Case Law[2025] ZAGPJHC 457South Africa
Ulric Import Export Limited v Mapochs Resources (Pty) Ltd and Another (2024/087647) [2025] ZAGPJHC 457 (9 May 2025)
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# South Africa: South Gauteng High Court, Johannesburg
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## Ulric Import Export Limited v Mapochs Resources (Pty) Ltd and Another (2024/087647) [2025] ZAGPJHC 457 (9 May 2025)
Ulric Import Export Limited v Mapochs Resources (Pty) Ltd and Another (2024/087647) [2025] ZAGPJHC 457 (9 May 2025)
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sino date 9 May 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
Case
No: 2024-087647
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES: NO
(3)
REVISED: YES/NO
8
May 2025
In
the matter between:
ULRIC
IMPORT EXPORT LIMITED
Applicant
And
MAPOCHS
RESOURCES (PTY) LTD
First Respondent
INTERNATIONAL
RESOURCES PROJECTS LIMITED
Second Respondent
DELIVERED
:
This judgment was handed down electronically by circulation to the
parties’ legal representatives by e mail and publication
on Case Lines. The date for hand-down is deemed to be 9 May
2025.
JUDGMENT
MYBURGH,
AJ:
Introduction:
The core facts
[1]
The applicant
(“the applicant”
or “Ulrich”)
is a mining contractor,
the first respondent (“Mapochs”) is the owner of mining
rights in respect of a mine situated
near Steelpoort (“the
Mine”) and the second respondent (“IRPL”) is an
affiliate of Mapochs. The relationship
between Mapochs and IRPL is
contractual in nature. The details are not important for present
purposes.
[2]
Ulric previously conducted mining
operations on the Mine in terms of a contract between itself and
IRPL. The ore which was mined
was initially stockpiled on site and
then transported by truck to the port of Maputo, from which it was
then exported by or at
the instance of Ulric. Ulric was obliged to
pay IRPL at an agreed rate for quantities of ore removed.
[3]
The relationship appears to have been beset
with difficulties. Operations and the sale of ore did not proceed at
the pace which
the parties had intended. Indeed, it seems that
operations were, at times, suspended for extended periods.
[4]
Matters came to something of a head on 24
June 2024 when IRPL purported to terminate the mining contract.
Ulric disputed the
lawfulness of the cancellation.
[5]
On the same day
Ulric caused
security personnel employed by a third party (“Nduma”) to
be deployed at the Mine and sought permission
from IRPL for that
purpose. The permission was not forthcoming; however, the Nduma
personnel nevertheless remained in attendance.
It appears from the
correspondence which passed between the parties that there were two
guards in total. Precisely what they were
tasked to do and what role
they actually performed are the subjects of some controversy. I
will accordingly revert to this
topic at an appropriate juncture
[6]
The parties then became involved in
negotiations. The goal which Ulric sought to achieve appears to have
been the reinstatement
of the contract and the continuation of the
mining operations. During this time the Mine was idle, and no ore was
being shipped.
There was accordingly no income.
[7]
On 30 July 2024, Ulric received a report
from Nduma to the effect that a number of trucks bearing Mozambican
registration plates
had arrived at the Mine. Nduma also reported that
its personnel had been handed a letter, signed by the CEO of Mapochs
in terms
of which it was requested to confirm that its personnel
would not interfere with daily operations at the mine, which were
said
to include “
loading, hauling
and any other business activities conducted at the Mapochs Mine
”.
[8]
Ulric responded by causing its attorneys to
address a letter to Mapochs’s attorneys recording that it did
not consent to the
removal of ore from the stockpile and that legal
proceedings would follow if any attempt was made to remove any of the
ore. That
letter appears not to have evoked any response.
[9]
During the evening of Wednesday 31 July
2024, Ulric received a report to the effect that the trucks had been
loaded and had then
left. The quantity of ore which had been so
removed was said (by the applicant) to have been approximately 350
metric tonnes.
[10]
On the following day, 1 August 2024, more
trucks arrived and a further quantity of ore, said by the applicant
to have amounted to
approximately 1505 metric tonnes, was removed.
The application
[11]
The
respondents’ conduct in causing ore to be removed from the Mine
as set out above prompted Ulric to launch these proceedings.
The
founding papers were served on Mapochs during the afternoon of 2
August 2024, which was a Friday.
[1]
In terms of the notice of motion the respondents were given
until noon on Monday 5 August 2024 to deliver their answering
papers.
The notice also recorded that the matter was to be heard at
10H00 on Tuesday 6 August 2024. No provision was made
for the
delivery of a replying affidavit.
[12]
The substantive relief sought comprised
restoration to possession of the Mine and the ore which had been
removed from it as well
as an interdict prohibiting the respondents
from removing any more ore from the Mine pending the outcome of an
arbitration to be
instituted by either the applicant or the second
respondent within 30 days. The relief to be claimed in the
arbitration was not
specified in the notice of motion; however, it
appeared from the founding papers that Ulric disputed the
validity of the
cancellation. It also appeared that the second
respondent considered the applicant to be indebted to it in an amount
exceeding
forty million US dollars. Thus, one could infer that the
issues in the arbitration would, in all likelihood, include the
lawfulness
of the cancellation and financial claims.
[13]
In their answering papers the respondents
took issue in relation to the alleged urgency of the matter and in
relation to the merits.
I will deal with each issue separately
hereunder, but first I will deal with what transpired in relation to
the hearing.
The hearing
[14]
Given the timing of the application and the
practice directives which apply in this court, the matter had not
been included on the
roll for the week of 6 August 2024. The
applicant accordingly approached the senior judge with a request that
the matter be enrolled
notwithstanding the applicant’s failure
to comply with the applicable practice directives. The matter
was then passed
to me without any order having been made – i.e.
I had, in the first instance, to decide whether to permit the
enrolment of
the matter for hearing in the week in question.
[15]
I pause to mention that the applicant had
not filed a replying affidavit. However, Mr Ben-Zeev, who appeared
for the applicant,
informed me that he nevertheless wished to proceed
– i.e. the applicant did not seek an opportunity to deliver
replying papers.
[16]
My initial view, as conveyed to Mr
Ben-Zeev, was that the nature of the matter was not such as to
justify such a gross departure
from the established procedures.
However, as I had capacity due to other matters having stood down, I
ultimately agreed to hear
the matter without making any finding in
relation to the issue of urgency.
[17]
As I heard argument on all issues and as I
have reached a view in relation to the merits, I believe it to be
appropriate that I
give a judgment on the merits. That said, I also
believe it would be remiss of me not to say something about the
alleged urgency
of the matter and the manner in which the applicant
chose to proceed.
Urgency
[18]
Uniform Rule 6(12)(b) requires a party who
alleges that a matter is urgent to explicitly set out its case as to
why it will not
be able to obtain satisfactory relief by way of a
hearing in due course.
[19]
The
rules are not to be disregarded simply because some degree of urgency
may attach to a given matter. On the contrary,
there are varying degrees of urgency, and
the
rules may only be departed from to the extent that that may be
appropriate given the exigencies of the matter under consideration.
In some cases an application may be brought on virtually no notice
and all forms and time periods may be dispensed with. In others,
a
hearing in a few weeks’ time may suffice.
Practitioners
must, in setting a timetable, also have due regard to the likelihood
of opposition and, if opposition seems likely,
allow sufficient time
for the proper exchange of papers prior to the enrolment of the
matter. All of this is so well established
as not to require any
authority however I nevertheless refer to the decision in
I
L & B Marcow Caterers (Pty) Ltd v Greatermans SA Ltd &
another; Aroma Inn (Pty) Ltd v Hypermarket (Pty) Ltd & Another
[2]
in
which the position is succinctly set out.
[20]
It is also necessary to comply with local
rules which, these days, take the form of practice directives. What
is required in this
court is that matters which are alleged to be
urgent must be filed with the registrar by noon on the Thursday of
the week preceding
the week in which a hearing is sought. The
practice directives also stipulate that the papers should be complete
by that time and
that practice notes should have been filed. While it
is so that departures may be condoned, this will only be done in
exceptional
cases. In this regard it is to be borne in mind that the
Johannesburg court is an exceptionally busy one and that there are
always
many litigants clamouring to be heard on the urgent roll. It
must also be appreciated that it is difficult for judges to perform
their functions properly when matters are dumped on them at the last
minute without having had a proper opportunity to acquaint
themselves
with the papers or to consult applicable authorities.
[21]
The issue was recently addressed in the
Judge President’s consolidated practice directive 1 of 2024 in
which it was made clear
that parties should take care not to
overstate the urgency of their matters and to depart from the
established procedures only
to the extent that such departures may be
absolutely necessary. There have also been several recent judicial
pronouncements on
this issue. Indeed, the current position is that an
applicant’s attorney may attract an order of costs
de
bonis propriis
if it should be found
that the urgency of a matter was overstated.
[22]
In
argument before me, Mr Ben-Zeev laid considerable emphasis on the
jurisprudential nature of the
mandament
and the reason for its existence in support of the applicant’s
case in respect urgency.
[3]
While
it is true that applications in which a
mandament
are
sought are invariably dealt with on the basis that some urgency
attaches to them, it is not so that every such application falls
to
be dealt with as one of extreme urgency. At the risk of
repetition, each case falls to be dealt with on its own facts.
[23]
What the applicant sought in this instance
was to be placed in possession of a mine which had been dormant for
some time in circumstances
where it would not have been permitted to
resume mining operations or to cause any of the ore to be removed. I
do not see how such
a matter could properly be regarded as
urgent. On the contrary, a hearing on a semi-urgent basis would have
sufficed in relation
to that aspect of the matter.
[24]
To the extent that any urgency attached to
the matter, that had to do with the removal of ore at the instance of
the respondents.
That, however, did not justify the extreme urgency
with which the matter was brought. This was especially so as the
applicant’s
only interest in the ore was of a financial nature
and respondents had given an undertaking to keep a record of all ore
removed
from the Mine. Indeed, it appeared from the applicants own
founding papers that it had had no difficulty in keeping track of the
quantities of ore removed – something which I imagine could
probably have been done with reasonable accuracy simply by counting
truckloads.
[25]
The applicant’s wholesale disregard
for the rules and practice directives was simply not justified. At
best, the exigencies
of the matter may have justified enrolment in
the following week following compliance with the relevant practice
directives.
[26]
I mention these issues as I do not think
that I could have been faulted if I had refused to permit the matter
to be enrolled or
if I had enrolled it and then struck it from the
roll. However, as I have come to view on the merits and do not think
that it would
be appropriate for me to burden another judge with
having to read the papers and hear argument, I will say no more in
this regard.
The claim to be
restored to possession (mandament van spolie)
[27]
The requirements for the
mandament
are well known. They are possession (
detentio
)
and the necessary intent (
animus
possidendi
). Both elements must have
been present at the time of the alleged dispossession. That this is
so, is well established, and it was
not argued otherwise. I will
accordingly say no more in this regard.
[28]
What exactly is required in order to
satisfy the first requirement varies from case to case. Thus, a party
may be held to have been
dispossessed even though he or she was not
present at the time. This typically occurs in respect of immovable
property. In other
cases, physical detention may be required. This is
typically the case in respect of movables. There are many shades in
between,
and each case falls to be dealt with on its own merits
having regard to the evidence presented.
[29]
In casu
Ulric’s
case is that it was in possession of the Mine when the alleged act of
dispossession occurred. The respondents’
case is that it was
not. It is accordingly necessary to consider the evidence, bearing in
mind the incidence of the onus and the
rules which relate to disputes
of fact in motion proceedings.
[30]
The deponent to the founding affidavit, a
certain Mr Liu stated that Ulric was originally given possession
pursuant to the contract
between it and the IRPL. He furthermore
averred that Ulric had initially been dispossessed on 10 May 2024 –
this when, according
to him, security personnel who had been hired by
IRPL instructed Ulric’s employees to cease operations.
Elsewhere in the
affidavit Mr Liu stated that Ulric had been in
possession by virtue of having caused Nduma to place security guards
at the mine
for the purpose of maintaining possession of the ore
present on the mine - which I understood to refer to the ore
which had
been stockpiled. That, as I have indicated , occurred on 24
June this year.
[31]
In
their answering affidavit the respondents denied the charge of
dispossession. While they did not deny that Ulric had been prevented
from removing ore from the Mine as of 10 May 2024,
[4]
they denied that that the applicant had at any time been
dispossessed.
The
respondents’ case in relation to that issue was that the actual
site operations had been conducted by two entities
which Ulric
had sub-contracted for that purpose and that those subcontractors had
voluntarily withdrawn from the mine on 5 June,
thereby giving up
possession. They furthermore denied that Ulric had at any time
thereafter, regained possession.
[32]
The respondents’ evidence in relation
to the voluntary withdrawal of resources from the site on
or about 5 June
was not disputed. This has therefore to be accepted
as a fact. Thus, the question which arises is whether Ulric ,
at any
time after 5 June, regained possession and, if so, whether it
was still in possession when the alleged act of spoliation
occurred.
[33]
As
I have already indicated, Ulric’s case on that issue rested on
the appointment of the Nduma personnel – allegedly
for
the purpose of “
maintain
(ing)
possession
of the ore present on the mine
”.
The respondents’ version on this issue was that the presence on
the Nduma personnel on Mine had been
unauthorised
[5]
and furthermore that their function , as conveyed to them
by Ulric, had simply been to provide security
for the
idle operations
.
The
objective evidence on that issue was the justification which Ulric
offered in respect of the intended presence of the guards
on site.
That justification was contained in a letter from Ulric to IRPL dated
24 June 2024. The heading read “
Request
for Independent Security Services at S10 and S11 for the duration of
De-establishment period
”,
and the purpose of the proposed security personnel was said to be “
to
provide security for the idle operations
and to “
secure
the safety of the S10 and S11 complex during the current operational
stoppage
”.
No mention was made of a retaking or reinforcement of possession.
[34]
I would add that it was also not asserted
in the correspondence which passed between the parties and their
respective attorneys
at that time that Ulric remained in occupation
notwithstanding the withdrawal of resources and personnel from
the mine earlier
that month. On the contrary the first mention of a
right of possession was made in a letter from Ulric’s attorneys
on 30
July in which it was alleged that Ulric enjoyed a lien over the
stockpiled ore.
[35]
Given
the nature of the proceedings, the so called
Plascon
Evans
rule
[6]
applies. The implication is that the matter falls to be determined
essentially on the respondents’ version. I mention this
as,
while an order restoring restoration of possession does not finally
determine any substantive rights (for example ownership),
such an
order is not subject to reconsideration by another court and is
therefore a final one.
[7]
There is nothing about the respondents’ version that strikes me
as in any way far-fetched or so improbable that it may safely
be
disregarded. On the contrary,
the
respondents’ version is consistent with the common cause
facts. It has therefore to be accepted. Indeed, the respondents’
version would fall to be accepted even if that rule were not to be
applied – for there is a great deal of difference between
simply posting a few guards for the purpose of providing security and
establishing possession.
[36]
The result is that Ulric has failed to
establish that it was in possession at the time of the alleged
spoliation. The claim to be
restored to possession must accordingly
fail.
The claim for an
interdict
[37]
The
requirements in respect of an interim interdict are well known. They
are: a) a right, which may be open to some doubt (frequently
referred
to as a “
prima
facie
right”) ; b) injury/harm committed or reasonably apprehended –
although a past injury will not suffice; c) the absence
of an
alternative remedy in law; and d) a balance of convenience in favour
of the applicant. It is also well settled that a strong
balance of
convenience can compensate for a weakness in respect of the first
element, and
vice
versa
.
Hence the courts’ assessment of the balance of convenience is
frequently decisive.
[8]
[38]
In casu
the
high-water mark of the applicant’s case, as I understood it,
was that it might succeed in establishing, in the proposed
arbitration, that the cancellation of its contract with the second
respondent had been unlawful. Building on that, its case, as
I
understood it, was that it would, in those circumstances, become
entitled to remove and sell the ore in question and so earn
profits.
Assuming my understanding to be correct, I have some doubt as to
whether it can fairly be said that the first requirement
was in fact
satisfied. A mere possibility of success in the proposed arbitration
is not, to my mind, sufficient - for the right
may only be open to
some
doubt. Nevertheless, I will continue on the assumption that the
applicant has succeeded in satisfying the first requirement.
[39]
On the assumption that a right has been
established, it is not necessary to consider whether there has been
an invasion of that
right. On the contrary, that the right has been
invaded and that such invasion is of a continuing nature is, on that
assumption,
common cause.
[40]
Turning to the third leg of the enquiry,
the respondents’ case is that the applicant has an alternative
remedy in damages.
Given that the applicant’s only interest in
the mining operations generally is the generation of profit, I think
this must
obviously be correct. This is also not a matter in which it
would be impossible to accurately assess the quantum of damages, nor
was that alleged to be the case. On the contrary, the nature of the
operation is such that the respondents will, of necessity,
have to
keep records of quantities of ore sold and revenues received. The
respondents have moreover given an undertaking on oath
to that
effect. The applicant will also readily be able keep track
of
the quantities removed -
if not with complete
accuracy, then at least quite accurately. That this is so, appears
from the figures contained in its own papers.
[41]
As to the last requirement, it is
inconceivable that the balance of convenience could best be served by
preventing the removal and
sale of the ore. That, after all, is how
mines earn income, and it is in the interest of all concerned that
income should be generated.
In this regard, it is to be borne in mind
that it is not only the commercial interests of the immediate parties
which are affected.
There are also sub-contractors, service providers
and employees whose interests fall to be considered. It was also not
alleged
or argued that the respondents are men of straw and hence
that the applicant would have no prospect of recovering any damages
which
may be awarded to it. The balance of convenience
accordingly weighs heavily in favour of the respondents.
[42]
I accordingly make the following order.
Order
.
1. The application
is dismissed with costs, such costs to include the costs of two
counsel.
2. Counsels’
costs and charges shall be taxable according to scale C.
G S MYBURGH
ACTING JUDGE OF THE
HIGH COURT
JOHANNESBURG
APPEARANCES
:
For
the Applicant:
Mr O Ben-Zeev
Instructed
by:
Teng Hung Han Incorporated
For
the Respondents:
P Ngcongo & C Petersen;
Instructed
by:
Werksmans Attorneys
Date
of Hearing:
8 August 2024
Date
of Judgment:
9 May 2025
[1]
It is not clear whether the second respondent was ever properly
served; however, nothing turns on that for present purposes.
[2]
[1981] 2 ALL SA 378
(C).
See also
In re:
Several matters on the urgent court roll
2013
(1) SA 549 (GSJ).
[3]
Essentially, to deter people from taking the law into their own
hands.
[4]
This on account of alleged unpaid debts
[5]
They were described as trespassers.
[6]
Plascon-Evans
Paints Ltd v Van Riebeeck Paints (Pty) Ltd
1984 (3) SA 623 (A)
[7]
Metlika
Trading Ltd and Others v Commissioner for SARS
[2004] 4 All SA 410 (SCA)
[8]
See generally Prest: The Law and Practice of Interdicts (Juta)
49-50 and authorities cited.
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