Case Law[2025] ZAGPJHC 808South Africa
Kullmann (8657/2023) [2025] ZAGPJHC 808 (13 August 2025)
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Kullmann (8657/2023) [2025] ZAGPJHC 808 (13 August 2025)
Kullmann (8657/2023) [2025] ZAGPJHC 808 (13 August 2025)
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sino date 13 August 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
CASE
NO.: 8657/2023
(1)
REPORTABLE: NO.
(2)
OF INTEREST TO OTHER JUDGES: NO.
(3)
REVISED: NO.
13 August 2025
In
the matter between:
In
the application for leave to appeal of:
JOHN
GERALD KULLMANN
APPLICANT
This judgment was
handed down electronically by circulation to the parties’
representatives via e-mail, by being uploaded
to CaseLines and by
release to SAFLII. The date and time for hand-down is deemed to be
14:00 on 13 August 2025.
JUDGMENT
MEIRING, AJ:
Introduction
[1]
This is an application by which the
ex
parte
applicant seeks leave to appeal
against the order that this court handed down on 2 May 2024 refusing
his prayer to be placed in
voluntary surrender. He seeks leave to the
full bench of this division.
[2]
The application was heard virtually at 9:30
on the morning of Thursday, 25 July 2024. The creditors that had
entered the fray in
the court below, represented by Ms Indhira Naik,
were not present in court.
[3]
Out of an abundance of caution, as the
hearing was about to start, Ms Dineo Sereko, who ably fulfilled the
role of registrar at
this hearing, telephoned the attorney that had
represented the creditors. She was told that, owing to a dearth of
money, they would
not be represented at the hearing.
[4]
The hearing proceeded in their absence.
The facts
[5]
On 2 May 2024, this court handed down an
order refusing on various grounds Mr Kullmann’s prayer that his
estate be voluntarily
surrendered.
The law
[6]
The test whether leave to appeal is to be
granted is framed in section 17(1) of the Superior Court Act, 2013:
“
17.
Leave to appeal
(1)
Leave to appeal may only be given where the judge or judges
concerned are of the opinion that
–
(a)
(i)
the appeal would have a reasonable
prospect of success
; or
(ii)
there is some other compelling reason why the appeal should be
heard, including conflicting judgments on the matter under
consideration
;
(b)
the decision sought on appeal does not fall within the ambit of
section 16(2)(a); and
(c)
where the decision sought to be appealed does not dispose of all the
issues in the case, the appeal would lead to a just and prompt
resolution of the real issues between the parties
.”
[emphasis added]
[7]
The applicant does not say whether he
brings this application under section 17(1)(a)(i) or (ii). However,
the complaints that he
raises indicate that he relies only on section
17(1)(a)(i). Thus, he asks this court for leave on the basis that
“
the appeal would have a
reasonable prospect of success
”.
[8]
If
an applicant shows that the appeal would have a reasonable prospect
of success (and the requirements in section 17(1)(b) and
(c) are also
met), the court must grant leave to appeal. The exercise of the power
to grant leave is not then in the discretion
of the court.
[1]
[9]
The wording of section 17(1)(a)(i) does not
set the threshold for leave to appeal any higher than it was at
common law before the
promulgation of the
Superior Courts Act, 2013
.
[10]
In
its unreported decision in
Ramakatsa
v African National Congress
,
[2]
the Supreme Court of Appeal explained the test for leave to
appeal:
[3]
“
If
a reasonable prospect of success is established, leave to appeal
should be granted. Similarly, if there are some other compelling
reasons why the appeal should be heard, leave to appeal should be
granted.
The test of reasonable
prospects of success postulates a dispassionate decision based on the
facts and the law that a court of appeal
could reasonably arrive at a
conclusion different to that of the trial court
.
In other words, the appellants in this matter need to convince this
Court on proper grounds that they have prospects of success
on
appeal.
Those prospects of
success must not be remote, but there must exist a reasonable chance
of succeeding. A sound rational basis for
the conclusion that there
are prospects of success must be shown to exist
.
”
[emphasis added]
Analysis of the case
for leave
[11]
In large measure, the applicant’s
case for leave was a repetition of the arguments advanced at first
instance.
[12]
The grounds of
appeal are marshalled under two heads. First, the applicant
criticises what he characterises as various factual findings.
Then,
he attacks various findings of law, as he calls them.
[13]
Under the
rubric of factual findings, the applicant first criticises the
court’s finding that it was not in the interests
of justice to
admit the applicant’s late delivery of a sworn valuation in the
absence of an application for condonation.
[14]
That is, of
course, no factual finding properly so called. Rather, it is a ruling
that, without an application for condonation,
the court would not
exercise the discretion granted to it by
rule 27
to allow the
belatedly submitted sworn valuation. It would not be in the interests
of justice to do so.
[15]
The judgment
makes it plain that the court was uncomfortable with the manner of
the production of the sworn statement. Not only
was condonation not
sought – which is no mere formality, but requires the litigant
in question to go on oath carefully and
in detail – but the
court was wholly in the dark over “
the
process that led to its production at beyond the eleventh hour
”.
[16]
In his notice
of appeal, the applicant tries to make a virtue out of the fact that
the sworn valuation “
did
not differ materially from the value set out in the estate agent’s
valuation attached to the founding affidavit in any
event
”.
He says that “
therefore
the figures set out in the founding affidavit can still be relied
upon
”.
Yet, nearly two years passed between the two dates. It is hard to
accept the soundness of the earlier valuation without
more: while
there might be an explanation for the fact that there was no change,
that explanation is not advanced. The court found
the business of the
valuation of the immoveable property to be unsatisfactory. It was
obviously unsatisfactory.
[17]
What is more,
the applicant seeks to minimise the court’s finding that it is
important that there be compliance with the rules
governing
applications of this type so that all creditors might from the outset
have a full and accurate picture of the applicant’s
financial
state.
[18]
The simple
fact is that there ought to be compliance with the rules. While the
court might indeed grant condonation in the absence
of an application
for it, that should be only in truly exceptional circumstances. There
are no such circumstances present here.
[19]
What the
applicant does not, however, attack is the further finding of the
court that, even if the sworn valuation had been received,
the
outcome of the application would have been no different.
[20]
In
my considered view, a court of appeal could not on this ground
reasonably arrive at a conclusion different to that of the trial
court.
[21]
The second
factual finding of the court that the applicant attacks is its
criticism that the founding affidavit did not set out
his assets with
sufficient particularity. There was no sworn valuation of the
applicant’s furniture. The applicant did not
disclose how his
legal fees were being paid.
[22]
The applicant
conceded that, while his furniture was not accompanied by a sworn
valuation, it is clear that his primary asset, which
comprised almost
his entire estate, was the immoveable property and that the benefit
to creditors could still be calculated based
on the figures provided
for that. The applicant contended that he still satisfied the
requirements of section 6(1) of the Insolvency
Act.
[23]
Yet, in the
light of the view that I take above over the late delivery of the
sworn valuation of the applicant’s immoveable
property, this
argument ill assists him.
[24]
In sum, upon a
careful consideration of the founding affidavit, it was not marked by
the level of candour that allowed the court
to appraise the financial
position of the application with much confidence.
[25]
In
my considered view, a court of appeal could not on this ground
reasonably arrive at a conclusion different to that of the trial
court.
[26]
The third
factual finding of the court that the applicant criticises is the
finding that the applicant could not truthfully have
advanced the
argument that his brother was also, jointly and severally, liable to
pay his litigation costs and that creditors might,
therefore, also
attach and sell his immoveable property. This, the court found, was
less than candid since the applicant’s
brother in question was,
at the time of the making of the founding affidavit, himself seeking
voluntarily to surrender his estate.
[27]
The applicant
argues that there is nothing “
inherently
false
”
about that statement and that “
the
body of creditors between both the applicant and his brother is
almost identical, especially when considering the unsecured
creditors
”.
Yet, what this contention leaves entirely out of account is that, in
circumstances where the applicant’s brother
was seeking to
surrender his own estate, it was his own creditors’ demands
that would through that process be met. The fact
that there was a
similarity in the body of creditors does not undo the fact that, were
the applicant’s brother’s estate
to have been
surrendered, nothing from his estate would logically have remained to
satisfy his joint and several liability with
the applicant.
[28]
In the
circumstances, it was directly relevant to the applicant’s
application for voluntary surrender that his brother had
set a
parallel process of voluntary surrender in train. Accordingly, there
is no basis upon which to criticise the court’s
finding in this
regard.
[29]
In
my considered view, a court of appeal could not on this ground
reasonably arrive at a conclusion different to that of the trial
court.
[30]
The fourth
factual finding that the applicant criticises is the finding that he
had failed to demonstrate on a balance of probabilities
that his
estate was insolvent or that it would be to the advantage of
creditors that his estate be sequestrated.
[31]
For the
reasons set out in the judgment, some of which are adumbrated above,
the court did not have sufficient confidence that the
full picture
concerning the applicant’s estate had been failry presented to
it. Accordingly, it was justified in finding
that the applicant had
not on a balance of probabilities demonstrated those two
requirements.
[32]
In
my considered view, a court of appeal could not on this ground
reasonably arrive at a conclusion different to that of the trial
court.
[33]
Lastly, under
the heading “
Findings
of law
”,
the applicant says the court erred by finding that the applicant had
failed to meet the standard of
uberrimae
fides
.
[34]
It admits of
no argument that the Latin tag
uberrimae
fides
,
which translates as the utmost good faith, requires a very high
standard of good faith and frankness.
[35]
The
application that served before me, marked by
inter
alia
the
deficiencies discussed above, was rather far from that standard. Were
it otherwise, the standard of
uberrimae
fides
would have very little meaning indeed.
Costs
[36]
Despite the
applicant’s contentions to the contrary, the costs order
granted against him was entirely warranted.
Order
1.
The application for leave to appeal is
dimissed.
J
J MEIRING
ACTING JUDGE OF THE
HIGH COURT
JOHANNESBURG
Date of hearing:
25 July 2024
Date of
judgment:
13 August 2025
APPEARANCES
For the first
applicant:
Advocate Tyrone
Lautré
Instructed
by:
Kaveer Guiness Inc.
[1]
Erasmus
Superior
Court Practice
,
vol 1, A2-54.
[2]
(724/2019)
[2021] ZASCA 31
(31 March 2021).
[3]
At
para 10.
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