the applicant’s residential property situated at 6[...]
R[...] Street,
Faerie Glen, Pretoria (“the immovable property”)
and presented the warrant to the applicant. The sheriff stated in the
return of service that no money or disposable assets could be found
or were pointed out by the applicant. The return was one of
nulla
bona
.
[7]
Armed with the
nulla
bona
return, the first respondent
brought an application in terms of rule 46A of the uniform rules of
court. In the application the first
respondent requested for an order
substituting the second respondent with the first respondent as
plaintiff / execution creditor.
[8]
An order declaring the immovable property
executable and authorising the sale of the property was granted on 2
December 2021 in
favour of the second respondent.
[9]
On 23 February 2022 the sheriff served a
notice of sale in execution of the applicant’s immovable
property on the applicant.
The sale was scheduled for the 30
th
of March 2022.
[10]
This prompted the applicant to issue this
application on or about 25 February 2022. In opposing the
application, the second respondent
raised several points
in
limine
.
Points
in limine
## First and second points
in limine: Application out of time
First and second points
in limine: Application out of time
[11]
The second respondent contends that the
application, whether brought in terms of rule 42(1), rule 31(5) or
the common law is out
of time.
[12]
The application was brought almost one year
after the order for default judgment was granted without any
explanation for the unreasonable
time delay and should for this
reason alone, according to the second respondent, be dismissed with
costs.
[13]
I will deal with this point in more detail
when considering the merits of the application.
## Third pointin limine:
Misjoinder of the first respondent
Third point
in limine
:
Misjoinder of the first respondent
[14]
This point relates to the substitution of
the second respondent with the first respondent in terms of the court
order 2 December
2021. According to the second respondent and since
the substitution order, the first respondent has no direct or
substantial interest
in the matter nor any legal interest which may
prejudicially affected by the court order.
[15]
The second respondent prays that the
application be dismissed on the point of misjoinder.
[16]
The second respondent is not a party to the
lis
between
the applicant and the first respondent. The alleged
mis-joinder of the first respondent,
therefore, has no bearing on the merits of the application as between
the applicant and the
second respondent.
[17]
The application was served on the first
respondent. The first respondent has elected not to oppose the
application and consequently
did not raise the point
of
misjoinder. It was
for
the first respondent to raise
the
point
if it was
of the view that it should not have been
joined in the application.
[18]
In the premises, this point has no merit.
## Merits
Merits
[19]
The applicant denies that he entered into a
Deed of Suretyship with the first respondent. In amplification of
this denial, the applicant
refers to clause 9 of the lease agreement
that reads as follows:
“
9.
SURETYSHIP
9.1
The Lease in its entirety is subject
to the condition precedent that the person named in item 13 of the
Schedule, if any, bind themselves
to the Lessor as sureties and
co-principal debtors for the Lessee in terms of a
Deed
of Suretyship
approved by the
Lessor.
9.2
Should the condition precedent set
out in 9.1 if applicable, not be fulfilled within sixty days of the
date of signature hereof,
the Lessor shall be entitled in its
discretion either to declare his lease unconditional and to waive
compliance with the said
condition or alternatively in addition and
without prejudice to all other rights available to the Lessor in Law
treat such failure
as a breach of this lease, and it’s being
recorded that the said condition precedent is interested
(sic)
as a condition in favour of the Lessor.”
(own emphasis”)
[20]
In the particulars of claim the first
respondent pleaded the conclusion of the written lease agreement, the
terms of the agreement
and the fact that the agreement was breached.
In respect of the Deed of Suretyship referred to in clause 9.1, the
first respondent
pleaded as follows:
“
5.9
The
Defendants
bound
themselves
to
the
Plaintiff
as
surety
and
co- principal for fulfilment in
terms of the lease agreement.”
[21]
The date on which and place where the Deed
of Suretyship was entered into, are not averred nor is the alleged
Deed of Suretyship
attached to the particulars of claim. During
submissions made by Ms Raymond, counsel for the second respondent, it
emerged that
no written Deed of Suretyship exists. Ms Raymond
endeavoured to convince the court that the lease agreement contained
the written
suretyship agreement. A mere reading of clause 9 points
to the fallacy of the submission. Almeda and the first respondent
being
the parties to the lease agreement clearly agreed that a Deed
of Suretyship must be entered into and failure to do so had distinct
consequences.
[22]
If the parties agreed that the lease
agreement will also serve as a Deed of Suretyship, such agreement
would have been contained
in the lease agreement. To the contrary,
clause 9 envisages the exact opposite.
[23]
In the result, there was no causa of action
based on a Deed of Suretyship when the order was granted by the
Registrar.
[24]
In
Marais v
Standard Credit Corporation Ltd
2002
(4) SA 892
WLD, the court held as follows at 897A - B:
“ …
.In
my view the word ‘erroneously’ covers a matter such as
the present one, where the allegation is that for want of
an averment
there is no cause of action, i.e nothing to sustain a judgment, and
that the order was without legal foundation and
as such was
erroneously granted for the purpose of Rule 42(1)(a).”
[Also see:
Silver
Falcon Trading v Nedbank
2012 (3) SA
371
KZP]
[25]
In the result, the application should
succeed.
[26]
The question, however, remains whether the
application was brought within a reasonable time. If not, the
application must be dismissed.
## Unreasonable delay
Unreasonable delay
[27]
The applicant confirmed that the default
judgment came to his attention on 4 March 2021 and proceeded to set
out a chronology of
all the investigations his attorney had to do,
mostly due to the administrative bungling referred to
supra.
No time frames are mentioned and in
paragraph 5.11 the applicant merely states the following:
“
I
further confirm that there has been no undue time delay in
approaching this Honourable Court for the appropriate relief since
the relevant facts came to my attention and I and my legal team have
done our utmost best to obtain the relevant documents of events
that
occurred some 7 years ago, which attempts have only been partially
successful as I have managed to only obtain fragments of
the case
record that necessitated the launching of this application.”
[28]
It is apposite to note that rule 42 does
not contain a time limit. It has, however, been
held in
various
authorities that it is in
the interest of justice that relative
certainty and finality dictates that an
application in terms of rule 42 should be brought within a
reasonable.
[29]
In
First
National Bank of SA ltd v Van Rensburg NO and others
1994
(1) SA 677
T, the applicant in the application in terms of rule 42
was the plaintiff in the action. The order granted by the court did
not
state that the order against the defendants was granted jointly
and severally. The plaintiff sought to rectify the order by bringing
the rule 42 application three years after it was granted. In dealing
with the delay, the court held as follows at 681 G:
“
The
power created by Rule 42(1) is discretionary (…) and it would
be a proper exercise of that discretion to say that, even,
if the
appellant* proved that Rule 42(1) applied, it should not be heard to
complain after the lapse of a reasonable time. A reasonable
time in
this case is substantially less than the three years referred to.”
[*The judgment was delivered in a full
bench appeal]
[30]
In
Nkata v
Firstrand Bank
2014 (2) SA 412
WCC, the
court considered an application that was brought two and a half years
after default judgment was granted. In considering
whether it should
exercise its discretion in granting the rescission application, the
court held as follows at para [28] and [29]:
[28]
Nkata
has
not
in
the
present
case
satisfactorily
explained
the lengthy delay in seeking
rescission. The absence of a satisfactory explanation appears
sufficiently, I think, from my summary
of the facts. Even when she
learnt in March 2013 of the sale in execution scheduled for 24 April
2013, she took until 13 May 2013
to launch the present application.
By then the property had been sold in execution to Kraaifontein
Properties and the latter had
on-sold the property to a third party.
Clearly there will be prejudice to third parties if the default
judgment were to be rescinded.
[29]
I thus consider that Nkata's prayer
for condonation of her non- compliance with the 20-day limit in rule
31(2)(b) should be refused
and that
in
the exercise
of
the court's discretion
I
should
decline
to entertain the
application in terms of
rule 42(1) or under the
common law.”
[31]
In
Ellis v
Eden
2023 (1) SA 544
WCC, the court
considered a delay of almost a year and held as follows at para:
“
[64]
Rule 42(1)(a) does not impose a
requirement of 'good cause'.
This
does not mean that considerations of a kind which feature in a 'good
cause' inquiry may not also come to the fore in an assessment
as to
whether to grant or withhold a discretionary remedy. If rescission in
terms of rule 42(1)(a) is sought promptly after the
default judgment
comes to the defendant's attention, the merits would, in my view,
play little if any role in the exercise of the
court's discretion,
and there may in truth be no basis on which a court could properly
refuse rescission. Cases where rescission
was thought to follow
almost as a matter of course can probably be explained on the basis
that in those cases the rescission applications
were brought
promptly, so that the court's reasoning was not directed to the
question of delay.
The
longer and more unreasonable the delay, however, the more the merits
in the main case might enter the picture.”
(own
emphasis)
[32]
In exercising my discretion, I take into
account that the applicant is currently 72 years of age. The
immovable property that will
be sold in execution should the judgment
stand is the applicant and his wife’s primary residence.
[33]
Coupled with the aforesaid, the fact that a
written Deed of Surety was never signed by the applicant, would
entail that the applicant
stands to lose his primary residence due to
a judgment that was granted on a non-existing cause of action.
[34]
I am alive to the fact that the period of
almost one year is long. One should, however, bear in mind that it
took the second respondent
almost seven years to obtain default
judgment. Furthermore, the immovable property in question has not
been sold in execution and
a third party will not be prejudiced
should rescission be granted.
[35]
In the result and notwithstanding the
delay, I am prepared to grant the application.
## Costs
Costs
[36]
In view of the delay in the launching of
the application, I am of the view that the second respondent was
fully within its rights
to oppose the application.
[37]
I am therefore not prepared to award costs
against the second respondent.
# ORDER
ORDER
In
the result, I make the following order:
1.
The default judgment granted on 1 March
2021 is rescinded and set aside.
2.
The writ of execution issued by the
Registrar on 4 March 2021 is set aside.
3.
The writ of execution issued by the
Registrar on 6 December 2021 is set aside.
N. JANSE VAN
NIEUWENHUIZEN
JUDGE OF THE HIGH
COURT OF SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
# DATE HEARD:
DATE HEARD:
21 February 2023
# DATE DELIVERED:
DATE DELIVERED:
11 April 2023
# APPEARANCES
APPEARANCES
For
the Applicants:
Advocate
L Pretorius
Instructed
by:
Phosa
Loots Inc
For
the 2
nd
Respondent:
Advocate
AM Raymond
Instructed
by:
Johan
Nysschens Attorneys
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