Case Law[2024] ZAWCHC 17South Africa
Redefine Properties Limited v B Masiqhame Trading 224 CC t/a TNT Projects and Investments and Another (4851/22) [2024] ZAWCHC 17 (30 January 2024)
High Court of South Africa (Western Cape Division)
30 January 2024
Headnotes
as follows: “[30] Postponements are not merely for the taking. They have to be properly motivated and substantiated. And when considering an application for a postponement a court has to exercise its discretion whether to grant the application. It is a discretion in the true or narrow sense – meaning that, so long as it is judicially exercised, another court cannot substitute its decision simply because it disagrees. The decision to postpone is primarily one for the first instance court to make.
Judgment
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## Redefine Properties Limited v B Masiqhame Trading 224 CC t/a TNT Projects and Investments and Another (4851/22) [2024] ZAWCHC 17 (30 January 2024)
Redefine Properties Limited v B Masiqhame Trading 224 CC t/a TNT Projects and Investments and Another (4851/22) [2024] ZAWCHC 17 (30 January 2024)
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sino date 30 January 2024
Republic
of South Africa
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN
CAPE DIVISION, CAPE TOWN)
Before: Acting
Justice Cockrell
Date of hearing:
30 January 2024
Date of judgment: 30
January 2024
Case No: 4851/22
REDEFINE
PROPERTIES LIMITED
Plaintiff
and
B
MASIQHAME TRADING 224 CC T/A
TNT
PROJECTS AND INVESTMENTS
First
Defendant
THOZAMA
NANCY TONGO
Second
Defendant
JUDGMENT
Judgment
delivered by email to the parties’ legal representatives and by
release to SAFLII.
COCKRELL AJ:
[1]
I shall refer to the parties as they are
cited in the action.
[2]
This is an exception by the defendants to
the plaintiff’s particulars of claim.
#
# The postponement
application
The postponement
application
[3]
At the commencement of the matter today, Ms
Knozer appeared on behalf of the defendants. She explained from
the bar that she
had been briefed yesterday evening and was not in a
position to address me on the merits of the exception. Ms
Knozer indicated
that her instructions were to apply for a
postponement of the hearing today.
[4]
Since there was no formal application for a
postponement, I stood down to enable Ms Knozer to take an instruction
on whether her
client wished to bring a formal postponement
application supported by a founding affidavit. On resumption, Ms
Knozer indicated
that her client did not wish to do so and that her
instructions were to apply for a postponement from the bar (i.e. not
supported
by affidavit).
[5]
After hearing argument, I refused the
application for a postponement. My main reasons for doing so
were as follows:
5.1.
In
Psychological
Society of SA v Qwelane
[2017]
8 BCLR 1039
(CC), the Constitutional Court held as follows:
“
[30] Postponements
are not merely for the taking. They have to be properly
motivated and substantiated. And when considering
an application for
a postponement a court has to exercise its discretion whether to
grant the application. It is a discretion
in the true or narrow
sense – meaning that, so long as it is judicially exercised,
another court cannot substitute its decision
simply because it
disagrees. The decision to postpone is primarily one for the
first instance court to make.
[31] In exercising its
discretion, a court will consider whether the application has been
timeously made, whether the explanation
for the postponement is full
and satisfactory, whether there is prejudice to any of the parties
and whether the application is
opposed. All these factors will
be weighed to determine whether it is in the interests of justice to
grant the postponement.
And, importantly, this Court has added to the
mix. It has said that what is in the interests of justice is
determined not only
by what is in the interests of the immediate
parties, but also by what is in the broader public interest.”
5.2.
In the present case,
there
was no explanation at all for the defendants’
postponement application (let alone an explanation that was “full
and
satisfactory”) since the defendants’ attorneys did
not put up an affidavit.
5.3.
What we do know is that the defendants’
attorneys filed a practice note on 18 January 2024 in which they
referred to the fact
that the exception was set down for argument
today. The practice note stated: “Counsel appointed: None
at this stage.”
That was almost two weeks ago.
There was no explanation on affidavit, or from the bar, as to why the
defendants’ attorneys
had not briefed counsel in good time to
argue the exception today.
5.4.
On 22 January 2024, the defendants’
attorneys filed an Index to the pleadings without providing any
indication that the hearing
would not proceed on 30 January 2024.
5.5.
The defendants have at no stage filed heads
of argument in the exception or offered an explanation for their
failure to do so.
[6]
Since the defendants had not given any
explanation for why the exception should not proceed today, I
declined the application for
a postponement.
[7]
Ms Knozer then indicated that she had no
brief to argue the exception for the defendants. Ms Stansfield,
who appeared for
the plaintiff, indicated that the plaintiff would
ask for the exceptions to be dismissed, and I proceeded to hear
argument on the
merits of the exception. That is the issue to which I
now turn.
#
# The exception
The exception
[8]
On 5 May 2022, the plaintiff instituted an
action against the defendants by way of a combined summons. The
action was based
on a lease agreement concluded between the plaintiff
and the first defendant (“the lease”). The
plaintiff claimed
rental and ancillary charges that were allegedly
due when the lease was terminated, as well as damages for the
remainder of the
lease period.
[9]
After several procedural skirmishes, an
order was issued by Mantame J on 15 August 2023 requiring the
defendants to “deliver
their plea within 10 days”.
[10]
For present purposes, I shall assume in the
defendants’ favour that the order of Mantame J did not
prohibit them from
taking an exception rather than filing a plea.
[11]
On 29 August 2023, the defendants lodged a
document styled “Notice ito rules [sic] 23(1)”.
I shall refer
to it as “the Notice”. The Notice
purported to “note exception against the plaintiff’s
combined summons”.
Confusingly, the Notice went on to
afford the plaintiff 15 days “to remove the cause of the
complaints as set out in accordance
with the precepts of Uniform Rule
23(1)(a)”, and stated that should the plaintiff not remedy the
defects “the exception
will be set down for hearing”.
[12]
The plaintiff elected not to amend its
particulars of claim in response to the Notice. Thereafter, the
defendants did not
deliver an exception in terms of Rule 23(1)(b) and
took no steps to progress the matter. The plaintiff then set
down the
Notice for hearing.
[13]
Uniform Rule
23(1) provides that an
exception may be taken against a pleading on the grounds that it is
“vague and embarrassing”
or “lacks averments which
are necessary to sustain an action”. Although the
Notice is drafted with conspicuous
imprecision, it appears to be
directed at taking exceptions falling into both categories.
Paragraph 1 of the Notice appears to take an
exception on the basis that the particulars of claim lack averments
necessary to sustain
an action, and paragraphs 2 to 15 appear to give
notice of the defendants’ intention take an exception on the
basis that
the particulars of claim are vague and
embarrassing.
[14]
The relevance of the distinction is that, in the
case of exceptions falling into the second category, Rule 23(1)
required the defendants
to afford the plaintiff an opportunity to
remove the cause of complaint and thereafter required the defendants
to deliver an exception.
[15]
The Notice did, indeed, afford the plaintiff an
opportunity to remove the cause of complaint in accordance with Rule
23(1)(a).
However, no exception was thereafter filed in terms
of Rule 23(1)(b).
[16]
I shall assume in the defendants’ favour
that the Notice is an exception in relation to the “no cause of
action”
complaints advanced in paragraph 1. Even on the
basis of this assumption, there is no exception before me in relation
to
the “vague and embarrassing” complaints because the
defendants failed to comply with Rule 23(1)(b).
#
# No cause of action
No cause of action
[17]
I have indicated that, at best for the defendants,
what serves before me is an exception that the particulars of claim
lack averments
necessary to sustain an action. That exception
is contained in paragraph 1 of the Notice.
[18]
It is no easy task to make sense of
paragraph 1 of the Notice. On the most generous interpretation,
it appears to advance
the following complaints that are intended to
demonstrate that the particulars of claim lack allegations necessary
to sustain an
action.
[19]
The defendants take exception on the basis
that the particulars of claim aver that the occupation date was 1
December 2020 even
though the lease was concluded after that date on
8 December 2020. The Notice states that “as the impugned
stipulated
occupation fell outside the perfect timeframe, no valid
agreement existed between the parties” (para 1.2). There
is
no merit in this complaint. The particulars of claim aver
that “the first defendant failed to take occupation of the
leased premises on the occupation date
or
thereafter
, thereby repudiating the
lease agreement” (para 9, my underlining). It is the
failure of the first defendant to take
occupation after the
occupation date that is alleged to have given rise to the repudiation
that was accepted by the plaintiff.
[20]
The defendants take exception on the basis
that “the plaintiff does not aver and/or set out any applicable
onerous provision(s)
in the lease agreement, which burden(s) the
first defendant to be liable for payment of the claimed rentals”
(para 1.4).
There is no merit in this complaint. Paragraph 6 of
the particulars of claim sets out the provisions of the lease that
are
said to give rise to an obligation on the part of the first
defendant to pay rent.
[21]
The defendants take exception on the basis
that the plaintiff has no entitlement “to make concurrent
claims for performance
under lease agreement and damages” (para
1.5). There is no merit in this complaint. The
particulars of claim
ask for payment of the amount allegedly owed by
the first defendant for arrear rental, ancillary charges and interest
“as
at 30 April 2021” (para 12). The particulars of
claim then ask for damages for the period 1 May 2021 to 31 December
2023 (para 17). The first of these claims is for a debt and the
second is for damages. It is not correct that the two
claims
overlap in the month of May 2021: although paragraph 8 of the
particulars of claim avers that the first defendant failed
to pay
rent for May 2021, the debt is calculated as at 30 April 2021 (see
para 12).
[22]
The defendants take exception on the basis
that the particulars of claim do not aver why the “alternative
agreement”
only lasted for six months. The defendants’
complaint appears to be that the plaintiff did not take reasonable
steps to mitigate
its damages by concluding the “alternative
agreement” for a longer period However, that is a not a
point for
exception (and certainly not an exception going to lack of
a cause of action). If the defendants’ attitude is that
the plaintiff did not take reasonable steps to mitigate its damages,
that would be a matter for evidence.
[23]
It is unnecessary to consider on a
paragraph-by-paragraphs basis all the other complaints that appear
under this heading in the
Notice. They are all lacking in
merit.
#
# Vague and embarrassing
Vague and embarrassing
[24]
I
have already indicated that there is no exception before me in
relation to the “vague and embarrassing” complaints
.
In relation to those complaints, all that serves before me is a
notice in terms of Rule 23(1)(a) affording the plaintiff
an
opportunity to remove the complaints directed at the vague and
embarrassing nature of the particulars of claim. For this
reason alone, the “vague and embarrassing” complaints
should be dismissed.
[1]
[25]
But in any event, there is no merit in any
of the “vague and embarrassing” complaints. For example:
25.1.
The defendants complain that “the
plaintiff does not aver exactly how the alleged nonperformance of a
stipulation fallen [sic]
outside the perfected timeframe of the
agreement could amount to a breach and/or repudiation thereof”
(para 2.3). The
complaint is unfounded because, as I have
already indicated, the particulars of claim aver that the “the
first defendant
failed to take occupation of the leased premises on
the occupation date
or thereafter
,
thereby repudiating the lease agreement” (para 9, my
underlining).
25.2.
The defendants complain that the plaintiff
“
does not aver, how and/or on terms
of agreement, would the first defendant be indebted to the plaintiff
[sic]” for arrear
rental and ancillary charges (para 4).
This complaint is unfounded because all the relevant terms of the
lease are summarised
in the particulars of claim.
25.3.
The
defendants complain that it is “unclear” how the
plaintiff could be entitled to damages from 1 May 2021 to December
2023 when the plaintiff is alleged to have cancelled the lease with
effect from 30 April 2021 (para 13). This complaint is
unfounded: the particulars of claim aver that, after the plaintiff
cancelled the lease pursuant to the first defendant’s
repudiation, the first defendant remained liable to pay the plaintiff
damages for breach of contract. That accords with the
principle
in our law that cancellation has the effect of terminating a
contracting party’s “primary” obligation
to
perform, while activating “secondary” obligations such as
an obligation to pay damages.
[2]
#
# Costs
Costs
[26]
The plaintiff asks for punitive costs on
the basis that the exception is an abuse of process or vexatious.
[27]
Although I have found the exception is
lacking in merit, there is insufficient evidence before me to
conclude that the defendants
are engaged in an abuse of process.
I am also not persuaded that the exception can be characterised as
vexatious. I am therefore
not inclined to award punitive costs.
#
# Order
Order
[28]
In the result, I make the following order:
1.
The defendants’ exceptions (as
contained in the “Notice ito Uniform Rules 23(1)” dated
29 August 2023) are dismissed.
2.
The first and second defendants are to pay
the costs of the exception on a joint and several basis, the one
paying the other to
be absolved.
3.
The first and second defendants are
directed to deliver a plea within twenty days.
A.
COCKRELL
Acting
Judge of the High Court
Cape
Town
30
January 2024
APPEARANCES
Plaintiff’s
counsel:
L
Stansfield
Plaintiff’s
attorneys:
Bernard
Vukic Potash & Getz
First
and Second Defendants’ counsel:
S
Knozer in the postponement application. No appearance in the
exception.
First
and Second Defendants’ attorneys:
Sharuh
Attorneys
[1]
For present
purposes, it is unnecessary for me to express a view on whether
the
“vague and embarrassing” exceptions are time-barred, as
contended by the plaintiff.
[2]
In Atteridgeveille Town Council v Livanos t/a Livanos
Brothers
Electrical
[1991] ZASCA 139
;
1992 (1) SA 296
(A) 304D-E Smalberger JA held that
cancellation “puts an end (in the case of a contract that is
executory) to the primary
obligations of the parties to perform in
terms of their contract. Certain secondary obligations, for
example, the duty
to compensate for damages arising from wrongful
repudiation, however, remain.” In CIR v Collins
[1992] ZASCA 110
;
1992 (3)
SA 698
(A) 711E-F Botha JA held that “in the case of a
unilateral cancellation on breach it is to be noted that secondary
rights
and obligations flowing from the contract and its breach, for
example in regard to damages, may be said to remain”.
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