Case Law[2022] ZAGPPHC 273South Africa
MKD Properties (Pty) Ltd v VAW Belleggings (Pty) Ltd and Others (17769/2017) [2022] ZAGPPHC 273 (25 April 2022)
Headnotes
as follows: “The test as now set out in s17 constitutes a more formidable threshold over which an applicant must engage than was the case. Previously the test was whether there was a reasonable prospect that another court might come to a different conclusion. See, for example, Van Heerden v Cronwright and Others 1985(2) SA 342 (T) at 343 H. The fact that the Superior Courts Act now employs the word ‘would ‘as opposed to ‘might ‘serves to emphasise this point. As the Supreme Court of Appeal said in Smith v S 2012(1) SACR 567 (SCA) at para 7;
Judgment
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# South Africa: North Gauteng High Court, Pretoria
South Africa: North Gauteng High Court, Pretoria
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## MKD Properties (Pty) Ltd v VAW Belleggings (Pty) Ltd and Others (17769/2017) [2022] ZAGPPHC 273 (25 April 2022)
MKD Properties (Pty) Ltd v VAW Belleggings (Pty) Ltd and Others (17769/2017) [2022] ZAGPPHC 273 (25 April 2022)
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sino date 25 April 2022
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
CASE
NO: 17769/2017
REPORTABLE:
NO
OF
INTEREST TO OTHER JUDGES: NO
REVISED:
NO
DATE:
25/04/2022
In
the matter between:
MKD
PROPERTIES (PTY) LTD
Plaintiff / Respondent
and
VAW
BELLEGGINGS (PTY)LTD
First Defendant / Applicant
(in
Liquidation)
E
J JANSE VAN RENSBURG, A N NDYAMARA and J M
NGOASHENG-PHOSHOKO
N.N.O
THE
REGISTRAR OF DEEDS, PRETORIA
Second Defendant
THE
MASTER OF THE HIGH COURT, NORTH WEST
PROVINCE,
MAHIKENG
Third Defendant
JUDGMENT:
APPLICATION FOR LEAVE TO APPEAL
[1]
This is an application for leave to appeal. Although in its notice
the applicant asked
primarily for leave to appeal to the Supreme
Court of Appeal, in its Heads of Argument, it stated that upon
reflection, if leave
is to be granted, it should be to the full court
of this division, sitting in Pretoria. The applicant seeks to appeal
the whole
of the judgment and order of this court handed down on 19
November 2021 in terms of which I found in favour of the respondent
herein
in the following terms:
“
1.
The agreement of sale between the plaintiff and the first defendant
entered into on 22 June 2016 is cancelled.
2.
The first defendant is ordered to repay the purchase price of R3 800
000.00 (Three Million,
Eight Hundred Thousand Rand) to the plaintiff.
3.
The first defendant is ordered to repay the plaintiff all transfer
costs related to the transfer
of the immovable property from the
names of the
joint liquidators of
the first defendant into the plaintiff’s name.
4.
The plaintiff must take all necessary steps to effect the retransfer
of the immovable property
into the names of the joint liquidators of
the defendant, upon payment of the purchase price stated above.
5.
The first defendant is ordered to pay all transfer costs related to
the retransfer of the
immovable property from the plaintiff’s
name into the names of the joint liquidators of the first defendant.
6.
The first defendant shall pay the plaintiff’s costs of suit,
including costs consequent
upon the employment of two counsel, and
including the costs of the urgent application.”
[2]
The judgment I gave is assailed mainly on the basis that I
misunderstood the factual evidence
and consequently arrived at the
incorrect decision. The grounds are fully embodied in the applicant’s
application for leave
dated 10 December 2021. I caused directives to
be issued for the filing of Heads of Arguments and this application
will be settled
on the basis of the said documents.
[3]
This application is brought in terms of Rule 49 (1)(b) which provides
that:
“
when
leave to appeal is required and it has not been requested at the time
of judgment or order, application for such leave shall
be made and
the grounds thereof shall be furnished within 15 days after the date
of the order appealed against. …”
.
As such the application was brought within the time limits as
regulated by Rule 49(1)(b).
[4]
The substantive law pertaining to applications for leave to appeal is
encapsulated in
Section 17 (1)of the
Superior Courts Act 10 of 2013
, and
sets out the test as follows:
“
Leave
to appeal may only be given where the judge or judges concerned are
of the opinion that
(a) (i) the appeal
would have a reasonable prospect of success; or
(ii) there is some
other compelling reason why the appeal should be heard
,
including
conflicting judgments on the matter under consideration.”
(b)
The decision sought on appeal does not fall within the ambit of
section 16(2)(a)
; and
(c)
Where the decision sought to be appealed does not dispose of all the
issues in the case,
the appeal would lead to a just and prompt
resolution of the real issues between the parties.
[5]
Section 17(1)
clearly sets out that an applicant seeking leave to
appeal is required to convince the court that there is a reasonable
prospect
of success and not merely a possibility of success in the
appeal. In
Democratic
Alliance v President of the Republic of South Africa and Others
[1]
the Full Court held as follows:
“
The
test as now set out in
s17
constitutes a more formidable threshold
over which an applicant must engage than was the case. Previously the
test was whether
there was a reasonable prospect that another court
might come to a different conclusion. See, for example, Van Heerden v
Cronwright
and Others 1985(2) SA 342 (T) at 343 H. The fact that the
Superior Courts Act now employs
the word ‘would ‘as
opposed to ‘might ‘serves to emphasise this
point. As the Supreme Court of Appeal said in
Smith v
S 2012(1)
SACR 567 (SCA) at para 7;
‘
More
is required to be established than that there is a mere possibility
of success, that the case is arguable on appeal or that
the case
cannot be categorised as hopeless. There must in other words be a
sound, rational basis for the conclusion that there
are prospects of
success on appeal.’
[6]
This dictum serves to emphasise a vital point: Leave to appeal is not
simply for the
taking. A balance between the rights of the party
which was successful before the court
a quo
and the rights of
the losing party seeking leave to appeal need to be established so
that the absence of a realistic chance of
succeeding on appeal
dictates that the balance must be struck in favour of the party which
was initially successful.”
[7]
The applicant contends that on the basis of a number of reasons
elucidated on in its
application for leave, which I do not deem
necessary to repeat herein, there is a high probability of success in
the appeal. This
dispute revolves around the statements made by the
auctioneer during the auction and in the brochure advertising the
property that
is the subject of this dispute in respect of the water
dam in the said property. These statements, are what informed my
judgment.
[8]
The respondent in paragraph 56 of its Heads explains what took place
at the auction
neatly as follows: “
The facts that the right
relating to the water was a tricky affair, counted against the first
defendant, because the auctioneer
made representations of fact as it
there was nothing tricky about them”
. The applicant holds a
contrary view and state the misrepresentations were negligent and
innocent, in the absence of the evidence
by the Auctioneer the court
erred in finding that the representations were fraudulent. In the
event that the applicant is correct,
it might as well be that another
court may arrive at a different conclusion.
For
that reason,
I make the following
Order:
1.
Leave to appeal to a full court of the Gauteng Division of the High
Court, Pretoria,
is granted.
2.
Costs shall be costs in the appeal.
Mthimunye
DP
Acting
Judge of the High Court
[1]
(21424/2020)
[2020] ZAGPPHC 326(29 July 2020) paras [4] – [5].
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