Case Law[2025] ZALCC 8South Africa
Cindi Family v Minister of Rural Development and Land Reform and Others (LCC 115/2008; LCC 026/2007) [2025] ZALCC 8 (4 February 2025)
Land Claims Court of South Africa
4 February 2025
Headnotes
AT RANDBURG Case numbers: LCC 115/2008
Judgment
begin wrapper
begin container
begin header
begin slogan-floater
end slogan-floater
- About SAFLII
About SAFLII
- Databases
Databases
- Search
Search
- Terms of Use
Terms of Use
- RSS Feeds
RSS Feeds
end header
begin main
begin center
# South Africa: Land Claims Court
South Africa: Land Claims Court
You are here:
SAFLII
>>
Databases
>>
South Africa: Land Claims Court
>>
2025
>>
[2025] ZALCC 8
|
Noteup
|
LawCite
sino index
## Cindi Family v Minister of Rural Development and Land Reform and Others (LCC 115/2008; LCC 026/2007) [2025] ZALCC 8 (4 February 2025)
Cindi Family v Minister of Rural Development and Land Reform and Others (LCC 115/2008; LCC 026/2007) [2025] ZALCC 8 (4 February 2025)
Download original files
PDF format
RTF format
make_database: source=/home/saflii//raw/ZALCC/Data/2025_8.html
sino date 4 February 2025
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
IN
THE LAND COURT OF SOUTH AFRICA
HELD AT RANDBURG
Case
numbers
:
LCC 115/2008
LCC 026/2007
(1)
REPORTABLE: YES
(2)
OF INTEREST TO OTHER JUDGES: YES
(3)
REVISED: YES
DATE 4 February 2025
SIGNATURE
In the matter between:
CINDI
FAMILY
PLAINTIFF
Concerning R[...] 4[...],
Standerton district municipality, Mpumalanga
and
MINISTER OF RURAL
DEVELOPMENT AND LAND
REFORM
FIRST DEFENDANT
CASPARUS
JANSE VAN RENSBURG
SECOND DEFENDANT
MARTHA
MARIA GEYSER
THIRD
DEFENDANT
THE REGIONAL LAND
CLAIMS COMMISSIONER:
MPUMALANGA
PARTICIPATING PARTY
JUDGMENT ON RULE 30(6)
APPLICATION BY LANDOWNERS
This judgement is
delivered by upload to the digital data base of the court and by
transmission email to the parties on 3 February
2025
SPILG,
J
INTRODUCTION
1.
The issue before the court is whether or
not the claimant community, which is the Cindi family, had agreed to
settle their land
claim in respect of certain properties collectively
described as the Farm Rondavel (“
the
farm
”) owned by Mr van Rensburg
and Ms Geyser. The landowners contend that the claimant agreed to
accept equitable redress instead
of restoration.
2.
The matter comes to this court by way of a
court order which, at the instance of the landowners, effectively
compelled the Regional
Land Claims Commissioner, Mpumalanga (“
RLCC
”)
to refer the claim to this court. In consequence of the referral the
claimant community became the plaintiff and the landowners
were cited
as the second and third defendants.
3.
The
landowners raised the issue of settlement by way of a Rule 30 (6)
notice of application
[1]
in
which the following relief was sought:
a.
Declaring that the land claim lodged in
respect of the Rondavel farm has been settled on the basis that the
plaintiff has opted
for restitution in the form of equitable redress
and no longer claims restoration of any rights in respect of the
farm;
b.
The landowners are released from further
participation in the referral action
c.
Declaring that the farm is no longer
subject to the restrictions in
section 11(7)
of the
Restitution of
Land Rights Act 22 of 1994
d.
Directing the RLCC to withdraw the
Government Gazette publication relating to the farm
e.
In the event that the plaintiff and the
Minister of Rural Development and Land Reform (who is the first
defendant) are unable to
agree on the amount of compensation or
equitable redress payable to the plaintiff, then the latter shall be
entitled to enroll
the action for determination of the quantum of its
claim and for appropriate orders for payment or the granting of other
redress
f.
The Minister and the RLCC pay the costs,
including certain enumerated costs relating to the claim on the
ordinary party and party
scale
g.
The plaintiff claimant, the Minister and
the RLCC pay the cost of the application itself on the scale as
between attorney and client
4.
The application is opposed by the claimant.
The State Attorney, on behalf of the two organs of state, being the
Minister and the
RLCC, did not file any papers but did attend the
hearing
THE SUBMISSIONS
5.
The landowners rely on a series of
communications between them, the plaintiff and the State, which they
contend amount to a settlement
or compromise of the claim in terms of
which the plaintiff agreed to accept equitable redress and not
restitution in the form of
the restoration of rights in land the
effect of which thereby released the landowners’ farm from the
claim. The only issue
arising out of the referral would therefore be
the nature and quantum of the equitable redress- an issue solely
between the plaintiff
and the State.
6.
The claimant relies on two submissions
which it avers negates a settlement or compromise.
The first is that while
there may have been discussions which indicated that the claimant was
amenable to financial compensation
from the State as opposed to
restoration of the properties claimed, neither the State nor the
plaintiff were
ad idem
that the matter would be settled in
this fashion; More especially because no offer had been made by the
State regarding financial
compensation and it was certainly not clear
that any such offer would be forthcoming. At best there may have been
a promise to
contract but nothing more.
The second is that, for
there to be an agreement, the plaintiff would have to waive its right
to restoration. This it argues would
have required a clear and
unequivocal intention on its part, which was absent.
BASIC
PRINCIPLES
7.
The following principles appear to be
relevant in order to determine whether there was a binding agreement
between the landowners
and the plaintiff;
a.
there must be an offer and unqualified
acceptance of its terms (save where a counteroffer in turn is met
with an unqualified acceptance)
b.
the parties must be capable of concluding a
binding agreement in respect of the subject matter.
In the
present case, this requirement fell away. However the court considers
that sight should not be lost of this critical consideration,
which
arises in cases where no agreement between the parties
inter
se
can
be given effect to because the subject matter is governed by
legislation which the court must apply and which in its terms
requires the concurrence of an organ of State.
[2]
c.
In
determining whether there is a binding agreement the reliance theory
prevails in that “
whatever
a man’s real intention may be, he so conducts himself that a
reasonable man would believe that he was assenting to
the terms
proposed by the other party, and that other party upon that belief
enters into the contract with him, the man thus conducting
himself
would be equally bound as if he had intended to agree to the other
party’s terms.
[3]
”
In order to apply, the
party relying on a contract must have been led to believe that
consensus was actually achieved; not that
the other party was still
continuing with negotiations.
d.
In
determining whether there is a binding agreement, the court can have
regard to relevant background and surrounding circumstances
[4]
8.
In regard to waiver, the following applies:
a.
the
party relying on a waiver must demonstrate that the other party
evinced a clear and unequivocal intention to waive the right,
the
existence of which it was fully aware it enjoyed.
[5]
b.
In
Lufuno
Mphaphuli and Associates (Pty) Ltd v Andrews and another
2009 (4) SA 529
(CC) at paragraph 81 Kroon AJ confirmed that waiver
“
is
first and foremost a matter of intention
”
;
the test is objective (Ie an application of the reliance principle) ,
the alleged intention being judged by its outward manifestations
from the perspective of the other party, as a reasonable person.
[6]
c.
The
onus is strictly on the person asserting a waiver and a court takes
cognisance of the fact that “
persons
do not as a rule lightly abandon their rights. ….
Waiver
is a
question
of fact and is difficult to establish.”
[7]
d.
Waiver
of a right can take place not only expressly but “by
conduct
plainly inconsistent with the intention to enforce it”
.
[8]
9.
Prof
Reinecke deals in vol 12(2) of LAWSA at para 160 in some detail
with various aspects of what may amount to a waiver or
an election.
[9]
Essentially there are
different views; the one being that waiver takes the form of an
agreement in terms of which a right is abandoned
while the other view
is that it may amount to an election which does not require agreement
but is a unilateral act.
10.
The author suggests that waiver which
requires agreement is more in the form of a release. As such it
requires that the person who
waives is fully aware of the right being
waived and must have communicated it to the other party (who in turn
must have been aware
of the right in question). This situation is
said to arise where the other party is the debtor. In such a case the
creditor is
said to offer to waive a right which the person who owes
the obligation accepts and that it is appropriate to characterise the
legal position in this way when dealing with the “
abandonment
”
of rights involving a relationship of debtor and creditor.
11.
The author also refers to the other view
which considers that waiver does not require consensus but is a
unilateral juristic act
in cases where;
“
a
person has an election between inconsistent remedies, such as
upholding or cancelling a contract on the ground of
misrepresentation,
he or she may decide unilaterally which course to
take. By choosing one alternative, he or she is said to have waived
the other.”
[10]
It is argued that in this
type of case the person takes a deliberate decision, with full
knowledge of the material facts, to abandon
the right and the
abandonment becomes effective when the other party becomes aware of
it. The author contends that this unilateral
act can only apply
“
to
rights and legal competences other than personal rights involving an
ordinary debtor and creditor relationship …”
[11]
In
such a case an election is made, which unlike waiver is “
a
unilateral juridical act by which a party exercises a choice between
inconsistent alternatives.
”
[12]
12.
These different views may come down to
whether the relationship is one which originally involved reciprocal
obligations or whether
it was founded on an independent right or
interest (including to a remedy) accruing in law. Since the outcome
in the present case
will yield the same result it is unnecessary to
deal in greater detail with these different views, save to observe
that circumstances
may not allow for a clear timing delineation if,
for instance, the person had a remedy exercisable independently of
the relationship
with the other party (such as a real right or
interest in land derived from statute which falls outside an ordinary
debtor creditor
relationship) but agrees to waive that remedy
because, by not doing so, obligations may realistically arise in the
future
vis a vis
that other party (such as adverse cost orders).
BACKGROUND FACTS
13.
This
case proceeded to trial with the holding of an inspection
in
loco
conducted by the court; namely, the assessor Mr Maodi and myself. The
inspection was held over a period of two days from 10 to
11 February
2021.
[13]
14.
By that stage, the claimant had already
produced its witness statement and expert notices had been exchanged.
The experts attended
the inspection and gave necessary assistance to
their clients. The historians and archeologists had prepared expert
notices and
their reports prior to the inspection. Shortly
after the inspection and prior to the end of February 2021, both the
historians
and the archeologists had prepared their joint minutes.
15.
At the time of the inspection, the dates
for the hearing of evidence were already allocated, being from 1
February to 4 March 2022,
a period of just over a month.
16.
The case was ready to proceed with the
hearing of oral evidence on 1 February 2022.
17.
The matter however did not proceed on that
date, the reason for it not proceeding being germane to the issue now
before me as to
whether the case had been settled by 12 December 2021
or not. I believe it is correct to observe that by this time, i.e.
December
2021, all the parties were fully cognisant of the strengths
and weaknesses of their respective cases.
THE COMMUNICATIONS
BETWEEN THE PARTIES BETWEEN NOVEMBER 2021 and FEBRUARY 2022
18.
It is common cause that on 16 November 2021
the landowners’ attorneys addressed a letter to both the
plaintiff’s attorneys
and to the State Attorney who represented
the Minister and the RLCC.
19.
The letter adopted the position that the
outcome of the inspection
in loco
illustrated that the plaintiff would not be able to prove its case
and, based on
Macassar Land Claims
Committee v Maccsand CC & another
2017 (40 SA 1
(SCA), the landowners will contend that the plaintiff
is not entitled to be restored ownership rights in land because the
claimant’s
ascendants had, at best, been dispossessed of
informal rights in land
20.
The letter then proposed that the parties
consider settling the claim on the basis that the plaintiff seeks
restitution by way of
equitable redress. If that occurred then the
landowners would fall out of the picture and would not have to spend
further costs
on trial preparation.
21.
The other parties confirmed their agreement
to attend a settlement meeting. This took place on 3 December 2021
and was held without
prejudice. The meeting discussed the proposals
made by the landowners
22.
After the meeting, and on 8 December 2021
the plaintiff’s attorney advised that
“…
our
client is prepared to consider equitable redress in the form of
monetary compensation.”
The e-mail continued:
“
The
plaintiff reserved his right to proceed to trial on the current dates
in the event that the compensation is insufficient, the
date of
payment is too far in the future or that the State is not in
agreement with the landowner's proposal to pay compensation.”
23.
The e-mail of 8 December concluded that,
while the plaintiff did not wish to have the matter removed from the
trial roll, in order
to avoid preparation costs the RLCC and State
Attorney were requested to revert to all the parties with their
feedback.
24.
It is clear that by 8 December the
plaintiff’s response to the settlement proposed by the
landowners was subject to the former
receiving sufficient
compensation, payment of compensation to be within a reasonable time
and the State being agreeable “
with
the landowners’ proposal to pay compensation
”.
25.
In a follow up letter of 9 December, the
landowners’ attorneys contended that the plaintiff had to
indicate (in terms of their
earlier meeting) by 8 December whether it
would be prepared to settle the claim on the basis of equitable
redress, which the plaintiff’s
attorney claimed the plaintiff
has now done; not that the State had to indicate by that date whether
it would be prepared to settle
the claim on that basis.
The landowner’s
attorney added that it was now for the State to indicate whether they
were prepared to settle the case on
the basis of equitable redress
and that, if the answer is affirmative, the trial in February would
not proceed except perhaps on
the question concerning the extent of
the plaintiff's rights (but that would not involve the landowners).
26.
The letter concluded that the plaintiff
cannot hold the parties to ransom and keep the trial date open until
such time as the family
is satisfied with the amount of compensation
offered. Furthermore the trial issues had already been separated with
the first set
of issues being the question of entitlement to
restitution (i.e. the merits of the claim) and not the form of
restitution. The
letter continued, that if the plaintiff and the
State could not agree on the amount, then that can be decided in the
following
hearing, but not during the one set down for February 2022
To this end the
landowners’ attorneys put the plaintiff on terms that if the
State Attorney confirmed that they were willing
to settle the claim
on the basis of equitable redress, then the matter must be removed
from the roll, but if the plaintiff forces
the landowners to keep the
trial dates open and prepare for trial, they will seek a cost order
if the plaintiffs are ultimately
unsuccessful
27.
it is evident from this correspondence that
in response to the landowners’ suggested settlement of the
matter, the plaintiff
was prepared to settle provided three
conditions were met; namely, the State agrees to pay compensation,
the compensation is sufficient
and finally that it is paid within a
reasonable time.
The landowners’
response was not to accept a settlement on that basis but only on the
basis that the plaintiff pursues a claim
for equitable redress even
if that meant carrying on with the case against the State.
28.
At this stage, therefore, a settlement had
not been reached, only a counter proposal from the plaintiff which
was unacceptable to
the landowners who then sought to put the
plaintiff on terms with an agreed settlement confined solely to the
two of them and without
the plaintiff obtaining at least some
commitment from the State as to the parameters under which they would
be prepared to settle,
be it as to area of land, value of land or
both.
29.
In short, the substantive point of
departure between the landowners (as proposers of the settlement) and
the plaintiff, is
that the former saw the settlement as only having
to concern itself with the relationship between the two of them,
whereas the
plaintiff was only prepared, at least as appears from the
exchanges at that stage, to agree to a settlement where the State was
brought into the equation, not as part of a tripartite agreement, but
one as between it and the State to which it was agreeable,
or
at least have received assurances regarding the parameters the
State was prepared to negotiate around in respect of a
financial
compensation claim.
30.
It was already evident from the inspection
in loco
that the area of land in respect of which the State would consider
paying compensation might no longer be as extensive as the area
it
had supported when Gazetting the claim.
In these circumstances,
it is unlikely that the plaintiff would forgo, as negotiating
leverage with the State, the ability to pursue
both remedies in the
alternative, but rather to only commit itself to equitable redress
when it had a fair idea of the parameters
to which the State was
prepared to commit themselves in turn, Only once the plaintiff
obtained clarity as to the parameters which
the State were working on
in respect of the payment of compensation, would it be in a position
to take an informed decision as
to whether to forego restoration even
if negotiations with the State had not yet resulted in a concluded
settlement- that was an
option still open for the plaintiff to weigh
once it had clarity from the State as to their thinking on the
variables involved
in computing compensation.
31.
The reply from the plaintiff’s
attorneys, which was also forwarded to the State’s
representatives. came on 12 January.
The full text reads as follows:
“
As
requested by Ms … Singh, we together with our counsel, had
sent a letter to Ms Singh and Mr Mathebula, on 21 December
2021
concerning your client’s proposal. Our client is in agreement
to accept compensation in lieu of restitution. As no urgent
response
was received a reminder was sent on 6 Jan 2022. We are unable to take
this any further without their response,
We both require a
response from Ms Singh and Mr Mathebula to avoid preparation and
trial costs. They are copied on this e-mail for
ease of convenience.”
32.
Superficially the letter is unclear. On the
one hand the plaintiff indicates that it remains unable to take the
matter further without
a commitment from the State (the nature of the
commitment it sought form the State was not identified). On the other
hand the letter
states that the plaintiff “
is
in agreement to accept compensation in lieu of restoration
.”
33.
it is however evident from the 12
January reply that the plaintiff has not expressly, or by necessary
implication, removed the conditions
under which it would be prepared
to settle. To the contrary; the last sentence resolves any ambiguity
because it unequivocally
states that the plaintiff would still
proceed with preparation despite advising that it is agreeable to
accept compensation in
lieu of restitution. This indicates more
clearly that an agreement to accept compensation remains one element
of the plaintiff’s
proposal. The other element is dependent on
events that are taking place between the plaintiff and the State and
which require
resolution in a way that enables the plaintiff to
understand the parameters with which the State is working to
formulate an offer
of financial compensation.
34.
Interpreting the letter of 12 January in
the context of the communications as a whole, the relevant
circumstances and the
stage reached in the progress of the claim,
sight should not be lost of the fact that the letter was intended to
be read not only
by the landowners but also be the State, and with
the additional objective of prompting the State to act constructively
and expeditiously
in giving the plaintiff the comfort it required
before it would commit to abandoning, or electing not to pursue, its
claim for
restoration and accept monetary compensation instead.
35.
I
should add that in interpreting all
the
wording in the communications relied on by the landowners to
support the settlement of the claim
vis
a vis
it, the court applies the principles of interpretation of documents,
including contracts, as set out by Wallis JA in
Natal
Joint Municipal Pension Fund v Endumeni Municipality
2012
(4) SA 593
(SCA) (“
NJMPF
”
)
at
paras 18 and 19 and later also in
Bothma-Batho
Transport (Edms) Bpk v S Bothma & Seun Transport (Edms) Bpk
2014
(2) SA 494
(SCA) at para 12.
[14]
In
Sasol Gas (Pty)
Ltd v Competition Commission of South Africa and Others
[2024]
ZACAC 2
at paras 35 and 36 I attempted to summarise the accepted
interpretational process by reference particularly to
Bothma-Botha
as follows:
“
35.
The “unitary” nature of the interpretational task is
the common thread running through the judgments of the Constitutional
Court and the SCA. It was again emphasised by Wallis JA in
Bothma-Batho Transport (Edms) Bpk v S Bothma & Seun Transport
(Edms)
Bpk
2014 (2) SA 494
(SCA) at para 12. The relevant
extract reads:
“
Whilst the
starting point remains the words of the document, which are the only
relevant medium through which the parties have expressed
their
contractual intentions, the process of interpretation does not stop
at a perceived literal meaning of those words, but considers
them in
the light of all relevant and admissible context, including the
circumstances in which the document came into being. The
former
distinction between permissible background and surrounding
circumstances, never very clear, has fallen away. Interpretation
is
no longer a process that occurs in stages but is 'essentially one
unitary exercise'
[15]
36.
Ultimately the purpose of interpreting a statute is simply stated; to
discern the intention of the legislature
having regard to the only
form of expressions open to it, namely words which because they are
by nature imprecise also requires
an understanding of their context
which includes legally acceptable factors extrinsic the legislation.”
36.
Returning to the communications relied on
by the landowners, on 17 January the plaintiff’s attorney wrote
to the landowners'
attorney as follows:
“
We
have received confirmation today from the RLCC that they are amenable
to settle the matter by means of financial compensation
hence we have
delivered a formal notice of removal from the trial roll. Therefore
there is no need for the parties to prepare for
trial.”.
37.
The letter clearly indicates that the State
has agreed to pay financial compensation and as a consequence that
the matter would
be removed from the roll and no further preparation
would be necessary.
The question which now
arises is whether the other two conditions fell away because the
plaintiff was removing the matter from the
roll, or whether it was
removing the matter from the roll because there was no point in going
into the merits while negotiations
were still pending between the
plaintiff and the State, at least in respect of the amount of
compensation and the time within which
it would be paid.
38.
On the same date the landowners’
attorney responded. Its understanding of whether there was an
agreement to settle or an abandonment
by the plaintiff of its claim
for restoration is set out in paragraphs 3 which reads:
“
As
we understand the position
, the
claimant no longer insists on physical restoration of rights in land,
and now claims alternative redress. The state is willing
to settle
the matter with the claimant on this basis. As previously discussed,
the effect of those two decisions is that the landowners
are released
from the land claim.
For the sake
of legal certainty
, we are of
the opinion that this should be recorded, at least at a pretrial
conference with the judge, but preferably in a court
order”
(Emphasis
added)
39.
This paragraph indicates that the
landowners’ attorney required “
legal
certainty”
that the matter had
been settled.
40.
The plaintiff’s attorney immediately
replied that it had forwarded the letter to its counsel and to the
RLCC for a response.
The fact that the RLCC
was asked to respond to the letter is consistent with the court’s
analysis of the plaintiff’s
position which still required the
involvement of the State before it could commit to an abandonment of
the restoration claim.in
favour of monetary compensation.
41.
This was followed by a deafening silence of
over a month which prompted the landowners’ correspondent
attorneys, on 22 April,
to forward to the plaintiff’s attorney
and the State’s representatives a draft court order confirming
that there had
been a settlement. The letter requested that if the
other parties are in agreement with the order, then they should
consent to
arrange a pretrial conference and have it made an order of
court.
42.
On 6 May the plaintiff’s attorney
advised that they could not consider consenting to the draft order
until they received a
response from the State Attorney concerning
equitable redress and added that:
“
all
discussions to date were premised on the fact that our client would
be prepared to consider equitable redress if an offer was
made. To
date, no offer has been received.”
43.
It is therefore evident that the
plaintiff's position remained that it was still awaiting some form of
offer so that it could understand
the parameters governing the basis
on which the State was prepared to settle.
44.
All subsequent communications reinforce the
respective positions taken by the plaintiff and the landowners with
regard to what was
agreed, the latter contending that the settlement
was not dependent on agreement being reached on the amount of
compensation because
the plaintiff ”…
was
not prepared to remove the trial on the merits of the claim from the
roll until the State confirmed that it would be prepared
to settle
the claim by paying compensation to the plaintiff which it did. It
was only after this confirmation by the RLCC that
the plaintiff's
attorney removed the matter from the roll.”
45.
To the extent that subsequent
events may have a bearing on the matter, the landowners in their
affidavit referred to the plaintiff’s
attorney advising on 28
April 2023 that they were on their way to the farm for a further
inspection with the State in order to
determine the extent of the
rights that the claimant allegedly lost. The landowners assisted and
enabling the inspection and mapping
exercise to take place,
46.
it is also evident from the landowners’
affidavit that there were still negotiations taking place between the
State’s
representatives and the plaintiff and that by June
2023, after a further inspection was held on the farm between the
State and
the plaintiffs, they had:
“…
concluded
a satisfactory mapping of the land with the department.
Unfortunately, they must now present an offer based on that mapping
exercise we have no control over how long that will take and it must
be approved at various levels within the department however.
I will
follow up asap and let you know.”
47.
When there were no further developments,
the landowners called for a pretrial conference. This was held and in
the expectation that
the entire matter was close to resolution,
certain orders were made to expedite the possibility of finalising
the claim based on
the final mapping of the area. The meeting was to
be held between the State and the plaintiff’s representatives
by no later
than 16 February 2024 to negotiate a settlement of the
area and the amount of compensation payable. A joint minute was
to
be prepared if no agreement could be reached and it was also to be
forwarded to the plaintiff’s attorneys.
48.
Pursuant to further requests made by the
landowners’ correspondent, on 19 February 2024 the plaintiff’s
attorney advised
that settlement discussions were held between the
plaintiff and the Department of Agriculture, Rural Development and
Land Reform
and that agreement was reached that the Department would
appoint a valuer to determine the value of the claim so that a
settlement
offer could be made to the plaintiff. It was indicated
that the offer would only be made during March. The impression given
was
that a strong possibility of settlement existed and the
plaintiff’s attorney requested the court and the parties to
consider
new directions which placed the Department on terms by when
it was to provide its valuation report, present its offer and
finalise
a settlement.
49.
It is clear that the landowners were
compelled to approach this court after receiving an e-mail on 23
February 2024 from the plaintiff’s
attorney advising that the
plaintiff’s position remained unchanged in that no settlement
had been reached with the State.
This was because a valuation
report had yet to be provided to the plaintiff.
50.
The landowners’ position remained
that it was of no concern to them whether the valuation was provided
or accepted, since
the remedy lay in the plaintiff’s hands to
enroll the matter against the State and pursue a claim for equitable
redress.
51.
I must respectfully disagree with the
plaintiff’s understanding of the matter. While that may
be its perspective of
the situation, it is evident to the court that
from the plaintiff’s perspective, it needed to have an
understanding of at
least the area of land in respect of which the
State would be prepared to consider providing compensation, and
possibly even the
value per hectare, before it made an election to
abandon its claim for restoration.
52.
While it may not have been necessary to
finally settle the claim between itself and the State before electing
to abandon its remedy
of restoration, it may have been sufficient for
the plaintiff’s purposes to at least know the minimum area that
the State
was considering and upon which financial compensation would
be determined.
53.
The State’s representatives have not
filed any affidavits in this application. During the hearing of
argument, Mr. Mathebula
for the State advised that there was still no
offer made and that the issue really concerned the size of the land
in respect of
which the State was prepared to pay compensation.
FINDINGS
54.
It appears to the court that in respect of
the legal requirements to prove a settlement, as set out earlier the
landowner needed
to demonstrate that the plaintiff had moved away
from the position set out in its email of 8 December to the effect
that there
would only be a settlement provided three conditions were
met. Since the issue is whether there was a settlement or not, the
reasonableness
of the conditions imposed for a settlement to be
concluded are not relevant, provided they constitute conditions and
are clearly
stated.
55.
The evidence which the landowners seek to
rely on is that in the letter of 12 December the plaintiff’s
attorney said that
it agreed to settle on the basis of equitable
redress and had the matter removed from the trial roll.
56.
The court’s concern is that this
letter is not sufficiently clear to make a finding in favour of the
landowners.
57.
The letter, read as a whole and in its
context, is also consistent with the plaintiff confirming that it was
agreeable to accept
equitable redress, not that the requirements
under which it was prepared to do so, and abandon restoration, had
been met at that
stage. The reference to there being no point in
proceeding with the trial on the allocated dates was not necessarily
linked to
there being a settlement, but can be seen in the context
that the plaintiff was optimistic of the prospects of final
settlement
and that there was no point in incurring the substantial
costs of preparing and running a month-long trial in such
circumstances.
58.
The court can appreciate that without
knowing at least the parameters of the area which the State was
prepared to consider for purposes
of paying compensation, the
plaintiff could not make an informed decision to abandon its claim
for restoration and would therefore
more likely than not keep its
options open, even if only for the purposes of negotiation. There was
little to no downside for it
doing so, provided it had played its
part in pushing the State to provide a valuation report and not
frustrating the finalisation
of the mapping exercise undertaken by
the State to establish the size of the area which it was prepared to
consider for purposes
of determining compensation.
59.
The fact that the landowners’
attorney requested “
legal
certainty
” from the plaintiff’s
attorney does pose a problem for the case they are obliged to make
out.
60.
This is not an ordinary commercial
agreement which is sought to be enforced. It is an agreement
concluded in the arena of
a restitution claim where the State is also
a material party, as it is still required to determine the size of
the land in respect
of which the plaintiff may have had an interest,
the value of the land per hectare and then is obliged to provide the
funds to
pay compensation.
These considerations
would reasonably be expected to impact on the plaintiff’s
position. The plaintiff is unlikely to want
to be in a position where
the State offers a pittance if it were to already have abandoned its
case for restoration. This appears
clear enough from the original
response from the plaintiff’s attorney of 8 December and there
is nothing advanced by the
landowners to suggest that the plaintiff
felt compelled to change its position or why it would do so.
61.
Whereas the landowners’ attorney
sought to impose a settlement on the basis that the only issue that
required agreement was
that the plaintiff would pursue only a claim
for equitable redress and therefore abandon a claim for restoration,
it cannot impose
the way in which terms are to be constructed on a
party who, at that stage, is still seeking as best it can to protect
its position,
including for the purposes of negotiating a favourable
settlement with the State.
62.
Before concluding this aspect, had the
terms of the settlement as between the plaintiff and the landowner
provided that the former
would only pursue equitable redress, I can
see no difficulty in such an agreement being binding in the context
of land restitution
legislation, provided that the State was amenable
to not insist on restoration (assuming it is entitled to do so in the
interests
of achieving the true objectives of the Restitution Act).
In the present case the point is moot because the State was amenable
to equitable redress.
63.
The way I consider this case is that the
landowners understood the issue to be whether or not the plaintiff
would pursue a claim
for equitable redress only and thereby abandon
its claim for restoration. While the landowners attempted to insist
that this had
to be the basis of the negotiations, the plaintiff
responded that it was (so to speak) not prepared to put all its eggs
in one
basket but needed to know at least the parameters within which
the State was prepared to negotiate compensation.
64.
I therefore do not read the withdrawing of
the matter from the trial role as unequivocal conduct sufficient to
demonstrate that
the initial terms under which the plaintiff was
prepared to settle (i.e. with the provisos) had changed.
65.
Accordingly I find that the landowners have
not satisfied the court in relation to a number of material
requirements for the consummation
of a settlement agreement,
compromise or binding election by the plaintiff, which by their
nature involve the abandonment of a
right to claim restoration as an
alternative to equitable redress. In particular;
a.
the court cannot be satisfied that there
was an unqualified acceptance by the plaintiff of the landowners’
proposal to settle;
b.
the plaintiff's conduct was sufficiently
unclear for the landowners to reasonably conclude that it was
amenable to settling without
having some understanding from the State
attorney of at least the size of the land they were considering for
purposes of making
a compensation award;
66.
It appears that this is a case where any
settlement agreement would amount to an abandonment of a right or
remedy and therefore
it would be necessary for the landowners to show
that the plaintiff’s conduct was clearly inconsistent with an
intention
to keep open restoration as an alternative to equitable
redress. For the reasons already given I am satisfied that the
landowners
are not able to produce the necessary evidence to support
their contention.
COSTS
AND SETTLEMENT
67.
At this stage it is premature to make any
cost order
68.
The principal reason is that the
application ought to have precipitated a resolution of the matter
between the plaintiff and the
State. And going forward, if there is a
failure to finalise the matter before further substantial costs are
incurred in what will
be a trial lasting a month, then there should
be consequences for either the State or the plaintiff depending on
the reason for
the delay in finalising the settlement of the case.
69.
If this case is settled before or during
the next court hearing, consideration will be given to whether the
landowners are entitled
to attorney and client costs as from the time
they brought the present application, and if so whether the State can
be absolved
even if it is only partly responsible for delaying the
settlement.
70.
In saying this, the court respects that the
case involves rights issues and not simply personal commercial
interests. However the
Land Court Act 6 of 2023 and other relevant
legislation impacting on the functioning of this court, and which
have substantive
law implications in addition to procedural ones,
consider finding resolution by way of negotiation, including
mediation, as conducive
to advancing the interests of justice and its
administration. At this stage it is unnecessary to consider whether
this is a situation
where the plaintiff or the State is entitled to
pursue the rights issues they contend for if it should be found that
a reasonably
prudent litigant would have had little difficulty in
resolving even the rights issues through negotiation rather than in a
lengthy
and expensive trial which unnecessarily debilitates not only
private resources but State resources and court resources.
71.
At this stage there appears to be no reason
to delay the continuation of the trial by directing mediation. The
plaintiff and the
State should be able to find each other by now,
provided there is compliance with the previous court directions.
ORDER
72.
In the result the following order is made:
1.
The application brought under rule 30 (6)
is dismissed
2.
Costs are reserved
3.
The court is satisfied that the parties
have been afforded sufficient time and opportunity to mediate or
otherwise settle the claim
and that the trial continues, since there
are other parties that have a vested interest in securing the
finalisation or expeditious
determination of the referral
4.
A pretrial conference will be held on
Thursday 20 February 2025 at 15.30 to determine trial dates and put
the plaintiff and the
State on terms with regard to any outstanding
matters which inhibit one or other party from making an informed
decision with regard
to the fair settlement of the case.
5.
At the trial, or if settled earlier then on
the first day set down for the resumption of the trial, the court
will hear argument
as to who, if anyone, should be responsible for
the costs of any other party and on what scale, one of the
considerations being
whether the matter should have been settled
sooner.
SPILG,
J
DATE
OF JUDGMENT AND ORDER:
4
February 2025
FOR
PLAINTIFF:
Adv
D Whittington
Bhayat
Attorneys Inc
FOR
2nd and 3
rd
DEFENDANTS:
Adv
H Havenga SC
Van
Heerden Schoeman Attorneys
FOR
1
st
DEFENDANT &
PARTICIPATING
PARTY
Mr
S Mathebula
State
Attorney
[1]
Rule 30(6) provides:
“
Insofar
as may be practical, a party must deliver prior notice of all
information, admissions, directions and orders which he
or she will
seek at a conference.”
[2]
See e.g.
Blou
Bul Boorkontrakteurs v McLachlan
1991 4 SA 283
(T) 284; LAWSA Contract at para 330
[3]
Smith
v Hughes
(1870)
6 QB 597
607. The reliance theory was accepted in
Sonap
Petroleum SA
(
Pty
)
Ltd
v Pappadogianis
1992 3 SA 234 (A)
[4]
See
KPMG
Chartered Accountants v Securefin Ltd
2009 4 SA 399 (SCA
)
,
per Harms DP at para 39 on the inclusion of “
surrounding
circumstances
”
and
Bothma-Batho
Transport
(
Edms
)
Bpk
v S Bothma & Seun Transport
(
Edms
) Bpk 2014 2 SA 494 (SCA) per
Wallis JA at para 12 on the proper method of interpretation
of
contracts and the cases which have followed them
[5]
Lufuno
Mphaphuli and Associates (Pty) Ltd v Andrews and another
2009 (4) SA 529
(CC) at paragraph 81
[6]
See also
Road
Accident Fund v Mothupi
2000 4 SA 38 (SCA).
[7]
Lufuno
at para 81
[8]
Id.
[9]
The subject matter under which the general principles of waiver were
being considered is Insurance.
[10]
LAWSA
vol 12(2) at para 160
[11]
Id.
[12]
Id.
[13]
The inspection
in
loco
is referenced in the judgment of
Cindi
Family v Minister of Rural Development and Land Reform and others
2021
(6) SA 133 (LCC)
[14]
See
more recently in relation to interpreting statutes
Minister
of Police and others v Fidelity Security Services (Pty) Ltd
(Sakeliga NPC and others as amici curiae)
2023
(3) BCLR 270
(CC) at para 34 per Madjiedt and Rogers JJ
[15]
It
is accepted that the method of interpreting a document,
whether it be a statute or an agreement, are essentially the
same,
save of course that s 39(2) of the Constitution brings a
consideration of the Bill of Rights into sharper focus when a
statute requires interpretation and issues of parole evidence
may intrude when discerning the terms of a contract (see
University
of Johannesburg v Auckland Park Theological Seminary and another
2021
(8) BCLR 807
(CC)
at
paras 88-92 and the cases cited)
sino noindex
make_database footer start
Similar Cases
Sehole v Minister of Rural Development and Land Reform and Others (LCC288/ 2017) [2022] ZALCC 1 (8 February 2022)
[2022] ZALCC 1Land Claims Court of South Africa98% similar
Minister of Department of Rural Development and Land Reform and Others v Selahle and Others (LCC137/2022) [2022] ZALCC 43 (25 November 2022)
[2022] ZALCC 43Land Claims Court of South Africa98% similar
Bisset v Minister of the Department of Rural Development and Land Reform and Others (LCC171/2021) [2023] ZALCC 11 (31 March 2023)
[2023] ZALCC 11Land Claims Court of South Africa98% similar
Minister of Department Of Rural Development And Land Reform and Others v Jacobs and Another (LCC19/2022) [2023] ZALCC 5 (1 March 2023)
[2023] ZALCC 5Land Claims Court of South Africa98% similar
Poti and Others v Minister of Department of Rural Development and Land Reform and Others (205/2021; 19/2022) [2025] ZALCC 6 (21 January 2025)
[2025] ZALCC 6Land Claims Court of South Africa98% similar