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# South Africa: Western Cape High Court, Cape Town
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[2024] ZAWCHC 274
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## Prokopes N.O and Others v Limelight Property Solutions CC and Another (12884/2023)
[2024] ZAWCHC 274 (23 September 2024)
Prokopes N.O and Others v Limelight Property Solutions CC and Another (12884/2023)
[2024] ZAWCHC 274 (23 September 2024)
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sino date 23 September 2024
FLYNOTES:
CIVIL PROCEDURE – Contempt –
Poor
mental health
–
Discharge
of rule nisi sought – Conduct attributable to falling into
major depression – Precipitated by stress
of pending divorce
– Measure of compassion appropriate – Adduced no
admissible medical evidence that mental health
impeded day to day
functioning – No evidence that she was utterly incapacitated
when served with order – Not
appropriate that respondents
escape sanction – Order varied.
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN CAPE
DIVISION, CAPE TOWN)
Case No.:
12884/2023
In
the matter between:
ABIGAIL
PROKOPES N.O.
First
Applicant
ELAINE
FLORENCE ANNE DAVIES N.O.
Second
Applicant
JANETTE
RICHTER N.O.
Third
Applicant
LOURENS
MARTINUS OBERHOLZER N.O.
Fourth
Applicant
TANYA
ANNE EDWARDS N.O.
Fifth
Applicant
(
in
their capacity as trustees for the time being of the
Heron
Cove Body Corporate, Scheme Registration
SS320/1996
)
and
LIMELIGHT
PROPERTY SOLUTIONS CC
First
Respondent
SHARON
GRILLENBERG
Second
Respondent
Date of hearing: 10
September 2024
JUDGMENT DELIVERED ON
23 SEPTEMBER 2024
GORDON-TURNER, AJ:
Introduction
1.
This matter came before the Court on the return
day of a Rule
nisi
issued
on 2 April 2024 calling upon the respondents to show cause
why sanctions defined in the Order (
the
Erasmus Order
) should not be imposed
upon them for contempt of court.
2.
The applicants are the trustees for the time being
of the Heron Cove Body Corporate a body corporate and residential
community scheme
situated in the Table Bay area comprising 198
households (
the body corporate
).
The first respondent is a close corporation that operates a managing
agent business for body corporates and homeowners’
associations. The second respondent is the sole member and
controlling mind of the first respondent.
3.
The Erasmus Order found the respondents to be in
contempt of this Court’s order of 28 July 2023 (
the
July 2023 Order
), imposed sanctions
subject to the Rule
nisi
,
and awarded attorney and client costs to the body corporate. The
sanctions so proposed are a judicial fine of R100 000 upon
the
first respondent, and 90 days imprisonment upon the second respondent
respectively.
4.
The
body corporate no longer pursues the imposition of sanctions against
the respondents yet recognises the Court’s prerogative
to
maintain its dignity authority
[1]
,
and to nevertheless impose an appropriate sanction in view of its
earlier finding that the respondents were in contempt of court.
5.
The respondents seek the discharge of the Rule
nisi
, and
an order that the body corporate pay their costs incurred with effect
from 28 May 2024, alternatively that each party bear
their own costs.
Background to the
litigation
6.
The first respondent was previously mandated to
act as managing agent to the body corporate. Its mandate was
terminated on 11 July
2022 as a result of the first respondent having
failed to provide the trustees with monthly financial statements and
her convening
a special general meeting without the approval of the
trustees. From October 2022, and over the ensuing 20 months up to
10 June 2024,
seven requests were made to the respondents
on behalf of the body corporate to hand over its documents, but to no
avail.
7.
The first respondent did not heed the cancellation
of its mandate. The body corporate applied for dispute resolution in
terms of
section 38 of the Community Schemes Ombud Service Act, 9 of
2011 (
the CSOS Act
).
The first respondent was cited as the respondent.
8.
The adjudication was completed, without a formal
hearing, by December 2022 after written submissions were made by both
the body
corporate and the first respondent. The adjudication was
handed down on 11 January 2023. The adjudicator found that the
management
agreement concluded between the trustees on behalf of the
body corporate and the first respondent was lawfully terminated with
effect from 31 October 2022. The respondent was directed to
provide the trustees or their nominated representative with
the
necessary documents and with the funds requested by the trustees,
within ten days of receipt of that order as per the provisions
of
prescribed Management Rule 27(7).
9.
The
respondents contend that the CSOS adjudication of 11 January 2023 did
not come to their attention. This is belied
[2]
by what followed.
10.
Subsequent to the adjudication, both the body
corporate and its attorney, Mr De Abreu, who was then part
practising in
the firm De Abreu & Cohen, addressed correspondence
to the respondents. On 28 January 2023, the trustees sent a copy of
the
adjudication to the first respondent, requesting that the
documents be provided by 27 January 2023, failing which the matter
would
be handed over to the body corporate’s attorneys. On 27
February 2023, Mr De Abreu requested the respondents to
comply with the adjudication, failing which contempt of court
proceedings would be instituted. Mr De Abreu moved to another firm,
De Abreu Essop, thereafter, but continued to act as the attorney for
the body corporate. The movement of Mr De Abreu from one firm
to
another is the basis of a belated challenge to the authority of the
firm De Abreu Essop, to which further reference is made
below.
11.
The body corporate appointed a new managing agent,
the Belmont Group. During April 2023, Ms Faye Smee of the Belmont
Group corresponded
with the second respondent concerning the
documents that were to be delivered in terms of the adjudication by
the Ombud.
12.
On 5 April 2023, the second respondent wrote to Ms
Smee “
I will make contact with you
early next week to drop all the boxes off, kindly ensure the office
is open on the same day to enable
me to move all my property
”
.
13.
On 12 April 2023, Ms Smee wrote to the first
respondent requesting that a list of furniture that she was claiming
together with
proof of ownership be provided, and advising that a
time could be arranged for her to collect her property from the
office on the
premises of the body corporate.
14.
On 14 April 2023, Ms Smee alerted the second
respondent to the fact that at a special general meeting the previous
evening, the
body corporate had resolved that unless the documents
had been handed over by 19 April 2023, the body corporate would take
legal
steps to retrieve them. Two further reminders followed on 17
April 2023. On 19 April 2023, Ms Smee advised the second respondent
that the “
trustees will be
advising the attorney to start the legal procedures today
”
.
15.
On 28
July 2023, the adjudication order against the first respondent was
registered as an order of this Court pursuant to section
56(2) of the
CSOS Act.
[3]
16.
It is common cause that on 11 August 2023 the
registered adjudication order was duly served by way of personal
service on the second
respondent, and it thereby came to the
attention of the respondents.
17.
Despite her promises made in the April 2023
correspondence to hand over documents to the new managing agent, the
second respondent
failed to do so.
18.
She was again forewarned about contempt
proceedings on 5 September 2023.
19.
However, the trustees held back and only brought
the present contempt application against the respondents on 7 March
2024. Service
of the notice of motion and founding papers was
effected by the Sheriff on 8 March 2024 on the second respondent’s
daughter,
who is described in the respective returns of service as
“
apparently a responsible employee
and not less than 16 years of age, and in control of the principal
place of business of
[the first
respondent]” and as the “
responsible
person residing at the place of residence of the
[second
respondent]
and not less than 16 years
of age, and in control at the place of residence of
[the
second respondent]”.
20.
The second respondent’s evidence was that
her daughter did not bring to her attention that the papers had been
served. She
explains in her affidavit that her daughter is
cognitively impaired. As a result of the second respondent’s
ignorance of
the contempt application, there was no appearance for
the respondents on 2 April 2024 when the application was heard by
Erasmus
J.
21.
Accordingly, an order in default of their
appearance was granted. However, Erasmus J deviated from the prayers
in the notice of
motion which sought the imposition of a sanction
immediately upon a finding of contempt. Instead, Erasmus J ordered a
slightly
modified sanction subject to a Rule
nisi
,
thereby making a ‘coercive order’, and standing over any
‘punitive order’ for determination on the return
day.
Challenge to
authority of the body corporate’s attorney
22.
In the heads of argument delivered on behalf of
respondents, it was contended that the applicants’ attorneys of
record, De
Abreu Essop, did not have the requisite mandate to take
instructions from the applicants and to launch this application
against
the respondents. It was further submitted that the applicants
do not have the necessary
locus standi
to have launched the application against the
second respondent.
23.
In support of both these contentions, the
respondents’ counsel referred to the resolution by the trustees
of the body corporate
dated 20 April 2023 attached to the founding
affidavit. That resolution states:
“
1.
The Body Corporate hereby authorises Lourens Oberholzer
to represent
the Heron Cove Body Corporate for the purposes of:
1.1
Instituting legal proceedings and/or litigation
against Limelight Property Solutions with the ultimate goal of the
return / handing
over of Body Corporate documentation currently held
by Limelight Property Solutions.
1.2
Appointing and instructing De Abreu & Cohen
Table View Inc. as the Heron Cove Body Corporate’s attorneys of
record for
all legal matters, including but not limited to the
institution of contempt of court proceedings in the Western Cape High
Court.
2.
The Body Corporate furthermore authorises
Lourens Oberholzer to do
all such things and to sign all such documents as may be necessary to
give effect to the resolutions recorded
herein, including but not
limited to deposing to any affidavits in connection therewith.
3.
The Body Corporate hereby ratifies and accepts
any and all actions
(if any) that may have already been taken by Lourens Oberholzer on
behalf of the Heron Cove Body Corporate
to fulfil the objects of the
resolutions contained herein, even if such actions were taken prior
to date of this resolution.
”
24.
The respondents’ counsel submitted that the
resolution authorised the institution of legal proceedings only
against the first
respondent and that it authorised the appointment
of De Abreu & Cohen Table View Inc. as the body corporate’s
attorneys
of record for all legal matters.
25.
The firm of attorneys who addressed earlier
correspondence and who are on record in this application is not De
Abreu & Cohen
Table View Inc., as contemplated in the resolution,
but is De Abreu Essop Inc. The respondents’ counsel argued that
the latter
firm did not have the requisite mandate to attend to the
matter against either respondent. She further contended that because
the
body corporate did not authorise proceedings against the second
respondent, the applicants do not have the necessary
locus
standi
to bring contempt proceedings
against her. She sought a dismissal of the application on these bases
with attorney and own client
costs.
26.
At the hearing of the matter, Mr De Abreu appeared
for the applicants. He submitted that the points
in
limine
raised by respondents’
counsel had appeared for the first time in her heads of argument, yet
they should have been raised
in the respondent’s answering
papers in order to afford the applicants an opportunity to deal
therewith in reply. Given what
is at stake for the respondents in
facing a sanction from the Court, I condoned this procedural
imperfection and dealt with the
points
in
limine
by hearing argument thereon
ahead of argument on the merits.
27.
The respondents’ contentions do not engage
with the fact that Mr De Abreu deposed to service affidavits on 26
March 2024 and
on 30 April 2024 in which he states (without
contradiction in the answering affidavit):
“
I
am an adult male attorney practising at De Abreu Essop Inc., with its
offices situate at 3
rd
Floor,
Soho On Strand, 6 Rose Street, De Waterkant, Cape Town, 8001.
I
am the duly appointed attorney for the applicants therein
.
”
(my
underlining)
28.
It is furthermore plain from the contents of Mr
Oberholzer’s founding and replying affidavits that the body
corporate regarded
Mr De Abreu as their attorney of record, both when
he was with his former firm and when in his current firm.
29.
A
challenge to an attorney’s authority should be made
[4]
by way of a notice in terms of Uniform Rule 7. The respondents did
not avail themselves of this procedure. The respondents’
counsel sought to justify their failure to do so on the basis that it
would make no difference because the resolution of the trustees
was
definitive and afforded a different authority to that being asserted.
This submission misapprehends the substance of Rule 7(1)
which
provides:
“
(1)
Subject to the provisions of sub-rules (2) and (3), a power
of
attorney to act need not be filed, but the authority of anyone acting
on behalf of a party may, within 10 days after it has
come to the
notice of the party that such person is so acting, or with the leave
of the court on good cause shown at any time before
judgment, be
disputed, whereafter such person may no longer act unless he
satisfied the court that he is authorised so to act,
and to enable
him to do so the court may postpone the hearing of the action or
application.
”
30.
The
mechanism of the rule therefore allows for an attorney to procure a
power of attorney from his client or (as would apply in
this case) a
ratifying resolution which could have been attached to a replying
affidavit to thereby cure defective authority.
[5]
In this matter, satisfactory evidence is already on record regarding
De Abreu Essop’s authority to act for the body corporate.
31.
The point styled as a
locus
standi
challenge to institute
proceedings against second respondent is mischaracterised: the
framing of the body corporate’s resolution
is relevant only to
the issue of the attorney’s authority. Whether or not the body
corporate had the necessary
locus standi
to institute proceedings against the second
respondent is a matter of substantive law, quite distinct from the
issue of the attorney’s
authority to institute proceedings
against the second respondent on behalf of the body corporate.
32.
On the issue of authority, the respondents’
counsel placed great store on the wording of the resolution by the
trustees quoted
above. She urged me to consider that the resolution
contemplated proceedings against the first respondent only, and that
when reference
was made to the institution of contempt of court
proceedings, I should read this as referring to such proceedings
against the first
respondent only. Ms Steyn’s gallant attempt
to rescue the second respondent from the prospect of a sanction for
contempt
of Court requires a strained interpretation of the
resolution. I consider the wording, in its totality, to be
sufficiently wide
to enable Mr Oberholzer to instruct the attorneys
to take whatever steps were necessary to achieve the defined goals
set out in
the resolution. This would include joining the second
respondent in the contempt proceedings.
33.
The body corporate motivated the joinder of second
respondent on the basis that she is the sole member and controlling
mind of the
first respondent. There is no question that the body
corporate enjoyed
locus standi
to sue the first respondent; equally it enjoyed
standing to sue the second respondent.
34.
There is no merit in the points
in
limine
.
Evidence on
sanction
35.
Counsel for the respondents, Ms Steyn, was
critical of the formulation of the notice of motion in that (1) it
sought a finding of
contempt and the imposition of a sanction in a
single hearing, and (2) because it was not framed so as to afford the
respondents
an opportunity to purge their contempt prior to a finding
being made that they were in contempt and prior to having any
sanction
imposed. She submitted that if the notice of motion had
allowed for a two stage process, then the respondents would have had
an
opportunity to purge their contempt before any findings were made.
36.
The evidence does not support this submission.
Even if the Court accepts, in the respondents’ favour, that the
second respondent
was ignorant of the CSOS adjudication order of 11
January 2023, it is plain from the correspondence to which I have
referred above,
that (1) the body corporate called upon her shortly
thereafter to comply with it, and (2) the second respondent evinced
an intention
to provide documents, which is a substantial part of the
compliance required to purge her contempt.
37.
From 11 August 2023, the second respondent was no
longer ignorant of the Ombud’s adjudication order, or that it
had been made
an Order of this Court. It is common cause that until
30 April 2024, nearly nine months later, the respondents took no
steps whatever
to comply with the July 2023 order, or to purge their
contempt pursuant to the grant of the Erasmus Order.
38.
The second respondent’s explanation for her
supine attitude and disregard for this Court’s orders is that
she did not
register their existence and significance. This was
attributable to her falling into a major depression from late 2022,
precipitated
by the stress of a pending divorce from her husband.
That stress was exacerbated by the dependency of her special needs
adult daughter,
aged 28, who, due to chronic separation anxiety, does
not leave the second respondent’s side at any time.
39.
The
impact of poor mental health on an adult person’s functioning
cannot be trivialised.
[6]
A
measure of compassion
[7]
for
sufferers such as the second respondent is appropriate. However, this
must be tempered by the evidence of the manner in which
the second
respondent took responsibility for her mental health, and how she had
conducted herself in the period since 11 August
2023. She received
treatment for depression from her general practitioner in the period
from October 2022 to December 2023. Although
the second respondent
has retained the services of a psychologist to assist her daughter
since at least 2020, she only commenced
therapy herself in February
2024, and had had nine therapy sessions by the time her answering
affidavit was delivered.
40.
The second respondent attached to her answering
affidavit letters from her own therapist (dated 23 May 2024) as well
as her daughter’s
psychologist (dated 27 May 2024 and 9 July
2024), and from her general practitioner (dated 29 June 2024). The
contents of these
letters were not confirmed on affidavit by their
authors. Their contents largely accord with that which the second
respondent herself
stated on affidavit, both about her own mental
health and that of her daughter. Mr De Abreu did not contend that the
letters are
inadmissible; he expected the Court to have regard
thereto. He submitted that their contents do not support the second
respondent’s
contention that her breach of the July 2023 Order
was not wilful or
mala fide
.
This submission goes to the finding of contempt, which Erasmus J has
finally determined. In regard to the issue of sanction, it
would be
unjust to disregard their contents, to which some weight must be
given, having regard also to what was not canvassed in
those letters.
41.
There is no evidence that either the second
respondent or her daughter were hospitalised at any time during the
nine month period
from 11 August 2023 to 27 May 2024, nor is there
evidence that the second respondent had sought treatment by a
specialist psychiatrist
or taken prescribed medication to lift her
out of her protracted depression. Although she sketched a picture of
gross neglect of
her self-care due to her depressed state of mind,
she adduced no admissible medical evidence that her mental health
impeded her
day to day functioning to such a degree that she was
unable to register the existence of the July 2023 Order, to
comprehend its
significance, and to appreciate the exigency with
which she needed to take steps to comply therewith (as she had
indicated she
would do during April 2023, which falls within her
period of depression). There is certainly no evidence that she was
utterly incapacitated
as at 17 July 2024 when she was served with the
Erasmus Order.
42.
The second respondent professes that until she
consulted with her attorney and counsel on 25 June 2024 she did not
have any awareness
(i.e. appreciation of the meaning) of the
correspondence addressed to her by the body corporate or its attorney
from 25 January
2023 onward, or of the adjudication order, or of the
July 2023 Order.
43.
This explanation is not plausible, for a number of
reasons.
43.1.
First, the second respondent would have had to
instruct her attorney and counsel on the correspondence and orders,
and could only
have done so if she was conscious thereof.
43.2.
Second, she had participated in the exchanges of
correspondence in a coherent manner: that is inconsistent with the
picture she
has crafted of herself being apathetic and wholly
dysfunctional during the relevant period. For example, she
addressed
an email on 9 November 2023 to the body corporate’s
new managing agent, advising of the closure of her
offices for
approximately a month in the forthcoming festive season over December
/ January, requesting provision of levy statements
and inviting
queries to be addressed to her. This businesslike correspondence is
at odds with her allegations that she was utterly
incapable of
running her business at that time.
43.3.
Third, when she appeared at court on the first return day of 30 April
2024, she had a discussion with Mr De Abreu,
in which she demanded
that, as a condition of her handing over the boxes of documents
belonging to the body corporate, her furniture
in the body
corporate’s office must be returned to her. She confirmed to
him that she had the Court Order saying she must
hand over the boxes
and that she had not done so.
44.
It is plain that, for a protracted period, the
second respondent was unwilling to purge her contempt.
45.
Accordingly, I am not persuaded that any injustice
was occasioned to the respondents by the formulation of the prayers
in the notice
of motion which provided for a single rather than a
two-step process.
46.
A full
bench of this division
[8]
gave
due regard in
Chaplin
v Fine and Another
[9]
to
other cases
[10]
in which
committal or fines had been imposed as part of a single process as
well as the argument raised in
Soller
v Soller
,
[11]
in which Donen AJ had rejected the argument that the delinquent party
should be afforded an opportunity to lead evidence in mitigation
of
sentence prior to sentence being imposed (but held that
considerations of fairness may dictate such a course in some
matters).
47.
The
Chaplin
judgment per Rogers JA (as he then was) held:
“
[200]
The institution of civil contempt proceedings
on notice of motion has
been sanctioned by our highest courts. Although such proceedings have
a criminal dimension, the private
applicant has a personal interest
in having the contempt addressed by an appropriate sanction. The
approved procedure involves
the private applicant setting out, in a
notice of motion, the relief she seeks, including the sanction, and
setting out, in her
founding affidavit, the facts relevant
inter
alia
to
an appropriate sanction. Unless a court orders a separation of issues
in civil proceedings, the whole case is determined pursuant
to a
single hearing, even though certain issues might only need to be
determined if the court finds in favour of the claimant on
other
issues.
[201]
A respondent in civil contempt proceedings
is not an accused person.
I accept that where a criminal sanction is sought the respondent is
entitled to ‘analogous protections’
to those enjoyed by
an accused person but it is the substantive aspect of protection
rather than procedural technicalities that
need to be assessed when
deciding what adaptations, if any, should be made to ordinary motion
proceedings.
[202]
In relation to sanction, the most important
substantive aspect of
‘analogous protection’ is that
the respondent in civil
contempt proceedings is entitled to be heard on the question of
sanction
. The conventional single-stage procedure accommodates
this. First, the respondent in his answering affidavit is entitled,
and is
indeed expected, to advance facts germane to the issue of
sanction in case the court finds him to be in contempt. Second, the
respondent
is entitled, during argument, to make submissions of the
question of sentence if the court should find against the respondent
on
the merits.
…
[208]
I do not think that fairness dictates that
in every contempt
application where a criminal sanction is sought a two-stage process
must be followed. To insist on a two-stage
process in every case
would delay the finalisation of contempt proceedings [where
expeditious determination is usually desirable]
and involve both
parties in additional expense.
Where fairness dictates that
sanction be held over for later determination depends, in my view, on
the circumstances of the case.
I thus consider Donen AJ’s
approach in Soller to be correct.
” (my
underlining)
48.
The Erasmus Order clearly recognises that, because
the contempt proceedings had been heard and a finding of contempt
made in the
absence of the respondents, considerations of fairness
required that the Court, in this particular instance, afford them the
opportunity
to deliver papers and submissions regarding the question
of sanction. He provided that opportunity by including in his order a
provision that the sanction was subject to a Rule
nisi
.
49.
For this reason also, I find that the formulation
of the prayers in the notice of motion did not occasion prejudice or
any injustice
to the respondents.
50.
It is common cause that the Erasmus Order was duly
served upon the respondents on 17 April 2024, and, on this occasion,
the service
came to the attention of the second respondent. She
appeared without representation on the return day of 30 April 2024.
The Court
then extended the Rule
nisi
to 28 May 2024 on which date, by
agreement between the parties, the matter was referred for hearing on
the semi-urgent
roll on 10 September 2024, with a timetable provided
for the filing of affidavits and heads of argument.
51.
In her answering affidavit, the second respondent
states that after receipt of the 2 April 2024 order on 17
April 2024
she realised the “
veracity
”
of the matter and attended at Court on the return
day and extended return day. I understand her to mean that she
realised the
gravity
of
the matter. However, her evidence is that it was only after the Court
appearance on 30 April 2024 that she started taking steps
to comply
with the order of 28 July 2023. She did so with the assistance of her
husband (
Quintin
)
who delivered all hard copy documents in her offices to the attorneys
for the applicants on 27 May 2024.
52.
Her attorney (who acts for Quintin too) addressed
a series of letters dating from 14 May 2024 to 19 June 2024
to the body corporate’s attorneys asserting the second
respondent’s position that she was not wilful and
mala
fide
in her non-compliance with the
July 2023 Order. She contended that she had complied with that order,
and requested that the Rule
nisi
be discharged with costs in her favour on an
attorney / client scale.
53.
In the replying affidavit, substantial compliance
by the respondents was acknowledged. However, in a further affidavit
of 10 September
2024 deposed by Mr De Abreu, that was handed up
by agreement at the hearing, it was recorded that full compliance was
only
attained on 5 September 2024, i.e., only three court days before
the hearing on sanction on the extended return day of 10 September
2024.
54.
Counsel
for the respondents submitted that upon receiving substantial
compliance by 27 May 2024, the body corporate ought to have
withdrawn
the contempt application, and that costs from that date forth should
be for the body corporate’s account. In support
of this
submission, Ms Steyn contended that since 27 May 2024, the
trustees had failed to bring to the second respondent’s
attention any deficits in her compliance with the 2023 order and to
alert her to any documents that remained outstanding. Her alleged
compliance (and purported purging of her contempt) on 27 May 2024
comprised the delivery of multiple boxes of documents, of which
the
respondents attached photographs to the answering affidavit. Judging
by those photographs, there were no less than ten boxes
stacked in
piles at a height of no less than a metre.
[12]
Ms Steyn rightly conceded that this amount of documentation could not
reasonably have been assimilated and perused prior to the
hearing on
the extended return date of 28 May 2024.
55.
I am not persuaded by the endeavour to shift
responsibility for the respondents’ non-compliance onto the
body corporate. This
does the respondents no credit: by 17 April
2024, the respondents ought to have conducted themselves in a manner
congruent
with the gravity of a contempt finding: showing humility,
contrition and a willingness to swiftly make amends.
56.
The first respondent is in the business of
managing body corporates. Its controlling mind is that of the second
respondent. The
dispute about termination of its mandate, and its
consequent failure to effect a full handover to the newly appointed
managing
agent had been raging between the parties since mid-2022.
The second respondent was in the best position to know whether any
documents
were still in her possession and what aspects of hand over
remained outstanding. Furthermore, the applicants’ founding
papers
included a checklist of takeover documents. In my estimation,
it was plain to the respondents what was required of them and what
shortcomings there may have been in their belated compliance by 27
May 2024. No explanation was afforded for the respondents, with
Quintin’s assistance, taking nearly six weeks (from 17 April
2024 to 27 May 2024) to hand over boxes which a year earlier,
on 5
April 2023, the second respondent had intimated were ready to be
dropped off at the first respondent’s offices.
57.
After delivery of the respondents’ answering
affidavit, the body corporate’s attorney addressed an email on
30 July 2024
to the respondents’ attorney advising
that the replying affidavit would be delivered the following day, and
stating:
“…
Kindly
note that the outstanding documentation required is made up of the
Member’s Levy Statements for August, September and
October
2022. The documents received from your client were only until July
2022. Notwithstanding that fact, my clients note that
there has now
been a subsequent substantial compliance with the court order. Our
clients have never been motivated by vengeance
or malice in this
matter, they simply required compliance with the order, and
accordingly we are instructed not to request an order
for the
incarceration or the fine.
In the circumstances,
I am instructed to once again propose that this matter be settled on
the basis that our client withdraw the
application and your clients
tender the wasted costs thereof (including the costs of the
postponements). This offer will remain
open for acceptance any time
before the date of the hearing.
Should
your clients remain unwilling to accept the above offer (as we
suspect), we are instructed to proceed on 10 September for
an order
declaring your clients to have been in contempt of court and an order
for costs on an attorney client scale, however we
reiterate that no
imprisonment or fine will be sought.
”
58.
The author of the email was plainly under a
misapprehension that the issue of a contempt finding and the issue of
costs up to 2
April 2024 were also the subject of the Rule
nisi
.
However, those issues had already been finally determined by Erasmus
J. It was open to the body corporate only to move for
a
discharge of the Rule
nisi
,
and to claim costs incurred subsequent to the Erasmus Order.
59.
However, as the respondents did not respond
favourably to that email, the body corporate seeks an order that the
respondents pay
the costs of the application on an attorney and
client scale, jointly and severally, the one paying, the other to be
absolved.
The body corporate is content to leave the issue of
sanction for the Court.
60.
The respondents have delivered answering
affidavits, which served as the opportunity to deal with an
appropriate sanction. The second
respondent motivates that she was
not
mala fide
and
wilful in her failure to comply with the July 2023 Order. She asserts
that she only became aware of the CSOS adjudication that
underpins it
when she consulted with her attorney and counsel on 25 June 2024.
61.
The second respondent’s assertion does not
withstand scrutiny. She acknowledges service on her on 17 April 2024
of the Erasmus
Order; which refers in the first paragraph to the July
2023 Order when finding the respondents in contempt thereof. She had
explained
that service of the July 2023 Order did not come to her
attention when the Sheriff served it on her daughter on 11 August
2023.
However, on 17 April 2024, upon reading the reference to the
July 2023 Order in the Erasmus Order, to my mind, she was put to
immediate
enquiry to establish of what Order she had been found to be
in contempt.
There is no evidence that the second respondent
made any such enquiry, and no explanation for her failure to do so.
62.
The evidence summarised above points to the second
respondent having an appreciation of the import of the July 2023
Order
by no later
than
17 April 2024.
63.
The second respondent’s account does not
exhibit the level of conduct that the Court can expect. There is no
remorse expressed
for her breach of the July 2023 Order. The
explanation for her delay in purging her contempt –
substantially, but not completely
– only by 27 May 2024 is
unsatisfactory.
64.
The respondents’ answer to the question of
sanction is that there should be none, and that the finding of
contempt is punishment
enough, as well as the fact that she had to
bare her soul concerning her depression and her daughter’s
deficits.
Ms Steyn submitted that any fine or even a suspended
sentence would be superfluous, and not in the interests of justice.
65.
It is so that a sanction is no longer necessary to
procure compliance with the July 2023 Order, and to satisfy the
private litigant
(the body corporate). The respondents’
contempt has been purged. The body corporate is satisfied and does
not ask for sanctions.
66.
However, the Court’s authority to enforce
its own orders was first disregarded, then (on the most benign
construction of the
evidence) given inadequate attention for nearly
four months. The second respondent’s affidavit does not evince
any sense
that she considers herself responsible for contempt. Her
leisurely effort to purge the respondents’ contempt was
catalysed,
it seems, only by the imminence of each extended return
day.
There is merit in Mr De Abreu’s
submission that the contempt finding and the Rule
nisi
on
sanction were essential to procure compliance with the July 2023
Order.
67.
The
Constitutional Court has held as follows on the purpose of contempt
proceedings in
Pheko
and others v Ekurhuleni City
[13]
:
“
[26]
The starting point is the Constitution. It declares its own supremacy
and this supremacy pervades all law. Section 165 vouchsafes judicial
authority. It provides that courts are vested with judicial authority
and that no person or organ of state may interfere with the
functioning of the courts. The Constitution explicitly enjoins organs
of state to assist and protect the courts to ensure their
independence, impartiality, dignity, accessibility and effectiveness.
In order to ensure that the courts' authority is effective,
s
165(5) makes an order of court binding on 'all persons to whom and
organs of state to which it applies'. These obligations must
be
fulfilled.
...
The
object of contempt proceedings is to impose a penalty that will
vindicate the court's honour, consequent upon the disregard
of its
previous order, as well as to compel performance in accordance with
the previous order.
“
68.
Taking all the evidence into consideration, it is
not appropriate that the respondents escape sanction. The second
respondent’s
poor mental health over an extended period, the
difficulties in her personal life, and her responsibility for her
adult dependent
daughter do not constitute a licence to disregard a
court’s order, but I have taken account of them in structuring
the sanction.
69.
I accordingly order as follows:
69.1.
The Order of 2 July 2024 is varied by the
substitution of paragraph 2 thereof with the following order:
“
2.
The sanction imposed upon the First and Second Respondent shall be as
follows:
2.1
The First Respondent shall pay a judicial fine in the amount of R100
000.00 (One Hundred Thousand Rand);
2.2
The Second Respondent shall be committed to imprisonment for a period
of 30 (thirty) days, to be served as
periodic imprisonment at
weekends between 17h00 on Friday and 06h00 on Monday, such sentence
of committal suspended on condition
that she does not again commit
the offence of contempt of court.
”
69.2.
The respondents shall pay the applicant’s
costs incurred in the application from 3 May 2024 on the scale as
between attorney
and client jointly and severally, the one paying,
the other to be absolved.
F J GORDON-TURNER
ACTING JUSTICE OF THE
HIGH COURT
Appearances
Attorney
for the Applicants
Mr Paulo de Abreu
De
Abreu Essop Inc.
Counsel
for the Respondents
Adv M Steyn
Instructed
by
A B Attorneys
[1]
Fakie NO v CCII
Systems (Pty) Ltd
[2006] ZASCA 52
;
2006
(4) SA 326
(SCA) at para
[7]
[2]
It is, in any event, a
curious averment given the imperative requiring the adjudicator to
serve upon the first respondent, as
provided in section 55(1) of the
CSOS Act:
“
55
Notice of order
(1)
An adjudicator must cause a copy of an order made in terms of this
Act to be delivered to-
(a) the
applicant;
(b) the
association;
(c) the ombud;
and
(d) any
other affected person
.”
There
was no evidence that the adjudicator failed to do so.
[3]
That section provides:
“
Enforcement
of orders
56.
(1) ...
(2)
If an adjudicator’s order is for the payment of money or any
other relief
which is beyond the jurisdiction of the magistrate’s
court, the order may be enforced as if it were a judgment if the
High
Court, and a registrar of such a Court must, on lodgement of a
copy of the order, register it as an order in such Court.
”
[4]
Ganes
and Another v Telecom Namibia Ltd
2004
(3) SA 615
(SCA) at 624 I to 625A.
See also
Unlawful
Occupiers of the School Site v City of Johannesburg
2005 (4) SA
199
(SCA) at 206F to 207B.
[5]
Merlin
Gerin (Pty) Ltd v All Current and Drive Centre (Pty) Ltd and Another
1994
(1) SA 659
(C) at 660E to 661E.
[6]
The World Health
Organisation (WHO) estimates that, globally, 5% of adults suffer
from depression. See
Depressive
disorder (depression) (who.int)
Depression is the
leading cause of mental health-related disease burden globally and
affects more than 300 million people worldwide.
See Patel et al
Addressing
the burden of mental, neurological, and substance use disorders: key
messages from Disease Control Priorities
Lancet
Lond. Engl., 387 (2016),
pp. 1672-1685,
10.1016/S0140-6736(15)00390-6
[7]
As was shown by Lowe J
in
Harnwell
v Harnwell
2021
JDR 1705 (ECG) at paragraph [18], when granting condonation for a
belated leave to appeal application against a coercive
order in
contempt of court proceedings.
[8]
Erasmus
J, Steyn J and Rogers J (as he then was).
[9]
(A115/2019)
[2020] ZAWCHC 139
(21 July 2020).
[10]
At
footnote 131 of the judgment.
[11]
[2000]
3 All SA 531 (C).
[12]
Gauging
by the person standing in the foreground of one of the photographs,
whose chest line roughly aligns with the height of
the highest
stack.
[13]
2015
(5) SA 600
(CC);
2015(6) BCLR 771 (CC);
[2015] ZACC 10
at para 28
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