Case Law[2023] ZAGPPHC 1769South Africa
Ndou v Beagle Watch Armed Response (RF) (Pty) Ltd (A96/2022) [2023] ZAGPPHC 1769 (3 October 2023)
High Court of South Africa (Gauteng Division, Pretoria)
3 October 2023
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Ndou v Beagle Watch Armed Response (RF) (Pty) Ltd (A96/2022) [2023] ZAGPPHC 1769 (3 October 2023)
Ndou v Beagle Watch Armed Response (RF) (Pty) Ltd (A96/2022) [2023] ZAGPPHC 1769 (3 October 2023)
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sino date 3 October 2023
IN THE HIGH COURT
OF SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
CASE NO: A96/2022
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES: NO
(3)
REVISED: YES
Date: 3 October 2023
Signature:
In
the matter between:
RICHARD
NDOU
Appellant
and
BEAGLE
WATCH ARMED RESPONSE (RF) (PTY) LTD
Respondent
NEUKIRCHER
J
:
1]
This appeal comes before us with leave of the court a quo and is
directed against
the judgment and order, specifically paragraphs 2,
3, 4 and 5 of the order, granted on 10 February 2022.
2]
The crux of the issue in this appeal is whether the court a quo could
(or should)
have granted any order on the merits of the application
at all as, according to the appellant (Ndou)
[1]
the sole focus of the argument present had been directed at the issue
of urgency – this at the behest of the court.
3]
If indeed this argument is correct, there is no issue taken with the
fact that
the appeal should succeed and the matter remitted to the
High Court for hearing on the merits on the opposed motion roll.
Accordingly,
no argument was presented to us on the merits. It is
also not in dispute that during argument a quo, prayer 2 of the
Notice of
Motion was abandoned.
THE
ORDER GRANTED
4]
In order to give context to the facts of this appeal, it is apposite
to set out
paragraphs 2 to 5 of the order that was granted on 10
February 2022.
[2]
It reads as
follows:
“
2.
Interdicting and restraining the first respondent from utilising
and/or divulging or
otherwise sharing any confidential information
relating to the applicant to any third party including the second
respondent.
3.
Interdicting and restraining the first respondent from soliciting
business from
the customers on the applicant’s customer list/s
and/or from otherwise interfering with the existing contractual
relationships
between the applicant and the aforesaid customers on
the applicant’s customer list/s.
4.
Interdicting and restraining the first respondent from soliciting the
applicant’s
employees to work for any third party resulting in
a breach of the first respondent’s contractual duties to the
applicant,
and/or otherwise interfering with the existing contractual
relationships between the applicant and its employees.
5.
The first respondent to pay the costs of this application including
the costs
of two counsel.”
THE
FACTS
5]
On 14 January 2022 the respondent (Beagle Watch) launched an urgent
application
against Mr Ndou and one other
[3]
for interdictory relief to prevent them from inter alia disclosing
confidential information, soliciting its clients and employees
and
generally interfering with its contractual relationships with its
clients and employees. The relief sought was based on the
terms of a
written employment contract concluded between Ndou and Beagle Watch
during November 2009 pursuant to Ndou’s employment
commencing
with Beagle Watch. According to Beagle Watch, when Ndou resigned, he
took up employment with SCP and thereafter breached
the
confidentiality, restraints and patents provisions of his employment
contract.
6]
The application was enrolled for hearing in the urgent court for 8
February 2022,
and by that time it had become opposed with a full set
of papers before court at the time it was heard, as well as heads of
argument.
Importantly, Ndou’s view was that the application was
not urgent and that it ought to be struck from the roll with costs
and if found to be urgent, it should be dismissed with costs based on
his defences to the application.
7]
When the matter was called, the court informed Beagle Watch’s
counsel (Mr
Swanepoel) that he “
can concentrate on urgency”
,
which is exactly what he did. Of course, given the subject matter of
the dispute where it is alleged that it is the conduct of
Mr Nou and
SCP that gave rise to the urgency of the matter, it was not possible
to ignore the merits completely in order to explain
why the matter
was so urgent that a hearing in due course would not suffice.
8]
Be that as it may, Mr Swanepoel addressed the court in respect of
urgency and
there are several references to this found throughout his
address which makes it very clear that the focus of his argument was
the issue of urgency – for example:
(a)
”
M’Lord,
and then the urgency M’Lord we will deal with afterwards,
whether Your Lordship – I would M’Lord
respectfully
submit that prior to Your Lordship dealing with the actual merits of
the application which will take some time M’Lord.
Finally, if
Your Lordship will deal – obviously M’Lord will deal with
it as you want to with the question of urgency
and whether the matter
should be enrolled or not.”;
[4]
(b)
”MR SWANEPOEL: 2-26 M’Lord. Founding affidavit paragraph
42 under the heading
‘Urgency’.”;
[5]
(b)
“
MR
SWANEPOEL: Thank you M’Lord. M’Lord so still on the
question of urgency, M’Lord. The question is just, what
does
the first respondent say about this contractual clause I have just
read…”;
[6]
(c)
“
Therefore M’Lord, the applicant says to Your
Lordship, if we are not heard on an urgent basis it would be
cadit
quaestio,
there will not be a relied for us in future, we need to
protect our interest. That is the urgency of this case, M’Lord.
It
does not go much beyond that, M’Lord.
There are of course
various allegation in the answering affidavit and I can direct Your
Lordship’s attention to two of them
quickly as follows, which
has a bearing on the issue of urgency M’Lord and it is always
nice if one M’Lord, can argue
urgency from a reading of the
respondent’s own answering affidavit in a case, M’Lord…”
9]
Suddenly, at the end of his argument in chief, Mr Swanepoel states
the following:
“
I know this
M’Lord that the issue of urgency in this case is intertwined
and interlinked with the issue of the merits of the
case. You cannot
just divorce the two and speak only about urgency,
I know that ‘Lord,
because in this particular case M’Lord, you cannot just close
your eyes to the merits. I have already
addressed Your Lordship fully
on the issue of urgency and the merits…”
[7]
10]
Unsurprisingly, this created confusion for Mr Pincus who then
pertinently asked the following
question:
“
M’Lord, I
am just a bit confused now. Are we arguing the point of urgency only
or the merits as well? Sorry M’Lord,
I thought we were only
arguing the point of urgency.”
[8]
The
response to this from the court was
“
We are arguing
urgency.”
11]
At no stage during his entire argument was Mr Pincus informed that
the court’s focus
had shifted from the issue of urgency to the
issue of the merits. In fact, the court’s express indication
was to the contrary
as is clear from the above exchange. Thus, even
when Mr Swanepoel once again in reply stated that he had addressed
both the urgency
and the merits, the latter was not a relevant
consideration outside of whether or not the application was urgent.
And in response
to this, Mr Pincus states the following:
“
M’Lord,
can I just say, I am arguing urgency only. I am not arguing the
merits. I just want to put this to you in reply because
we were
dealing with urgency I thought M’Lord would respect that…”
[9]
Even
then, the court did not point out that he should address the merits
of the matter. Instead, the court adjourned and when it
resumed,
judgment was given on both urgency and merits.
12]
In the application for leave to appeal, the court expressed the view
that as the urgency
was intertwined with the merits, it disposed of
the matter on that basis but that leave to appeal was granted in the
interests
of Mr Ndou “
as well as the matter be put to rest
in a proper way”.
But I must respectfully disagree with the
court a quo: the fact is that during his argument a quo Mr Pincus
argued that were the
matter to be found urgent, he would make
submissions why the orders sought by Beagle Watch should not be
granted – he was
never given an opportunity to do so, nor was
he ever instructed by the court to make submissions on the merits.
13]
Mr Pincus argues that he had touched on the merits only in order to
found his argument that
the application was not urgent and should
therefore not be enrolled or be struck off the roll – the
record (through the various
exchanges with the court and both
counsel) clearly show this to be so. He has also argued today that
had he been given a proper
opportunity to argue the merits, he would
have handed up, and referred extensively, to a bundle of authorities
in order to demonstrate
that the relief sought was not competent –
but he was deprived of this opportunity. This too is clear from the
record. Thus,
Mr Pincus was not provided with any opportunity to
debate the issues with the court. Mr Swanepoel attempted to argue
that Mr Pincus
had an obligation not to remain supine when he
realised that the merits of the matter were being canvassed and
especially when
the court was giving judgment – but the record
clearly reflects Mr Pincus’ efforts to emphasize that only the
issue
of urgency was being canvassed, and this at the specific behest
and direction of the court itself. Most importantly, the court on
several occasions confirmed that only urgency need be addressed. Thus
any attempt to lay blame for the
volte face
of the court
cannot be laid at the respondents’ door.
14]
Section 34 of the Constitution states:
“
Everyone has
the right to have any dispute that can be resolved by the application
of law decided in a fair public hearing before
a court or, where
appropriate, another independent and impartial tribunal or forum.”
15]
Inherent in the entire process that is the cornerstone of a “
fair
public hearing”
is the
audi alteram partem
principle
which is a foundation of the rule of natural justice. The argument is
that the failure of the court a quo to give the
respondents an
opportunity to address it on the merits violated the principle that
every litigant should be given a fair opportunity
to address the
court and therefore constituted a gross irregularity in the
proceedings which is fatal to it. I agree. In my view,
it also cannot
be ignored that an argument in respect of urgency and one in respect
of merits have completely different focuses.
16]
In
Brian
Khan Inc v Samsudin
[10]
the court stated:
“
In
my view the approach suggested by Mr Kaplan was not one upon which
the court a quo should have acted at all. And whilst
there may
be some doubt as to whether full argument was allowed on the
separation of the point in limine, there is no doubt that
no argument
was heard on the substance thereof. When granting leave to appeal,
the court a quo accepted that counsel for the appellant
did not
present argument in respect of the point in limine.
I
am convinced that the omission by the court a quo to have afforded
counsel for the appellant the opportunity to address the court,
happened per incuriam and not by design.
Nevertheless,
the omission deprived the court of the benefit of oral argument
‘
in
which counsel can fully indulge their forensic ability and persuasive
skill in the interest of justice and their clients’
.”
[11]
(my emphasis)
17]
In my view, the failure to hear argument on the merits constitutes a
fatal irregularity
and misdirection in the conduct of the
proceedings, and on this basis alone the appeal must succeed.
COSTS
18]
As to costs: it was argued that Beagle Watch was not the cause of the
irregularity that
occurred, but a reading of the record shows that,
whilst it was not the sole cause, the submission that both urgency
and merits
had been canvassed, had a hand in the outcome.
Furthermore, both the application for leave to appeal and this appeal
itself were
vigorously opposed by it. Had Beagle Watch simply abided
by the decision of this court, perhaps one could argue that each
party
should pay their own costs – but in this case there is no
argument to be made on that score. Thus there is no reason to depart
from the usual rule that costs should follow the result.
THE
ORDER
19]
The order that is made is the following:
1. The
appeal is upheld with costs.
2.
Paragraphs 2, 3, 4 and 5 of the order dated 10 February 2022 are set
aside in their entirety.
3.
The application is remitted back to the Gauteng High Court,
Pretoria for a hearing on the opposed motion roll.
.
NEUKIRCHER J
JUDGE OF THE HIGH
COURT
GAUTENG DIVISION,
PRETORIA
I agree
HOLLAND-MüTER J
JUDGE OF THE HIGH
COURT
GAUTENG DIVISION,
PRETORIA
I agree
MOOKI AJ
ACTING JUDGE OF THE
HIGH COURT
GAUTENG DIVISION,
PRETORIA
Delivered: This
judgment was prepared and authored by the Judges whose names are
reflected and is handed down electronically
by circulation to the
parties/their legal representatives by email and by uploading it to
the electronic file of this matter on
CaseLines. The date for
hand-down is deemed to be 3 October 2023
For the appellant:
Adv Pincus SC
Instructed
by:
Mouyis
Cohen Inc
For
the respondent:
Adv
Swanepoel SC
Instructed
by:
Douglas
McCusker Attorneys
Matter
heard on:
30
August 2023
Judgment
date:
3
October 2023
[1]
The
respondent a quo
[2]
Paragraph
1 is the finding of urgency which is not in issue in this appeal
[3]
A
company known as Suburban Control Centre (Pty) Ltd t/a SCP Security
(SCP)
[4]
CL
27-222
[5]
CL27-226
[6]
CL22-236
[7]
CL27-244
[8]
CL27-244
[9]
CL27-274
[10]
2012
(3) SA 310
(GSJ) at para [4] – [5]
[11]
With
reference to
Transvaal
Industrial Foods Ltd v BMM Process (Pty) Ltd
1973
(1) SA 627
(AD)
628G.
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