Case Law[2023] ZAGPPHC 664South Africa
Mawire N.O and Another v Somo (53064/2019) [2023] ZAGPPHC 664 (7 August 2023)
Judgment
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## Mawire N.O and Another v Somo (53064/2019) [2023] ZAGPPHC 664 (7 August 2023)
Mawire N.O and Another v Somo (53064/2019) [2023] ZAGPPHC 664 (7 August 2023)
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sino date 7 August 2023
REPUBLIC OF SOUTH AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
CASE
NO:
53064/2019
(1) REPORTABLE: NO
(2) OF INTEREST TO
OTHER JUDGES: NO
(3) REVISED: NO
DATE: 7 AUGUST 2023
In
the matter between:
PHILEMON
TATENDA MAWIRE N.O.
First Applicant
ADRIAAN
WILLEM VAN ROOYEN N.O.
Second Applicant
And
SEBUSHI
PATRICK SOMO
Respondent
JUDGMENT
# DE VOS AJ
DE VOS AJ
Introduction
[1]
The applicants request relief in terms of Rule 30 of the Uniform
Rules of Court. They complain
that Mr Somo has taken certain
irregular steps. The first is an amended notice of motion not
preceded by a notice of intention
to amend. The second is a
supplementary founding affidavit filed without seeking leave to file
a supplementary affidavit. The applicants
contend that these two
pleadings were filed without complying with the Rules of Court. Aside
from the non-compliance with the Rules,
the applicants add another
argument: they complain that the amended notice of motion falls
outside the scope of the Directive issued
by the Court (dated 21
February 2023). The Directive authorised filing an amended notice of
motion to consolidate certain interlocutory
matters. The applicants
complain that Mr Somo’s amended notice of motion introduced
relief beyond the scope of the Directive.
[2]
Mr Somo accepts that he did not file a notice of intention to amend,
nor did he seek leave
to file the supplementary founding affidavit.
Mr Somo contends these steps were unnecessary as the Directive
authorised him to
file the amended notice of motion. Mr Somo’s
reasoning continues: as the Directive authorised filing a further
affidavit,
Rule 6 demands that an application be launched on notice
accompanied with an affidavit. As the Directive authorised filing an
amended
notice of motion, Rule 6 demanded that an affidavit accompany
the amended notice of motion.
[3]
The central issue is whether the Directive authorised Mr Somo to file
the amended notice
of motion.
The
current litigation
[4]
The genesis
of the litigation is the liquidation of Sebushi Somo Construction &
Projects (Pty) Ltd. Mr Patrick Somo was the
sole director of Sebushi
Somo until the Court placed it in liquidation in February 2020. The
Master appointed
[1]
Messrs
Philemon Tatenda Mawire N.O. and Adriaan Willem van Rooyen N.O. as
liquidators ("the liquidators/applicants").
[5]
Mr Somo
sought to appeal the liquidation order on three occasions. All three
attempts were unsuccessful.
[2]
Mr Somo, undeterred, has continued his litigation in the form of an
application to set aside the liquidation order in terms
of section
354 of the Companies Act, 61 of 1973 (case number 53064/2019). During
the setting aside proceedings, the liquidators
filed an answering
affidavit setting out the details of a forensic investigation into
the affairs of Sebushi Somo. The liquidators
contend that the
findings are severe –
"Documentary proof
is produced of Mr Somo, after the final liquidation order, continued
to trade Sebushi Somo as though no
liquidation order was granted and
no concursus creditorem came into existence. Mr Somo continued to
present himself to previous
clients as the managing director of
Sebushi Somo, failed to disclose to any of the contracting parties in
construction tenders
and agreements (including the Development Bank
of South Africa) that Sebushi Somo was in final liquidation.....
... the ambit of the
claims by creditors against Sebushi Somo exceeded the amount of R 50
million... "
[3]
[6]
The setting
aside proceedings has given rise to a set of interlocutory
proceedings. The interlocutory proceedings consist of challenges
launched in terms of Rule 7, Rule 30 and Rule 35(12). The liquidators
have responded to the interlocutories with a counter-claim.
[4]
These interlocutories are, as their name suggests, brought ancillary
to the main setting aside proceedings.
[7]
Parallel to
the setting aside proceedings and its interlocutories, the
liquidators have sought an extension of their powers in terms
of
section 386 and to convene a commission of inquiry into the trade
dealings of Sebushi Somo in terms of 417 of the Companies
Act (under
case number of 13349/2022). These proceedings were commenced on an ex
parte basis by the liquidators. Mr Somo has subsequently
sought leave
to intervene in these proceedings.
[5]
I will refer to these as the ex parte proceedings.
[8]
There are thus two sets of proceedings, the first being the main
setting aside proceedings
(with its interlocutories) and the second
being the ex parte proceedings. I spent some time demarcating the
different proceedings
as the parties disagreed about which
proceedings were covered in the Directive of this Court. I now
consider the events that led
to the Court issuing the Directive.
The
Directive
[9]
On 11 November 2022, the liquidators requested assistance from the
Court in moving the setting
aside proceedings along. Mr Somo had not
filed a replying affidavit in the setting aside proceedings and had
failed to take steps
to move the interlocutories forward. All these
outstanding steps relate to the setting aside application (under case
number 53064/2019)
and its interlocutories. The liquidators requested
the Deputy Judge President for an allocation in the Special Motion
Court and
to set timeframes to compel Mr Somo to file the outstanding
affidavits and submissions.
[10]
The request deals solely with the setting aside application and its
interlocutories. The limited scope of
the letter requesting
assistance is apparent from its heading, which provides:
"Application for an
allocation in the third court of several matters under case number
53064/2019".
[11]
The content of the letter also expressly and exclusively deals with
the setting aside application –
"Deputy Judge
President to set these matters down in the third court as a set of
related applications under one case number
which require an urgent
hearing in the public interest."
[12]
The contents confirm the header as the applicants explain that they
anticipate the matter, under case number
53064/2019, will take longer
than one day and therefore request an allocation in the Third Motion
Court.
[13]
The express
request in the letter is for the interlocutories to be dealt with
together with the main proceedings and that practically
from this, it
follows “that case management in these matters all under one
case number, is necessary".
[6]
[14]
Aside from these three express statements, the request does not
mention any other relief being sought. The
request for a meeting with
the Deputy Judge President is, expressly and unambiguously, limited
in scope to the setting aside proceedings
and its interlocutories.
[15]
The request resulted in a meeting on 9 February 2023. The liquidators
prepared an agenda for the meeting.
The agenda dealt solely with the
setting aside proceedings and its interlocutory applications. The
agenda is evident as it limits
the ambit of matters it relates to –
"Ambit of the
various matters pending under case number 53064/2019: the main
application and interlocutory applications and
counter-application.”
[7]
[16]
In line
with the letter requesting the meeting, the agenda deals only with
affidavits to be filed in the setting aside application
and the
interlocutories.
[8]
[17] At
the Teams Meeting, the Deputy Judge President requested the
liquidators to prepare a draft directive.
The draft directive, in
line with the motivation for the meeting and the agenda, dealt solely
with the setting aside application
and the interlocutories attached
to the setting aside application. This is clear from the heading of
the draft directive–
“
Draft
Directive to be issued by the Honourable Ledwaba J enrolling the
above application, consolidated interlocutory applications
and
counter application as a special motion, for hearing on the 25th and
26th of July 2023.”
[18] In
addition, the first paragraph of the draft directive provides: “The
applications and counter-application
are enrolled as a special motion
on 25 and 26 July 2023”. In addition, the draft directive does
not refer to the ex parte
proceedings or any relief being sought
outside the setting aside proceedings and the interlocutories.
[19]
The draft directive provides –
“
3.1 The applicant
in the main application and interlocutory applications, respondent in
the counter application (Mr S Somo), will
file an amended notice of
motion consolidating the interlocutory applications on 14 February
2023;
3.2 The liquidators will
file their supplementary answering affidavit in the main application
and answering affidavit in the consolidated
applications of the
applicant and in the counter application by 28 February 2023.
3.3 Mr Somo will file his
replying affidavit in the main and interlocutory applications and
reply to the liquidators' counter-application
on 28 March 2023.
3.4 The liquidators will
file replying affidavits in the interlocutory applications
(consolidated in the amended notice of motion
of 14 February 2023)
and in the counter application by 21 April 2023.
3.5 Mr Somo will file his
heads of argument in the main application as well as in the
interlocutory applications and counter application
on 16 May 2023.
3.6 The liquidators will
file their amended and supplemented heads of argument in the main
application and the interlocutory applications
by 8 June 2023.
[20]
The draft directive is restricted to the setting aside application
(the main application) and the interlocutories.
The draft directive
permits filing pleadings and submissions solely to the setting aside
application and the interlocutories. There
is no mention of the ex
parte application, amending the relief sought in the setting aside
application or any other relief being
entertained.
[21]
Mr Somo’s
legal advisor, Mr Ramothwala, agreed that the draft directive
correctly reflected the agreement reached at the meeting.
[9]
The Directive was issued on 21 February 2023, identical to the Draft
Directive in all material respects.
[22] Mr
Ramothwala’s case is that the Directive permitted the filing of
the an amended notice of motion
dealing with issues beyond the scope
of the setting aside proceedings. I have considered this submission,
the written submissions
and the authorities filed. However, all three
pieces of objective evidence contradict this submission: the letter,
the agenda and
the draft directive. All three contain express and
repeated statements that the Directive was only to deal with the
setting aside
and interlocutory proceedings.
[23] In
addition, the liquidators have presented the evidence of their
instructing attorney, who attended the
meeting in the form of an
affidavit. This evidence aligns with the contents of the objective
evidence.
[24]
Lastly, I consider the express wording of the final Directive. The
Directive provided, in paragraph 3.1,
that Mr Somo would file "an
amended notice of motion consolidating the interlocutory applications
on 14 February 2023".
The express wording of the Directive
permitted solely the filing of an amended notice of motion
consolidating the interlocutories.
[25]
For all these reasons, I find that the scope of the Directive was
limited to the setting aside and its interlocutories.
Concerning
filing an amended notice of motion, the Directive permitted the
filing of an amended notice of motion only to consolidate
the
interlocutory proceedings ancillary to the setting aside proceedings.
The
scope of the amended notice of motion
[26] Mr
Somo filed the amended notice on 14 February 2023. The amended notice
of motion did not only "consolidate
the interlocutory
proceedings". Instead, the amended notice of motion introduced
relief outside the scope of the Directive
and included entirely new
causes of action not disclosed at the meeting with the Deputy Judge
President. In addition, the amended
notice of motion incorporated the
relief sought concerning the ex parte proceedings in the setting
aside proceedings. In conflict
with the Directive, the amended notice
of motion also amended the relief sought in the setting aside
proceedings instead of "consolidating
the interlocutories".
[27]
Instead of
the liquidators receiving an amended notice of motion consolidating
the existing interlocutories, Mr Somo had filed an
amended notice of
motion amending the relief in the main proceedings (setting aside
application) and was seeking relief not envisaged
during the meeting
with the Deputy Judge President.
[10]
[28]
The relief sought in the amended notice of motion constituted an
entirely different proceeding as envisaged
in the letter of 11
November 2022, the agenda of 9 February 2023, the discussions at the
Teams Meeting of 9 February 2023 and the
Draft Directive of 10
February 2023. The Directive did not authorise the amended notice of
motion and fell outside the scope of
what the amended notice of
motion contemplated.
[29] On
this basis, I reject Mr Somo's submission that the Directive
authorised the amended notice of motion.
Irregular
step?
[30]
Rule 28(1) permits a party to amend their pleadings after notifying
the other parties of this intention.
This notice allows the other
parties to consider the intended amendment, abide by it, or object to
it. If no objection is raised,
the amended notice of motion can be
effected, and no court needs to consider it. However, if there is an
objection, the Court must
hear the application for an amendment and
exercise its discretion in deciding whether to permit it.
[31] In
this case, there was no notice of an intention to amend. The
liquidators were denied notice of the intended
amendment and deprived
of an opportunity to object. The non-compliance with the rules is
common cause, and the amended notice of
motion is irregular. Not only
were the liquidators denied an opportunity to object the Court was
precluded from exercising its
discretion.
[32]
In a
similar context, the Court in
Webber
[11]
held-
“
The Rules ….allow
a party to seek an amendment to a notice of motion in terms of rule
28. Only once the amendment has been
effected will the initial notice
of motion be subsumed by the amended one.
If the proposed amendment
is objected to, leave to amend must first be sought. A court hearing
an application for an amendment has
a discretion whether or not to
grant it, which must be exercised judicially.”
[33]
The Court held that it is not only prejudicial but unfair for a party
to invite the other, on the strength
of relief sought in the notice
of motion, to show cause why such relief should not be granted and
then, after the other party has
ventilated itself by way of opposing
papers, to sneak in an "
extended notice of motion
”
seeking relief to which the other party was not directed. That
is precisely what Mr Somo did in these proceedings.
[34]
The amended notice of motion introduced additional causes of action
to the setting aside relief sought initially.
Mr Somo has therefore
introduced large-scale changes to the relief sought initially in the
amended notice of motion. The Directive
did not permit filing such an
amended notice of motion, and it was done in conflict with the rules
of the Court. In this way, the
amended notice of motion is irregular.
Rule
6
[35]
Mr Somo contends that the amended notice of motion (which the
Directive permitted) would only be acceptable
if filed with an
affidavit. As the Court has found the Directive did not permit the
amended notice of motion, the argument fails
to be dismissed. For
completeness, however, the Court will consider Mr Somo’s
argument in relation to Rule 6.
[36]
The premise
for this argument is Rule 6(1), which provides that an application
shall be brought on notice of motion supported by
a founding
affidavit.
[12]
Rule 6(1)
does not apply in this context as Mr Somo had already instituted the
proceedings. The amendment of a notice of
motion does not permit
filing a further affidavit. To do so, Mr Somo would have had to seek
leave from the Court. No such leave
was sought. The filing of the
further supplementary affidavit is an irregular step.
Mr
Somo’s technical points
[37] In
addition to Mr Somo’s substantial reliance on the Directive and
Rule 6, Mr Somo opposes the relief
on two further technical points.
[38]
First, Mr
Somo contends that “Rule 28 does not apply at all . . . a
correct interpretation of the rules of this Court makes
it
impermissible to invoke Rules 28 and 30 simultaneously”.
[13]
Mr Somo contends that as the matter before the Court is a Rule 30
application, the Court must not consider Rule 28 at all. The
contention is that “the co-mingling of Rules by the liquidators
is legally impermissible and on this basis only the relief
that they
seek is not supported by law and fact. It is what an incompetent
relief is”.
[14]
[39]
The argument has no merit. Rule 28(8) expressly permits a party to
invoke Rule 30 if an irregular step has
been taken in the context of
Rule 28 proceedings. Aside from the express provision in Rule 28(8)
permitting the invocation of Rule
30, Rule 30 is generally used when
there has been non-compliance with a Rule of the Court; generally,
Rule 30 will be used to enforce
compliance with another rule of
Court.
[40]
Second
,
Mr Somo
contends that the Rule 30 application was launched out of time and
absent a condonation application; it is void. It is common
cause that
the liquidators did not commence the present Rule 30 proceedings
within ten days of filing the amended notice of motion.
Mr Badenhorst
SC explains that the liquidators believed they were under the
dispensation of management by the Deputy Judge President
concerning
the Third Motion court. The very purpose of approaching the Deputy
Judge President was to set time frames for filing
affidavits to move
the matter along. The applicants believed that the Deputy Judge
President would revise the Directive as Mr Somo
had taken this
unexpected step and had written to the Judge President on 16 February
2023 asking for another meeting. It was only
when the liquidators
realised that there would be no further meetings or timeframes that
they reverted to the remedies and timeframes
in the Uniform Rules of
Court. The understanding of the liquidators is apparent from
contemporary correspondence received at the
time. On 29 February
[15]
and on 15 March 2023, the liquidators wrote to Mr Somo, objecting to
the scope of the amended notice of motion and explaining that
these
steps were beyond what was contemplated by the Directive. However,
having realised that there would be no further directions
or
meetings, the liquidators filed the Rue 30(2)(b) notice to Mr Somo to
remove the cause of the complaint within ten days. The
liquidators
acted in terms of what our courts have termed "the proper
course" when faced with irregular proceedings.
Where proceedings
are irregular, the party is "not to proceed as if there had been
no such proceeding at all but to apply
to Court" to set it
aside.
[16]
[41] Mr
Somo refused to remove the cause of the complaint. The applicants
then filed the current application as
prescribed in rule 30(2)(c). It
is common cause that all further steps taken were per the timeframes
determined by the rules of
the Court. It is only the
commencement of the steps which the liquidators delayed.
[42] At
the hearing of the matter, out of an abundance of caution, Mr
Badenhorst SC, for the applicants, moved
for condonation for the late
filing of the Rule 30 to the extent necessary.
[43] Mr
Somo suffered no prejudice concerning the late filing of the Rule 30
application. The liquidators have
fully explained the non-compliance,
and the explanation is supported by contemporary correspondence. Mr
Somo knew, immediately
after filing the amended notice of motion and
affidavit, that the applicants viewed it as irregular. The delay was
not excessive.
A clear case for condonation has been made on the
papers, and even if the applicants had not formally sought
condonation, the Court
could have mero motu granted it.
Prejudice
[44]
The liquidators complain that the filing of the amended notice of
motion and the supplementary founding affidavit
was not authorised by
the meeting with the Deputy Judge President. At the meeting, there
was no discussion, no disclosure and no
leave granted to Mr Somo to
amend his notice of motion in the main proceedings. The inquiry
proceedings and the extension of the
liquidators' powers had no
connection with the meeting with the Deputy Judge President. Mr Somo
unilaterally incorporated the additional
relief in the amended notice
of motion, unrelated to consolidating the interlocutories.
[45] In
this case, Mr Somo filed a notice of motion and founding affidavit in
the setting aside application. The
liquidators responded and showed
cause why such relief must not be granted. They filed extensive
papers answering the case Mr Somo
had made out in his founding
affidavit. After the liquidators had ventilated their position, Mr
Somo sought to sneak in different
relief after the liquidators had
filed their answering affidavit. In such an instance, a party may
object to an intended amendment,
and the Court must exercise its
discretion whether to amend it.
[46]
The prejudice concerning the irregular steps is manifest. The
liquidators must respond to an entirely new
case. Mr Somo would have
been prevented from making out a new case in reply, yet has now
sought to achieve precisely that by filing
a supplementary founding
affidavit. All of this without providing the applicants an
opportunity to oppose the filing of the supplementary
affidavit or
amended notice of motion.
[47] Of
course, a court may follow a lenient approach to an application for
leave to file a further affidavit
if a sufficient basis is laid out
for such leave. However, bypassing the Court's discretion entirely
and preventing your opponent
from filing a notice and an affidavit in
opposition is prejudicial.
Costs
[48]
The Court must exercise its discretion when awarding costs. The Court
considers that the liquidators were
entirely successful in their
application, which entitles them to their costs. Mr Somo ignored the
express Rules of Court. The consequence
of Mr Somo ignoring the rules
of the Court is that the liquidators were denied an opportunity to
object to an amendment and the
filing of an affidavit. In addition,
the Court was deprived of its jurisdiction to decide on an amendment
and whether leave to
file a further affidavit should be granted. The
conduct of Mr Somo has resulted in the liquidators having to incur
additional and
unnecessary costs to launch these proceedings. They
are entitled to recover those costs.
[49]
The only submission made concerning costs by Mr Somo's representative
was that if Mr Somo were successful,
an award for costs would mean
“he is paying his own costs”. The premise of the
submission is that Mr Somo remains the
Director of Sebushi Somo. The
submission ignores the orders of this Court that Sebushi Somo is in
liquidation. The submission behaves
as if the liquidation order has
not been granted. It also ignores that the liquidation order had been
confirmed by the appellate
Court's refusal to grant special leave
even after a second petition to the Supreme Court of Appeal's
President. The submission
ignores several court orders and asks the
Court to do the same. This submission does not persuade the Court.
[50]
The liquidators have asked for costs on a punitive scale, being
attorney and client costs. The Court must
weigh and consider how the
matter was litigated.
[51]
First, much of the argument before this Court, on the papers and in
oral submissions, was that the liquidators
could not rely on Rule 30
where there is alleged non-compliance with Rule 28. The submission
was made to Court repeatedly despite
Rule 28(8) expressly providing
for the invocation of Rule 30 where there is non-compliance with Rule
28. Mr Somo's representative
made this submission in conflict with
the explicit provisions of Rule 28(8).
[52]
Second, the Court further weighs that Mr Somo deposed to an affidavit
dealing with facts as if they were
in his personal knowledge when
they were not. Mr Somo deposed to an affidavit dealing with the
meeting with the Deputy Judge President
when it is common cause he
did not attend the meeting. The affidavit does not explain that Mr
Somo relies on someone else for this
knowledge, nor is a confirmatory
affidavit provided. When invited to respond to this concern, Mr
Somo's representative made the
alarming submission that Mr Somo could
depose to what had happened at the meeting as if falling within his
personal knowledge,
even when he was not present, as he was informed
of the events by his legal representative. This is incorrect.
[53]
Third, there are indications on the papers that Mr Somo’s
representatives were aware of the limited
scope the Directive created
and filed the amended notice of motion, regardless. Mr Somo's
representatives wrote to the Deputy Judge
President on 17 February
2023. In the letter, Mr Somo's representatives distinguish the main
proceedings (section 354 proceedings)
and the reconsideration
proceedings (ex parte proceedings). The letter then states that the
amended notice of motion consolidates
the main proceedings
(53064/2019) and the reconsideration application (case number
13349/2022). The letter gives away that the
amended notice of motion
sought to achieve two different cases – rather than
consolidating the interlocutories in one of
the cases.
[54] In
addition, the letter of 17 February 2023 contains a sleight of hand.
Mr Somo's letter states that the
Directive permitted the filing of an
Amended Notice of Motion to "consolidate the various matters
and/or interlocutory applications
arising from the section 354
proceedings" ("the main application"). There is a
sleight of hand in this. The Directive
permitted filing an amended
notice of motion to consolidate the interlocutory applications only.
There is no mention of consolidating
"various matters",
only the “interlocutory applications”. The letter to the
Deputy Judge President misquotes
the Directive. The sleight of hand
seeks to add “consolidate the various matters” to the
Directive. The sleight of
hand is only necessary because the
Directive limited the amended notice of motion to consolidate the
interlocutory applications.
[55]
Fourth, Mr Somo believed that including the extended relief in these
proceedings would permit him to avoid
the section 417 inquiry.
Between the Teams Meeting and Mr Somo's amended notice of motion
being due, the liquidators summoned Mr
Somo to appear at a section
417 inquiry. Mr Somo's letter of 13 February 2023 shows he believed
that the section 417 inquiry would
be suspended by including relief
dealing with the inquiry in the amended notice of motion.
[56]
Only after the liquidators requested Mr Somo's attendance at section
417 inquiries did Mr Somo perceive the
scope of the Directive to
include the ex parte proceedings, which would include the section 417
inquiries. It is, stated in language
as benign as possible,
convenient for Mr Somo to include this relief in the amended notice
of motion. It appears, from Mr Somo’s
letters, that the
pressure to attend the section 417 inquiries instigated the amendment
of the notice of motion in the setting
aside proceedings under the
pretext of the Directive.
[57]
This is clear from his own correspondence of 13 February 2023 –
"The amended Notice
of Motion together with the Supplementary Founding Affidavit our
client is to file includes an order that
your clients be prohibited
from proceeding with the section 417 inquiries. The Amended Notice of
Motion also consolidate the hearing
of the reconsideration
application for the ex parte order with the main application brought
under the provisions of section 354
of the Companies Act."
[17]
[58]
The purpose of combining the setting aside applications and the ex
parte proceedings is apparent from Mr
Somo's letter of 13 February
2023 –
"In view of the
above, we propose that your clients should consider holding further
enquires in terms of section 417 in abeyance
pending the finalisation
of the proceedings in Court on the 25th and 26th of July 2023."
[59]
The Court considers that Mr Somo acted in breach of the Court's
Rules, under the false pretext of a Directive,
to achieve an ulterior
purpose: rendering a section 417 inquiry to be held in abeyance. It
is an abuse of process to use the rules
of the Court for a different
purpose. That is precisely what occurred in this case.
[60]
The Court finds the conduct of Mr Somo during these proceedings
warrants a punitive costs order.
[61]
The
liquidators acknowledged that our courts follow a liberal approach to
amendments. The principle which underpins this is to ensure
that the
real issue between the parties is ventilated. However, “it
would be incorrect to conclude from this liberal attitude
of the
court towards amendments to pleadings that leave to amend can be
obtained merely for the asking”.
[18]
The litigant must first explain why the amendment is required and
satisfactorily explain the delay.
[62]
Nothing stood in Mr Somo's way to amend his notice of motion and seek
leave to file a further affidavit had
the proper procedure been
followed. Instead, Mr Somo relied on the Directive as a pretext for
filing an amended notice of motion
and an extraordinary
interpretation of Rule 6 to attempt to justify filing a 50-page
supplementary founding affidavit. These steps
are irregular.
Order
[63] In
the result, the following order is granted:
a) The
“Amended notice of motion” dated 14 February 2023 and the
supplementary founding affidavit
filed on the same date by Mr Somo
(the respondent in these proceedings) is set aside as an irregular
step/proceeding as prescribed
in rule 30(1) of the rules of Court.
b) The
“Amended notice of motion” and supplementary founding
affidavit are set aside in its entirety
as constituting irregular
proceedings which cannot be amended.
c) The
respondent (Mr Sebushi Patrick Somo) is to pay the costs of the
application and the notice issued under
rule 30(2)(b) of the Rules of
the Court on the attorney and client scale.
d) The
applicants are granted condonation for the late filing of the
irregular step proceedings.
I de Vos
Acting Judge of the High
Court
Delivered:
This judgment is handed down electronically by uploading it to the
electronic file of this matter on CaseLines.
As a courtesy gesture,
it will be sent to the parties/their legal representatives by email.
Counsel for the
Applicant
Advocate M.A.
Badenhorst SC
Instructed by:
Geyser Van Rooyen
Attorneys: C.A. Geyser
Counsel for the
Respondent:
M.D. Ramothwala
Instructed by:
Mafona Ramothwala
Incorporated
Date of the
hearing:
25 July 2023
Date of judgment:
7 August 2023
[1]
Certificate
of appointment dated 18 October 2018, annexure RvR1 (CL 30 - 35).
[2]
Mr
Somo's application for leave to appeal in the Court a quo was
refused, as was an application for leave to appeal to the Supreme
Court of Appeal and, subsequently, an application for special leave
for appeal directed to the President of the Supreme Court
of Appeal,
was also refused and dismissed with costs.
[3]
Letter
of 11 November 2022, para 16.
[4]
The interlocutories concern the liquidators alleged failure to
comply with a rule 30 notice, the liquidators' demand for discovery
under rule 35(12) being irregular, and an alleged conflict of
interest arising from the liquidators' firm of attorneys acting
on
behalf of the liquidators. According to the liquidators, rule 35(12)
discovery relates to construction contracts and tender
documents,
allegedly representing himself as the director, which Mr Somo signed
after Sebushi Somo's liquidation. The liquidators
filed an opposing
affidavit and a counter application in response to the interlocutory
applications of Mr Somo. These interlocutories
were generated as a
result of and formed a part of the setting aside proceedings. Mr
Somo has not set down the interlocutories
or responded to the
liquidators' counter-claim.
[5]
On 8 March 2022, the Court granted the liquidators an order
extending their powers under sections 386(3) and 386(4) of the
Companies Act. In the same application, the liquidators applied for
leave to convene a commission of enquiry in the trade dealings
of
Sebushi Somo in terms of sections 417 and 418 of the Companies Act.
On 18 July 2022, Mr Somo, as an intervening party, filed
a notice of
set down for the reconsideration of the order granted on 8 March
2022 under rule 6(12)(c) of the Rules of Court.
Despite launching
the intervention and reconsideration as urgent proceedings, Mr Somo
has not enrolled the matter seeking leave
to intervene and have the
order reconsidered.
[6]
Letter
of 11 November 2022, para 25.
[7]
Agenda
9 February 2023
[8]
Agenda
9 February 2023 para 3.
[9]
The
exact wording is that Mr Ramothwala
has perused the meeting minutes of 9 February 2023 and "agree
with the recordals".
[10]
The amended notice of motion contains as a first prayer that Mr Somo
be granted leave to intervene in the 354 application under
case
number 53064/2019. The second prayer seeks a finding that the
liquidators are conflicted and are to be removed. This relief
was
not included in the original notice of motion and constituted a new
cause of action. Prayers 3 and 4 are the same as in the
original
notice of motion. Prayers 5 - 8 of the Amended Notice of Motion Mr
Somo seeks leave to be joined in the proceedings
as a party under
case number 13349/2022. In prayers 9 – 11, Mr Somo applies for
orders against the liquidators to proceed
with an account, and it
appears to be a tender by Mr Somo to pay this account.
[11]
Webber N.O and Others v Hein (CA 221/2020) [2021] ZAECGHC 76 (10
August 2021) paras 16 – 17.
[12]
Answering
Affidavit para 4.19 (CL030-88).
[13]
Answering
Affidavit paras 4.11 and 4.12 (CL 030-86).
[14]
Answering
Affidavit para 4.16 (CL 030-87).
[15]
Referred
to in the 15 March 2023 letter (CL 030-190 para 2.3)
[16]
Gibson
and Jones (Pty) Ltd v Smith
1952 (4) S.A. 87
(T) quoted with
approval in Theron v Coetzee 1970 (4) [TPD] 39D-F.
[17]
Letter
13 February 2023, Annexure OA10 (CL30 - 120).
[18]
Herbstein
& Van Winsen “The Civil Practice of the High Court”
(Juta) p 105
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