Case Law[2024] ZAWCHC 388South Africa
Curro Heights Properties (Pty) Ltd v Nomic 151 (Pty) Ltd and Others (22696/2024) [2024] ZAWCHC 388 (21 November 2024)
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## Curro Heights Properties (Pty) Ltd v Nomic 151 (Pty) Ltd and Others (22696/2024) [2024] ZAWCHC 388 (21 November 2024)
Curro Heights Properties (Pty) Ltd v Nomic 151 (Pty) Ltd and Others (22696/2024) [2024] ZAWCHC 388 (21 November 2024)
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sino date 21 November 2024
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN CAPE
DIVISION, CAPE TOWN)
REPORTABLE
CASE
NO: 22696/2024
In
the matter between:
CURRO
HEIGHTS PROPERTIES (PTY) LTD
Applicant
And
NOMIC
151 (PTY) LTD UNDER LIQUIDATION
First Respondent
CHAVONNES
BADENHORST ST CLAIRE COOPER N.O.
Second Respondent
SUMIYA
ABDOOL GAFAAE KHAMMISSA N.O.
Third Respondent
COMPANIES
& INTELLECTUAL PROPERTY COMMISSION
Fourth Respondent
MASTER
OF THE HIGH COURT CAPE TOWN
Fifth Respondent
ABSA
BANK LIMITED
Sixth Respondent
Coram: Parker, AJ
Matter heard on: 13
November 2024
Judgment delivered
electronically on:
21 November 2024
JUDGMENT
PARKER, AJ:
Introduction
[1]
The applicant brought this matter on an urgent basis seeking an order
by placing the
first respondent under business rescue in terms of
section 131
of the
Companies Act, 2008
.
[2]
The first respondent is a company that has been in final liquidation
and has not traded
since 2012. The application is opposed by the
second and third respondents (the liquidators of the first
respondent) and the sixth
respondent who is the only
proven creditor of the first respondent in the winding up.
The
term “the respondents” will be employed for the sake of
convenience.
[3]
The respondents contend that the application is vexatious, an abuse
of the Court and
the business rescue process in order to avoid the
finalisation of the winding up of the first respondent.
Postponement of the
urgent application
[4]
The applicant, represented by Mr Molyneux, sought a postponement of
the urgent application
on the grounds that he requires additional
time in terms of the rules, to file his replying affidavits.
He claims that he only had one day to
prepare a reply, despite being entitled to ten court days to do so in
terms of the Rules.
[5]
The respondents opposed the postponement of the matter on the basis
that it will be
prejudiced in a manner that cannot be adequately
addressed by way of an order for costs and that granting a
postponement would
not be in the interests of justice.
[6]
Whilst it is so that postponements are not for the mere asking,
[1]
however, where it is met with a tender for the wasted costs such
postponements are often than not, granted.
[2]
[7]
However, I engaged and informed the applicant that he brought this
matter to court
on an urgent basis and hence he was in control of the
timelines, so to speak. Consequently, his notice of motion not only
prayed
for urgent relief but also that the noncompliance of the rules
be condoned. He placed respondents in a position to file their
opposing
affidavit under a constrained timeline, whereas he was
seeking a postponement to deliver his replying affidavit which simply
makes
no sense
[8]
Firstly, the time periods the applicant contends he requires, are
incorrect, both
in terms of the facts and especially regarding the
uniform rules of court. Applicant failed to recognize the cardinal
principles
in bringing matters to court on an urgent basis. In terms
of the rules, the ten court days designated for delivering a relying
affidavit according to the Rules does not apply to urgent
applications, and applicant sought condonation of the time prescribed
to be dispensed with in prayer 1 of the Notice of Motion. That
is why urgent matters invariably contains a prayer for the
condonation for the noncompliance with the court rules and for an
abridgment of the time period.
[3]
After all he chose this procedure.
[9]
On the other hand, the respondents contend that the application is
urgent, given that
the vexatious application suspends the
finalisation of the winding up of the first respondent in terms of
section 131(6)
of the
Companies Act until
the application is
determined.
Vexatious litigant
[10]
Mr Molyneux is familiar with this court and has been declared a
vexatious litigant as contemplated
in the Vexatious Proceedings Act,
3 of 1956
[4]
.
He is the sole director and shareholder of the applicant and has
indicated in the founding affidavit that the applicant does not
have
funds to pay for attorneys and counsel.
[11]
The applicant, in pursuing this urgent application, is
violating the judgment issued against him by Judge Cloete on 12
November
2014. Regarding the order, Mr. Molyneux may not initiate any
proceedings without the court's permission.
[12]
I invited Mr Molyneux to present his submissions concerning his
failure to secure the necessary leave
as required, as a preliminary
step before instituting any proceedings in this court. He agreed that
he was aware of the Cloete
J order, however, he felt justified that
he could proceed as he did. He referenced another case in which he
appeared before Acting
Judge President Goliath, where he was
permitted to be heard in a matter in which he was a defendant. In
response I specifically
draw his attention to the provisions of the
order of Judge Cloete clause 2 which read:
“
2.
That the applicant is declared a vexatious litigant in terms of
section 2(1)(b) of the Vexatious Proceedings Act 3 of 1956. No
legal
proceedings may be instituted by the applicant against any person in
any division in the High Court of South Africa or any
inferior court,
without the leave of that court or any Judge of the High Court.”
[13]
Given the provisions of clause 2 above, applicant is not properly
before me in this matter. Firstly,
he is not a defendant/respondent
as he alleged he was in the matter mentioned. In interpreting the
contents of clause 2 as against
this application, it is clear that in
this matter he is an applicant.
[14]
As evidenced by the respondents submissions, the Vexatious
Proceedings Act and Judge Cloete’s
order were designed to
prevent Mr Molyneux from instituting unsubstantiated applications
against other parties, thus reducing unnecessary
expenses for
respondents and avoiding frivolous use of court resources.
Additionally I contend that Mr Molynuex is barred until
he has met
the required conditions for obtaining leave to sue, consistent with
Judge Cloete’s order.
[15]
In this matter, Mr Molyneux seeks to circumvent the prohibition
against instituting legal proceedings
without the leave of a judge or
by making use of the separate legal personality (incorporation) of
the applicant.
Irregular step
[16]
The respondents, in relying on the irregular step of the applicant,
requested that the application
be dismissed with costs. The
respondents sought closure in order to move forward with the final
liquidation proceedings. Notwithstanding
Mr Molyneux’s history
of being a vexatious litigant, judicial responsibility dictates his
rights, however skeptical the circumstances
may appear to be. This
speaks to the purpose of the Cloete J order, however, he needs to
apply for leave to do so.
Conclusion
[17]
Second and third respondents are not required to wait on the
applicant in order to proceed with the winding
up process. Therefore,
dismissing the application does not prejudice the winding up process.
Under the circumstances I am reluctant
to shut the door on a litigant
at this stage. The applicant will have to set out his reasons in
detail as to why leave ought to
be granted should he wish to pursue
the application against the first respondent. In conclusion,
there is no need for me
to determine the merits of the matter nor to
consider the postponement. I will therefore strike the
application for reasons
provided above.
Costs
[18]
I find no justification to depart from the usual costs order, that
costs follow the result. In
expressing my disdain of the applicant’s
conduct, not only by wasting the court’s resources and valuable
time, especially
when the court is seized with numerous urgent
matters vying to be heard. It is only appropriate that an award of
attorney client
costs is suitable, as applicant was fully aware of
his breach of the Cloete J order.
[19]
In the circumstances the following order is made:
19.1
The application is struck from the roll.
19.2
The applicant is liable to the respondents for costs on an attorney
and client scale.
R K PARKER
ACTING JUDGE OF THE
HIGH COURT
Appearances
Counsel
for Applicant
: Mr R J C Molyneux
Instructing
Attorney
: In Person
Counsel
for First, Second,
Third
and Sixth Respondents :
Adv. L Wessels
Instructing
Attorney
: Sandenbergh Nel Haggard – Ms E Loubser
[1]
Psychological
Society of South Africa v Qwelane and Others
(CCT226/16)
[2016] ZACC 48
;
2017 (8) BCLR 1039
(CC) (14 December
2016) Also see
Cassimjee
v Minister of Finance
2014 (3) SA 198
(SCA)
[2]
M
F v Cummins South Africa (Pty) Ltd and Others
(27028/2019)
[2020] ZAGPJHC 143 (16 April 2020) Also see
Van
Tonder v Road Accident Fund
(1736/2020; 9773/2021)
[2023] ZAWCHC 305
(1 December 2023)
[3]
Rule
6(12)(a).
[4]
Cloete
J judgment 12 November 2014
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