Case Law[2025] ZAGPJHC 66South Africa
Shabalala v Road Accident Fund (2021/29064; 2021/58021) [2025] ZAGPJHC 66 (24 January 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
17 April 2024
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Shabalala v Road Accident Fund (2021/29064; 2021/58021) [2025] ZAGPJHC 66 (24 January 2025)
Shabalala v Road Accident Fund (2021/29064; 2021/58021) [2025] ZAGPJHC 66 (24 January 2025)
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sino date 24 January 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
LOCAL DIVISION, JOHANNESBURG
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES:NO
(3)
REVISED: NO
In the matters between:
Case Number: 2021/39064
Daisy
Shabalala
Applicant
And
Road Accident
Fund
Respondent
And
Case Number: 2021/58021
Matjankgowa Rolty
Sefadi
Applicant
and
Road Accident
Fund
Respondent
JUDGMENT
Weideman AJ
[1]
Both these matters came before court on the same legal question and
it is therefore appropriate to address the matters
together. The
matter of Shabalala was on the Road Accident Fund Default Judgment
Court roll during the week of the 8
th of
October 2024 and
the matter of Sefadi during the week of the 29
th of
October 2024.
[2]
Two court orders were given in each matter
before it was enrolled on the Default judgment court roll.
In the matter of Shabalala these
were:
[3]
An order by the Honourable Mayet AJ, handed
down on the 31/11/2023. At that stage and in accordance with this
order all issues between
the parties were finalised but for the
Plaintiff’s claim, if any, for general damages. The claim for
general damages was
postponed
sine die
.
The reason was simple – as at the date of the hearing of the
matter the Road Accident Fund (hereafter the RAF) had not yet
applied
its administrative mind to the question of the seriousness of the
plaintiff’s injuries and thus no decision had been
made.
[4]
An order by the Honourable Steyn AJ, handed
down on the 3rd May 2024. In accordance with this order the RAF was
compelled to apply
its administrative mind to the matter and to take
a decision on whether it accepts or rejects the plaintiff’s
claim that
the injuries sustained in the accident were serious.
According to the order the defendant had 10 days to make up its mind
and to
render a decision. Should it not do so the defendant would be
ipso facto
barred
and the plaintiff may apply to the registrar to have the matter
referred to the Default Judgment court for adjudication on
the issue
of general damages. The implication is that the RAF’s failure
to adhere to the order would have the effect that
the injuries are
deemed to be serious, hence the referral to the default judmgnet
court for finalization.
In
the matter of Sefadi these were
:
[5]
An order by the Honourable De Wet AJ,
handed down on the 8th March 2024. All heads of damage settled and
finalised, but for the
claim for general damages and which was
postponed
sine die.
[6]
An order by the Honourable Wijnbeek AJ,
handed down on 17 April 2024. The wording is an exact copy of the
wording of the order handed
down by Steyn AJ in the Shabalala matter.
The same legal team appeared for the Plaintiffs in both matters.
Counsel’s submissions:
[7]
In presenting his clients’ cases,
counsel for the plaintiffs argued along the following lines.
According to the SCA decision
in
Mpahla
v RAF (698/16)
[2017]
ZASCA 76
the RAF’s failure to take a decision within
the time periods prescribed by the Road Accident Fund Act and
Regulations issued
pursuant thereto, does not create a deeming
provision. The plaintiff’s answer lies therein that it has the
opportunity after
the expiry of the 90-day period provided for in the
Regulations to apply for a mandamus in terms of PAJA to compel the
RAF to make
a decision.
[8]
The argument then continues, in both these
matters the plaintiff, as per the SCA’s ruling, did apply for a
mandamus and it
was given. This would be the orders handed down by
Justices Steyn AJ and Wijnbeek AJ. Just as the RAF had failed to act
in accordance
with its obligations in terms of the RAF Act and
Regulations it is now also in contempt of the PAJA compelling orders.
[9]
Given the RAF’s complete disdain for
its obligations in terms of the Regulations and the subsequent PAJA
mandamus orders,
not at all being concerned about being in contempt
of the court orders, the question then arises, what more could the
plaintiffs
do, to enable the aspect of general damages to be
finalised and for them to move on with their lives? The capital that
they received
for the other heads of damage was being eroded by legal
costs in pursuing application after application simply to get the RAF
to
take a decision, which it is clearly either not capable of making
or care so little for the effects of their actions, that they
refuse
to adhere to court orders and do what they are by legislation obliged
to do, i.e. evaluate and settle claims.
The
Law:
[10]
Regulation 3 (3) (dA) provides as follows: ‘The Fund or an
agent must, within 90 days from the date on which the
serious injury
assessment report was sent by registered post or delivered by hand to
the Fund or an agent who in terms of section
8 must handle the claim,
accept or reject the serious injury assessment report or direct that
the third party submit himself or
herself to a further assessment.’
[11]
The clear language of regulation 3 (3) (dA) enjoins the RAF to decide
within 90 days from the date on which the report
was sent or
delivered by hand to (a) accept the SIA report; (b) to reject it; or
(c) to refer the third party for a further assessment.
Regulation 3
(3) (dA) was enacted to stipulate the time period within which the
Fund must make a decision as to whether or not
the third party has
suffered serious injuries.
In
Mpahla v RAF
the
court said the following:
[12]
‘
An interpretation that seeks to
suggest that because the Fund did not make a decision within 90 days
of receipt of the SIA report,
it is deemed to have accepted that the
third party has suffered serious injuries is untenable and in
conflict with the provisions
of subsections 17(1) and 17(1A) of the
Act, and Regulation 3. It is always open to the Fund to reject the
SIA report when it is
not satisfied that the injury has been
correctly assessed in terms of regulation 3 (3) (dA). This regulation
does no more than
prescribe a period within which the Fund can reject
or accept the report.
It would be an
anomaly if, in terms of regulation 3 (3) (dA), where the Fund has
failed to make a decision within the prescribed
period, an otherwise
not serious injury would by default become serious because of the
delay.’
(My underlining)
[13]
In my opinion, the orders of Justices Steyn
AJ and Wijnbeek AJ, suggesting that if the Fund fails to make a
decision within 10 days
from the date of their orders, the plaintiffs
may apply for a default judgment date and approach the default
judgment court to
finalise the aspect of general damages, are, with
respect, wrong and in conflict with the SCA’s decision in
Mpahla v RAF
and
it was not open to them to make such orders. The implication of their
orders is that the injuries are deemed to be serious,
simply because
the RAF is in breach of the order compelling them to take a decision
within ten days.
[14]
I declined to hear argument on general
damages and indicated that I reserved my judgments and reasons for
doing so.
Reasoning and conclusion:
[15]
I have no doubt that the manner in which
the RAF has weaponised and grossly neglected its obligations and
duties in terms of Regulation
3 is unconstitutional. By this I am not
saying that the Regulation, per se, is unconstitutional, albeit that
it might be, but that
the manner in which the RAF has acted in
fulfilling, or rather its failure to fulfil, its obligations in terms
of Regulation 3
is unconstitutional. It could never have been the
intention of the legislator that plaintiffs have to wait years and
incur significant
legal costs simply because of their lackadaisical
attitude to their obligation to take a decision on whether or not a
plaintiff’s
injuries are serious.
[16]
For the purpose of this judgment it is not
necessary for me to make a decision on the constitutionality of
Regulation 3 as I am
of the view that there is a more effective way
in addressing the problem, via the
Promotion of Administrative
Justice Act 3 of 2000
. [PAJA]
[17]
Paragraph 6 of PAJA contains, inter alia,
the following:
‘
6. (1) Any
person may institute proceedings in a court or a tribunal for the
judicial review of an administrative action.
(2) A court or tribunal has the power
to judicially review an administrative action if—
(g) the action concerned consists of a
failure to take a decision;’
‘
8. (2) The
court or tribunal, in proceedings for judicial review in terms of
section 6(3)
, may grant any order that is just and equitable,
including orders—
(b) declaring the rights of the
parties in relation to the taking of the decision;’
[18]
I am of the opinion that the wording of the
Act is wide enough to allow the plaintiff to, in one application,
call on the RAF to
take a decision and, in the event that it fails to
do so to approach the court on the same papers, suitably amplified
for an order,
substituting the court for the RAF and for the court to
take the decision which the RAF refuse to make. In my opinion it
would
not be appropriate for the court, in considering the
application, to consider the matter any further than to issue a
directive
that the plaintiff’s claim must be referred to the
HPCSA for consideration, as is provided for in the Regulations. In
this
way the matter will move forward, the Plaintiff will receive a
ruling from the HPSCA in respect of his/her claim and will be able
to
finalise the matter. If the injuries are serious and in the event
that the RAF fails to make an appropriate tender in respect
of the
claim for general damages, the plaintiff may then enroll it for
adjudication.
[19]
Due to the Road Accident Fund’s
failure to take a decision in accordance with Regulation 3 of the
Road Accident Fund Regulations,
2008, as amended, and having further
failed to do so, after an order in terms of
section 6(2)(g)
and
6
(3)
of The
Promotion of Administrative Justice Act 3 of 2000
, this court
will take the decision, as is provided for in
section 8(2)(b)
of
PAJA.
[20]
The question of costs needs to be
considered briefly. The court always has an inherent discretion when
it comes to costs. It is
clearly iniquitious that a plaintiff is
compelled to bring application after application simply because the
defendant cannot or
does not want to make a decision. It is the type
of matter that I believe warrants a punitive cost order.
Orders
:
1.
In the matter of Daisy Shabalala and in
accordance with
Regulation 3(3)(d)(i)
the plaintiff’s serious
injury assessment report is rejected.
2.
In the event that the plaintiff does not
accept the rejection the plaintiff is ordered to lodge the prescribed
dispute resolution
form with the Registrar of the Health Professions
Council of South Africa within 90 days from date of this order in
accordance
with the requirement of Regulation 3(4)(a) of the Road
Accident Fund Regulations.
3.
The plaintiff is awarded costs on the
attorney and client scale, as taxed or agreed. Counsel’s fees
shall be on scale B.
Case
number:
2021/58021
1.
In the matter of M R Sefadi and in
accordance with Regulation 3(3)(d)(i) the plaintiff’s serious
injury assessment report
is rejected.
2.
In the event that the plaintiff does not
accept the rejection the plaintiff is ordered to lodge the prescribed
dispute resolution
form with the Registrar of the Health Professions
Council of South Africa within 90 days from date of this order in
accordance
with the requirement of Regulation 3(4)(a) of the Road
Accident Fund Regulations.
3.
The plaintiff is awarded costs on the
attorney and client scale, as taxed or agreed. Counsel’s fees
shall be on scale B.
WEIDEMAN AJ
JUDGE OF THE HIGH COURT
JOHANNESBURG
This Judgment was handed down
electronically by circulation to the parties/their legal
representatives by email and by uploading
to the electronic file on
Case Lines. The date for hand-down is deemed to be 24 January 2025
Heard: 8 October 2024 and 01
November 2024
Delivered: 24 January 2025
APPEARANCES:
Applicant’s counsel:
Adv.
S Tshungu
Applicant’s
Attorneys:
K Titus & Associates
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