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# South Africa: Western Cape High Court, Cape Town
South Africa: Western Cape High Court, Cape Town
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[2024] ZAWCHC 408
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## Richards and Others v Rabie and Others (11872/2022)
[2024] ZAWCHC 408; [2025] 1 All SA 487 (WCC) (2 December 2024)
Richards and Others v Rabie and Others (11872/2022)
[2024] ZAWCHC 408; [2025] 1 All SA 487 (WCC) (2 December 2024)
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sino date 2 December 2024
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN
CAPE DIVISION, CAPE TOWN)
REPORTABLE
CASE
NUMBER: 11872/2022
In
the matter between
ANDREW
WESLEY RICHARDS
FIRST APPLICANT
ADRIANA
RICHARDS
SECOND APPLICANT
JAMES
RICHARDS
THIRD APPLICANT
and
GHER
RABIE
FIRST RESPONDENT
PHILLIPUS
JAKUBUS LODEWIKUS SWART
SECOND RESPONDENT
ELAINE
PAULSEN
THIRD RESPONDENT
ADELE
VAN TONDER
FOURTH RESPONDENT
ANNA-MARIE
SWART
FIFTH RESPONDENT
HENNIE
DE BOD
SIXTH RESPONDENT
JUDGMENT
Date
of hearing: 15 November 2024
Date
of judgment: 2 December 2024
BHOOPCHAND
AJ:
1.
There are three Applicants in this matter, but this application
involves the First Applicant alone (“The Applicant”). The
First Applicant was the Apostolic leader of the Kings Church
International, Robertson (“the Church”, “KCI-R”),
the Chairperson and member of the Church’s Board
(“the
Board”). The Church was affiliated with the Kings Church
International, United Kingdom (“KCI-UK”).
The Applicant
is a spiritual leader of KCI-UK and a senior pastor of that Church.
The First to Third Respondents are members of
the Board.
2.
This application began as a two-part application where urgent
interim
interdictory relief was sought against the First to Third Respondents
to stop them from executing the resolutions taken
on 22 June 2022,
pending the determination of the relief sought in part B of the
application. The resolutions resulted in the adoption
of a new
constitution for the Church (“the 2022 Constitution”)
which parted ways materially from its predecessor (“the
2017
Constitution”), particularly in severing ties with KCI-UK and
paving the path for the exclusion of the Applicant. This
Court
is assigned to determine the relief sought in Part B, except for the
declaration that the Second and Third Applicants are
members of the
Church Board. The Applicant states that the Second and Third
Applicants, who are his wife and son, are no longer
parties to the
application.
3.
The Applicant seeks orders declaring that two meetings held
by the
Board of the Church on 22 June and 16 November 2022 were invalid and
that all decisions and resolutions adopted at those
meetings are
void. The Applicant seeks ancillary relief against the First to Third
Respondents. They are to attend a meeting to
be called by the First
Applicant to enable the appointment of two spiritual leaders from
KCI-UK, alternatively one, to the Board
and to pay the costs of this
application. The First, Second, and Third Respondents feature
prominently in this application. The
remaining Respondents do not.
The First to Third Respondents shall be referred to as the
Respondents unless the context requires
them to be cited separately.
4.
The history of the Church relevant to this application is that
it
began in the nineteen eighties as the Filadelfia Church. The
Applicant became involved in the Church in 2009. The Church changed
its name to the KCI-R in the same year. In 2014, the Applicant was
appointed Chairperson (“Chair”) of the Board. The
Church
is a non-profit organisation, constituted as a voluntary association.
The Church operates under a constitution. The 2017
and 2022
iterations are the subject of this application.
5.
The Applicant explained that the partnership between Kings Church
International, United Kingdom (“KCI-UK”) and KCI-R began
when the Filadelfia church was struggling and Pastor Erasmus,
who led
it, and other leaders of that church, asked for the Applicant’s
assistance. The Applicant alleged that he helped
the Church for
several years until the Filadelfia church was closed, and a symbolic
burial was held to mark the moment. On 29 March
2009, the
KIC-Robertson was launched in close partnership with KCI-UK. The
partnership was fundamental to the new church. It was
announced that
the Church was neither Afrikaner nor English but one where all races
were welcome.
6.
The 2014 Constitution reflected the partnership between the
Robertson
leaders, churchgoers, and the KCI-UK. KCI-UK substantially supported
the Church financially, spiritually, training and
assisting local
people to undertake leadership positions in the Church. The Applicant
elaborated on the cooperation between the
two churches. The
constitution of the Church reflected the shared history, activities,
and continuing partnership. The constitution
was drafted and adopted
to incorporate, regulate, and ensure the continuation of the
relationship between the two churches. The
relationship is a core
element of its essence.
7.
The Respondents answered the Applicant’s allegations about
the
partnership between the Church and KCI-UK by describing the
Applicant’s narrative as being false. They assert that the
Church existed long before the Applicant attempted to take it from
the community of Robertson. As a Board, they have not had insight
into the KCI-UK. There were no joint Board meetings, and nobody from
KCI-UK, apart from the Applicant and his son, was actively
involved
in the sermons or management of the Church. The Respondents
referred to certain aspects of the constitution to assert
the
Church’s independence.
8.
The Respondents contended that KCI-UK’s involvement arose
from
the familial relationship between the Applicant and Pastor Gert
Erasmus. The Applicant's children married the children of
Pastor Gert
Erasmus. This did not mean that the churches had entered into a
partnership. KCI-UK’s apostolic vision based
on the G12
disciple movement was incorporated into the Church’s teachings
through the Applicant’s involvement. The
Respondents and most
congregants had become disillusioned with the G12 theology and moved
away.
9.
The Respondents deny that the Filadelfia Church struggled and
that it
was symbolically terminated and reborn as a partner or branch of
KCI-UK. They accept that the Church’s name changed
in 2009. The
Church was not dependent on the relationship with KCI-UK. The
Respondents did not acknowledge the substantial contributions
made by
KCI-UK, including purchasing the ground where a new church is to be
built. The Respondents eventually conceded this aspect
in oral
argument.
10.
The Respondents asserted that the Board had not met since November
2019, and
the Applicant did not intend to call a meeting. The
Respondents noted that the Church was not joined as a party to this
application
but took this aspect no further. The Board members
became estranged over the years, and their discord peaked in 2021.
They
grew concerned about the Applicant’s attitude as Chair. He
unlawfully assumed unfettered control over the Church and the Board
for reasons unrelated to the Church but more to his family's
financial interests. The 2017 Constitution specified a two-year
tenure
for Board members, permitting them to avail themselves of
further appointment. The provision was replaced with a practice
developed
since 2014 that permitted members to remain until they
resigned or retired. On 24 February 2021, the Applicant
convened a
Board meeting at the Respondents’ behest, ending
with them not attending when they learnt they would not be
re-appointed.
The Applicant appointed his wife and son and removed
the First to Third Respondents from the Board. The First to Third
Respondents
asserted their right to remain Board members.
11.
The Applicant instituted an earlier application in this Court to
prevent the
First to Third Respondents from claiming they remained
members of the Board. The Honourable Willie J dismissed the
application
for interdictory relief on 27 October 2021 but declared
that as
at
23 February 2021 and 27 October 2021, the members
of the Board were the Applicant and the First, Second, and Third
Respondents (“the
27 October 2021 order”). The Applicant
sought leave to appeal the 27 October 2021 order. Wille J denied
leave to appeal.
The Appellant petitioned the Supreme Court of Appeal
(“SCA”) to no avail.
12.
Emboldened by the 27 October 2021 order and the refusal of leave to
appeal it,
the First to Third Respondents proceeded to convene a
Board meeting simultaneously with the Applicant. The Applicant had to
adjourn
his meeting because it lacked a quorum. Although the
Applicant had appointed his wife and son as Board members, and the
three would
have been quorate in terms of the numbers, the 2017
constitution prohibited appointing more than two members with
familial ties.
The First to Third Respondents proceeded with their
meeting and made extensive amendments to the Church’s
constitution, culminating
in them adopting the 2022 Constitution on
22 June 2022. The Respondents interpreted the 27 October order to
mean that the Court
had overrode the constitutional qualification
requirement, and the Board, with four members, them and the
Applicant, were constituted
to conduct the Church’s business.
13.
The expected fallout and legal wrangle that ensued from the
Respondents’
interpretation of the 27 October 2021 order led
them to seek clarification of the order through a variation
application under Rule
42(1)(b) of the Uniform Rules of Court
(“URC”). Wille J ordered on 30 September 2022 (“the
30 September 2022
order”) a variation of the 27 October
2021 order. The order differed from the 27 October 2021 order in its
wording.
The Church's Board members as
of
24 February 2021 and
27 October 2021 were the Applicant, the First, Second, and Third
Respondents,
and no other person or persons
.
14.
The relief sought by the Applicant, i.e., to declare the Board
meetings of 22
June 2022 and 16 November 2022 invalid, requires this
Court to determine whether the Board was properly constituted on
those days
to conduct the Church’s business. To adjudicate this
application, the Court has to interpret the 2017 Constitution
and the 27 October 2021 and 30 September 2021 orders.
15.
In his
written argument, the Applicant cited case law relevant to the
administration of voluntary associations. A voluntary association's
constitution and rules and regulations constitute a contractual
agreement between its members.
[1]
Notice of a meeting should be given in terms of an association's
constitution. Only the agenda items can be considered at the meeting.
A meeting has to be properly convened and properly constituted. A
quorum and the proper person in the chair are essential for a
properly constituted meeting.
[2]
The meeting must be a meeting of the Board constituted as per the
constitution. A group of people who do not comply with the
constitution's
requirements are not the Board and cannot act as such.
The exception to this rule raised by the Applicant shall be addressed
under
the following heading in this judgment.
[3]
A quorum of members (i.e., the number specified in the constitution)
must be present. A quorum is the minimum number of qualified
members
entitled to attend and vote and whose presence is required at a
meeting for the business transaction to be valid.
[4]
16.
The proper
approach to interpreting legal documents is to read the words used in
the context of the document as a whole and in light
of all relevant
circumstances attendant upon its coming into existence.
[5]
The court in
Endumeni
explained that this is how people use and understand language.
Whatever the nature of the document, consideration must be given
to
the ordinary rules of grammar and syntax, the context in which the
provision appears, the apparent purpose to which it is directed
and
the material known to those responsible for its production.
Where more than one meaning is possible, each possibility
has to be
weighed against all these factors. The process is objective, not
subjective. A sensible meaning is preferred to one that
leads to
insensible or unbusinesslike results or undermines the apparent
purpose of the document.
[6]
Construction is a unitary exercise.
[7]
THE
2017 CONSTITUTION
17.
The 2017 Constitution outlines the fundamental principles and rules
regulating
the Church’s activities, operations, and business.
It has fourteen Articles, many clauses, and two appendices. The
Church
had changed its name from Filadelfia to Kings Church
International, perhaps the most compelling symbol of its relationship
with
its United Kingdom counterpart.
18.
The Articles include a ‘Definitions and Roles’ section,
which defines
the Board as the body with overall responsibility for
the Church’s management and comprised of its leaders. The
Apostolic
leader is assigned the task of Chairing the Board and
setting the agendas for Board meetings.
19.
Article 8 of the constitution, ‘Appointment and Removal’,
regulates
the Board members. Clause 8.1 requires the Board to attempt
to reach a consensus on appointing and removing its members. Where
consensus is impossible, decisions are made based on majorities
indicated in the other sub-clauses of Article 8. Clause 8.2 specifies
that:
“
The Board shall
consist of at least three Board members. At least two Board members
must
be spiritual leaders of King’s Church International
in the UK…At least three Board members will not be connected
persons
in relation to each other and no single person directly or
indirectly controls the decision making powers relating to such
organisation.”
20.
The first two requirements of clause 8.2 are couched in obligatory
language,
i.e., the Board shall have at least three members, and at
least two must be spiritual leaders of KCI-UK. The second requirement
of clause 8.2, using the word ‘must’, conveys a strong
and definitive imperative that is even stronger than ‘shall’.
The phrase ‘at least’ sets a minimum requirement.
It establishes a baseline or threshold that must be met, allowing
for
the possibility of exceeding it. The Board has to have a minimum of
three members and two spiritual leaders of KCI-UK to be
properly
constituted. The Board can have more than three members and more than
two spiritual leaders of KCI-UK. Failure to comply
with obligatory
provisions results in invalidation of the action taken or other legal
consequences.
21.
The circumstances that eventuated on 22 June 2022 is that the Board
had four
members, one of which was a spiritual leader of KCI-UK. The
Board was not properly constituted under the second obligatory
requirement
of clause 8.2 of the constitution. If clause 8.2 was
properly applied, there was no longer a constituted Board capable of
making
any lawful decisions on behalf of the Church. Could this Board
remedy the defect before conducting any further Church business?
Perhaps the better question would have been whether a Board in a
similar situation could remedy the situation. This Board had split
into two camps, pulling in different directions. They were incapable
of remedying anything collectively, and each side was also
pursuing
their own agendas, to the exclusion of that of the Church. If the
constitution were to be applied literally, then neither
side could
conduct the business of the Board. The drop in the number of
spiritual leaders appointed by KCI-UK rendered the Board
inert unless
it could appoint another spiritual leader of KCI-UK as a Board member
in an improperly constituted state.
22.
If the answer to the previous question is in the affirmative, then
the following
one is whether there is a provision in the constitution
to enable the Board to appoint another spiritual leader of KCI-UK
once
the number has fallen to below two. Clause 8.3 refers to
Appendix 1 of the constitution, which lists the names of the eight
members, including the Chair of the Board, at its inception. Clause
8.5 provides two guidelines for selecting Board members. These
include biblical directives on leadership qualities and the need to
mix skills, knowledge, experience and diverse backgrounds to
foster
good governance and operational experience. Clause 8.6 is couched in
the present tense and contains directory language:
“
Board members are
appointed for a period of two years, after which they may offer
themselves for re-appointment if they so desire…”
23.
Clause 8.6 contains exceptions about the position of the Chair of the
Board,
who enjoys a protected status until two years after they cease
to be the Chair. The appointment of a new Chair follows a prescribed
process involving the Church and KCI-UK. Clause 8.7 permits members
to resign. Clause 8.8 allows the Board to remove members by
a
two-thirds majority of those participating in the meeting. Clause 8.4
bears duplication:
“
Any subsequent
Board members are appointed by a resolution of the Board: a
two-thirds majority of those participating in the meeting
is
required.”
24.
Clause 8.4 is cast in the present tense, and its provision requires a
prescribed
majority rather than a consensus decision. The situation
that prevailed on 22 June 2022 was that the Board was not properly
constituted
in that it lacked one KCI-UK spiritual leader. To
rectify the situation, the Board had to appoint at least one further
KCI-UK
spiritual leader through a resolution supported by two-thirds
of its members. The First to Third Respondents did not do this in
their meeting. They proceeded to conduct the business of the Church
and amend its constitution. The Court returns to the pertinent
question. Was an improperly constituted Board capable of implementing
clause 8.4 to achieve the obligation contained in clause
8.2 to
achieve constitutional compliance?
25.
The
Applicant relied upon a 1911 decision of the full bench of three
judges of the Transvaal Provincial Division to support his
contention
that a Board can act if the constitution gives the members of the
Board the power to appoint additional members even
though it is
improperly constituted in that its numbers as prescribed have fallen
below a minimum. The remaining members may meet
to appoint additional
members, as the Board's first task is to realign it with the
constitution's provisions.
[8]
26.
Deutsche Evangelische
is distinguishable in more than one
sense on the facts with this application but not on the legal
principles that apply. It addressed
a reduction in the numbers and
not in the qualification of members of the Board. The case involved
locus standi
of an improperly constituted Board to demand the
release of a title deed from the Respondent who had served as its
treasurer. The
constitution required the church council to include
the pastor as the permanent chair and at least four and not more than
seven
wardens as members. It specified that the church council
elected by the congregation “shall consist of the pastor, as
the
permanent chairman, and at least four and not more than seven
wardens as members for the time being… In the event of a
vacancy
occurring…the Church Council shall…elect a
warden as a substitute”.
27.
The council was empowered to elect a warden as a substitute if a
vacancy arose.
The number of wardens reduced to three, i.e., below
the prescribed minimum after others resigned. In the latter respect,
the facts
track those
in casu
, in that the number of spiritual
members of the Board reduced to one, rather than the obligatory two
specified in the KCI constitution,
except that the number of Board
members had not fallen to the minimum threshold of three. The two
other distinguishable features
of the case were that the council
convened the church meetings, and the congregation elected the
council. The constitution of KCI-R
listed the inaugural Board
members, and the Board appointed subsequent members. The KCI-R
empowered the Chair to set the
agenda for its meetings, and by the
time this matter was heard, the issue of whether a Board member could
call or convene a meeting
had been resolved in that any Board member
could call a meeting of the Church Board.
28.
The court a quo in
Deutsche Evangelische
restricted its
inquiry to the clause specifying the number of wardens on the church
council. It found that the clause specifying
the number of wardens
was obligatory. The Court decided that once their number fell below
the prescribed minimum, there was no
church council, and the members
acted as private individuals. They had no right to ask the Court to
compel the past treasurer to
hand over the title deed. As in this
case, the judgment alluded to dissatisfaction amongst a certain
portion of the church community.
The meeting that had been
called to authorise the council to obtain the title deed had co-opted
two wardens to comply with
the constitutional requirement that at
least four wardens be on the council. The Respondent objected to the
council's power to
co-opt further wardens once its number had fallen
below the minimum. The congregation alone had that power.
29.
The KCI constitution acknowledged the inaugural Board members and
empowered
the Board to appoint subsequent Board members every two
years. A practice had developed where the Board recycled its members
until
they ceased being so by resignation or other reasons. The issue
in
Deutsche Evangelische
was not about the qualification
of the council but about its numbers. The constitution of that church
required a minimum of five
council members: the pastor and four
wardens. The number had fallen to four. The only course available to
the council was to call
a congregation meeting to fill the vacancies.
30.
In their respective judgments, the three appeal judges in
Deutsche
Evangelische
considered the relationship between the clause that
specified the number of wardens and that which permitted the
substitution of
wardens once their number fell below the threshold of
four. A direct interpretation of the clauses would be that once the
council
fell to below five members, no church council could transact
the church’s business without filling the vacancy. The clause
permitting substitution would not have assisted as no council could
implement it. The first of three judges found that the latter
argument was untenable. Upon properly constructing the two
obligatory clauses, the Judge reasoned that the remaining elected
members had the right and were under a duty to fill the vacancy. The
latter interpretation avoided making the substitution
clause
inoperative when only four members remained on the council. The
situation when the council was reduced to four members was
a legal
subtlety that the parties never contemplated (or, more probably, the
drafters of that constitution did not foresee). All
three
appeal judges upheld the appeal.
31.
Deutsche Evangelische
would be authority for the proposition
that when a council or board reduces below a number specified in the
constitution of a corporation
or organisation, and there is a
provision for that council or board to fill the vacancy occurring,
then the council or board should
first fill that vacancy and become
properly constituted before it conducts any further business of the
corporation or organisation.
32.
In casu
, clause 8.4 empowers the Board to appoint any
subsequent members. Clause 8.4 follows clause 8.3, which lists the
inaugural members
of the Church Board. When clause 8.4 refers to “any
subsequent board members,” it means any board members appointed
after the inaugural board, and it caters to the situation that
existed on 22 June 2022. Using the word “are” as in
“any
subsequent Board Members are appointed by a resolution…”
functions as a form of the verb ‘to
be’ and
indicates the present tense describing the state or condition of
subjects, usually nouns or pronouns. It qualifies
the subsequent
appointment of Board members. Clause 8.4 is cast in the present
tense, meaning that it applies whenever a vacancy
arises either from
a drop in the minimum numbers, i.e., three Board members or a drop in
the qualification criteria, i.e., at least
two spiritual leaders of
KCI-UK, the Board is empowered to rectify its constitutional profile
before it conducts any further business
of the Church. It is also
couched in permissive or directory terms, meaning that the peculiar
circumstance is less onerous to overcome
than the facts in
Deutsche
Evangelische
, where the full Bench had to contend with two
obligatory clauses.
33.
As the Board had recourse to clause 8.4, meaning that it could fill a
vacancy
on it without referral to the congregation, and whose wording
did not present any insurmountable legal obstacle, the Applicant and
First to Third Respondents could have regularised the Board to make
it properly constituted. They had a duty to do so.
34.
The Applicant contended that the Respondents recognised they had to
be a
validly constituted Board to amend the constitution. They
attempted to meet this difficulty by asserting that the orders made
by
Willie J constituted the Board and removed the obligatory
requirement that it must include at least two spiritual leaders of
the
KCI-UK. The Respondents rely upon Willie J's judgments to contend
that a court order overrode the composition of the Board as specified
in its constitution. Willie J declared that the Applicant, the First
to Third Respondents, and no other persons comprised the Board.
Whether Willie J's judgments permit the construction contended by the
Respondents would depend upon the interpretation of the judgments.
35.
Three judgments pertain to this application: the 29 October 2021
order, the
leave to appeal judgment, and the 30 September 2022 order.
The 22 June 2022 meeting intervened. The Court shall follow the
temporal
sequence in examining each of these events.
THE
27 OCTOBER 2021 ORDER
36.
The
principles of interpretation in
Endumeni
apply equally to the interpretation of judgments and orders.
[9]
In interpreting a judgment or order, the court’s intention
should be ascertained primarily from the language of the judgment
or
order. As in the case of interpreting a document, the
judgment or order and the court’s reasons for giving
it must be
read as a whole to ascertain its intention.
[10]
The intention of the Judge giving the order has to be established
from the judgment itself. It serves no purpose to second guess
the
thinking of the Judge when he made the order. The starting point is
to determine the manifest purpose of the order.
37.
It is
necessary to place the order in proper perspective and to consider
the context in which it was made.
[11]
There is no essential difference between an ‘order’ and a
‘judgment’. In some cases, an ‘order’
refers
to a decision given upon relief claimed in an application on notice
of motion, petition or other machinery recognised in
practice. In
contrast, a ‘judgment’ refers to a decision given upon
relief claimed in an action. When used in the general
sense, the
word' judgment' comprises both the reasons for the judgment and the
judgment or order.
[12]
38.
The
manifest purpose of the judgment is to be determined by considering
the relevant background facts that culminated in its being
made.
[13]
A fairly recent illustration of the linguistic, contextual and
purposive approach to the interpretation of a judgment or order
is to
be found in
Elan
Boulevard (Pty) Ltd v Fnyn Investments (Pty) Ltd,
in
which it was said that ‘[a]n order is merely the executive part
of the judgment and, to interpret it, it is necessary to
read the
order in the context of the judgment as a whole’.
[14]
39.
The parties involved in the application that led to the judgment were
the Applicant
and the Church on the one side and the First to Third
Respondents on the other. The Church and the Applicant shall be
collectively
referred to as the Applicant and the three Respondents
as the Respondents in interpreting the judgment unless the context
requires
a specific reference to them as cited. The judgment begins
by stating that it was initially about certain interdictory relief
sought
by the Applicant to prevent the First to Third Respondents
from acting in any manner as members of the Board. The
Applicant’s
position was that the tenure of the First to Third
Respondents was for two years and lapsed automatically after that,
even though
they could avail themselves for re-appointment. The
Applicant contended that the Respondents should not have automatic
renewal
to the Board. He appointed his wife and son as Board members
in the interim.
40.
The
Respondents relied upon the 2017 Constitution for their appointment.
They remained members of the Board even if their membership
lasted
for two years, as they were re-elected in September 2019. Their
membership to the Board could not have elapsed until a duly
constituted board meeting occurred. The Applicant convened a Board
meeting on 24 February 2021. The Respondents insisted that they
remained members of the Board. A further meeting was rescheduled for
5 March 2021. The Respondents requested that the persons responsible
for the Church’s finances ignore any direction given to them by
the newly appointed Board. The Judge considered that the
latter
request triggered the Applicant's urgent application.
[15]
The urgent application morphed into a full-blown application for
final relief with a referral of a limited number of issues in
dispute
to oral evidence
41.
The Applicant relied on the 2014 Constitution, alleging that the 2017
Constitution
merely amended certain terms of the earlier one. The
Judge did not agree, finding instead that the 2017 Constitution
applied. The
judgment lists some clauses of the constitution,
including the requirement that the Board have two spiritual leaders
from KIC-UK.
None of the clauses were examined in detail or relied
upon for the ratio of the judgment, which emphasised the practice
that had
developed to automatically renew the tenure of Board members
without formality since the adoption of the 2014 Constitution.
42.
The judgment summarised the Applicant’s case. The Applicant
wanted the
Respondents to cease performing any Church function as
they were no longer Board members, were not re-elected, and their
membership
of the Church and the Board had lapsed. The Applicants
stated that the First and Second Respondents were appointed to the
Board
on 30 November 2014. They were re-appointed on 30 November
2016, 2018, and 2020.
43.
The Respondents’ case was that there were no disputes about
them being
members of the Board. After they disagreed on certain
issues, the Applicant’s governance of the Church became a cause
for
concern. The governance concerns sparked the dispute about the
Respondents’ membership of the Board. No member of the Board
was ever expressly re-elected or re-appointed. The Respondents
continued in office consensually and unanimously. As the constitution
speaks of consensus in appointing Board members, they were simply
re-appointed, and their terms of office tacitly or impliedly
extended. The Respondents believed a meeting scheduled for February
2021 would be postponed at their behest as they remained Board
members.
44.
The judgment then summarised the oral evidence. Following a pastoral
visit of
the Applicant, the Church came into being in November 2014.
The Applicant set the agendas for the Board meetings. No meetings
were
held in 2020 due to the Covid pandemic, and none between 24
November 2019 and 24 February 2021. The Applicant testified that he
remained the only Board member after November 2020. After seeking
legal assistance, a formal Board meeting was scheduled for 24
February 2021. The Applicant conceded that he never informed the
Respondents they would not be appointed as Board members or were
not
Board members as of 24 February 2021. The Applicant’s
wife and son were appointed as Board members with him on
24 February
2021, the latter despite the ‘connections clause’
contained in the constitution. (Clause 8.2 prohibited
at least three
Board members from being connected persons in relation to each
other). The only indication of an impending change
was when the
Applicant suggested a reshuffle was necessary as he no longer wanted
couples on the Board. The applicant could not
explain why he
subsequently appointed his wife if he wished to exclude couples from
the Board. The Applicant testified that the
Board meeting of 24
February 2021 could not be postponed as it was the first scheduled
meeting in fourteen months.
45.
The Applicant’s son testified that the persons involved in the
Church
initially enjoyed a close relationship. The appointment of the
Board was never an issue as it occurred through consensus. He
accepted
responsibility for not holding meetings during 2020. He
could not explain why the Respondents were not informed before 24
February
2021 that they were no longer members of the Board.
46.
Ms. van Tonder testified on behalf of the Respondents. She is an
auditor and
volunteered to assist with the Church’s finances
until she became a salaried employee. Van Tonder resigned in January
2020.
She testified that the Church purchased a property in 2018 to
erect a new church. Funds amounting to about R13.8 million were
raised
for the church's construction. She confirmed that no formal
nomination process was followed for appointing Board members. The
tenure
of Board members continued beyond the two years specified in
the constitution. No discussion about re-appointment or re-election
ever ensued during her tenure as an employee and Board member. Her
attempts to register the Church as a non-profit organisation
under
the Non-Profit Organisation Act 71 of 1997 were not pursued by the
Applicant.
47.
In his ‘Discussion’, the Judge dealt with the First
Respondent’s
membership of the Board. It began before the
Applicant's involvement but became contentious before the Applicant
appointed his
wife and son as Board members. The Respondents'
membership became an issue after they raised governance matters
relating to the
Church. No Board member was expressly re-appointed or
re-elected. The Respondents continued in office consensually
and unanimously
without any complaint or resistance and under the
consensus provision in the constitution. The 28 November 2018 meeting
minutes
reflected, among others, that the First and Second
Respondents would continue as Board members. At that meeting, the
board considered
implementing a structure for re-appointing members
serving two years, but none was adopted.
48.
The Respondents were precluded from participating in the Board
meeting held
on 24 February 2021. They expected the meeting to be
postponed. Two-thirds of the Board members had to be present to
constitute
a quorum for a valid Board meeting. The Judge agreed that
the Applicant was not authorised to appoint his wife and son as Board
members. It was also in direct violation of the connections clause.
At all material times after November 2020, the Respondents
continued
with their duties with the knowledge and acceptance of the Applicant.
The Respondents received an invitation to attend
the Board meeting on
24 February 2021. The Judge agreed that the Board had assented to and
acquiesced in the continued membership
of the Respondents as Board
members. The Respondents were not properly notified of the meeting
where their tenure was terminated.
This was contrary to the
constitution and occurred without any procedural fairness.
49.
The
Applicant conceded that a split had occurred between him and the
Respondents regarding certain affairs of the Church.
[16]
The Respondents embarked on steps to unseat him. The Respondents’
status as Board member was not in jeopardy before the 24
February
2021 meeting. The Applicant added the issue of the Respondents
membership of the Board to the agenda of the 24 February
2021
meeting. The Respondents requested that the meeting be postponed and
took legal advice. The Judge described the situation
as the
Respondents being somewhat “ambushed”. The refusal to
postpone the Board meeting was not declined emphatically.
The
Applicant agreed that his response to the request for the
postponement was ambiguous. The result was that the Respondents were
removed from the Board in less-than-ideal and transparent
circumstances. The Applicant contended that removing the Respondents
from the Board was merely a holding pattern. The Judge found the flaw
in this argument was that the Applicant appointed his wife
and son,
who remain members of the Board. The Applicant’s son and van
Tonder testified that the reappointment of Board members
after their
two-year term would continue through unanimous assent.
50.
The
Honourable Willie J concluded by stating that the entire application
had eventuated because the Respondents had expressed their
displeasure and concerns about the Applicant’s governance of
the Church. The Applicant proceeded irregularly and questionably
to
exclude the Respondents from the Church's decision-making process
impermissibly. The evidence of the Applicant’s witnesses
was,
at times, extremely evasive
[17]
.
The Respondents’ witness persuaded the Judge to accept their
version. For the reasons provided and mostly on the common
cause
facts, the Judge favoured the doctrine of unanimous assent relied
upon by the Respondents. The Judge believed that the provisions,
timelines and periods of the 2017 Constitution, and not the 2014
Constitution, found application. The Respondents were members
of the Board at the very least until 9 September 2021. The Church was
not validly authorised to raise the application by way of
the
resolution upon which it purportedly relied for this authority. There
was no reason why the Applicant should not have approached
the Court
for a declarator instead of the interdictory relief sought. The
Court understood that the parties were seeking
a declarator as the
agreed order requested a determination of the identity of the persons
who made up the Board as
at
23 February 2021. A declarator was sought as to the identity of the
persons who comprised the Board as
at
the date of the determination of the opposed application.
51.
The order granted was that the application for interdictory relief
was dismissed.
The members of the Board as at 23 February 2021 were
the Applicant and the First to Third Respondents. The members of the
Board
as at the date of the order (27 October 2021) were the
Applicant and the First to Third Respondents. The Court
a quo
and the Supreme Court of Appeal dismissed the Applicant’s leave
to appeal the judgment.
52.
The order was made up of three parts. The first was the dismissal of
the interdict
sought by the Applicant so that the First to Third
Respondents could desist from performing any function or role as
members of
the Board. The second part of the order declared that the
Applicant and the First to Third Respondents were the Board members
as
at 23 February 2021 and 27 October 2021. The third part of the
order granted costs against the Applicant. The text of the order
in
the second part is clear except for the use of the preposition “at”
to define the date on which the Applicant and
the Respondents were
members of the Board. The context wherein it was used appears from
paragraph 46 of the judgment, which refers
to the parties seeking a
declarator from the Court. The Judge states that he was asked to
decide the identity of the persons who
made up the Board on the two
dates. He declared who the Board members were
on
two separate
dates. The circumstances relating to this order were that it followed
from a failed order for interdictory relief
seeking to exclude the
Respondents from the Board. The purpose of the order was to reinstate
the Respondents to the Board in the
context of their exclusion at the
Board meeting held on 24 February 2021.
THE
APPLICATION FOR LEAVE TO APPEAL
53.
The Applicant accepted that the application for an interdict was
correctly dismissed.
The Applicant argued for the first time that the
Honourable Willie J should have found the Applicant’s wife and
son were
members of the Board on the two dates specified in the 27
October 2021 order. The Judge believed that the Applicants were
introducing
new factual material on appeal. The core issue for leave
to appeal concerned the status of the Board meeting of 24 February
2021,
which precluded the Respondents from participating. The
Respondents believed that the meeting would be postponed. The
Applicants
pleaded that only the Applicant was left as the remaining
Board member. To allow the new factual material on appeal would be
prejudicial
to the Respondents.
54.
The Judge reasoned that constitutionally, two-thirds of the members
of the Board
had to be present to constitute a quorum for the
meeting. On the Applicant’s version, the only member of the
Board on 23
February 2021 was the Applicant. The Applicant’s
son had resigned from the Board. No evidence was placed before the
Court
that supported the appointment of the Applicant’s wife.
The Respondents argued that the Applicant, acting alone, was not
subsequently authorised to appoint his wife and son as Board members.
The appointment of the wife and son directly violated the
“connected
persons” clause in the 2014 and 2017 Constitutions. The
Respondents continued as Board members with the
assent of all
parties.
55.
The judgment on the application for leave to appeal takes issue with
the Applicant's
contention that the Court should have found that the
Applicant’s wife and son were members of the Board on the two
dates
specified in the order. Although the judgment denies the ground
of appeal premised on the Court’s alleged omission to ratify
the appointment of the Applicant’s wife and son, it does state
that the Respondents’ contention that the Applicant,
acting alone, was not authorised to appoint his wife and son, was
correct.
THE
2022 CONSTITUTION
56.
The Respondents, believing that the membership of the Board had been
resolved,
called for a meeting on 22 June 2022 and sent the proposed
agenda to the Applicant. By this time, the application for leave to
appeal to this Court and the SCA had been denied. The circumstances
that led to the adoption of the 2022 Constitution can be gleaned
from
the 27 October 2021 order and the answering affidavit. The
Respondents had become increasingly concerned before 2021 that
the
Applicant’s conduct and pronouncements displayed a disregard
for the constitution and the values of the Church. The Applicant
dealt with the affairs of the Church and the Respondents in an
increasingly autocratic manner, culminating in their exclusion from
the Board.
57.
The Third Respondent sent out a notice for the 22 June meeting after
a month
had elapsed since the SCA denied the Applicant leave to
appeal and he had not convened a meeting of the Board. The Applicant
agreed
to have the meeting but insisted that his wife and son would
attend as they were members of the Board. Applicant contended that
the Chair of the Board determined the agenda for Board meetings. The
Applicant provided the invitation and agenda for the meeting
of 22
June 2022. He augmented the agenda with further items that needed the
Board’s attention, including his son’s
membership. The
Applicant indicated that he sought to provide a way forward for the
good of the Church by seeking broad agreement
between the Board
members. The Respondents subsequently added these items to the agenda
of their meeting.
58.
The Applicant’s legal representative informed the Respondents
that the
Court had not addressed the position of the Applicant’s
wife and son on the Board. The Applicant then sought to exclude the
Respondents’ attorney from attending the meeting, claiming that
legal representatives had never attended Board meetings.
The
Respondents took umbrage at this allegation as the Applicant had
previously invited legal representatives to the meetings.
The effect
of the further exchanges between the Applicant’s attorney and
the Respondents was that both parties decided to
proceed with
simultaneous meetings. The Applicant’s attorney informed the
Respondents that if they proceeded with their meeting,
it would have
no legal effect. The Applicant’s meeting was adjourned for lack
of a quorum, but the Respondents proceeded.
59.
The Respondents contended that the Applicant was invited, was
available, and
could have attended their 22 June 2022 meeting, where
his agenda items were added to theirs. The only substantial reason
advanced
by the Applicant for refusing to attend the meeting the
Respondents’ called was that his wife and son were not invited.
He
insisted they attend the meeting. The Respondents contended that
nothing in the 2017 Constitution suggested that meetings may only
follow an agenda determined by the Chair nor that only the Applicant
is entitled to call meetings. The Applicant had testified
before
Willie J that anyone can call a meeting and that he expected the
Respondents to call a meeting and prepare an agenda. The
Respondents
reminded the Applicant that attending a meeting on his own would not
constitute a quorum, nor would there have been
a quorum if his wife
and son were in attendance. The Respondents asked what the purpose of
calling a meeting would be if they could
not determine what was
discussed there. It would render democratic participation in board
meetings a sham. The Chair could decide
what is discussed, limit the
agenda to items he wanted, and avoid anything contentious.
60.
The Respondents asked the First Respondent to preside as Chairperson
in the
absence of the Applicant, who had not nominated any of them in
his stead. The Respondents allege that they complied in all
respects with the requirements of Article 14 concerning amendments to
the constitution and Article 7 relating to meetings, resolutions,
and
procedures. They made substantial amendments to the 2017
Constitution, eleven in all. The new clause 2.2, which defined the
Chair of the Board, excluded the Apostolic Leader of the Church as
its Chair. The Chairperson would be selected from the rank of
Board
members by a majority vote and shall preside over Board meetings. The
Chairperson would not have a deciding vote. Clause
7.4 removed the
casting vote of the Chairperson. Clause 7.6 removed the right of the
Chair to appoint a Board member to substitute
for them in their
absence from meetings. The members present at future Board meetings
were empowered to appoint an acting Chairperson
to preside over a
meeting unattended by the Chair.
61.
Clause 8.2 removed the requirement that at least two Board members
must be spiritual
leaders of KCI-UK. The new clause 8.2 was
subdivided into three subclauses. It made provisions for the Board to
comprise at least
three members or more, provided the total was an
odd number. The connection clause was extended to exclude three or
more persons
connected through familial or marital ties from serving
on the Board. Clause 8.3 reflected the Board members as the Applicant
and
the three Respondents on the date of approval and acceptance of
the constitution. The Applicant did not sign the acceptance and
approval of the 2022 Constitution. Clause 8.6 removed any
preferential position of the Chair and set a procedure for appointing
Board members every two years.
62.
Clause 8.11 removed the procedure for appointing a subsequent Chair
of the Board,
which previously included the participation of
spiritual leaders from KCI-UK. The new clause required that a simple
majority of
the members of the Board appoint any subsequent Chair of
the Board. Clause 8.12 removed the requirement to consult relevant
advisors
and the leadership of closely related churches when
appointing a Chair of the Board. Clause 8.14 excluded the
participation of
the KCI-UK in removing the Chair of the Board.
The new clause allowed for the removal of the Chair or any other
member of
the Board by a two-thirds majority of Board members present
at the meeting. Clause 11.4.1 excluded the approval of remuneration
for the Chairperson by members of the Board.
63.
The Applicant bemoaned the adoption of the 2022 Constitution without
his participation
despite the agenda items he submitted being tabled
at the meeting. He asserted that the Board meeting on 22 June
2022 did
not comply with the 2017 constitutional requirements in
place on that date. The Board was not constituted per the requirement
that
at least two members be spiritual leaders of KCI-UK. The
amendments replaced the Chair without the involvement of KCI-UK.
64.
The Applicant asserted that the amendments were fundamental to the
character
of the Church. The Respondents had purported to give
themselves unchecked power to control the Church, including the power
to remove
him as Chair and member of the Board. The Applicant
repeated the constitution’s requirement that the Board must
include
at least two persons who are spiritual leaders of KCI-UK. On
the Respondent’s version, the Board, which met on 22 June 2022
and took the decisions, had only one such member, namely him. It was,
therefore, not validly constituted. The Applicant was advised
that
where a Board is not properly constituted, and the Board is itself
responsible for appointing members, the remaining members
can take
the necessary steps to fill the vacant positions to enable the Board
to be properly constituted. It is impermissible for
an improperly
constituted Board to amend the constitution. An improperly
constituted group of members is not a Board.
65.
The Applicant contended that the meeting of 22 June 2022 was
unconstitutional,
unlawful, and invalid as it breached the Church’s
constitution. The agenda was not properly determined, and the members
present
did not constitute the Board as the constitution prescribed.
The Respondents had already mooted the proposed amendments to
the
constitution that occurred on 22 June in February 2022. The
Respondents had never explained how a Board not properly constituted
could amend a constitution.
66.
The Respondents denied that the Board was not properly constituted
when the
June and November meetings occurred. They amended the
constitution to, among others, bring it in line with the October 2021
order,
thereby overcoming the problem created by clause 8.2 of the
2017 constitution. Given the opportunity, the Applicant would have
removed them at his first opportunity. The Applicant never mentioned
that the Board was dysfunctional or inoperative through the
September
2022 order, or that this needed to be addressed, and that two members
from KCI-UK needed to be added for this purpose.
67.
The
Applicant contended that the Respondents became disillusioned with
the G12 disciple theology and had moved away from it. This
represented a fundamental change in the doctrine and nature of the
Church. It is established in law that a voluntary association,
like a
church, cannot change its fundamental nature and doctrine and take
over its assets.
[18]
68.
The
Respondents took issue with the Applicant’s reliance on
Murray
v SA Tattersalls
[19]
to contend that a voluntary association cannot change the fundamental
nature and doctrine of the association and take over its
assets. The
Respondents position was that they had not changed the core of the
Church’s objectives, rather that they moved
away from the G12
disciple theology. The Respondents contended that the relevance of
this authority is uncertain. The case was
an application for
liquidation under the provisions of the 1909 Companies Act. The
Respondent had operated as an association for
betting and gambling on
horseracing, an activity that had been declared illegal. The
Respondent contended that it was more of a
social club to meet for
social or convivial purposes, which contention was rejected by the
Court. The Court held that the principal
object or business of the
Respondent had been rendered illegal and that the purpose for which
it was formed had become impossible.
On that basis, it was held that
it would be just and equitable for the Respondent to be wound up,
despite the resolution of a three-quarters
majority of owner members
to reconstruct with another object of association. The situation is
wholly distinguishable from this
case, where the Church and the Board
intend to continue operating as a Christian church. The Board had no
intention of changing
the fundamental nature of the association. The
Court agrees with the Respondents interpretation and agrees that the
cited case
has no application to the facts
in
casu
.
69.
Similarly,
the Respondents contended that reference to
Wilken
v Brebner
[20]
was misplaced. In that matter, the chairperson of a branch of the
National Party sought interdictory relief based, in part, on
a
majority resolution that the entity would unite with the South
African Party to form a new party. The amalgamation would have
the
effect of using the assets of the National Party to further the
interests of the new party to be formed. The Applicants sought
to
rely on the judgment of the minority. The majority judgment
explicitly stated that the majority of the voluntary association
could not act contrary to the express terms and conditions of the
association. Still, it noted that whether an individual member
has
such a right depends on the nature of the voluntary association's
constitution. The Court, in that matter, noted that the constitution
must be interpreted to give effect to the party's objects.
70.
The Applicant contended that in the case of a body like a church, the
majority
cannot change the fundamental nature and doctrine of the
church and take over the assets of the church. The Respondents
protested
that nothing was alleged in the papers to suggest that the
Respondents wished to do anything that would change the Church's core
objectives or fundamental nature.
71.
The Applicant alleged that the largest asset of the Church is a
property in
Robertson, which it bought in 2018. KCI-UK contributed
about R5 million (in current value) to the purchase of the property.
The
Applicant contended that the Church had always been organically
linked to KCI-UK. The Applicant assumed a central role at the request
of the senior pastor in establishing the Church, or according to the
Respondents’ version, the conversion of Filadelfia church
into
KCI-Robertson. KCI-UK assisted in the formulation of the
constitution of the Church. The constitution provides
that the
Chair of the Board is appointed by a resolution of a joint meeting of
the Board together with the spiritual leaders of
KCI-UK. Two-thirds
of the members of both bodies must vote in favour of a Chair before
they are appointed. KCI-UK had, from
2014 to 2021, made grants
totalling more than £300 000 (about R7 million) to the
Church. KCI-UK had made many ministry
trips to assist the Church at a
cost of £109 227. Leaders of the Church had visited the UK
on many occasions for training
and conferences. The constitution
reflected that shared history, activities, and continuing
partnership.
72.
The Applicant contended that the Respondents had unilaterally
dissolved the
Church and reconstituted it under the same name with a
fundamentally different structure. They had given themselves
unchecked power
to control the Church to the exclusion of KCI-UK. In
response to the contention that the exclusion of the representatives
of KCI-UK
from the Church would sever the link between the Church and
KCI-UK, the Respondents contended that this was never an issue until
these proceedings commenced and not intimated until the filing of the
supplementary founding affidavit. This the Respondents characterised
as a last-gasp attempt on the Applicant's part to cling to the
unilateral power he exercised over the Board. No reference was made
to the putative partnership, added as an afterthought in the
supplementary founding affidavit. The only intimation in the founding
affidavit is the bare assertion that the Church was affiliated with
Kings Church International. On the Applicant’s version,
the
relationship was one of affiliation rather than a partnership. The
Respondents contended that the Applicant became involved
in the
direction of the Church after 2012. The Applicant’s role before
that was of spiritual oversight.
73.
The evidence before this Court is that the Church had a relationship
with KCI-UK
beginning with the Applicant and sustained through
generous financial, spiritual, and educational benefits. The
Respondents
have acknowledged that the emphasis of KCI-UK was
discipleship from a G12 perspective, even though they have moved away
from it.
The First to Third Respondents, all of whom were inaugural
members of the Board when the 2017 Constitution was adopted and
probably
Church leaders before that, cannot deny that relationship,
which is entrenched in certain clauses of a document to which they
were
signatories. The name adopted by the Church further belies any
submission to the contrary.
74.
The Respondents contended that nowhere in the founding papers did the
Applicant
allege any facts that the Respondents’ conduct in
amending the constitution amounted to a change in the fundamental
nature
of the Church, as contended in the argument. As to the
appointment of a single KCI-UK member to the Board, at no time during
the
presentation of evidence or argument in the first application
heard by Willie J did the Applicant seek to contend that a member
of
KCI-UK should have been appointed as a necessity for constitutional
compliance. Neither did the Applicant contend in the application
to
the SCA that a second member of KCI-UK, in addition to the Applicant,
had to be appointed as a necessity for constitutional
compliance.
This Court finds that the Applicant did not have to make those
submissions as they were unnecessary to sustain the
relief he sought.
The Respondents’ conduct in changing the fundamental nature of
the Church is irrelevant if the Court finds
that the 22 June 2022
meeting is null and void. The Applicant did not have to make the
remaining submissions as they flowed naturally
from a proper
interpretation of the constitution.
75.
The objectives of the Church and its Board are stipulated in Article
4 of the
constitution, namely the advancement of the Christian faith,
relief for those in need, and education based on Christian
principles.
The Respondents contended that they never intimated that
the Church and its Board intended to move away from these principles
by
amending the 2017 Constitution.
76.
The Court must conclude the narrative relating to the judgments to
ascertain
whether the variation order obtained on 30 September would
add anything material to the Respondents’ contention that the
judgments overrode the Church’s constitution on the issue of a
properly constituted Board. The circumstances relating to the
22 June
2022 meeting and the Applicant’s insistence that the
Respondents’ meeting was invalid led them to seek clarification
of the 27 October 2021 order from Willie J.
THE
VARIATION ORDER OF 30 SEPTEMBER 2022
77.
The Respondents approached the Court to identify the members of the
Board. The
dispute over the identity of the members rendered the
Board dysfunctional. The Applicant attempted to persuade the Court
not to
clarify the extent of its orders, so they were incapable of
practical implementation. The Judge found that the Applicant was
continuing
irregularly and questionably to exclude the First to Third
Respondents from the Church's decision-making process impermissibly.
78.
The Honourable Willie J summarised his judgment of 27 October 2021
before considering
the Respondents’ application for clarity
regarding the content and meaning of his order. The Judge found that
the Applicant’s
affidavit did not comply with the court rules
and had very little if any, probative weight. The Judge reviewed the
Applicant’s
position relating to his wife and son as members of
the Board. The variation judgment referred to the testimony of the
Applicant
during oral evidence. The Applicant testified that the
appointment of his wife and son was a ‘stage post’
measure.
The Court again disavowed that the issue of whether the
Applicant’s wife and son were members of the Board was a
dispute
for determination between the parties. However, he stated
that it may have been an issue for inclusion in the agreed order. The
son testified that he was not a member of the Board. No evidence was
presented supporting the belated contention that the wife
was an
existing member of the Board.
79.
Willie J granted the First to Third Respondents’ application
for variation.
The second and third orders read as follows:
79.1.
That as
of
24 February 2021, the members of the Board of the
Church were the Applicant and the First to Third Respondents and no
other person
or persons,
79.2.
That as
of
27
October 2021, the members of the Board of the Church were the
Applicant and the First to Third Respondents and no other person
or
persons.
[21]
80.
The reason for the addition of “and no other person or persons”
to the 27 October 2021 is evident from the judgment, which addressed
the Applicant’s contention that the Applicant’s
wife and
son were members of the Board and they should have been included in
the original order. The use of the preposition ‘of’
by
the Honourable Justice is a subtle change in the wording of the 27
October 2021 order. The original order uses the preposition
“at”. The preposition ‘of’ in the phrase “as
of a particular date” means that the specified
date marks the
date from which it becomes effective. The intention of the Judge to
change the preposition is not apparent in the
judgment. This means
that the Applicant and the Respondents were members of the Board from
24 February 2021 and 27 October 2021
and beyond rather than on those
dates.
81.
Neither party raised this subtle change between the original and
variation order.
In the premises, the Court need not traverse its
implications any further. The variation order again confirmed the
purpose of the
original judgment and the relief sought. The
variation judgment excludes other persons apart from the Applicant
and the First
to Third Respondents as Board members on 24 February
2021 and 27 October 2021.
THE
16 NOVEMBER 2022 MEETING
82.
The Third Respondent states in the answering affidavit that they were
emboldened
after the variation order to rid the Church of the
Applicant. The Applicant could not work with them or the other
Respondents,
so he left them no choice but to remove him.
83.
On 16 November 2022, the First to Third Respondents removed the
Applicant as
Chairperson, Board member, and Senior Pastor of
the Church at a meeting they convened, which proceeded in the
Applicant’s
absence. The Applicant received notice of the 22
June and 16 November meetings and elected not to attend either. The
Respondents
clarified that the Applicant had been removed as a member
of the Board and as senior pastor as they feared that the Applicant
would
contend at the end of this application that he remained senior
pastor of the Church.
84.
The Respondents denied that there was any longer a requirement in
November 2022
to have two spiritual leaders from KCI-UK on the Board
after they had removed that requirement in the 2022 Constitution. The
Applicant
insisted on the two KCI-UK members to enable him to appoint
his allies to the Board to ensure a deadlock over his removal and any
other resolution they put forward. The Applicant should have raised
the KCI-UK issue at the June meeting if he needed one or more
of his
family or friends to be appointed to the Board.
TWO
SPIRITUAL LEADERS OR ONE
85.
The Applicant sought ancillary relief pursuant to him prevailing with
the declaratory
relief. The Applicant asked for clarity on clause 8.2
of the 2017 Constitution as it stipulates that the Board shall
consist of
at least three members, of which at least two must be
spiritual leaders of KCI-UK. The Applicant contended for the
interpretation
that the constitution required two KCI-UK spiritual
leaders in addition to the Chair. He asserted that the Chair is a
member by
virtue of his capacity as the Apostolic leader of the
Church, not as a spiritual leader of KCI-UK. It had always been the
practice
for the Board to include two KCI-UK leaders in addition to
the Applicant. The Applicant contended that the Respondents did not
answer this allegation effectively. The practice of the parties in
allowing three KCI-UK members indicates how they understood the
constitution and is material in resolving any ambiguity. The
Applicant asked in the alternative that the Board have one further
spiritual leader who must be a member of the KCI-UK
86.
The Respondents refuted the Applicant’s prayer for ancillary
relief. They
argued that the Applicant’s attempt to appoint two
spiritual leaders to the Board was not foreshadowed in the 2017
Constitution.
The Respondents contended that the sole purpose of this
aspect of the application was to place the Applicant back in a
position
where he had unfettered control over the Board. The
insistence that two spiritual leaders from the KCI-UK be appointed
ensured
that the Applicant had control of the Board by virtue of his
casting vote. There was no justification for the inclusion of two
further spiritual leaders. Section 8.2 of the 2017 Constitution
specified that at least two Board members must be spiritual leaders
of KCI-UK. The Applicant is a spiritual leader of KCI-UK. No basis is
laid for the contention that a third spiritual leader of
KCI-UK be
appointed. The 2017 constitution noted that the inaugural Board
members consisted of two members of the KCI-UK, namely
the Applicant
and his son.
87.
The
Respondents submitted that the argument the Applicant relied on was
contained in the replying affidavit. It was not open to
an Applicant
in motion proceedings to make out a case in reply.
[22]
Similarly, a party may not raise a point that is not presaged in the
founding papers. The case in the founding affidavit was the
one the
Respondent was called upon to meet and had to contain sufficient
facts upon which a Court may find in the Applicant’s
favour.
The only contention the Applicant made regarding those three members
of KCI-UK being members of the Board is the contention
that it has
always been the understanding that what is required is two such
members other than the chair. A bald assertion does
not establish
facts for a legal conclusion.
[23]
An Applicant must stand or fall by what is contained in the founding
affidavit.
[24]
88.
The Respondents are incorrect in alleging that the interpretation
sought by
the Applicant that the constitution requires two KCI-UK
spiritual leaders in addition to the Chair was raised for the first
time
in the replying affidavit. The argument was foreshadowed in
paragraph 25 of the supplementary founding affidavit. The Court
considers
it prudent to resolve this issue considering the less than
amicable relationship between the two groups and facetiously to
ensure
that the Applicant does not obtain two for the price of one.
The Applicant was incorrect in alleging that it was the practice of
the Board always to include two KCI-UK spiritual members. The list of
inaugural Board members to the 2017 Constitution belies this
submission. The list contains the names of the Applicant and his son,
who are the only spiritual leaders of KCI-UK. The Respondents
confirmed the latter. The Applicant was incorrect in alleging that
the Respondents had not answered his contentions effectively.
EVALUATION
89.
The Applicant seeks declaratory and ancillary relief. The Applicant
has asked
the Court to declare that the meeting held by the
Respondents on 22 June 2022 and the decisions and resolutions adopted
at that
meeting were invalid and void. The Applicant sought the same
declaratory relief concerning the 16 November 2022 meeting. The
applicant
sought, in addition, ancillary relief requiring the
Respondents to attend a Board meeting to appoint either one or two
spiritual
leaders of the KCI-UK to the Board and the costs of this
application.
90.
The parties agreed that the declaratory relief sought depended upon
whether
the Board was properly constituted on 22 June and 16 November
2022. The Applicant asserted that interpreting the Church’s
constitution would resolve the issue. The Respondents relied on the
three judgments and orders of Willie J to contend that the
Board was
properly constituted and that the orders, in particular that of 30
September 2022, had determined the members of the
Board to be the
Applicant, the First, Second, and Third Respondents and no other
persons. The Respondents’ interpretation
of the judgments of
Wille J was that he stipulated unequivocally that the Applicant and
the First to Third Respondents were the
members of the Board and
specifically excluded any other persons. He did not declare they were
provisional Board members or board
members for a specific purpose.
The Respondents contended that there is little if any, authority that
a contract, articles of association,
or private constitution
supersedes an order of the Court.
91.
The Court interpreted the clauses material to the adjudication of
this application
according to the established principles of
interpreting legal documents. It considered the case cited by the
Applicant as authority
for the situation where the number of church
council members fell below the minimum threshold. The 2011 case
permitted the remaining
council members to overcome an obligatory
clause in its constitution without reverting to its congregation,
provided that the constitution
allowed for the substitution of
members once a vacancy arose. The legal principles applied to this
application meant that the Board
comprising the Applicant and the
First to Third Respondents had a duty to appoint a qualified member,
i.e., a spiritual leader
from KCI-UK, to its Board before it could
conduct the business of the Church. The constitution of the Church
contained a clause
to members after the inaugural appointees.
92.
The proper interpretation of the 2017 constitution leads to the
ineluctable
finding that the meeting held by the First to Third
Respondents on 22 June 2022 was not properly constituted as it did
not comply
with the obligatory prescripts of the constitution. Clause
8.2 required appointing two spiritual leaders from KCI-UK to the
Board.
It stood as an insurmountable obstacle to the Respondents. The
Board remained improperly constituted until the obligation was
resolved.
The Respondents were, on 22 June 2022, a group of
individuals meeting and not a meeting of the Church Board.
93.
The Applicant's presence at their meeting would not have eased their
difficulty
in overcoming an unlawful situation when they proceeded to
conduct the Church's business. As the constitution allows for the
appointment
of subsequent members, the Board had to rectify a drop in
the number of spiritual leaders from KCI-UK by resolution of the
remaining
members supported by a two-thirds majority. The Applicant
had augmented the agenda of the June 2022 meeting to include his
son’s
membership on the Board. This item may have been directed
at reconstituting the Board before it could conduct any further
business.
The Respondents did not contemplate the constitutional
imperative of appointing a further spiritual leader from KCI-UK as
they
intended to remove this obstacle and pave the way for removing
the Applicant from the Board. The Court is not concerned with the
merits of their cause, just the legality thereof.
94.
As long as the Board was improperly constituted, the decisions the
group of
individuals made had no legal force or effect. The Court
would have had no hesitation in declaring that the meeting of 22 June
2022 invalid but for the defence raised by the Respondents.
95.
A careful and detailed examination of the circumstances, text,
context, purpose,
and intention of the Judge when making his orders
across the three judgments fails to uncover any finding or suggestion
by the
Judge that the orders were intended to overrule the
composition of the Board as required by the 2017 Constitution. The
judgments
convey the impression that the Judge was constrained in
making any pronouncements beyond the interdictory relief sought by
the
Applicants and the declaratory orders sought by agreement between
the parties. Hence, the Judge disavowed any attempt by the Applicant
to suggest that the Judge should have included the Applicant’s
wife and son as members of the Board in his order.
96.
The Judge’s intention involved in arriving at the order is
easily discernible
from the judgments. The judgments and orders were
all directed to answer the relief sought by the Applicant to exclude
the First
to Third Respondents from the Board on 24 February 2021.
The Judge repeatedly said that the Applicant had resolved to exclude
the First to Third Respondents, and the judgments rectified that
situation by reinstating them onto the Board. Paradoxically, the
Respondents argued in the immediate aftermath of their exclusion from
the Board that they remained members until a duly constituted
Board
meeting occurred. If the Honourable Judge intended that the
composition of the Board was a duly constituted Board, which
he did
not do, the Board would have been rendered unconstitutional and
inoperable. The Applicant was alive to this consequence,
not out of
generosity towards the Respondents but pursuant to his own plan to
rid the Board of them. The constitution did not contemplate
a Board
without two spiritual leaders from KCI-UK. Until that defect was
remedied by the Applicant, the First, Second, Third Respondents,
and
no other persons, the Board was not properly constituted. There was
no Board. The Applicant, First, Second, and Third
Respondents
had a duty to appoint a further spiritual leader from KCI-UK to the
Board to enable the Board to be properly constituted.
The
constitution permitted the remaining Board members to make further
appointments by resolution supported by two-thirds of them
voting in
favour.
97.
In the premises, the Court finds that the Board convened by the
Respondents
on 22 June 2022 and the decisions and resolutions taken
at that meeting and those taken at the 15 November 2022 meeting are
invalid,
null and void.
98.
Concerning the ancillary relief sought by the Applicant as to whether
the constitution
permits the appointment of two spiritual leaders
from KCI-UK in addition to him, the Court considered clause 8.2 and
concluded
that it did not. Clause 8.2 of the 2017 constitution
requires at least two spiritual leaders of KCI-UK to be members of
the
Church’s Board. In a minimum incarnation of the Board with
three members, at least two should be spiritual leaders of KCI-UK.
Whilst it is correct that a Board with a larger number of members
could conceivably have more than two spiritual leaders from KCI-UK,
each of their appointments accorded with clause 8.4, which required a
resolution of the Board supported by a two-thirds majority.
The
position that the Applicant contended for is unsustainable. Nothing
in the 2017 Constitution implies that the obligation is
to appoint
two KCI-UK spiritual leaders in addition to the Chair.
99.
Having found that the 22 June and 15 November 2022 meetings were
invalid, null
and void, it is unnecessary to determine whether the
2022 Constitution attempted to change the core objectives of the
Church or
whether the G12 disciple theology is fundamental to the
core objectives or a method of achieving them. The Church’s
congregation,
advised by their leaders, best determines these issues.
A Court of law is ill-equipped to make these distinctions in the
context
of an application.
CONCLUSION
100.
This judgment could have been disposed of in three paragraphs for the
material issues to be determined
are questions of law. Clause 8.2 of
the 2017 Constitution concerning the appointment of two spiritual
leaders of the KCI-UK was
couched in obligatory language, which
prevented the Respondents from conducting the business of the Church
without first appointing
another spiritual leader from KCI-UK. The
judgments of Willie J did not allow for the interpretation that the
Respondents sought
to attach to them. Clause 8.2 of the constitution
concerning the appointment of spiritual leaders did not permit the
Applicant
to interpret it to mean two other spiritual leaders from
the KCI-UK in addition to him. The judgment has struck a century of
paragraphs
before it hands over the spoils to the victor. The Court
takes no pleasure in doing so, as trawling through the quagmire that
informs
this application has been dismaying. When Church leaders
engage in battle rather than engaging each other constructively,
where
does the congregation seek the expansive values enshrined in
clause 5.2 of the constitution?
101.
The interpretation of the constitution meant that the meetings held
by the Respondents on 22
June and 16 November 2022 and the
resolutions and decisions they made were invalid, null and void. The
interpretation of the three
judgments of Willie J was directed at the
interdictory relief sought and the declaratory orders that had to be
made. Willie J did
not stray beyond that mandate and pronounce on
whether the Board was properly constituted or not. The judgments did
not support
the defence raised by the Respondents to the relief
sought by the Applicant. Clause 8.2 concerning the appointment of two
spiritual
leaders from KCI-UK did not lend itself to an
interpretation that it meant two others in addition to the Applicant.
102.
This judgment asserts the principle that in a case where the
constitution of a voluntary association,
corporation, or organisation
has an obligatory clause specifying the qualification of members of
the Board, then the Board
is not properly constituted until it
complies with that clause. Suppose the number of qualified persons
drops to below the minimum,
and the constitution allows for their
substitution by the Board. In that case, the remaining members of the
Board must first elect
or appoint a member satisfying the
qualification criteria to fill the vacancy before the Board can
conduct any further business
of the organisation, corporation, or
association. This, a Board or council has to do, even though it may
be quorate in numbers.
103.
A Court does not stoop to being pedantic if the parties decline its
directions and assistance.
However, after trawling through
accusations, counteraccusations, and a history of misinterpreting
court orders, this Court shall
venture to tabulate the effect of its
order to avoid any misunderstanding. The Court has tweaked the prayer
sought in paragraph
7 of the notice of motion to reflect the findings
in this judgment and ensure compliance with the order made.
103.1. The 2022
Constitution adopted by the First to Third Respondents is null and
void and has no further application in
the conduct of the Church’s
business,
103.2. The business
of the Church reverts to being conducted under the 2017 Constitution
as of the date of this judgment,
103.3. The
Applicant shall provide the requisite notice to himself and the First
to Third Respondents and no other person
of a meeting of the Board to
be convened within sixty days of this judgment,
103.4. The sole
item of the agenda is to appoint one spiritual leader of KCI-UK by
resolution supported by two-thirds of the
four members of the Board
attending the meeting,
103.5. Should the
Applicant elect not to provide notice and the agenda item and to
convene the Board meeting within thirty
days of this judgment, then
any of the First to Third Respondents may comply,
103.6. Should any
of the First to Third Respondents elect not to attend the meeting
either singularly or jointly, then the
remainder of the four may
proceed with the Board meeting in their absence,
103.7. Once one
further spiritual leader is added to the Board as specified in
paragraph 97.4 of this judgment, and the Board
is properly
constituted, then the Board may conduct the business of the Church as
per the provisions of the 2017 constitution,
including effecting any
amendments to the 2017 Constitution.
104.
The Court has allowed sixty days for the next Board meeting to enable
the parties and the Church's
congregation to reconcile. It has
considered that the approaching season may impact the four members'
availability to attend a
Board meeting. This does not prevent the
four members from agreeing to convene the Board earlier.
105.
The
Applicant sought the costs of the attorney and Senior Counsel on
Scale C and the costs of junior Counsel on Scale B. As this
Court has
previously held
[25]
, the
insertion of Rule 67A does not entitle an attorney attending Court
solely to assist and instruct an advocate to claim fees
per the table
of fees specified in the amended Rule 69 of the Uniform Rules, even
if they have the right of appearance. An attorney
with a right of
appearance who presents or argues a case in Court is entitled to
claim fees under the table of tariffs in Rule
69(7). Advocates or
attorneys with a right of appearance can claim fees as stipulated in
Rule 67A, read with Rule 69 only if costs
are awarded on a party and
party scale. The Court shall award the Applicant costs, including
Senior Counsel’s fees, on the
C scale and the costs of Junior
Counsel.
106.
Finally, the Court feels compelled to offer the parties some
gratuitous advice. It has worked
through over seven hundred pages and
produced this judgment. After all, it has earned the right to impart
wisdom beyond its legal
duties. You occupy the role of leaders of a
Church in a democratic dispensation based on freedom, equality, and
human dignity.
There is no room for autocratic or unlawful conduct
when steering the business and affairs of the Church. Be the role
models that
society expects you to be.
ORDER
1.
It is declared that the purported meeting of the Board of Kings
Church International, Robertson (“the Church”) held by
the First to Third Respondents on 22 June 2022 was invalid and
a
nullity and that all decisions and resolutions adopted at that
meeting are invalid and null and void,
2.
It is declared that all decisions and resolutions adopted at
the
purported meeting of the Board of the Church on 16 November 2022 are
invalid and null and void,
3.
The Applicant, the First, Second, and Third Respondent, and
no other
person shall attend a Board meeting of the Church convened by the
Applicant within sixty days of this order to appoint
one spiritual
leader of Kings Church International-United Kingdom to the Board of
the Church,
4.
The First, Second, and Third Respondents are ordered to pay
the costs
of this application, including the costs of Junior Counsel. Senior
Counsel’s fees shall be taxed or agreed on scale
C.
Ajay
Bhoopchand
Acting
Judge of the High Court
Western
Cape Division
Cape
Town
Judgment
was handed down and delivered to the parties by e-mail on
2 December 2024
Applicant’s
Counsel: G Budlender SC, C M van Der Merwe
Instructed
by: Hartzenberg Incorporated, Pretoria
Counsel
for the Respondents: L Wilken
Instructed
by: Kellerman Joubert Heyns, Stellenbosch
[1]
Mcovi v Inkatha
Freedom Party , Maqwazi-Msibi v Inkatha Freedom Party
2011 4
SA 298
(KZP) at paras 30 and 38
[2]
LAWSA, 3
RD
ed. Vol 24 at para 190
[3]
Deutsche
Evangelische Kirche zu Pretoria v Hoepner
1911 TPD 218
[4]
LAWSA at para 191
[5]
Natal Joint
Municipal Pension Fund v Endumeni Municipality (920/2010)
[2012]
ZASCA 13
;
[2012] 2 All SA 262
(SCA);
2012 (4) SA 593
(SCA) (16 March
2012) at para 24
[6]
Endumeni at para 18
[7]
Endumeni at para 19
[8]
Deutsche
Evangelische Kirche zu Pretoria v Hoepner
1911 TPD 218
(“Deutsche
Evangelische”)
[9]
HLB International
(South Africa) v MWRK Accountants and Consultants (113/2021)
[2022]
ZASCA 52
;
2022 (5) SA 373
(SCA) (12 April 2022)
[10]
HLB at para 26
[11]
Finishing Touch 163 (Pty)
Ltd v BHP Billiton Energy Coal South Africa Ltd and
Others
[2012]
ZASCA 49
;
2013
(2) SA 204
(SCA) para 14; Van Rensburg and Another NNO v Naidoo and Others NNO;
Naidoo and Others NNO v Van Rensburg NO and Others
[2010]
4 All SA 398
(SCA);
2011
(4) SA 149
(SCA) para 43 et seq, HLB supra at para
[12]
Administrator, Cape and
Another v Ntshwaqela and Others
1990
(1) SA 705
(AD) at 715B-F
[13]
Cross-Border Road
Transport Agency para 22, see also Speaker, National Assembly
and
Another v Land Access Movement of South Africa and Others
[2019]
ZACC 10
(CC);
2019
(6) SA 568
(CC) para 43, HLB at para 27
[14]
Elan Boulevard (Pty) Ltd
v Fnyn Investments (Pty) Ltd [2018] SCA 165;
2019 (3) SA 441
(SCA)
at para 28
[15]
The Applicant, his wife
and son were the initial Applicants who instituted the
proceedings.
The judgment does not state that the wife and son were appointed as
members of the Board when the application was
instituted.
[16]
The judgment refers to
“certain affairs of the Second Respondent”,
which
probably referred to the Second Applicant, the Church, in that
application.
[17]
The Applicant and his son
testified. The reference in the judgment to the Applicant’s
witnesses was taken to mean the TESTIMONY OF THE Applicant and his
son.
[18]
Murray v SA Tattersall’s
Subscriptions
1910 WLD 35
at 41. Wilken v Brebner
1935 AD 175
at
192, 193, 196, 197, 198, ex Parte Gill and Others
1955 (2) SA 418
(W) at 419-420
[19]
Murray v SA Tattersall’s
Subscriptions
1910 WLD 35
at 41
[20]
Wilken v Brebner
1935 AD
175
at 192, 193, 196, 197, 198
[21]
The reproduction of the
order has minor corrections to render it consistent
with the
citation of the parties followed in this judgment and does not alter
its meaning.
[22]
National Council of
Societies for the Prevention of Cruelty to Animals v Openshaw
[2008] ZASCA 78
;
2008
(5) SA 339
(SCA)at para 29, Betlane v Shelly Court CC
2011 (1) SA
338
(CC) at para 29
[23]
Syntheta (Pty) Ltd
(formerly Delta G Scientific (Pty) Ltd v Janssen Pharmaceuticals
NV
and Another
1999 (1) SA 85
(SCA) at 91 C.
[24]
Director of Hospital
Services v Mistry
1979 (1) SA 626
(A) at 635 H-636B
[25]
Raubex
Building (Pty) Ltd v Bitou Municipality and Another (13787/2024)
[2024] ZAWCHC 378 (19 November 2024)
at paras 46-49
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