Case Law[2025] ZAWCHC 521South Africa
Airports Company South Africa Limited v Abercrombie's Coffee Shops CC t/a Ocean Basket and Others (25781/2024) [2025] ZAWCHC 521 (10 November 2025)
High Court of South Africa (Western Cape Division)
10 November 2025
Headnotes
Summary: Exception on basis that no cause of action disclosed.
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## Airports Company South Africa Limited v Abercrombie's Coffee Shops CC t/a Ocean Basket and Others (25781/2024) [2025] ZAWCHC 521 (10 November 2025)
Airports Company South Africa Limited v Abercrombie's Coffee Shops CC t/a Ocean Basket and Others (25781/2024) [2025] ZAWCHC 521 (10 November 2025)
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sino date 10 November 2025
IN THE HIGH COURT OF
SOUTH AFRICA
WESTERN CAPE DIVISION,
CAPE TOWN
Reportable
CASE
No: 25781/2024
In
the matter between:
AIRPORTS
COMPANY SOUTH AFRICA LIMITED
Plaintiff
and
ABERCROMBIE’S
COFFEE SHOPS CC
t/a
OCEAN BASKET
(REGISTRATION
No: 2000/001346/23)
First
defendant
ALEXANDER
ABERCROMBIE
Second
defendant
JENNIFER
ABERCROMBIE
Third
defendant
KEITH
ABERCROMBIE
Fourth
defendant
Heard:
6 November 2025
Judgment:
10 November 2025
Summary:
Exception on basis that no cause of action disclosed.
ORDER
1.
The second to fourth defendants’ exception to the plaintiff’s
particulars of claim is dismissed.
2.
The second to fourth defendants are to pay
the plaintiff’s
costs of the exception
jointly and severally
, with scale
A applying.
JUDGMENT
Handed down by email to
the parties on 10 November 2025
Judgment
handed down electronically by circulation to the parties’ legal
representatives on email and released to SAFLII
KANTOR,
AJ:
1.
Legal practitioners are not infrequently faced with the topical
conundrum
of whether to argue an interpretation of a contract without
the court having had the benefit of evidence in a trial (or motion
proceedings). This arises in the main in exceptions, objections to
amendments and summary judgment (even though evidence in affidavit
form would be in amendment and summary judgment applications). If
proceeded with in one of those scenarios, a Judge is then faced
with
resolving the issue of whether the interpretation can be decided
without the matter going to trial.
2.
The present matter is such a case.
3.
An exception was taken to the Particulars of Claim on the basis that
they do not disclose a cause of action, the core aspect of the
exception being the interpretation of a suretyship.
4.
The plaintiff issued summons against:
4.1
The first defendant on the basis of a written lease agreement
concluded
between them on 18 August 2009, subsequently amended by
written addenda (“
the Written Lease
”).
4.2
The second to fourth defendants (“
the Sureties
”)
on the basis of a suretyship executed in August 2009 (“
the
Suretyship
”) which is attached to the Written Lease.
5.
Three written addenda to the Written Lease were concluded, the
cumulative
effect of which was the extension of the Written Lease to
30 September 2017 (the Third Addendum was the final extension pleaded
of the Written Lease).
6.
There were no further written extensions of the period of the Written
Lease pleaded.
7.
An extension of the Written Lease would have to be in writing and
signed by or on behalf of the parties, as required by the standard
non-variation clause contained in clause 22.9 thereof (this
would
presumably explain (at least in part) the conclusion of the addenda
which did extend the Written Lease). Clause 22.9 reads
as follows:
“
No contract
varying, adding to, deleting from or cancelling this Agreement, and
no waiver of any right under this Agreement, shall
be effective
unless reduced to writing and signed by or on behalf of the Parties.”
8.
Similarly, clause 6 of the third addendum provides:
“
Save for the
aforesaid amendments the original agreement remains of full force and
effect and shall not be varied unless such variation
is reduced to
writing and signed by the parties or their duly authorised agents.”
9.
The Written Lease therefore terminated by effluxion of time at the
end of 30 September 2017.
10.
In respect of the period from 1 October 2017, the plaintiff pleaded a
further tacit
lease (“
the Tacit Lease
”) as
follows:
“
On or about
01 October 2017 the parties entered into a tacit and/or implied lease
agreement, wherein the Plaintiff would lease the
premises [to] First
Defendant on the same terms as Annexure “A” above.”
11.
The Annexure “A” referred to is the Written Lease.
12.
Accordingly, the plaintiff’s pleaded case is that a tacit or
implied lease was
entered into between it and the first defendant on
1 October 2017 which was to govern the period going forward.
13.
The Sureties have excepted to the Particulars of Claim on the grounds
that they do
not disclose a cause of action against them.
14.
There are two main issues in this exception:
14.1
Whether the Written Lease was (purported to be) extended, which
includes whether
the Written Lease could in law be extended without
complying with clause 22.9 thereof and clause 6 of the third
addendum, quoted
above.
14.2
The ambit of the liability undertaken by the Sureties in the
Suretyship, which is
largely a question of interpretation.
15.
Mr MacKenzie, who appeared for the Sureties, conceded (after a
spatium deliberandi
), in my view correctly, that the Sureties
had to be successful on both of the above aspects for the exception
to be upheld.
16.
In regard to questions of interpretation and exceptions:
16.1
In
Picbel Groep Voorsorgfonds v Somerville; Sable Industries
Pension Fund v Nash and Others
2013 (5) SA 496
(SCA)
it was held at paragraph 26 as follows (in a minority judgment; the
majority did not take issue with this paragraph)
:
“
In
Lewis
v Oneanate (Pty) Ltd & another
[1992] ZASCA 174
;
[1992
(4) SA 811
(A)
at 817F-G] Nicholas AJA stated that an excipient bears the
burden of persuading the court that ‘upon every interpretation
which the particulars of claim’ and any agreement on which they
rely ‘can reasonably bear, no cause of action is disclosed’.”
16.2
In
Francis v Sharp and Others
2004 (3) SA 230
(C)
at 237G it was held as follows:
“
Secondly,
the Courts are reluctant to decide upon exception questions
concerning the interpretation of a contract (
Sun
Packaging (Pty) Ltd v Vreulink
[1996]
ZASCA 73
;
1996
(4) SA 176
(A)
at 186J). In this regard, it must be borne in mind that an excipient
has the duty to persuade the Court that upon every interpretation
which the Particulars of Claim can reasonably bear, no cause of
action is disclosed (
Theunissen
v Transvaalse Lewendehawe Koöp Bpk
1988
(2) SA 493
(A)
at 500D;
Lewis
v Oenanate (Pty) Ltd and Another
[1992]
ZASCA 174
;
1992
(4) SA 811
(A)
at 817F).”
16.3
In
Sun Packaging (Pty) Ltd v Vreulink
[1996] ZASCA 73
;
1996 (4) SA 176
(SCA)
at 186J it
was held as follows in regard to deciding whether an amendment should
be refused on the basis of it resulting in excipiability:
“
As
a rule, courts are reluctant to decide upon exception questions
concerning the interpretation of a contract. But this is where
its
mea
ning
is uncertain
(Dettmann
v Goldfain and Another
1975
(3) SA 385
(A) at 400 A). In casu, the position is different.
Difficulty in interpreting a document does not necessarily imply that
it is
ambiguous (
Standard
Building Society v Cartoulis
1939
AD 510
at
516). Contracts are not rendered uncertain because parties disagree
as to their meaning
(Williston
on Contracts
.
3rd ed, vol 4, para 601 (supplement)) ... For the reasons given, I do
not find the meaning of clause 3 doubtful. Properly interpreted,
it
has only one meaning. It affords the appellant the right to
terminate. This is what Mitchell AJ found. His conclusion that the
amendment should be refused was therefore the correct one.”
16.4
It was also held in
Sun Packaging
at 184CD as follows:
“
It
would seem that the evidence of … background facts, is part of
the context and as such is always admissible. It has been
described
as encompassing the ‘genesis of the transaction’ or its
‘factual matrix’. Its aim is to put the
Court ‘in
the armchair of the author(s)’ of the document …
Evidence of surrounding circumstances, on the other
hand, is only
justified in cases of uncertainty or ambiguity. At least this is the
conventional thinking. But the possibility of
adopting a more liberal
approach has recently been raised by this Court …”
16.5
The distinction between background and surrounding circumstances
identified in
Sun Packaging
no longer exists:
KPMG v Securefin Ltd
2009 (4) SA 399
(SCA)
at
409J-410A.
16.6
All relevant contextual circumstances are admissible in all cases of
interpretation,
not only cases of ambiguity:
Natal
Joint Municipal Pension Fund v Endumeni Municipality
2012 (4) SA 593
(SCA)
at
paragraph 18,
University of
Johannesburg v Auckland Park Theological Seminary
2021
(6) SA 1
(CC)
at paragraphs 65-69, 81
and 87-92 and
Capitec Bank Holdings
Limited and Another v Coral Lagoon Investments 194 (Pty) Ltd
2022
(1) SA 100
(SCA)
at paragraph 25 which
reads:
“
Our
analysis must commence with the provisions of the subscription
agreement that have relevance for deciding whether Capitec Holdings’
consent was indeed required. The much-cited passages from
Natal
Joint Municipal Pension Fund v Endumeni Municipality (
Endumeni)
offer guidance as to how to approach the
interpretation of the words used in a document. It is the language
used, understood in
the context in which it is used, and having
regard to the purpose of the provision that constitutes the unitary
exercise of interpretation.
I would only add that the triad of text,
context and purpose should not be used in a mechanical fashion. It is
the relationship
between the words used, the concepts expressed by
those words and the place of the contested provision within the
scheme of the
agreement (or instrument) as a whole that constitutes
the enterprise by recourse to which a coherent and salient
interpretation
is determined. As
Endumeni
emphasised, citing well-known cases, ‘[t]he inevitable point of
departure is the language of the provision itself’.”
16.7
Subsequent to
Endumeni
, albeit without referring to it,
the Supreme Court of Appeal held as follows in
Picbel
at paragraph 27 (in a minority judgment; the majority did not take
issue with this paragraph):
“
What
these authorities mean in this case is that if the relevant clauses
of the settlement agreement (for it is its terms that make
or break
the funds’ cause of action for purposes of the exceptions) can
reasonably bear any meaning that supports a cause
of action in terms
of s 2(12) of the ADA, the exceptions must fail – and the
appeal must succeed. If, on the other hand,
the relevant clauses of
the settlement agreement can only reasonably bear the meaning
attributed to them by the respondents, and
they are incapable of
sustaining a cause of action based on s 2(12) of the ADA, the
exceptions must be upheld – and the appeal
must fail.
”
16.8
In
Tsaperas v Boland Bank
[1995] ZASCA 150
;
1996 (1) SA 719
(A)
at
724C it was held that:
“…
a
deed of suretyship must be interpreted restrictively and in favour of
the surety. It does not mean that the agreement must not
be
interpreted sensibly
.”
17.
One must remain mindful of the fact that
Sun Packaging
was decided before the
Endumeni
era (although it was
prescient in this regard: see at 184D, quoted above), which is
reflected in its distinction between background
and surrounding
circumstances with the latter only being admissible in the case of
ambiguity.
Sun Packaging
was, however, applied in
Picbel
after
Endumeni
was decided and
reported (albeit without reference to
Endumeni
).
18.
On my understanding of the authorities I think that the following can
be distilled:
18.1
Courts are reluctant to decide on exception questions of
interpretation of a document
(which would include a contract of
lease), but it is not prohibited and is permissible in certain
situations. The ambit for this
has, however, probably diminished in
the context of
Endumeni
.
18.2
Difficulty in interpreting a
document does not necessarily mean that it is ambiguous.
18.3
Contracts are not rendered
uncertain because parties disagree as to their meaning.
18.4
If the meaning of a clause
of a contract is doubtful, it ought not to be decided on exception.
18.5
To uphold an exception, a
pleading must be
excipiable on every
interpretation that can reasonably be attached to it
and
the document(s) on which it is based
.
18.6
The distinction between background and surrounding circumstances no
longer exists
and those circumstances are admissible in all cases of
interpretation.
18.7
However, that is not a license for a free-for-all and the evidential
exercise must
remain disciplined by the principle that ‘
[t]he
inevitable point of departure is the language of the provision
itself’
(
Capitec
) and that while “
evidence
may be admissible to contextualise the document (since ‘context
is everything’) to establish its factual matrix
or purpose or
for purposes of identification, ‘one must use it as
conservatively as possible’”
(
KPMG
at paragraph 39). In
KPMG
the Supreme Court of Appeal
lamented the disregard of this discipline in trials, in respect of
both lay and expert witnesses (at
paragraphs 38 to 40).
18.8
A suretyship is interpreted restrictively and in favour of the
surety. That, however,
is not to say that the document must not be
interpreted on the normal principles of proper interpretation. It is
to say that, in
cases of the normal interpretation process (which
always involves the consideration of context) resulting in doubt or
ambiguity,
the restrictive interpretation will prevail.
The
argument that the Written Lease was extended
19.
In argument, the plaintiff contended that the Written Lease had been
extended. In
my view, this accords with neither the facts, the terms
of the Written Lease and the law:
19.1
An extension of the Written Lease would amount to a variation of its
terms, which
is required by clause 22.9 thereof to be in writing and
signed by or on behalf of the parties. That is not pleaded.
19.2
On what is pleaded by the plaintiff (see paragraphs 6 to 12 above),
the Tacit Lease
is a separate and different agreement to the Written
Lease. The fact that it is on the same terms as the Written Lease
makes no
difference to this. Put another way, the operation of the
Written Lease ended on 30 September 2017 and was succeeded by the
operation
of the new Tacit Lease from 1 October 2017.
19.3
This accords with the legal position. As held in
Golden Fried
Chicken (Pty) Ltd v Sirad Fast Foods CC and Others
2002
(1) SA 822
(SCA)
at paragraph 4:
“
After
the termination of the initial agreement and prior to this letter the
parties (in the light of the facts recited) conducted
themselves in a
manner that gave rise to the inescapable inference that both desired
the revival of their former contractual relationship
on the same
terms as existed before. Taken together, those facts establish a
tacit relocation of a franchise agreement (comparable
to a tacit
relocation of a lease) between the appellant and Sirad (
Shell
South Africa (Pty) Ltd v Bezuidenhout and Others
1978
(3) SA 981
(N)
984B-E).
A
tacit relocation of an agreement is a new agreement and not a
continuation of the old agreement
(
Fiat
S A v Kolbe Motors
1975
(2) SA 129
(O)
139D-E;
Shell
985B-C).
The fact that the appellant had forgotten that the agreement had
lapsed is beside the point because in determining
whether a tacit
contract was concluded a court has regard to the external
manifestations and not the subjective workings of minds
(
Fiat
S A
138H
-139D).”
[underlining added]
20.
Mr Mnyandu, who appeared for the plaintiff, argued that the plaintiff
could prove
a waiver of the right to rely on the non-variation clause
22.9 and thereby establish an oral (or tacit) extension of the
Written
Lease. That, however, is not pleaded, and is therefore
irrelevant to the merits of the exception. Mr MacKenzie, who appeared
for
the Sureties, pointed out in addition that clause 22.9 of the
Tacit Lease (quoted above and incorporated from the Written Lease)
excluded waiver of any right under the agreement.
21.
The plaintiff claims “
R4 491 896.24 …
in respect of rental and other charges
” and
“
R118 892.75 … in respect of the cost of
restoring the premises to the condition and order prior to the lease
agreement.
”
22.
The plaintiff pleaded that it “…
terminated the lease
agreement by termination notice dated 12 April 2024.
” The
‘lease agreement’ as defined in the Particulars of Claim
is the Written Lease and therefore this termination
is a reference
thereto. That reference is incorrect because, as explained above, in
terms of the Particulars of Claim, the Written
Lease had terminated
by effluxion of time almost 7 years previously on 30 September 2017,
whereafter the Tacit Lease was in place.
Therefore, it could have
only been the Tacit Lease which the plaintiff could have terminated
in April 2024.
23.
Similarly, the obligation to restore the premises on termination of
the Tacit Lease
is in terms of the Tacit Lease, not the Written
Lease, the terms of which were simply pleaded to be incorporated in
the Tacit Lease,
and which had come to an end many years before. The
rental and other charges for the almost seven-year period from 1
October 2017
to the date of termination in April 2024 could only have
been in terms of the Tacit Lease. While, as mentioned,
an
excipient has the duty to show that “
the
pleading is excipiable on every interpretation that can reasonably be
attached to it
” (
FNB
v Perry
2001 (3) SA 960
(SCA)
at 965CD), in my view it could not be reasonably interpreted that the
claim is in respect of the period prior to 1 October 2017.
24.
In my view, therefore, the Particulars of Claim cannot disclose a
cause of action
based on the Written Lease having been extended. Its
pleaded case is, in my view correctly, the Tacit Lease,
The
ambit of the Suretyship
25.
With the Written Lease out of the picture, the question then becomes
whether the Suretyship
implicates the Tacit Lease.
26.
This is where the legal question of interpretation of a contract on
exception, considered
above, looms large.
27.
The Suretyship is attached to the Written Lease as an addendum. Its
first term records
that it is a suretyship for all obligations of the
first defendant to the plaintiff “
in terms of the lease
agreement to which this suretyship is attached
” – in
other words, the Written Lease (which is defined as ‘
the
lease agreement’
in the Suretyship). As mentioned, that
lease terminated on 30 September 2017.
28.
The above wording is plain, crisp and unmistakable as to the ambit of
liability of
the Suretyship being restricted to the Written Lease.
Were that to be it insofar as the relevant wording of the Suretyship
is concerned,
the exception would have succeeded.
29.
That wording may, however, be seen to begin to lose some of its
plain, crisp and unmistakable
lustre in the company of clause 2 which
provides as follows:
“
Without
derogating from the generality of any of the provisions of this deed
of suretyship or the ambit of the obligations embraced,
our liability
shall cover all claims for compensation or damages which the Lessor
may at any time have arising out of the enforcement,
breach or
cancellation of the lease agreement, including cancellation pursuant
to the provisional or final liquidation or judicial
management of the
Lessee.”
30.
I say this because clause 2 may appear to have a tension within its
construct:
On the one hand, it specifies ‘the lease
agreement’ (ie the Written Lease), appearing to reinforce the
limited ambit
of liability recorded upfront in the Suretyship. On the
other hand, however, it expressly provides that this is “
Without
derogating from the generality of any of the provisions of this deed
of suretyship or the ambit of the obligations embraced
…
”,
the words
generality
,
any provisions
and
ambit of
obligations
suggesting that there may be something else in the
document in this regard.
31.
One must then consider whether any other provisions of the Suretyship
might impact
the ambit of liability covered by it. Why I think this
may appear to create a tension is because clause 4 provides that the
Suretyship:
“…
shall
remain in force as a continuing security for any indebtedness of the
Lessee to the Lessor notwithstanding any immediate settlement
of
amounts owing by the Lessee, the termination of the lease agreement
and notwithstanding our death or disability.”
32.
Mr MacKenzie contended that the proper interpretation of this clause,
in the context
of the Suretyship, its plain, crisp and unmistakable
(my choice of words) first term referred to above and the Written
Lease, is
that it preserved the liability of the Sureties for
obligations arising from the Written Lease, notwithstanding the
termination
thereof.
33.
Mr Mnyandu argued that the wording in clause 4 of the Suretyship
covered any indebtedness
of the first defendant to the plaintiff. Mr
Mackenzie submitted that this is an extremely wide ambit of
liability, for example
in delict, enrichment or under an altogether
different contract.
34.
In my view, there is considerable force in Mr Mackenzie’s
argument which may
well be difficult to combat at trial for various
reasons, for example:
34.1
The overall ambit of liability expressly recorded up-front in the
Suretyship, which
is for it to be in respect of obligations in terms
of the Written Lease (which expired on 30 September 2017), is plain,
crisp and
unmistakable in its terms.
34.2
Clause 4 provides for the continuing nature of the Suretyship. For
example, it survives
termination, ie notwithstanding that the Written
Lease may terminate, amounts due in terms thereof are still covered
by the Suretyship.
34.3
A suretyship is construed restrictively and in favour of the surety.
35.
However, pregnant in that forceful argument is the following:
35.1
The Suretyship must be interpreted in context.
35.2
If that exercise results in the wider interpretation contended for by
the plaintiff,
then that is the interpretation.
Tsaperas
is an example (albeit a much more obvious one than the instant
matter): there the court declined to accept the restrictive
interpretation contended for by the surety.
36.
Had “any indebtedness of the Lessee to the Lessor” in
clause 4 been followed
by “in terms of the lease agreement”
(the Written Lease is defined as such in the Suretyship) I think that
there would
have been no issue and the exception would have been
upheld. But those limiting words (or others) do not appear and the
“any
indebtedness” remains unqualified, at least in
express terms. That “any indebtedness” could potentially
mean
any indebtedness in terms of the Written Lease or any
indebtedness generally. The effect of clauses 2 and 4 is, in my view,
to
create the possible tension as articulated above.
37.
In the context of an exception, a court is reluctant to interpret a
contract. Were
it not for the possible tension I have perceived from
clauses 2 and 4, I would have had no such reluctance in this matter.
With
such possible tension, it is my view that this is not properly
to be decided on exception. While my inclination on what is before
the Court in the exception is that the Sureties’ case may well
be difficult to combat at trial, evidence is known to upset
such
inclinations, and I tend to the view that the interpretation exercise
in this matter ought to take place in the context of
a trial with the
relevant evidence (mindful of the constraints mentioned in
KPMG
),
and not in the sterile zone of an exception.
38.
In the premise, it is my view that the exception ought not to be
upheld.
39.
A final point: Mr Mnyandu argued that the common
exclusions of the defences
of
non numeratae pecuniae
(funds
not received),
non
causa debiti
(no cause for the
debt),
errori calculi
(error in calculation) and
beneficia
excussionis et divisionis
(the benefits of excussion of the
debtor and division of the debt between sureties) in clause 4 means
that the Sureties had by
agreement abandoned the right to make use of
the exception procedure in Court. That argument has no merit –
those defences
have nothing to do with whether a court procedure can
be used – and need not be considered further.
40.
Neither counsel submitted that costs should not
follow the result. As to scale, they both requested scale C. My
perception is that
this has become a fairly common and predictable
request. Scale C is reserved for unusually complex, important or
valuable matters.
This exception is not such a matter (see the
observations in
Mashavha v Enaex Africa (Pty) Ltd
2025 (1) SA 466
(GJ)
, mainly at paragraphs 16 to 21
).
Scale A shall apply.
41.
In the premise, it is ordered as follows:
1.
The second to fourth defendants’ exception to the plaintiff’s
particulars
of claim is dismissed.
2.
The second to fourth defendants are to pay the
plaintiff’s
costs of the exception jointly and
severally, with scale A applying.
A Kantor
Acting Judge of the
High Court
Appearances
for the Plaintiff:
Counsel:
K Mnyandu
Attorneys:
Diale Mogashoa Attorneys (T Jantjies)
Appearances
for the Second to Fourth Defendants:
Counsel:
P Mackenzie
Attorneys:
Bernadt Vukic Potash & Getz (G Ford and K Farmer)
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