Case Law[2025] ZASCA 159South Africa
Nordien and Another v Kidrogen RF (Pty) Ltd and Another (149/2023) [2025] ZASCA 159 (23 October 2025)
Supreme Court of Appeal of South Africa
23 October 2025
Headnotes
Summary: Property law – eviction – lease agreement signed by directors of the company which owned the property without indicating that they acted on behalf of company – lessee challenging owner’s standing in eviction application – rei vindicatio – rectification – general principles restated.
Judgment
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## Nordien and Another v Kidrogen RF (Pty) Ltd and Another (149/2023) [2025] ZASCA 159 (23 October 2025)
Nordien and Another v Kidrogen RF (Pty) Ltd and Another (149/2023) [2025] ZASCA 159 (23 October 2025)
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sino date 23 October 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
FLYNOTES:
EVICTION
– Lease agreement –
Rectification
–
Reflection
of true lessor – Agreement did not indicate that parties
were acting on behalf of lessor – Rectification
is available
where written agreement fails to reflect parties’ true
intention due to a common mistake – Agreement
did not
reflect true intention of parties – Rectification was
appropriate – Respondent established its ownership
of
property – Addendum and subsequent correspondence
consistently reflected respondent as landlord – Appellant
was in unlawful occupation – Application dismissed.
THE SUPREME COURT OF
APPEAL OF SOUTH AFRICA
JUDGMENT
Not Reportable
Case no: 149/2023
In
the matter between:
SHAAN
NORDIEN
FIRST
APPELLANT
TAVIA
NORDIEN
SECOND
APPELLANT
and
KIDROGEN RF (PTY) LTD
FIRST RESPONDENT
CITY OF CAPE TOWN
SECOND RESPONDENT
Neutral
citation:
Nordien and
Another v Kidrogen RF (Pty) Ltd and Another
(149/2023)
[2025] ZASCA 159
(23 October 2025)
Coram:
MAKGOKA, WEINER and KGOELE JJA and HENDRICKS and
NAIDOO AJJA
Heard:
6 September 2024
Delivered:
: This judgment was handed down
electronically by circulation to the parties’ representatives
by email,
publication on the Supreme Court of Appeal website and
released to SAFLII. The date and time for hand-down of the judgment
is deemed
to be 11h00 on 23 October 2025.
Summary:
Property law – eviction – lease
agreement signed by directors of the company which owned the property
without indicating
that they acted on behalf of company –
lessee challenging owner’s standing in eviction application –
rei vindicatio –
rectification
– general principles restated.
ORDER
On
appeal from:
Western Cape Division of
the High Court (Goliath AJP and Cloete and Thulare JJ concurring,
sitting as court of appeal):
The application for
special leave to appeal is dismissed with costs to be paid by
the first and second
applicants jointly and severally, the one paying the other to
be absolved.
JUDGMENT
Hendricks
AJA:
[1]
This
is an application for special leave to appeal and, if granted, the
determination of the appeal itself. The matter was, on special
application for leave to appeal to this Court, referred for oral
argument in terms of s 17(2)
(d)
of
the Superior Courts Act 10 of 2013 (the Act).
[1]
It is therefore a two-pronged approach in that at first, it is the
determination of whether special leave to appeal should be granted,
and if so, the determination of the merits of the appeal itself. The
test for the determination of special leave to appeal is different
from the test to be applied on the merits of the appeal.
[2]
The
parties were directed to be prepared to argue the merits of the
application if called upon to do so.
[2]
The litigation history of this matter has its
genesis in the order granted in the Western Cape Division of the High
Court (the high
court), where Fortuin J granted an order dismissing
an application for eviction with costs. The application was launched
by Kidrogen
RF (Pty) Ltd (Kidrogen) against Mr Shaan Nordien (Mr
Nordien) and Mrs Tavia Nordien and their son (the Nordien family).
Kidrogen
applied for leave to appeal which was also dismissed with
costs by the high court. It then petitioned this Court for leave to
appeal,
either to the Western Cape Division of the High Court (the
Full Court) or to this Court.
[3]
Leave to appeal was granted by this Court to the
Full Court. The Full Court upheld the appeal against the order and
judgment of
Fortuin J, which was set aside and substituted with an
order: granting the application for rectification of the written
lease agreement;
evicting the Nordien family; ordering Mr Nordien to
pay an amount of R250 800 as arrear rental; as well as the costs
of the
application. Dissatisfied with the order and judgment of the
Full Court, Mr Nordien successfully petitioned this Court, and an
order was granted in terms of the provisions of s 17(2)
(d)
of the Act, as alluded to earlier.
[4]
The background facts to this application are
largely common cause. Kidrogen is the registered owner of a
residential immovable property,
situated at 6[...] T[....] Street,
Parklands, Western Cape (the property). On 30 October 2019, a written
lease agreement was entered
into between Mr Nordien as lessee, and Mr
Davids and Mr Peter as lessors. Mr Davids and Mr Peter are directors
of Kidrogen. An
addendum was also concluded between Mr Nordien and Mr
Peter on behalf of Kidrogen, decreasing the annual rental increase
from 15
per cent to 10 per cent. There was also a three-month rental
relief from March 2020 to May 2020, as a result of the Covid-19
pandemic.
The Nordien family took occupation of the property. On 5
February 2020, Kidrogen and Mr Nordien entered into an agreement of
sale
of the property. This agreement of sale was subsequently
cancelled. It was alleged by Mr Nordien that another sale agreement
of
the property was entered into on 8 March 2020. This was disputed
by Kidrogen. The sale of the property did not come to fruition.
[5]
On 7 October 2020, Kidrogen requested payment of
the arrear rental that was due. Mr Nordien indicated that he was
awaiting funds
from his offshore account and would make payment of
the arrear rental before the end of October 2020. This did not happen
and no
further rental payments were made. The lease agreement was
cancelled by Kidrogen, which then launched an application for
eviction
and payment of the arrear rental in the amount of R250 800
plus costs.
[6]
Mr Nordien opposed this application on the basis
that Kidrogen relies on implied rectification of the written lease
agreement without
having pleaded rectification. It is common cause
that Mr Davids and Mr Peter entered into the written lease agreement
with Mr Nordien.
He raised as a defence in his answering affidavit,
that he did not contract with Kidrogen, but with Mr Davids and Mr
Peter in their
personal capacities. This led to an application for
rectification to allege that the written lease agreement was entered
into between
Mr Nordien and Kidrogen, duly represented by Mr Davids
and Mr Peter.
[7]
As rectification was not pleaded, the contention
was that the application was fatally defective. Furthermore, Mr
Nordien contended
that the lease agreement was not validly cancelled,
and he is not in unlawful occupation of the property. In addition, he
is not
in unlawful occupation of the property in terms of the
agreement of sale entered into. The sale agreement contains a clause
that
stipulates that he will not be liable for occupational rental
pending the finalization of the sale agreement. Lastly, no case was
made out for the amount claimed as arrear rental. The Full Court
granted the order set out in paragraph 2, supra. It is against
this
order of the Full Court that special leave to appeal is requested.
[8]
Central to this appeal is the issue whether the
Full Court was correct in ordering rectification of the written lease
agreement.
It is trite that a written contract can be rectified if it
does not accurately reflect the common intention of the parties.
Contract
rectification is a legal procedure used to amend the written
documents of a contract when it fails to mirror the intention of the
parties due to mutual errors or omissions. Rectification has no
effect on the rights and obligations of the parties. It does not
create a new contract but merely serves to correct the written
memorial of the contract.
[9]
Rectification
of a written agreement is a remedy available to parties in instances
where an agreement reduced to writing, through
a common mistake, does
not reflect the true intention of the contracting parties. Didcott J
in
Spiller
and Others v Lawrence
[3]
emphasized that:
‘
(i)t
is not the agreement between the parties which, on the other hand, is
rectified. The Court has no power to alter it. To do
so would be to
amend their exclusive prerogative. All that the Court ever touches is
the document.’
The onus is on a party
seeking rectification to show on a balance of probabilities, that the
written agreement does not correctly
express what the parties had
intended to set out in the agreement.
[10]
It was
submitted on behalf of Mr Nordien that rectification should not be
applied for in motion proceedings, but in an action. The
general rule
is that rectification should be sought by way of action, however,
this rule is not immutable.
[4]
In
Gralio
v DE Claassen
[5]
the
following is stated:
‘
Indeed
(leaving aside cases in which the contract is by law required to be
in writing), a defendant who raises the defence that
the contract
sued upon does not correctly reflect the common intention of the
parties, need not even claim formal rectification
of the contract; it
is sufficient if he pleads the facts necessary to entitle him to
rectification and asks the court to adjudicate
upon the basis of the
written contract relied upon by the plaintiff as it stands to be
corrected.’
[6]
[11]
In the judgment of the Full Court, it was stated
that regard must be had to all the evidential material holistically.
There is a
plethora of correspondence between Mr Nordien and
Kidrogen. Amongst it is an addendum to the lease agreement. Although
it was only
signed by Mr Peter, it is nevertheless common cause that
the addendum was agreed to. So too, there is correspondence from Mr
Nordien
to the effect that he was awaiting funds from his offshore
account which he will use to settle the arrear rental. A letter of
demand
was sent from Kidrogen to Mr Nordien to which the latter did
not reply. Mr Nordien failed to raise in such correspondence the
issue
of who the parties to the lease agreement were. It was always
accepted in the correspondence and further agreements that Kidrogen,
and not Mr Peter and Mr Davids, was the landlord and owner of the
property.
[12]
Mr Nordien submitted that the Full Court
misdirected itself in granting rectification. An application for
rectification of the lease
agreement was made a day before the
hearing of the application by Fortuin J, which was dismissed on the
basis that the granting
of rectification would be prejudicial to Mr
Nordien as it amounts to short notice. Furthermore, that no case for
rectification
was made out in the founding affidavit. It is indeed
true that no case was made out in the founding affidavit. But this is
because
the defence was only raised by Mr Nordien in the
answering affidavit that he entered into a written lease agreement
with
Mr Davids and Mr Peter in their personal capacities and not in
their representative capacities on behalf of Kidrogen. He also denied
that he entered into the written lease agreement with Kidrogen.
[13]
As alluded to, there was an addendum entered into
between Mr Nordien and Kidrogen duly represented by Mr Peter. This is
common cause.
This being the case, it means that Mr Nordien admits
that he contracted with Kidrogen, quite contrary to the argument that
the
lease agreement was entered into with Mr Davids and Mr Peter in
their personal capacities. To add to this, there were demands made
for payment of the arrear rental amount by Kidrogen. The demands were
not disputed by Mr Nordien. On the contrary, Mr Nordien stated
that
he will pay the arrear rental amount when he receives money from his
offshore investment. This too, is an admission by Mr
Nordien that he
contracted with Kidrogen.
[14]
Mr Nordien also contended that he was not in
unlawful occupation of the property. This, he based on the fact that
he and Kidrogen
entered into a sale of the property. In terms of the
sale agreement concluded on 5 February 2020, he would not be liable
for payment
of any occupational rental until the property was
transferred into his name. He does, however, not make an argument
that he performed
in terms of the sale agreement.
[15]
It is common cause that the sale agreement
concluded on 5 February 2020 was duly cancelled by Kidrogen. Mr
Nordien contended that
another sale agreement was entered into during
March. This is disputed by Kidrogen. Even if it were to be accepted
that the sale
agreement was not cancelled, the question that begs an
answer is how can Mr Nordien be in lawful occupation of the property
in
terms of a sale agreement concluded with Kidrogen, which makes
reference to a written lease agreement which, on his version, was
not
concluded with Kidrogen, but with Mr Davids and Mr Peter in their
personal capacities?
[16]
I am of the view that Mr Nordien did not
make out a case for special leave to appeal to be granted to this
Court. The Full Court
was correct in granting the requisite
rectification of the written lease agreement. There is no merit in
this application for special
leave to appeal. Special leave to appeal
should consequently be refused.
[17]
In the result, the following order is made:
The
application for special leave to appeal is dismissed with costs to be
paid by the first and second applicants jointly and severally,
the
one paying the other to be absolved.
RD HENDRICKS
ACTING JUDGE OF APPEAL
Makgoka JA (Weiner and
Kgoele JJA and Naidoo AJA concurring):
[18]
I have read the judgment prepared by my Colleague, Hendricks AJA (the
first judgment).
I agree with its order. I write separately because
in my view, Kidrogen comes home on the
rei vindicatio
principle as the owner of the property. I also consider that the
rectification issue, to the extent it needs to be considered,
needs
fuller treatment.
[19]
The issue in the application is whether Kidrogen had the locus standi
to apply for the
eviction of Mr Nordien. That question arose because
the lease agreement upon which Mr Nordien occupied the property, was
signed
by two of Kidrogen’s directors,
Mr
Andile
Peter (Mr Peter) and Mr
Essa
Davids (Mr Davids).
They are referred to in
the lease agreement as the Lessor, and there is no indication that
they signed it on behalf of Kidrogen.
This fact is the sole basis on
which Mr Nordien resisted Kidrogen’s application for his
eviction. The high court considered
it meritorious. It dismissed
Kidgrogen’s application for rectification to reflect it as the
true lessor. It subsequently
dismissed Kidrogen’s eviction
application on the basis that it lacked locus standi.
[20]
Mr Nordien’s assertion that Kidrogen is a ‘stranger’
to the lease agreement,
and therefore, not the lessor, must be viewed
against this factual background. It is common ground that Kidrogen is
the owner of
the property.
Mr Peter and Mr Davids
are two of its directors. In addition, Mr Peter is also the
Chief Executive Officer (CEO) of Kidrogen. The first applicant, Mr
Nordien,
was the Managing Director of Eyethu Masiti Construction, a
subsidiary of Kidrogen.
[21]
On 30 October 2019, a written lease agreement in respect of the
property was concluded
between Mr Nordien as lessee, and
Mr
Peter and Mr Davids, the latter reflected as ‘the lessor’.
As mentioned, Mr Peter and Mr Davids are directors of
Kidrogen.
Clause 4 of the written lease agreement made the commencement
date of the lease retrospective to 1 November 2017.
[22]
On the same date, ie
30 October 2019, an addendum was concluded, which reduced the
annual percentage rental escalation from
15 per cent to 10 per cent
per annum effective from an earlier date, being 31 July 2019.
Although this addendum was only signed
by Mr Nordien, it is common
ground that it was, in fact, concluded between Kidrogen and Mr
Nordien, as the latter admitted Kidrogen’s
allegations to that
effect.
[7]
Notably, the addendum
is on Kidrogen’s letterhead, which reflects Mr Peter as
Kidrogen’s CEO. It is recorded that
the addendum ‘is
hereby a part for all purposes of the Lease Agreement between . . .
[Mr] Andile Peter
on
behalf of Kidrogen (Pty) Ltd as Landlord and Shaan Nordien as
tenant’.
(Emphasis
added.)
[23]
On 5 February 2020, the parties entered into an Agreement of Sale in
terms of which Mr
Nordien would purchase the property from Kidrogen
for R2,995,000, payable upon registration of transfer. It was
recorded in clause
2.1 of the sale agreement that Mr Nordien was in
occupation of the property ‘in terms of an existing lease
agreement.’
(Emphasis added.) Clause 4.2 of the Sale Agreement
reads:
‘
The
lease agreement contemplated under paragraph 2.1 above shall endure
until the date of registration of transfer. Should the sale
be
cancelled for any reason whatsoever, the lease agreement shall remain
in full force and effect.’
Kidrogen
subsequently cancelled this sale agreement.
[24]
As a result of the COVID-19 lockdown, Mr Nordien experienced
financial difficulties. In
consideration thereof, Kidrogen provided
Mr Nordien with a three-month rental suspension. As record thereof,
Kidrogen required
Mr Nordien to sign an acknowledgement of debt in
favour of Kidrogen relating to arrear rental. The acknowledgement of
debt form,
dated 6 September 2020, is under Kidrogen’s
letterhead. It authorises Kidrogen to deduct from Mr Nordien’s
service
fee ‘the relief on rental’ in favour of ‘
Kidrogen
(Pty) Ltd’
. In the relevant part, the document states that:
‘
I,
the above mentioned [Shaan Nordien]
hereby
authorize Kidrogen
(Pty) Ltd to deduct from my service fee as specified below.’
(Emphasis added.)
[25]
On 25 August 2020, Mr
Nordien sent an email to Mr Peter in which he informed him, among
other things, that due to the COVID-19 lockdown,
he was experiencing
cashflow problems. However, he agreed that the full amounts he owed
to Kidrogen should be deducted from his
5 per cent profit share from
the Sitari Project once the houses were sold.
[8]
This is what he said:
‘
The
unforeseen COVID-19 lockdown has caused me tremendous cash flow
issues, but the full amounts
due
to Kidrogen
may be deducted from 5% Sitari Project profit sharing once the houses
are sold.’ (Emphasis added.)
[26]
As of October 2020, Mr Nordien was still in arrears with rental. On 7
October 2020, Ms
Lusanda Nyamela sent an email from a Kidrogen email
address to Mr Nordien, enquiring when he intended to make payments
towards
the arrear rental. Ms Nyamela pointed out that Mr Nordien was
at that stage ‘in breach of the [Acknowledgement of Debt]
agreement
signed in respect of the COVID-19 relief granted to you as
there [were] no further amendments made to the agreement. Please
urgently
advise when we can expect payment.’
[27]
In response to the above email, Mr Nordien, on 8 October 2020,
undertook to settle the
arrears by the end of October 2020. That did
not happen. On 6 November 2020, Ms Nyamela followed up with Mr
Nordien regarding the
payment he had previously committed to in his
correspondence. On 8 November 2020, Mr Nordien stated that he was
awaiting funds
from his offshore account and would settle the arrears
owed to Kidrogen as soon as he received the funds.
[28]
On 24 November 2020, Kidrogen’s attorneys served a letter on Mr
Nordien by sheriff,
cancelling the lease agreement. The letter
clearly stated that it was written on Kidrogen’s instructions
regarding the lease
of the property. The lease agreement was attached
to the letter, which also referenced the addendum, the
acknowledgement of debt,
the arrears, the demand for payment, and the
failure to settle the arrears. Mr Nordien was given until 31 December
2020 to vacate
the property. There was no response to this letter.
In
the high court
[29]
Kidrogen subsequently launched an application for the eviction of
Mr
Nordien and for payment of the arrear rental of R250 800. The
second applicant, cited as the second respondent in the eviction
application, is Mr Nordien’s former wife. Mr Nordien opposed
the application. In his answering affidavit, he set out in detail
his
business association and dealings with Kidgrogen, none of which is
relevant for present purposes.
[30]
Regarding the specific allegations in Kidrogen’s founding
affidavit, Mr
Nordien admitted that Kidrogen owns the property. Having made this
admission, the only defence he raised was that Kidrogen was
not a
party to the lease agreement, as it was between him, on the one hand,
and Mr Peter and Mr Davids, on the other. Therefore,
he contended
that Kidrogen’s cancellation of the lease was ineffective, and
he was not unlawfully occupying the property.
[31]
Mr Nordien did not provide any meaningful response to Kidrogen’s
detailed engagement
with him regarding the addendum, the demand for
him to pay the arrear rental, or his undertakings to pay Kidrogen
once he received
his offshore funds. However, he did comment on the
acknowledgement of debt he signed in favour of Kidrogen as follows:
‘
I
further point out that the Acknowledgment of Debt. . . in relation to
the rental relief for the months of March, April and May
2020,
authorises [Kidrogen] to deduct three amounts of R20,900.00, over a
period of three months, from my service fee’. In
other words,
in terms of the acknowledgement it was within [Kidrogen’s]
powers to deduct the said amounts from my monthly
remuneration, which
it has failed to do.’
[32]
In its replying affidavit, deposed to by Mr Peter, Kidrogen
reiterated that it is the registered
owner of the property, and that
Mr Peter and Mr Davids, as its directors, were mandated to enter into
all agreements on its behalf,
including the impugned lease agreement.
Mr Peter emphasised that ‘the lease agreement was signed by Mr
Davids and I in our
capacities as directors of [Kidrogen].’
[33]
On 30 August 2021, Kidrogen issued its notice of intention to amend
its notice of motion
by adding a new prayer 9, in terms of which the
lease agreement would be rectified by: (a) inserting after the words
‘made
and entered into by and between’ the words
‘Kidrogen RF (Pty) Ltd (Lessor) herein represented by’;
(b) removing
the identity numbers of Mr Peter and Mr David, and
deleting them as ‘lessor’; and (c) substituting these
with the words
‘both persons duly authorised for and on behalf
of the Lessor’.
[34]
On 9 September 2021, Mr Nordien delivered his notice of objection to
the notice of intention
to amend. The grounds of objection were that:
(a) Kidrogen had no locus standi to seek rectification of an
agreement to which it
is not a party; (b) there was a misjoinder to
the extent that the signatories to the lease agreement, Mr Peter and
Mr Davids, were
not joined as parties to the proceedings; (c) No
grounds for rectification were made out in the founding papers; (d)
the grounds
for rectification had not been established.
[35]
It was specifically stated that ‘the founding papers did
not allege that a
mistake was made in the drafting of [the lease agreement] nor do the
founding papers contain any’. Furthermore, it was stated
that
there were no allegations that the lease agreement did not accurately
reflect the parties’ common intention, nor what
the true
intention of the parties was. It was emphasised that Kidrogen should
be non-suited since it had not made out its case
for rectification in
the founding affidavit.
[36]
On 14 September 2021, the day before the hearing of the eviction
application, Kidrogen
submitted its ‘Notice of Motion (as
amended)’, which included the new prayer 9, as referenced
earlier. It also served
notice of motion informing Mr Nordien that it
would seek rectification of the lease agreement based on the terms
previously stated.
That application was to be heard concurrently with
the main eviction application on 15 September 2021.
[37]
The high court first considered Kidrogen’s opposed application
for amendment to its notice
of motion. It agreed with Mr Nordien’s
arguments and held that Kidrogen had not established a proper case
for rectification
in its application. On the face of the lease
agreement, the court held, Kidrogen was not a party to the lease.
Furthermore, the
application for rectification was filed late, and Mr
Nordien did not have sufficient opportunity to respond. The court
held that
Kidrogen was attempting to substitute itself for Mr Peter
and Mr Davids, without joining the latter. The high court reasoned
that
this would prejudice Mr Nordien.
[38]
Consequently, the high court dismissed Kidrogen’s application
to amend its notice
of motion. Concomitantly, its eviction
application was dismissed because, without rectification of the lease
agreement, the cancellation
is not valid as ‘it was not given
by a party to the agreement.’ As a result, the high court found
that Kidrogen lacked
the standing to cancel the lease, since it was
not a party to it. Additionally, the court reasoned that Kidrogen had
not established
a prima facie case for the relief sought.
In
the Full Court
[39]
The Full Court identified three grounds on which
Mr Nordien’s defence rested, namely: (a) whether Kidrogen had
locus standi
to seek rectification of an agreement to which it is
allegedly not a party (the locus standi issue); (b) whether
rectification
was competent when Mr Davids and Mr Peter had not been
joined (misjoinder issue); (c) whether rectification was competent
when
no grounds for it had been advanced in the founding papers.
[40]
As to the first ground, the Full Court
held
that the written lease agreement did not faithfully record the
agreement between the parties, but mistakenly reflected something
else that was not meant, ie that Mr Peter and Mr Davids signed the
lease in their personal capacities. The court held that this
was
misleading and unreliable evidence, which ordinarily, would be
rejected. However, instead of rejecting it, the court held that
it
must be corrected so that it matches the facts and thus becomes
reliable. That, the court held, would give effect to the true
intention of the parties.
[41]
Regarding non-joinder,
the Full Court dismissed
the point on the basis that given that Mr Peter and Mr Davids were
the directors of Kidrogen, they would
not be prejudiced by the
non-joinder. As to the third ground, the Full Court
acknowledged
that no grounds for rectification were made out in Kidrogen’s
founding papers. However, the court did not consider
this to be an
insurmountable obstacle in Kidrogen’s path. It reasoned that
prior to the launching of the eviction application,
Mr Nordien had
never contended that the lease was not one between him and Kidrogen.
The facts, it held, demonstrated that at all
material times up to the
delivery of his answering affidavit, Mr Nordien had considered
Kidrogen to be the lessor, despite the
reference in the written
version of the lease to Mr Davids and Mr Peter as the lessor.
[42]
The Full Court noted an
additional ground raised by Mr Nordien, apparently during argument in
the high court, namely that rectification
is generally not permitted
in application proceedings. The Full Court dismissed this argument
summarily. However, its reasoning
for that conclusion is not clear
from its judgment. The Full Court referenced Rule 28(3) of the
Uniform Rules of Court, which states
that a party objecting to an
amendment must specify the grounds for such an objection.
[9]
But, as demonstrated earlier, Mr Nordien had fully set out his
grounds of objection to Kidrogen’s proposed amendment. Viewed
in this light, the Full Court’s reasoning for summarily
dismissing this point is difficult to follow.
[43]
Be that as it may, the
Full Court found no
merit in any of Mr Nordien’s defences. It accordingly upheld
Kidrogen’s appeal with costs. It set
aside the high court’s
order and replaced it with an order: (a) granting the application for
rectification of the written
lease agreement; (b) evicting Mr Nordien
and his family from the property; (c) for payment by Mr Nordien of
R250 800 as arrear
rental; (d) granting costs to Kidrogen.
In
this Court
[44]
Mr Nordien persisted with his assertion that Kidrogen did not have
locus standi to cancel
the lease agreement and to bring the eviction
application, as it was not a party to the lease agreement. It seems
to me that this
point is dispositive of the appeal. For its part,
Kidrogen contended that as the owner of the property, it had the
necessary standing
to bring the eviction application.
Analysis
Rei
vindicatio
[45]
It is common ground that
Kidrogen is the owner of the property. Based on the principle of
rei
vindicatio
,
it was required to do no more than allege and prove that: (a) it is
the owner of the property; (b) the property is in the possession
of
the respondents; and, (c) the property is still in existence.
[10]
As this Court explained in
Chetty
v Naidoo (Chetty)
:
[11]
‘
It is inherent in
the nature of ownership that possession of the
res
should normally be with
the owner, and it follows that no other person may withhold it from
the owner unless he is vested with some
right enforceable against the
owner (e.g., a right of retention or a contractual right). The owner,
in instituting a
rei
vindicatio
,
need, therefore, do no more than allege and prove that he is the
owner and that the defendant is holding the
res
- the
onus
being on the defendant to
allege and establish any right to continue to hold against the
owner.’
[12]
[46]
Thus, by denying the
lease agreement between himself and Kidrogen as alleged by the
latter, Mr Nordien bore the burden of proving
some other lawful right
to occupy the property. He could not merely assert that
Mr
Peter and Mr Davids were the lessors in their personal capacities
regarding a property they did not own. He was required to demonstrate
that
the
two gentlemen, despite not being the owners, granted him a lawful
right to occupy the property. Mr Nordien failed to do so.
This is
unsurprising because
Mr
Peter and Mr Davids could not transfer greater rights than they had
to Mr Nordien.
[13]
Thus, in
the absence of an allegation that he was conferred a right in law by
Mr Peter and Mr Davids
to
occupy the property, nothing stands in the way of Kidrogen, as the
owner of the property, from vindicating it from him by way
of an
eviction application.
[47]
As an owner asserting
rei vindicatio
, once Mr Nordien denied
the existence of a lease agreement between him and it, Kidrogen was
relieved of the duty to prove termination
of the lease. As explained
in
Chetty
:
‘
[A]lthough
a plaintiff who claims possession by virtue of his ownership, must
ex
facie
his
statement of claim prove the termination of any right to hold which
he concedes the defendant would have had but for the termination,
the
necessity for this proof falls away if the defendant does not invoke
the right conceded by the plaintiff, but denies that it
existed. Then
the concession becomes mere surplusage as it no longer bears upon the
real issues then revealed.’
[14]
[48]
Recently, in
Robert
Paul Serne NO v Mzamomhle Educare and Others
,
[15]
this Court had occasion to consider a similar situation. There, the
respondents sought to resist an owner’s eviction application
by
alleging that: (a) the owner had obtained ownership by dishonest
means; and (b) there was no valid lease agreement. This Court
rejected the defences and stated that neither of them establishes a
right in law for the respondents to continue occupying the
property.
It held that ‘the respondents cannot content themselves with a
denial of the existence of the lease agreement,
yet simply remain in
occupation of the property in perpetuity without any lawful
basis.’
[16]
[49]
In all circumstances, Mr Nordien had failed to establish a lawful
basis to continue occupying
Kidrogen’s property in the absence
of either a valid lease agreement between him and Kidrogen or a right
in law conferred
by
Mr Peter and Mr Davids.
Mr Nordien continues to occupy the property of Kidrogen without
paying any rental, neither to Kidrogen nor to Mr Peter and Mr Davids,
his supposed lessor. On this basis alone, his application falters.
Rectification
[50]
To my mind, this issue
was a red herring by Mr Nordien. Kidrogen did not need the
rectification to vindicate its right, as mentioned
earlier. That
should have been the end of the matter. But, as pointed out by the
Constitutional Court in
Spilhaus
v MTN
,
[17]
‘[l]itigants are entitled to a decision on all issues raised,
especially where they have an option of appealing further.
The
court to which an appeal lies also benefits from the reasoning on all
issues.’
[18]
Because
we are no longer the apex court, I will consider the issue.
[51]
In
Propfokus
v Wenhandel
[19]
this Court affirmed that a party claiming rectification of a written
agreement has to allege and prove: (a) that an agreement
had
been concluded between the parties and reduced to writing; (b) that
the written document does not reflect the true intention
of the
parties – this requires that the common continuing intention of
the parties, as it existed at the time when the agreement
was reduced
to writing, be established; (c) an intention by both parties to
reduce the agreement to writing; and (d) that
there was a
mistake in drafting the document, which mistake could have been the
result of an intentional act of the other
party or a
bona
fide
common
error; and (e) the actual wording of the true
agreement.
[20]
[52]
Mr Nordien’s main complaint was that no case had been made out
for rectification
in the founding papers. This is disingenuous given
that up to the point when Mr Nordien delivered his answering
affidavit, he had
never suggested that Kidrogen was not the lessor,
and that Mr P
eter and Mr Davids,
in their
personal capacities, were. On the contrary, Mr Nordien had given
every indication that he regarded Kidrogen as the lessor.
[53]
Thus, Kidrogen could not
have known when it launched the eviction application that Mr Nordien
would adopt the stance that it was
not the lessor. It was only after
the answering affidavit was delivered that Kidrogen could apply for
rectification. Given this,
it does not lie in the mouth of Mr Nordien
that Kidrogen did not make out a case in its founding papers. In this
regard, the high
court held that there was no reason to raise the
identity of the lessor in the absence of any litigation. That may be
so. But the
failure to rebut Kidrogen’s assertion of itself as
the lessor is not without consequence. As this Court held in
McWilliams
v First Consolidated Holdings
:
[21]
‘
...
[B]ut in general, when according to ordinary commercial practice and
human expectation firm repudiation of such an assertion
would be the
norm if it was not
accepted as correct, such party's silence and inaction, unless
satisfactorily explained, may be taken to constitute
an admission by
him of the truth of the assertion, or at least will be an important
factor telling against him
in
the assessment of the
probabilities
and
in the
final determination of
the dispute. And an adverse inference will the more readily be drawn
when the unchallenged assertion had
been preceded by correspondence
or negotiations between the parties relative to the subject-matter of
the assertion . . .’
[22]
[54]
In this present case, except for the names and identity numbers of
Mr
Peter and Mr Davids
in the lease agreement, every reference in
the papers points to Kidrogen as the true lessor. Throughout the
exchange of correspondence
with Mr Nordien, Kidrogen asserted itself
as the lessor. Mr Nordien was not only silent about this. He also
signed documents confirming
it. First, an addendum to the lease
agreement in which Kidrogen was identified as the lessor, represented
by
Mr Peter. Second,
an acknowledgement of
debt in favour of Kidrogen for arrear rental in respect of the
property.
[55]
In response to Kidrogen’s demand to pay rental arrears, he
undertook to pay Kidrogen
as soon as his offshore funds became
available. What is more, in Kidrogen’s replying affidavit,
Mr
Peter and Mr Davids,
denied Mr Nordien’s averment that
they were the lessor. They did this by confirming that they signed
the lease agreement on
behalf of Kidrogen.
[56]
It is significant that Mr
Nordien neither objected to Kidrogen’s averment as constituting
an impermissible new issue in reply
nor sought to file a
supplementary affidavit to deal with it. In
Pretoria
Portland Cement Company Ltd v Competition Commission
[23]
this
Court
held
that a party under similar circumstances was entitled to do so.
This
was affirmed by the Constitutional Court in
Botha
v Smuts
.
[24]
[57]
It
is trite that in motion proceedings, the affidavits constitute not
only the pleadings but also the evidence.
[25]
In the present case,
Kidrogen tendered evidence in the replying affidavit that Mr Peter
and Mr Davids signed the lease agreement
on its behalf. In the
absence of an objection or a rebuttal thereto by Mr Nordien, such
evidence stood uncontradicted. It thus
should have been accepted. The
high court erred in ignoring this evidence.
[58]
In seeking to avoid the
inevitable conclusion from the undisputed factual matrix, Mr Nordien
called in aid the parol evidence rule
to resist rectification. The
parol evidence rule is to the effect that ‘[i]f a document was
intended to provide a complete
memorial of a jural act, extrinsic
evidence may not contradict, add to or modify its meaning’.
[26]
Kidrogen did not seek to
do any of the above. It sought to rectify a glaring mistake in the
lease agreement. In
Venter
v Liebenberg
[27]
it was held that when rectification is claimed, the parol evidence
rule yields to it. The court explained:
‘
[W]hen
rectification is claimed the claimant is entitled to lead evidence of
the term, agreed upon by the parties, which he alleges
to have been
omitted from the written document, and the parol evidence rule gives
way to the more potent requirements of the equitable
principle
of rectification. The result is that the principle of
rectification has substantially reduced the scope of the parol
evidence rule . . .’
[28]
[59]
This Court in
Tesven
v South African Bank of Athens
,
[29]
with reference to
Rand
Rietfontein Estates Ltd v Cohn
,
[30]
affirmed
that
principle and held that
the
parol evidence rule does not exclude evidence of a common continuing
intention which a party seeks to lead in support of a claim
for
rectification. It follows that Mr Nordien’s reliance on the
parol evidence rule is unavailing.
[60]
The evidence which Kidrogen placed before the high court for
rectification comprised of the
following: (a) Mr Nordien signed the
addendum, which clearly identified Kidrogen as the lessor in the main
lease agreement; (b)
he signed an acknowledgment of debt in favour of
Kidrogen in respect of arrear rental; (c) he responded positively to
Kidrogen’s
emails demanding payment; (d) he had never paid
rental to either
Mr Peter or Mr Davids, but to
Kidrogen’s appointed account; (e) Mr Peter and Mr Davids had
denied in the replying affidavit
that they were the lessor, and
instead, confirmed Kidrogen as the lessor. The high court ignored the
cumulative effect of this
overwhelming body of evidence in dismissing
Kidrogen’s application.
[61]
Mr
Nordien also contended that because Mr Peter and Mr Davids
were
not joined, rectification was not competent. There is no merit in
this contention. As correctly held in
Movie
Camera v Van Wyk
,
[31]
a joinder in such an instance would only be necessary in the case of
a party who is wholly unaware of the matter or removed from
it. In
the present case, Mr Peter was the deponent to the founding and
replying affidavits. In the latter affidavit, he stated
that he and
Mr Davids signed the lease agreement on behalf of Kidrogen. Mr Davids
confirmed this in a confirmatory affidavit to
the replying affidavit.
What is more, both were part of the directors of Kidrogen who adopted
the resolution to institute the eviction
application by Kidrogen
against Mr Nordien. Thus, both were clearly aware of the proceedings.
Special
leave
[62]
In the circumstances, the
Full Court
was
undoubtedly correct to uphold the appeal and dismiss Mr Nordien’s
rather fanciful defence. This has a direct bearing as
to whether
special leave to appeal should be granted. To obtain special leave
from this Court, the presence of reasonable prospects
of success is
not enough. An applicant must, in addition to showing reasonable
prospects of success on appeal, demonstrate special
circumstances
justifying such leave.
[63]
In
Cook
v Morrison
[32]
this Court provided guidelines as to what constitutes special
circumstances. Although not an exhaustive list, those circumstances
may include that the appeal raises a specific point of law, or that
the prospects of success are so strong that refusing leave
could
result in denial of justice, or that the matter is significant to the
public or the parties.
[33]
As
I see it, Mr Nordien has failed to establish any special
circumstances why special leave should be granted.
[64]
In the circumstances, the application for special leave to appeal
must fail. For these
reasons, I concur in the order of the first
judgment.
T MAKGOKA
JUDGE
OF APPEAL
Appearances:
For
appellants:
G
Quixley (with him P Gabriel)
Instructed
by
Hayes
Inc., Cape Town
Webbers
Attorneys, Bloemfontein
For
first respondent:
L
F Wilkin
Instructed
by:
Carelse
Khan Inc., Cape Town
Honey
Attorneys, Bloemfontein.
[1]
Section 17(2)
(d)
provides:
‘
The
judges considering an application referred to in paragraph (b) may
dispose of the application without the hearing of oral
argument, but
may, if they are of the opinion that the circumstances so require,
order that it be argued before them at a time
and place appointed,
and may, whether or not they have so ordered, grant or refuse the
application or refer it to the court for
consideration.’
[2]
In
Westinghouse
Brake and Equipment (Pty) Ltd v Bilger Engineering (Pty) Ltd
1986 (2) SA 555
(A),
this Court stated that ‘an applicant for special leave to
appeal must show, in addition to the ordinary requirement
of
reasonable prospects of success, that there are special
circumstances which merit a further appeal’ These would
include
‘: (a) the appeal raises a substantial point of law;
(b) the matter is of very great importance to the parties or of
great
public importance; and (c) where the refusal of leave to
appeal would probably result in a manifest denial of justice. . .’;
Beadica
231 CC v Sale’s Hire CC
(1191/2018)
[2020] ZASCA 76
(30 June 2020) para 29
[3]
Spiller
and Others v Lawrence
1976
(1) SA 307 (N).
[4]
Amlers’
Precedents of Pleading – LT Harms at 298.
[5]
Gralio
(Pty) Ltd v DE Claassen (Pty) Ltd
1980
(1) SA 816 (A).
[6]
Ibid
at
824B-C.
[7]
For an unexplained reason, the addendum reflects its date as 13 July
2019.
[8]
Sitari here refers to a building project Mr Nordien was developing
for the Kidrogen at Sitari Country Estate in Somerset West.
[9]
Rule 28(3) of the Uniform Rules of Court provides an objection to a
proposed amendment shall clearly and concisely state the
grounds
upon which the objection is founded.
[10]
G Muller
et
al
.
Silberberg
and Schoeman’s The Law of Property
6
ed (2019)
LexisNexis at 270.
[11]
Chetty
v
Naidoo
1974
(3) SA 13
(A) (
Chetty
).
[12]
Ibid at page 20B-D.
[13]
Smit v
Creeser
1948
(1) SA 501
(W) at 507H.
[14]
Chetty
fn 12 above at 21G-H.
[15]
Robert
Paul Serne NO and Others v Mzamomhle Educare and Others
[2024]
ZASCA 152.
[16]
Ibid para 31.
[17]
Spilhaus
Property Holdings (Pty) Limited and Others v MTN and Another
[2019]
ZACC 16; 2019 (4) SA 406 (CC); 2019 (6) BCLR 772 (CC).
[18]
Ibid para 44.
[19]
Propfokus
49 (Pty) Ltd and Others v Wenhandel 4 (Pty) Ltd
[2007] ZASCA 15
;
2007] 3
All SA 18
(SCA).
[20]
Ibid para 13.
[21]
McWilliams
v First Consolidated Holdings (Pty) Ltd
[1982]
1 All SA 245 (A).
[22]
Ibid at 250.
[23]
Pretoria
Portland Cement Co Ltd and Another v Competition Commission and
Others
[2002]
ZASCA 63
;
2003
(2) SA 385
(SCA)
para
63. See also
Sigaba
v Minister of Defence and Police
and
Another
1980
(3) SA 535
(TkS) at 550F;
Tantoush
v Refugee Appeal Board
and
Others
[2007] ZAGPHC 191
;
2008
(1) SA 232
(T) paras 51 and 71.
[24]
Botha v
Smuts and Another
[2024]
ZACC 22
;
2025 (1) SA 581
(CC);
2024 (12) BCLR 1477
(CC) para 56.
[25]
Triomf
Kunsmis (Edms) Bpk v AE & CI Bpk
1984
(2) SA 261
(W) at 269G-H and
Saunders
Valve Co Ltd v Insamcor (Pty) Ltd
1985
(1) SA 146
(T) at 149C.
[26]
KPMG
Chartered Accountants (SA) v Securefin Limited and Another
[2009]
ZASCA 7
;
2009 (4) SA 399
(SCA) para 39;
University
of Johannesburg v Auckland Park Theological Seminary and Another
[2021]
ZACC 13
;
2021 (8) BCLR 807
(CC);
2021 (6) SA 1
(CC) para 18.
[27]
Venter
v Liebenberg
1954
(3) SA 333 (T).
[28]
Ibid at 338B-C.
[29]
Tesven
CC and Another v South African Bank of Athens
2000
(1) SA 268
(SCA);
[1999] 4 All SA 396
(A) para 16.
[30]
Rand
Rietfontein Estates Ltd v Cohn
1937
AD 317
at 327.
[31]
Movie
Camera Company (Pty) Ltd v Van Wyk
[2003]
2 All SA 291
(C) para 25.
[32]
Cook
v Morrison and Another
[2019]
ZASCA 8
; 2019 (5) SA 51 (SCA);
[2019] 3 All SA 673
(SCA) para
8.
[33]
Ibid para 8.
sino noindex
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