Case Law[2023] ZAWCHC 204South Africa
C.C (Nee O) v D.G.C - Appeal (A91/2023) [2023] ZAWCHC 204; 2024 (3) SA 109 (WCC) (14 August 2023)
High Court of South Africa (Western Cape Division)
14 August 2023
Headnotes
onto monies instead of transferring them to the respondent. However, at other points, the counterclaim reads as a claim in delict because the defendant alleges that the plaintiff stole or misappropriated the defendant’s funds. However, whether the claim is one in contract or delict does not matter for the purposes of the appeal because the question is whether the counterclaim is sufficiently connected to the divorce to qualify as “a question arising therefrom”. The nature of the cause of action does not matter; the issue is whether it qualifies as a question arising from the divorce.
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## C.C (Nee O) v D.G.C - Appeal (A91/2023) [2023] ZAWCHC 204; 2024 (3) SA 109 (WCC) (14 August 2023)
C.C (Nee O) v D.G.C - Appeal (A91/2023) [2023] ZAWCHC 204; 2024 (3) SA 109 (WCC) (14 August 2023)
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sino date 14 August 2023
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
FLYNOTES:
FAMILY – Divorce –
Magistrates court
jurisdiction
– Special plea – Counterclaim of
R1,7 million exceeds monetary jurisdiction of Regional
Magistrates’
Court – Whether counterclaim qualifies as
a question arising from divorce – Appellant contends
counterclaim was
entirely unrelated to divorce – Respondent
failed to set out a basis for link between counterclaim and
divorce –
Necessary jurisdiction of Regional Magistrates’
Court was not established – Magistrates’ Court Act 32
of
1944, s 29(1B).
Republic
of South Africa
IN
THE HIGH COURT OF SOUTH AFRICA
(WESTERN
CAPE DIVISION, CAPE TOWN)
Appeal
Case No. A91/2023
Case
Number (Court a quo) RCC/SW1741/2018
REPORTABLE
Before:
The Hon. Ms Justice Mantame
and
Ms Acting Justice Hofmeyr
Date
of hearing: 4 August 2023
Date
of judgment: 14 August 2023
In
the matter between:
C[…]
C[…] (Neé
O[…])
Appellant
And
D[…]
G[…]
C[…]
Respondent
JUDGMENT
DELIVERED 14 AUGUST 2023
Judgment
handed down electronically by circulation to the parties’ legal
representatives and released to SAFLII.
HOFMEYR
AJ:
1
This is an appeal from the Magistrates’
Court against the dismissal of the appellant’s special plea.
The appellant was
the plaintiff and the respondent was the defendant
in the court below.
2
The parties are married out of community of
property and are seeking a divorce. Their antenuptial contract
provided that there would
be no community of property between them,
no community of profit or loss and that the accrual system would not
apply to their marriage.
3
The appellant brought a claim in the
Regional Magistrates’ Court Somerset West, Western Cape, in
December 2018 for a decree
of divorce, orders for retention of
certain properties, and a claim for maintenance against the
respondent.
4
The respondent agrees that the parties
should be divorced. But he denies the grounds on which the appellant
alleges that the relationship
between them has broken down. He also
denies that he should be ordered to pay maintenance and he advances
two counterclaims against
the appellant. The first is for an amount
of R250,000 and the second is for an amount of R1,701,731.13.
5
The appellant raised a special plea to the
second counterclaim of approximately R1.7 million. According to the
appellant, the claim
exceeds the monetary jurisdiction of the
Regional Magistrates’ Court and so should be dismissed. The
special plea was dismissed
by the Magistrate. It is against the
dismissal of her special plea that the plaintiff appeals to this
court.
6
Although the appellant framed her special
plea on the basis that it was about the monetary value of the claim,
her true defence
lay elsewhere.
7
In 2010, the Magistrates’ Court Act
32 of 1944 was amended to give Regional Magistrates’ Courts
jurisdiction in divorces.
When the legislature extended the Regional
Magistrates’ Courts’ jurisdiction to determine divorce
actions, it clothed
the courts with the same jurisdiction as High
Courts when they determine those matters.
8
After the amendment, section 29(1B) of the
Magistrates’ Court Act read as follows:
“
(a)
A court for a regional division, in respect of causes of action,
shall,
.
subject
to section 28 (1A), have jurisdiction to hear and determine suits
relating to the nullity of a marriage or a civil union
and relating
to divorce between parties and to decide upon any question arising
therefrom, and to hear any matter and grant any
order provided for in
terms of the Recognition of Customary Marriages Act, 1998 (Act 120 of
1998).
(b)
A court for a regional division hearing a matter referred to in
paragraph (a) shall have the same jurisdiction as any High Court
in
relation to such a matter
.”
9
This section makes it clear that, provided
the matter before the Regional Court is a divorce or any question
arising therefrom,
the Regional Court will have the same jurisdiction
as a High Court. In other words, provided the matter is a divorce or
a question
arising therefrom, the Regional Court’s jurisdiction
is not limited by, for example, the monetary limits that usually
apply
in the Magistrates’ Courts. Provided the matter is a
divorce or a matter sufficiently connected therewith, the usual
monetary
limits to the jurisdiction of the Magistrates’ Court
do not apply.
10
The real issue in the appeal, therefore, is
not that the counterclaim was for an amount of R1.7 million but,
rather, whether that
counterclaim qualifies as
a
question arising from the divorce
.
11
To answer that question requires an
analysis of the counterclaim.
The counterclaim
12
The counterclaim of R1.7 million is based
on an agreement that the respondent alleges he entered into with the
plaintiff in 2011.
He pleads that the agreement provided that the
appellant would be entrusted with the administration of his financial
affairs and
would attend to the administration thereof. In
administering the defendant’s affairs, the plaintiff was
required to collect
rentals due to the respondent, pay bond
instalments, pay property levies and pay municipal rates and taxes.
13
At points in the counterclaim, the
respondent’s claim against the appellant is pleaded as a claim
in contract. The allegations
are that the appellant breached their
contract when she held onto monies instead of transferring them to
the respondent. However,
at other points, the counterclaim reads as a
claim in delict because the defendant alleges that the plaintiff
stole or misappropriated
the defendant’s funds. However,
whether the claim is one in contract or delict does not matter for
the purposes of the appeal
because the question is whether the
counterclaim is sufficiently connected to the divorce to qualify as
“a question arising
therefrom”. The nature of the cause
of action does not matter; the issue is whether it qualifies as a
question arising from
the divorce.
14
The Magistrate concluded that the
counterclaim qualified as a question arising from the divorce but
provided limited reasoning for
this conclusion. The Magistrate held
that the legislature “could not have intended to exclude
marriages out of community
of property where parties have contractual
obligations against each other to enforce from being heard in the
Regional Courts”.
However, this analysis misses the point. The
question is not one of marriage in or out of community of property.
The question is
what qualifies as a sufficient link between the
divorce, on the one hand, and the other matters that the Regional
Courts may decide,
on the other.
“
A
question arising therefrom”?
15
The proper interpretation of section 29(1B)
of the Magistrates’ Court Act appears not yet to have received
judicial attention.
I could find no case dealing with the issue and
none was referred to us by counsel for either of the parties.
16
Nonetheless,
it is firmly established in our law that the interpretation of
statutes requires the consideration of a triad of text,
context and
purpose.
[1]
17
The
Magistrates’ Courts are creatures of statute without inherent
jurisdiction.
[2]
It
is Parliament that defines the limits of the Magistrates’
Courts’ jurisdiction. It was therefore important for the
legislature, when it introduced the amendment to the Magistrates’
Court Act to include a jurisdiction to hear divorce actions,
to be
clear about the limits of that jurisdiction.
18
In enacting the amendment to the
Magistrates’ Court Act, the legislature did not simply provide
that the Regional Magistrates’
Court would hear divorce
actions. It employed language to extend the scope of jurisdiction to
include “questions arising”
from a divorce. The language
chosen signals two things. First, it denotes that the Regional
Magistrates’ Courts’ jurisdiction
is broader than merely
deciding divorce actions. Second, it sets an outer limit to that
extension of jurisdiction because it constrains
the jurisdiction to
“questions arising therefrom”. The phrase “any
question arising therefrom” forges
a link or connection between
the subject (divorces) and the questions associated with it.
19
To fall within the ambit of the Regional
Magistrates’ Courts’ jurisdiction, therefore, the issue
raised would have to
arise
from a
divorce
. In this case, the
jurisdictional question is the following: does the defendant’s
counterclaim for R1.7 million arise from
the divorce action?
20
The appellant’s counsel, Mr Heunis,
submitted that the counterclaim was entirely unrelated to the
divorce. It was a claim
that could just have as easily existed
between the defendant and some third party appointed to administer
his financial affairs
who then subsequently ran off with the money.
For this reason, therefore, the matter did not fall within the
Regional Court’s
jurisdiction because it was not a claim that
“stemmed” from the divorce action nor was it an issue
that arose from
the divorce.
21
The respondent’s counsel, Mr Felix,
sought to counter this argument in two ways.
21.1
First, he argued that because the
respondent’s success in the counterclaim would affect the
plaintiff’s patrimonial
position, it was relevant to the
divorce under
section 7(5)(d)
of the
Divorce Act 70 of 1979
.
21.2
Second, he contended that because the
agreement between the parties was pleaded as having required the
appellant to use the difference
between rental monies received and
expenses paid to “contribute to the parties’ household
expenses”, this meant
that the claim was sufficiently connected
to the divorce.
22
However, neither of these arguments avails
the respondent.
Section 7
of the
Divorce Act
23
Section 7
of the
Divorce Act deals
with the
division of assets and maintenance of divorced parties. The specific
section that the respondent invokes for the necessary
link between
his claim and the divorce is
section 7(5)(d).
The section says, in
relevant part, that in the determination of the division of the
assets under the section, the court shall
take into account any order
which the court grants under any law which affects the patrimonial
position of the parties.
24
In order for this argument to get out of
the starting blocks, however, the court has to be engaged in an
exercise of determining
the division of assets between the parties.
But, as Mr Heunis correctly pointed out, there is no claim for a
division of assets
in the divorce pleadings. The appellant did not
seek a division; she sought a retention of assets and a claim for
maintenance.
The respondent, similarly, did not claim a division of
assets. The argument based on
section 7(5)(d)
of the
Divorce Act
therefore
does not assist the respondent because in order for it to
apply, the court must be involved in the exercise of dividing assets
but that it not an issue on the pleadings.
25
The counterclaim is also not relevant to
any decision that the court will have to make on maintenance because
the respondent did
not plead that his counterclaim was relevant to
the assessment of whether he should bear a maintenance obligation to
the appellant.
On the pleadings, he simply denied that he should pay
maintenance and put the appellant to the proof of her claim for
maintenance.
The court raised with counsel for the respondent whether
there was any reading of the respondent’s plea which could
support
the notion that his counterclaim was relevant to the question
whether he should bear a maintenance obligation to the appellant.
Mr
Felix fairly conceded that there was none.
26
As a result,
section 7
of the
Divorce Act
does
not create the necessary link between the respondent’s
counterclaim and the divorce in this case.
The household expenses
27
The only remaining link between the
counterclaim and the divorce is therefore the respondent’s
contention that, because it
was a term of their agreement that the
appellant would pay for their household expenses from the monies left
over while she was
administering his financial affairs, the
counterclaim was sufficiently linked to the divorce.
28
But whether or not the appellant and the
respondent had an agreement for how they would pay for their
household expenses, the fact
of the matter is that they were married
out of community of property, with the accrual system excluded and
without any community
of profit and loss.
29
The
main obstacle facing the respondent’s counterclaim is his own
pleadings. Our courts have repeatedly held that
jurisdiction
is determined with reference to the allegations in the pleadings and
not by the substantive merits of the case. In
the event of the
court's jurisdiction being challenged, the pleadings are the
determining factor since they contain the legal basis
of the claim
under which the litigant has chosen to invoke the court's
competence.
[3]
30
But the respondent’s own pleadings do
not tie the alleged agreement with the plaintiff to the divorce. On
the contrary, the
respondent pleads the agreement with the appellant
as if it is a self-standing contract that she breached. The only
point in the
pleadings where he links the claim to the divorce is
that he contends that the reasons for the irretrievable breakdown of
the marriage
included her breach of the agreement. However, the most
that this says is that one of the reasons their relationship fell
apart
is that the appellant did not keep to her undertakings. The
relevant question in the divorce is whether there was a breakdown of
the relationship. The question that arises in the counterclaim is a
different one; it is whether the appellant is liable to pay
damages
to the respondent in an amount of R1.7 million. But that question
does not arise
from
the
divorce proceedings.
31
The vague reference in the pleadings to the
fact that their agreement required the appellant to pay for household
expenses with
the difference between the monies received and paid
out, does not make the determination of the counterclaim an issue
arising from
the divorce. More needed to have been done by the
respondent, in his own pleadings, for the determination of the
counterclaim to
qualify as a question arising from the divorce.
32
He did not set out a basis for the link and
therefore, on his own pleadings, the necessary jurisdiction of the
Regional Magistrates’
Court was not established.
33
The special plea ought, therefore, to have
been upheld. The Magistrate erred on a question of law. She
interpreted the Magistrates’
Court Act to give the Regional
Court jurisdiction to decide the respondent’s counterclaim
when, on the pleadings before the
Magistrate, it did not arise from
the divorce.
34
In my view, the appeal must therefore be
upheld and the Magistrate’s order set aside with costs. The
appellant has been successful
and is entitled to her costs.
Order
35
In the light of what is set out above, I
would make the following order:
35.1
The appeal is upheld, with costs, including
the costs in the Magistrates’ Court.
K HOFMEYR
ACTING JUDGE OF THE
HIGH COURT
I agree and it is so
ordered.
B P MANTAME
JUDGE OF THE HIGH
COURT
APPEARANCES
Appellant’s
counsel:
Mr Heunis
Applicants'
attorneys:
Bester and Lauwrens Attorneys
Respondent's
counsel: Mr Felix
Respondent's
attorneys: Smith-Symms & Associates
[1]
Close-Up
Mining and Others v Boruchowitz NO and Another
2023 (4) SA 38
(SCA) para 23
[2]
Ndamase
v Functions 4 All
2004 (5) SA 602
(SCA) para 5
[3]
Gcaba
v Minister for Safety and Security
2010 (1) SA 238
(CC) para 75
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