Case Law[2025] ZAWCHC 358South Africa
Kindrogen RF (Pty) Ltd v Miltons Matsamela Inc t/a Miltons Matsamela Attorneys and Others (14121/2020) [2025] ZAWCHC 358 (19 August 2025)
Headnotes
Summary: Practice – Pleadings – Late delivery of a notice in terms of Rule 36(9)(a) and (b) – application for condonation in terms of Rule 27 – good cause requirements – in the interest of justice to condone late delivery of the notice in terms of Rule 36(9)(a) and (b) where refusal may lead to injustice.
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## Kindrogen RF (Pty) Ltd v Miltons Matsamela Inc t/a Miltons Matsamela Attorneys and Others (14121/2020) [2025] ZAWCHC 358 (19 August 2025)
Kindrogen RF (Pty) Ltd v Miltons Matsamela Inc t/a Miltons Matsamela Attorneys and Others (14121/2020) [2025] ZAWCHC 358 (19 August 2025)
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SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
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SAFLII
Policy
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN
CAPE DIVISION, CAPE TOWN)
### JUDGMENT
JUDGMENT
Not Reportable
Case no: 14121/2020
In the matter between:
KINDROGEN
RF (PTY) LTD
(
Registration
Number: 2010/018505/07
)
Plaintiff
and
MILTONS
MATSAMELA INC
t/a
MILTONS MATSAMELA ATTORNEYS
(
Registration
Number: 2001/001112/21
)
First
Defendant
MILTONS
MATSAMELA TABLE VIEW INC
(
Registration
Number: 2012/073697/21
)
Second
Defendant
MARYKE
DE VILLIERS N.O.
(in
her capacity as trustee for the time being of the
AMAZING
VOUCHERS TRUST (I[...])
Third
Defendant
CARMEN
DEN HAAN N.O.
(in
her capacity as trustee for the time being of the
AMAZING
VOUCHERS TRUST (I[...])
Fourth
Defendant
JACO
DEN HAAN N.O.
(in
his capacity as trustee for the time being of the
AMAZING
VOUCHERS TRUST (I[...])
Fifth
Defendant
ATLANTIC
EXECUTORS AND
ADMINISTRATORS
(PTY) LTD N.O.
(in
its capacity as trustee for the time being of the
AMAZING
VOUCHERS TRUST (I[...])
Sixth
Defendant
GREYSTONE
TRADING 132 CC
t/a
RE/MAX PROPERTY ASSOCIATES
(
Registration
Number: 2000/062869/23
)
Seventh
Defendant
Neutral
citation:
Kindrogen
RF (Pty) Ltd v Miltons Matsamela Inc and Others
(Case
no 14121/2020)
[2025] ZAWCHC 357
(19/08/2025)
Coram:
NUKU J
Heard
:
30 July 2025
Delivered
:
19 August 2025
Summary:
Practice – Pleadings – Late
delivery of a notice in terms of Rule 36(9)(a) and (b) –
application for condonation
in terms of Rule 27 – good cause
requirements – in the interest of justice to condone late
delivery of the notice in
terms of Rule 36(9)(a) and (b) where
refusal may lead to injustice.
ORDER
1
The late delivery by the third to sixth
defendants of the expert report of Jan Daniel Swart Oberholzer
(Oberholzer) dated 26 June
2025, as per their notice in terms of Rule
36(9)(a) and (b) dated 30 June 2025, is condoned.
2
The third to sixth defendants are permitted
to rely on the expert report of Oberholzer dated 26 June 2025, in
accordance with their
notice under Rule 36(9)(a) and (b) dated 30
June 2025; and to call Oberholzer as an expert.
3
The third to sixth defendants shall pay the
costs of the application, together with the costs of the Rule 30
Application, and such
costs shall be on Scale C.
# JUDGMENT
JUDGMENT
Nuku J
[1]
This is an interlocutory application brought by the third to sixth
defendants (the
Trust), seeking condonation for the late delivery of
the expert report dated 26 June 2025 by Jan Daniel Swart Oberholzer
(the Oberholzer
report) and the Trust’s Rule 36(9)(a) and (b)
notice dated 30 June 2025.
[2]
The plaintiff opposes the application, arguing that the Oberholzer
report and the
Trust’s Rule 36(9)(a) and (b) notice were
delivered late, and the Trust has failed to demonstrated good
cause for why
the late delivery these documents should be condoned.
[3]
The background to this interlocutory application can be summarised as
follows: the
plaintiff instituted an action against the defendants,
claiming payment of R1 475 766.24, which it had paid to the second
defendant
between November 2019 and March 2020. The specified amount
was paid in anticipation of the plaintiff’s liability for
transfer
duty related to a property the plaintiff had offered
to purchase from the Trust. For reasons not germane to this
application,
the sale of the property did not proceed resulting in
the claim for the repayment of the monies paid.
[4]
The Trust is actively defending the action and has also launched a
counter-claim against
the plaintiff. The Trust, in its
counter-claim, alleges it has suffered damages amounting to R2 869
565.22. This amount represents
the difference between the price
at which the property would have been sold to the plaintiff and the
price at which it was
sold following the cancellation of the sale to
the plaintiff.
[5]
The plaintiff and the Trust both delivered expert summaries in
accordance with Rule
36(9)(a) and (b) regarding the value of
the disputed property. Subsequently, the experts appointed by both
parties convened
on 1 August 2024, as required by Rule 36(9A),
and prepared a joint minute, which was delivered on 5 August 2025.
The joint
minute produced by the parties’ experts was recorded
in a pre-trial minute prepared by the legal representatives of the
parties,
dated 7 August 2024.
[6]
On 15 August 2024, Wille J certified the matter as trial-ready.
Subsequently, a trial
date was scheduled for 20 February 2025. On 12
February 2025, the parties reached an agreement to postpone the
trial to 30
July 2025.
[7]
On 2 June 2025, the attorneys for the Trust informed the plaintiff’s
attorneys
that the Trust would not be calling the expert whose report
had been submitted. The letter also notified them of the
Trust’s
disassociation from the agreement reached between its
expert and the plaintiff’s expert. A subsequent letter
dated
3 June 2025, was delivered in which the Trust presented some
without prejudice settlement proposals. These proposals were
rejected by the plaintiff in a letter dated 5 June 2025.
[8]
On 10 June 2025, the plaintiff’s legal representatives
communicated via a
letter to the Trust’s legal
representatives, noting, among other things, that the Trust was not
entitled to unilaterally
repudiate the agreement reached between the
parties’ experts, that it would be inappropriate for the
Trust to appoint
another expert, and that the plaintiff would oppose
such a step, which would in any case be deemed irregular.
[9]
On 30 June 2025, the Trust delivered the Oberholzer report along with
its Rule 36(9)(a)
and (b) notice. The legal representatives of the
plaintiff,, in a letter dated 3 June 2025, expressed their
objections and
demanded that the Trust withdraw both the
Oberholzer report and its Rule 36(9)(a) and (b) notice.
[10]
The Trust rejected the plaintiff's demands. Instead, it was suggested
on behalf of the Trust
that the plaintiff’s expert meet with Mr
Oberholzer to prepare a joint minute. As it became clear that the
Trust was not
withdrawing, the plaintiff’s legal
representatives served a notice under Rule 30(2)(b) and
30(A)(1) (Rule 30 Notice)
on 11 July 2025.
[11]
The plaintiff states in its Rule 30 Notice, that it was irregular for
the Trust to deliver the
Oberholzer report and Rule 36(9)(a) and (b)
notice because they had not been submitted within the timeframes
specified in Rule
36, and were contrary to the directives issued by
Wille J during the pre-trial proceedings.
[12]
On 16 July 2025, the Trust launched the present interlocutory
application. On 23 July 2025, the
plaintiff launched an application
pursuant to Rule 30 to set aside the delivery by the Trust of the
Oberholzer report as well as
the Trust’s Rule 36(9)(a)
and (b) notice.
[13]
During the hearing, the legal representatives of both parties reached
an agreement that the Court
only needs to decide on the condonation
application, given its significance for the Rule 30
application. Legal representatives
for both parties concurred
that the Trust must establish good cause for its failure to deliver
the Oberholzer report along
with its Rule 36(9)(a) and (b) notice in
order to succeed. The outcome of the condonation application revealed
a disagreement between
legal representatives of the parties involved.
The Trust's legal team asserted that the Trust had demonstrated good
cause, while
the plaintiff's legal representatives argued against
this position.
[14]
The disagreement between the parties regarding the outcome of
the condonation emerge from
their differing approaches to
determine whether good cause has been demonstrated.
[15]
According to the plaintiff, there are two principal requirements for
good cause that must be
established by an applicant as a
jurisdictional prerequisite for condonation, by actually proving them
rather than merely alleging
them.
[1]
And these are that:
15.1
A full and reasonable explanation which covers the entire period of
the delay must be given,
[2]
and
15.2
There must be something worthy of consideration.
[16]
The plaintiff’s argument extended to the assertion that
prejudice only arises when both
of these requirements are satisfied.
In other words, prejudice does not come into discussion if the
applicant for condonation has
not demonstrated good cause, as it is
insufficient for the applicant to demonstrate that condonation will
not cause prejudice to
the other party..
[3]
[17]
It was subsequently submitted on behalf of the plaintiff that
the Trust took approximately
11 months from the filing of the
parties’ expert joint minute to deliver the Oberholzer report
and its Rule 36(9)(a) and
(b) notice. Furthermore, the Trust has
failed to offer a satisfactory explanation for that delay. The
plaintiff further expressed
discontent with the property valuation
methods employed by Mr. Oberholzer.
[18]
The Trust, for its part, relied heavily on a decision of the
Constitutional Court in
Pickfords
[4]
where
that court dated that:
‘
Condonation
is not a mere formality – good cause must be shown. The concept
of ‘good cause’ is well-known in our
law. A large body of
jurisprudence has developed in our courts, particularly concerning
rescission and condonation applications.
The
requirements for ‘good cause’ are thus well established
.
Courts are afforded
a wide discretion
in evaluating what constitutes ‘good cause’ so as
to
ensure that justice is done
.
Ultimately,
the overriding consideration
is the interests of justice
, which must
be considered on the facts of each case. Factors germane to this
enquiry may include
the extent and the
cause of the delay; the effect of the delay on the administration of
justice and other litigants; the reasonableness
of the explanation
for the delay; the issue(s) to be raised in the matter; and the
prospects of success
. In Ferris this
court said:
‘(L)ateness is not the
only consideration
in determining
whether condonation may be granted …
(T)he
test for condonation is whether it is in the interests of justice to
grant it
… (A)n applicant’s
prospects of success and the importance
of the issue to be determined are relevant factors
.’
(underlining supplied)
[19]
The Trust admits that the Oberholzer report and the notice under Rule
36(9)(a) and (b) e were
not served within the timeframes established
by Rule 36(9)(a) and (b) or Rule 36(9)(A), and also failed to
adhere to
the required pre-trial procedures. The reason
provided for repudiating the joint minute by the experts, is that its
former expert
deviated from the valuation he had made without the
Trust's consent or knowledge. It further explains that after
repudiating the
joint minute, it sought the plaintiff’s consent
to tender the evidence of Mr Oberholzer, but the plaintiff refused.
[20]
The Trust submitted that the central issue, insofar as
its counter-claim is concerned,
cannot be properly and adequately
resolved without expert evidence from a professional property
valuer. If the Trust is not
permitted to tender the expert evidence
by Mr Oberholzer, it is argued that this would disadvantage the
Trust. On the contrary,
the plaintiff will not suffer any prejudice,
nor will the court face any inconvenience if the Trust is allowed to
present the expert
evidence of Mr. Oberholzer.
[21]
Regarding the plaintiff’s criticism of Oberholzer’s
report, it was argued that this
is a matter that falls within the
purview of the trial judge, as it may be premature to assess
the expert evidence before
it undergoes cross-examination. For a
court evaluating a condonation application, it was submitted, the
significance of the Oberholzer
report is that it should highlight an
issue suitable for trial. The Oberholzer's actions align with
conclusions that bolster the
Trust’s case, which is contested
by an expert hired by the plaintiff.
[22]
The proposition by the plaintiff’s counsel, relying on
Standard
General Insurance
[5]
,
that there are two jurisdictional requirements that must be proven by
an applicant for condonation, does not align with my interpretation
of that judgment. It is perhaps necessary to repeat the passage
relied upon. It reads: ‘It is well-established that an
applicant
for any relief in terms of Rule 27 has the burden of
actually proving, as opposed to merely alleging, the good cause that
is stated
in Rule 27 (1) as a jurisdictional prerequisite to the
exercise of the Court’s discretion.’
[23]
What is notable from the above passage is that it does not refer to
the two jurisdictional prerequisites
suggested by counsel, and in my
view, it is no more than the statement made in
Pickfords
that ‘Condonation is not a mere formality –
good cause must be shown’.
[24]
While the judgement highlights the necessity of offering a
sufficiently comprehensive explanation
for the court's understanding
of the circumstances, this is not framed as a jurisdictional
requirement. Instead, it is presented
as one of the
factors that a court must consider when dealing with a condonation
application. Furthermore, the judgment does
not even mention the
second requirement relating to the presence of something worthy of
consideration.
[25]
To conclude this point, in my view, the passage relied upon by
counsel merely states that an
application for condonation must
establish the good cause requirement contemplated in rule 27. It
accomplishes this without
detailing what those
jurisdictional requirements are. Moreover, if it did specify them, it
would, in any case, breach the
doctrine of precedent, given that the
Constitutional Court has stated unequivocally that ‘the
overriding consideration is
the interests of justice.
[6]
’
[26]
Turning to the facts of the present, the Oberholzer report and the
Trust’s Rule 36(9)(a)
and (b) were delivered hopelessly out of
time in relation to the current circumstances. The Trust must have
been aware that its
expert had deviated from the valuation it had
provided by at least 7 August, when the legal representatives of the
parties confirmed
that their respective experts had prepared a
joint minute. The Trust has not provided any explanation for its
decision to
t wait until June 2025 to appoint an alternative expert
for a trial that had been initially scheduled for February
2025.
[27]
On the other hand, the Trust's counter-claim is significantly reliant
on the valuation
of the property.. Without an expert valuer,
the Trust’s counter-claim cannot even commence. Furthermore,
although the appointment
of Mr Oberholzer was late, efforts were made
to have him meet with the expert employed by the plaintiff, however,
the plaintiff
refused. It is unnecessary for me to speculate on
whether such a refusal was also driven by a desire to maintain the
agreement
stemming from the Trust’s previous expert adjusting
his valuation to a more favourable one for the plaintiff.
[28]
The Trust contended that if the plaintiff had agreed to the Trust’s
involvement of Mr.
Oberholzer and the proposal for the experts to
convene, the matter would have been ready to proceed as these steps
were taken during
the early part of June, and the trial was
towards the end of July 2025.
[29]
This is, in my opinion, one of those challenging issues where
there seems to be no satisfactory
explanation for the delay on one
side, and an injustice appears imminent on the other if the
condonation is not granted.
[30]
Rules exist to facilitate the expeditious resolution of disputes, and
failing to observe them
has consequences for other parties, the
Court, as well as the entire justice system. The Trust’s
failure to follow
the rules has led to the postponement of the
matter. This is an unacceptable misuse of judicial resources,
and it is difficult
to understand how the Trust's claim that the
postponement has not inconvenienced the Court can be justified.
[31] However, the right
of access to courts is enshrined in section 34 of the Constitution.
This right may be threatened if a litigant
is compelled to
participate in a hearing under circumstances where it is
clearly evident that a fair outcome cannot
be assured. There are
times when procedural errors should not be allowed to obstruct
substantive justice, even when those errors
are solely caused by that
party. In my view, this is one such case where the interests of
justice favour granting condonation for
the Trust’s failure to
file its Rule 36(9)(a) and (b) notices in a timely manner.
[32]
The Trust seeks an indulgence for its shortcomings and should bear
the costs. Those costs should
include the costs related to the Rule
30 Application because it was instituted correctly, as the Trust had
taken an irregular step.
Both parties, in the written submissions
filed on their behalf, sought costs on scale C, and they shall
accordingly be so ordered.
Order
[33]
As a result, I make the following order:
33.1
The late delivery by the third to sixth defendants of the expert
report of Jan Daniel Swart Oberholzer (Oberholzer)
dated 26 June
2025, as per their notice in terms of Rule 36(9)(a) and (b) dated 30
June 2025, is condoned.
33.2
The third to sixth defendants are permitted to rely on the expert
report of Oberholzer dated 26 June 2025,
in accordance with their
notice under Rule 36(9)(a) and (b) dated 30 June 2025; and to call
Oberholzer as an expert.
33.3
The third to sixth defendants shall pay the costs of the application,
together with the costs of the Rule
30 Application, and such costs
shall be on Scale C.
L G NUKU
JUDGE
OF THE HIGH COURT
Appearances
For plaintiff:
A
Kantor SC
Instructed by:
CK Attorneys, Bloubergrand
Care
of:
Bisset Boehmke McBlain Attorneys, Cape Town
For the second to
sixth
defendants:
L
Hollander
Instructed
by:
EFG Attorneys, Johannesburg
C/O:
Assheton-Smith Ginsberg Inc, Cape Town
[1]
Standard
General Insurance v Eversafe
2000 (3) SA 87
(W) at 93E (Standard
General Insurance).
[2]
Van
Wyk v Unitas Hospital
[2007] ZACC 24
;
2008 (2) SA 472
(CC) at para 22
[3]
Standard
General Insurance at 83G
[4]
Competition
Commission of SA v Pickfords Removals SA (Pty) Ltd
2021 (3) SA 1
(CC) at para [54]
[5]
2000
(3) SA 87
(W) at 93E
[6]
Pickfords
at para [54]
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