Case Law[2024] ZAWCHC 435South Africa
Sewpersad and Others v Standard Bank of South Africa (Pty) Ltd and Others (EC14/2023) [2024] ZAWCHC 435 (9 December 2024)
Headnotes
a lack of funding is not a sufficient reason for a last-minute postponement application. A practitioner who has insufficient funding must withdraw or apply for a postponement in good time. If (s)he does not, (s)he must continue representing his clients at his or her own risk.[9]
Judgment
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## Sewpersad and Others v Standard Bank of South Africa (Pty) Ltd and Others (EC14/2023) [2024] ZAWCHC 435 (9 December 2024)
Sewpersad and Others v Standard Bank of South Africa (Pty) Ltd and Others (EC14/2023) [2024] ZAWCHC 435 (9 December 2024)
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sino date 9 December 2024
IN
THE EQUALITY COURT OF SOUTH AFRICA
(WESTERN CAPE
DIVISION, CAPE TOWN)
Case No:EC14/2023
In the matter between:
ROVENDRANATH
RABIKISSOON SEWPERSAD
First
Complainant
YASMIN
ADAMS
Second
Complainant
AERO
COACH LINES CC
Third
Complainant
AERO
TOWING CC
Fourth
Complainant
RYKHANA
RABIKISSOON
Fifth
Complainant
RUSHDA
RABIKISSOON
Sixth
Complainant
RIAARD
RABIKISSOON
Seventh
Complainant
YAGYAH
RABIKISSOON
Eight
Complainant
RASHID
RABIKISSOON
Ninth
Complainant
and
STANDARD
BANK OF SOUTH AFRICA (PTY) LTD
First
Respondent
FIRST
RAND BANK
Second
Respondent
TRADEPORT
62 (PTY) LTD
t/a
AUCOR SOUTH AFRICA
Third
Respondent
EILEEN
MARGARET FEY N.O.
Fourth
Respondent
PRICE
WATERHOUSE COOPERS
Fifth
Respondent
MINISTER
OF JUSTICE AND
CORRECTIONAL
SERVICES
Sixth
Respondent
MASTER
OF THE HIGH COURT, CAPE TOWN
Seventh
Respondent
SHERIFF’S
OFFICE, WYNBERG SOUTH
Eighth
Respondent
JUDGMENT
IN POSTPONEMENT & CONDONATIONAPPLICATION
DELIVERED
ELECTRONICALLY ON 09 DECEMBER 2024
MANGCU-LOCKWOOD,
J
A.
INTRODUCTION
[1]
This an
opposed application for
sine
die
postponement of preliminary proceedings which were supposed to
proceed on 25 and 26 November 2024, and for permission to file the
complainants’ heads of arguments, which are late, 14 days prior
to the next set down date.
[2]
In essence,
the basis for the application is that the complainants lack the
funding necessary to proceed with the matter at this
stage. In this
regard, the first complainant has deposed to an affidavit stating
that counsel who drafted the complainants’
replying papers and
assisted them thus far is no longer available to assist with the
matter, having withdrawn on 16 October 2024
due to his fee account
not being settled. In addition, the first complainant states that his
expectation was that, after payment
of fees for the replying
affidavit in the main matter, the next payment would be for
preparation towards the hearing of the main
matter. Instead, because
of the decision of this Court to first hold a preliminary hearing for
determination of certain defined
preliminary issues, this doubled the
cost of the anticipated fees in the matter. In the circumstances, the
complainants seek postponement
on a
sine
die
basis.
[3]
The
application is vehemently opposed by all the respondents, who each
delivered notices of intention to oppose, although only the
first
respondent delivered an answering affidavit. The applicant did not
deliver a replying affidavit. In court, the opposition
converged upon
similar arguments as those raised in the first respondent’s
answering affidavit, although with some variation,
which may be
summarized as follows:
a.
Firstly, the
main complaint relies on events that occurred almost twenty years
ago, and given that the matter was instituted on
19 December 2023, it
constitutes an unexplained and unreasonable delay. In those
circumstances, the request for a
sine
die
postponement, without a clear indication of when the heads of
argument will be delivered, or when the necessary funding to continue
with the litigation will be raised, constitutes an abuse of court
process which is materially prejudicial to the respondents.
b.
Secondly, the
respondents rely on the chronology leading to the matter being set
down on 25 and 26 November 2024, which shows
that this
application was not brought as soon as the circumstances which might
justify it became known to the complainants.
c.
Thirdly, by
the time the application was launched, the respondents’ legal
representatives had spent time preparing for the
hearing, and their
clients had incurred significant costs to be ready for the hearing.
In the case of the first respondent, flight
arrangements,
accommodation and car hire had already been organized and paid for.
d.
Fourthly, the
respondents point to what they refer to as an unexplained irony in
the fact that the complainants managed to obtain
legal assistance to
prepare papers in this application, while those resources could more
productively have been utilised to prepare
for the hearing of the
preliminary issues. They also point out that, given the apparent
failure by the complainants to attempt
to obtain
pro
bono
legal
assistance or local counsel, the contention that they will be left
with no representation if the Court does not grant the
postponement
and condonation sought, is not made
bona
fide
.
e.
The
complainants’ main claim is spurious and bears no prospects of
success. Chief among the reasons is prescription.
f.
There is no
tender for wasted costs that are to be occasioned by the
postponement, to alleviate any prejudice to be suffered by
the
respondents.
B.
THE
RELEVANT LAW
[4]
The
legal principles applicable to an application for postponement are
trite
[1]
, as are those
applicable in condonation applications
[2]
.
Neither application is there for the asking. In either instance, an
applicant seeks an indulgence, and must furnish a full and
satisfactory explanation of the circumstances that gave rise to the
application.
[5]
The court has
a discretion as to whether either application should be granted or
refused, which must be exercised in a judicial
manner, not
capriciously or upon a wrong principle, but for substantial reasons.
[6]
Factors
which usually weigh with a court in considering an application for
condonation include the degree of non-compliance, the
explanation
therefor, the importance of the case, a respondent's interest in the
finality of the judgment, the convenience of the
court and the
avoidance of unnecessary delay in the administration of justice.
[3]
[7]
When
considering a postponement application, the court will take into
account a number of factors, including but not limited to,
whether
the application has been timeously made, whether the explanation
given by the applicant is full and satisfactory, whether
there is
prejudice to any of the parties and whether the application is
opposed.
[4]
All these factors
will be weighed to determine whether it is in the interests of
justice to grant the postponement. What is
in the interests of
justice is determined not only by what is in the interests of the
immediate parties, but also by what is in
the broader public
interest.
[5]
[8]
An
application for a postponement must be made timeously, as soon as the
circumstances which might justify such an application become
known to
the applicant. If, however, fundamental fairness and justice justify
a postponement, the court may in an appropriate case
allow such an
application for postponement even if the application was not so
timeously made.
[6]
A court will
be slow to refuse a postponement where the true reason for a party’s
non-preparedness has been fully explained;
where the unreadiness to
proceed is not due to delaying tactics; and where justice demands
that the applicant should have further
time to present his or her
case.
[9]
An application
for postponement must be
bona
fide
and
not used simply as a tactical maneuver for the purpose of obtaining
an advantage to which the applicant is not legitimately
entitled.
[10]
Considerations
of prejudice will ordinarily constitute the dominant component of the
total structure in terms of which the discretion
of the court will be
exercised. The court should weigh the prejudice which will be caused
to the respondent in such an application
if the postponement is
granted against the prejudice which will be caused to the applicant
if it is not – what the writers
in
Erasmus
refer to as a balance of convenience.
[11]
The
court has to consider whether any prejudice caused by a postponement
can fairly be compensated by an appropriate order of costs
or any
other ancillary mechanism.
[7]
That may include an order to pay the wasted costs of the respondent
on the scale of attorney and client. It may also include an
order
directing such an applicant to pay the costs of his or her adversary
before he or she is allowed to proceed with his action
or defence in
the action, as the case may be.
[8]
[12]
It
has been held that a lack of funding is not a sufficient reason for a
last-minute postponement application. A practitioner
who has
insufficient funding must withdraw or apply for a postponement in
good
time.
If (s)he does not, (s)he must continue representing his clients at
his or her own risk.
[9]
C.
DISCUSSION
[13]
Neither the complainants nor their legal
representatives appeared in court on the set down date of 25 November
2024 for the preliminary
hearing, or to move the application for
postponement and condonation, with no explanation provided or enquiry
made prior to the
hearing date. Only the respondents’
representatives - all of them - appeared in court. As a result, the
application was heard
in the absence of the complainants and their
legal representatives.
[14]
It should come as no surprise that the
matter proceeded on the set down date of 25 November 2024, as
previously scheduled. It need
hardly be re-stated that
applications for postponement and condonation are not there for the
asking, and an applicant in such circumstances seeks an indulgence.
That means the mere act of lodging the application did not grant the
complainants the indulgences they sought.
[15]
In
circumstances where the
complainants
filed their application one court day prior to a hearing which was
set down for two
days, the default position, unless the parties were directed
otherwise, was for the matter to proceed on the scheduled
dates, even
if only for the purposes of the hearing of the postponement and
condonation applications.
When and
where else were these applications to be determined?
[16]
The chronology in this regard is relevant.
Two virtual Directions Meetings were held with the parties’
legal representatives,
on 16 and 27 August 2024. On 3 September 2024,
the Court issued a directive, to the effect that the following
issues, which arose
from the respondents’ answering papers as
points
in limine
,
were to be determined separately as preliminary issues: (i)
misjoinder, (ii) prescription, and (iii) unreasonable delay. The same
directive proposed alternative dates for the hearing of the
preliminary issues, namely 14 October, or 24 and 25 November 2024.
[17]
After some exchange
of correspondence between the Court registrar and the parties, the
date of 25 November 2024 was agreed. This
was confirmed by email
correspondence dated 18 September 2024 from the first respondent to
the other parties, in which the complainants’
attorneys were
advised that, unless they indicated otherwise before the end of that
week
, “we
will assume that 25 November 2024 suits you and we will go ahead with
our travel arrangements”.
[18]
On 20 September 2024, the complainants’
attorneys recorded that they were experiencing some difficulty in
obtaining instructions
from their clients, and promised to revert by
Friday, 27 September 2024. They did not revert, even when the first
respondent’s
attorneys requested an update on 30 September
2024.
[19]
One issue which received attention at the
Directions Meeting of 27 August 2024 is the complainants’
indication that the claims
against the second, seventh (“
the
Master”
) and eighth respondents
would likely be withdrawn. In this respect, the complainants’
legal representatives undertook to
revert with notices of withdrawal.
Because of the assurances given by the complainants’ legal
representatives that the claims
would likely be withdrawn against
those respondents, no directives were issued in respect of the
preliminary issues raised by those
parties. However, the complainants
subsequently indicated that they would not be withdrawing the
complaint against the Master.
As a result, on 9 October 2024 the
Court issued a further directive that the following issues were to be
added to the preliminary
issues previously delineated, namely (a) the
complainants’ failure to issue the notices contemplated in
section 3 of the
Institution of Legal Proceedings against Certain
Organs of state Act 40 of 2002; and (b) whether the confirmatory
affidavits filed
by the complainants comply with the Justice of Peace
and Commissioner of Oaths Act 16 of 1969.
[20]
On 14 October 2024 the Court’s
registrar again confirmed the date of 25 November 2024 with the
parties for hearing of the
preliminary issues, with the addition of
26 November 2024 to accommodate the increased number of preliminary
issues that was to
be determined. On the same day, the parties agreed
to a timetable for the submission of heads of argument in preparation
for the
hearing date. In terms thereof, the respondents were to
deliver their heads of argument by 8 November 2024, and the
complainants
were to deliver theirs by 15 November 2024.
[21]
On 1 November 2024, the Court registrar
once again confirmed with the parties
via
email that the hearing would proceed on 25 November and 26 November
2024. This was formally confirmed by the first respondent’s
attorneys, who delivered a formal notice of set down to that effect
on 5 November 2024. On 8 November 2024 all the respondents
delivered
their heads of argument in respect of the preliminary issues, as
previously agreed.
[22]
On 12 November 2024, the complainants’
attorneys addressed a letter to the Presiding Judge, requesting
postponement of the
hearing of the preliminary issues. After
objections were noted by all the respondents, the Court directed, on
15 November
2024, that the complainants should bring a formal
application, in accordance with the Uniform Rules, for the
indulgences referred
to and sought in the letter of 12 November
2024.
[23]
The
application was delivered on Thursday 21 November 2024. On 22
November 2024 the first, fourth and fifth respondent delivered
notices of intention to oppose the application, whilst the Master’s
was delivered on the day of the hearing. The first respondent
also
delivered an answering affidavit on 22 November 2024.
[24]
It remains
unexplained why the complainants waited until 12
November 2024 – after all the parties had
delivered their heads of argument in compliance with previously
arranged timeframes
– before notifying the respondents and the
Court of their request for postponement. On the complainants’
own version,
they were aware by 16 October 2024 at the latest, when
their counsel withdrew, that they would not be able to proceed with
the
matter due to lack of funding. There are no details given of what
occurred after that date in relation to fundraising or procuring
local counsel instead of their Gauteng-based counsel or
pro
bono
counsel. In this respect, the
explanation given is
not full or satisfactory
.
[25]
There is also no
explanation for why the application was only brought on 18 November
2024 after the court directive inviting the
application was issued on
15 November 2024, or before the issue of the directive.
The application was brought on a Thursday, 18
November 2024, which effectively left one court day for the
respondents to file opposing
papers. This, in circumstances where the
complainants knew that the application was to be opposed by all the
respondents, since
they had each made clear in response to the letter
of 12 November 2024 that they were opposed to any request for
postponement.
[26]
Clearly, the application was not brought as
soon
as the
circumstances which might have justified such an application became
known to the complainants. And there is no explanation
for that
conduct.
[27]
However, despite the delayed application
for postponement and condonation, I am mindful that there is no
evidence that the complainants
seek the postponement as a
delaying tactic. It remains undisputed that funding is their
challenge. I have not found any evidence of
mala
fide
motives for bringing the
application, or that it is being used to obtain an advantage to which
the complainants are not legitimately
entitled.
[28]
Furthermore,
and without commenting on the prospects of the claim, the main matter
concerns substantive issues relating to justice
and fairness. That is
one way of construing the complaint, comprising hundreds of pages,
which was launched decades after the events
complained about. The
interests of justice demand that the complainants should have the
matter properly ventilated, including by
proper consideration of the
preliminary issues. A proper ventilation of the matter is not only in
the interests of the immediate
parties, but also in the broader
public interest.
[10]
[29]
For those
reasons, I am of the view that it is the complainants who will be
more prejudicially and finally impacted, if postponement
is not
granted.
[30]
In
considering whether t
he
prejudice visited upon the respondents can be fairly compensated by
an appropriate order of costs or another ancillary mechanism,
[11]
I am alive to the fact that the reason for the request for
postponement is lack of funding. But justice and fairness must work
in favour of all the parties, not just in favour of the complainants.
After all, it is not disputed that the prejudice suffered
by the
respondents is not only in the fact that the matter will not be
expeditiously resolved, but in the wasted expenses incurred
in
preparation for the preliminary hearing.
[31]
As a result, I am of the view that the
complainants should bear the wasted costs of the postponement, on an
attorney and own client
basis. And given the manner in which the
prejudicial conduct unfolded, and to prevent similar circumstances,
the complainants should
settle those costs before the preliminary
proceedings are next set down.
D.
ORDER
[32]
In the circumstances, the following order
is granted:
a.
The hearing of the
preliminary
proceedings is postponed
sine
die
.
b.
The complainants are
granted permission to deliver heads of arguments in the preliminary
issues 14 days prior to the next set down
date.
c.
The complainants are
to pay the wasted costs of the postponed proceedings on an attorney
and own client basis, and must settle those
costs before the next set
down date of the preliminary proceedings.
N.
MANGCU-LOCKWOOD
Judge of the High
Court
APPEARANCES
For the
complainants
:
No
appearances
Instructed
by
: No
appearances
For the first
respondent
: Adv S
Khumalo SC
Adv Y
Peer
Instructed by
: F Omar
& L Mort
Edward Nathan Sonnenbergs
Inc.
For the fourth and fifth
respondent
:
Adv M
Bishop
Adv E
Cohen
Instructed by
: K Rew &
L M Doubell
Webber
Wentzel Attorneys
For the seventh
respondent
: Adv S
Mahomed
Instructed
by
: S
Appalsamy
The State Attorney Cape
Town
[1]
See
summary of the principles in D E Van Loggerenberg
Superior
Court Practice
Vol
2 at D1-552A and
Myburgh
Transport v Botha t/a SA Truck Bodies
1991
(3) SA 310 (NmS).
[2]
Melane
v Santam Insurance Co. Ltd.
1962 (4) SA 531
(A) at 532B-E;
Grootboom
v National Prosecuting Authority
[2013]
ZACC 37
;
2014
(2) SA 68
(CC) at para 23.
[3]
Mulaudzi
v Old Mutual Life Assurance company (SA) Limited [2017]
ZASCA 88;
[2017]
3 All SA 520
(SCA);
2017
(6) SA 90
(SCA).
[4]
National
Police Service Union and Others v Minister of Safety and Security
and Others
[2000]
ZACC 15
;
2000
(4) SA 1110
;
2001
(8) BCLR 775
(CC) para 4.
[5]
Psychological
Society of South Africa v Qwelane and Others
(CCT226/16)
[2016]
ZACC 48
;
2017
(8) BCLR 1039
(CC) para 31.
[6]
Greyvestein
v Neethling
1952
(1) SA 463
(C) at 467 F.
[7]
Herbstein
and Van Winsen
The
Civil Practice of the Superior Courts in South Africa
3rd
ed at 453.
[8]
Van
Dyk v Conradie and Another
1963
(2) SA 413
(C) at 418;
Tarry
& Co Ltd v Matatiele Municipality
1965
(3) SA 131
(E) at
314-315.
[9]
S
v Ndima
1977
(3) SA 1095
(N) at 1097;
Ngcobo
v Union & South West Africa Insurance Company Ltd
1964
(1) SA 42
(D) at 44.
[10]
Psychological
Society of South Africa v Qwelane and Others
(CCT226/16)
[2016]
ZACC 48
;
2017
(8) BCLR 1039
(CC) para 31.
[11]
Herbstein
and Van Winsen
The
Civil Practice of the Superior Courts in South Africa
3rd
ed at 453.
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