Case Law[2025] ZAGPJHC 1202South Africa
Moving Tactics Digital Media (Pty) Ltd v Afrobonatics (Pty) Ltd (034549/2023) [2025] ZAGPJHC 1202 (19 November 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
19 November 2025
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Moving Tactics Digital Media (Pty) Ltd v Afrobonatics (Pty) Ltd (034549/2023) [2025] ZAGPJHC 1202 (19 November 2025)
Moving Tactics Digital Media (Pty) Ltd v Afrobonatics (Pty) Ltd (034549/2023) [2025] ZAGPJHC 1202 (19 November 2025)
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sino date 19 November 2025
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
JOHANNESBURG
Case
number: 034549/2023
[1]
REPORTABLE: NO
[2]
OF INTEREST TO OTHER JUDGES: NO
[3]
REVISED: YES
SIGNATURE
DATE:
19 November 2025
In
the matter between:
MOVING
TACTICS DIGITAL MEDIA (PTY) LTD
Applicant
and
AFROBONATICS
(PTY) LTD
Defendant
JUDGMENT
PULLINGER AJ
[1]
The applicant applies for an order placing the respondent in final
liquidation on the basis that it is unable to pay its debts
as
contemplated in section 344(f) read with 345(1)(c) of the Companies
Act, 1973.
[2]
The debt which the applicant asserts arises from a written agreement
in terms of which the applicant would provide certain advertising
services to the respondent for the period July to November 2022.
There is no dispute that the agreement was concluded.
[3]
The agreed, discounted, fee for those services was R500,000. The
importance of this discount will become apparent shortly.
[4]
It is common cause that the respondent has not paid the applicant for
the services it rendered.
[5]
In its answering affidavit, the respondent takes two points.
[5.1]
The respondent’s first point concerns this court’s
jurisdiction. It contends that this court does not enjoy jurisdiction
over the respondent or over this dispute. It contends that its
principal place of business is in Sunderland Ridge, Centurion,
Tshwane and that its registered address is in Strydom Park in
Tshwane. It refers to a document in support of the latter statement
of fact that is not attached to the answering affidavit.
[5.1.1]
I disagree with the respondent’s contention.
[5.1.2]
Section 21(1)
of the
Superior Courts Act, 2013
provides that “[a]
Division has jurisdiction over all persons
residing or being in, and in relation to all causes arising and all
offences triable
within, its area of jurisdiction and all other
matters of which it may according to law take cognisance…”.
The word
“Division” is defined as “any Division of
the High Court” and “High Court” means the “High
Court of South Africa referred to in
section 6(1)
”.
Section
6(1)
states that the High Court of South Africa consists of the
Divisions listed in sub-paragraphs (a) to (j) thereof and
section
6(3)(c)
empowers the minister to establish one or more local seats of
a Division and determine its area of geographical jurisdiction.
[5.1.3]
The High Court, Johannesburg is a local seat of the Gauteng Division.
It is not a separate court from the main seat of the Division
in
Pretoria (
Murray N.O v African Global Holdings (Pty) Ltd
2020
(2) SA 93
(SCA) at [18]).
[5.1.4]
The Gauteng Division’s area of geographical jurisdiction was
determined in the Minister’s Determination of 15 January
2016
made pursuant to sections (6)(3)(a) and (5) of the
Superior Courts
Act, 2013
and is set out in item 2 of the schedule to the
Determination.
[5.1.5]
In terms of the Determination, this seat of the Gauteng Division
enjoys concurrent jurisdiction with the main seat in Pretoria
over,
inter alia
, the magisterial districts of Johannesburg and
Randburg. Johannesburg,
ex facie
the LexisNexis report annexed
to the founding affidavit, being the respondent’s registered
address and Midrand, being the
place where the written agreement
between the parties was concluded, falls within the Randburg
sub-district.
[5.1.6]
Notwithstanding the aforegoing, and even if the respondent’s
registered address is now as alleged, this court still enjoys
jurisdiction by virtue of the Minister’s Determination
aforesaid.
[5.2]
The second point concerns the applicant's alleged non-performance in
terms of the written agreement. The version that appears,
for the
first time, in the answering affidavit, suggests that, for certain
periods, advertisements were not flighted. This is clearly
refuted in
the replying affidavit.
[5.2.1]
On 2 March 2023, demand was made on the respondent to pay an amount
of R 575 000.00. The respondent did not, at that
time,
dispute the indebtedness either in terms of the amount demanded or
assert that the services were not rendered. It has long
been said
that, “… a
party's failure to
reply to a letter asserting the existence of an obligation owed by
such party to the writer does not always justify
an inference that
the assertion was accepted as the truth. But 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.” (
McWiliams
v First Consolidated Holdings (Pty) Ltd
1982 (2) SA 1
(A) at 10 E to H and the authorities therein cited).
[5.2.2]
The respondent does not address why, in respect of those
advertisements which were flighted, it has not paid for the services
it received.
[5.2.3]
In respect of the discount, the respondent suggests, as I understand
it, that it has been overcharged by the applicant. But
ex facie
the written agreement, this is not the case. Moreover, the
involvement of the stores at which the advertisements were flighted
has nothing to do with the applicant; it was a service provider to
the respondent. There is no causal link to the stores, the agreement
or the discounted price for the advertising services apparent from
the answering affidavit.
[5.2.4]
There is then no basis for this contention and it is difficult to
understand how any dispute of a factual nature, much less how
the
respondent could cogently contend that the debt is illiquid or
overstated can cogently be advanced.
[6]
Now, bearing in mind that the applicant applies for the respondent's
winding up on the basis of it being unable to pay its
debts, and
the respondent has not suggested to the contrary, whether it has been
satisfactory proved that the respondent is able
to pay its debts.
[6.1]
The principal is that an unanswered demand is
prima facie
evidence of an inability to meet obligations, because a trading
entity that is not facing financial difficulties ought to be able
to
meet its obligations from current revenue or readily available
resources (
Rosenbach & Co (Pty) Ltd v Singh’s Bazaars
(Pty) Ltd
1962 (4) SA 593
(D) at 597 D to G)
[6.2]
This is an instance where the respondent bears an evidentiary burden
to set out those facts within its knowledge to rebut a
prima facie
case.
[6.3]
In
Wright v Wright and Another
, 2015(1) SA 262 (SCA) Majiedt
JA, at paragraph 15, says that:
"Litigants are
required to seriously engage with the factual allegations they seek
to challenge and to furnish not only an
answer but also
countervailing evidence, particularly where the facts are within
their personal knowledge."
[6.4]
The learned Judge of Appeal referenced the earlier judgment of Heher
JA in
Wightman trading as JW Construction v Headfour, (Pty) Ltd
and Another
2008(3) SA 371 (SCA) at paragraph [13] in
furtherance of the principal stated.
[6.5]
Here, the respondent has not engaged with the facts it purports to
dispute in any meaningful way. The respondent does not even
contend
to be solvent or able to meet its obligations. It must be plain that
these are facts that fall within the respondent's
knowledge, and they
ought to have been addressed.
[6.6]
The inference which arises from the respondent’s failure to pay
invoices that are, in terms of the written agreement, payable
on 30
days, is that it cannot do so (
Rosenbach & Co supra
).
[6.7]
This inference is strengthened by the respondent’s failure to
have addressed, in any manner, its failure to pay for at least
a
portion of the services which it accepts were rendered or to have
answered the demand made on it (
McWilliams supra
).
[6.8]
The respondent’s failures, aforesaid, leads to the conclusion
that it is a company which is unable to pay its debts.
[7]
In
Legh v Nungu Trading, 353 (Pty) Limited and Another
,
2008(2) SA 1 (SCA), Ponnan JA said, at paragraph [18], that:
"In my view, the
appellant established that he is a creditor of the company.
Furthermore, it is undisputed that the company
was unable to pay its
debts. Generally speaking, an unpaid creditor has a right
ex
debito justitiae
to a winding-up order against a company unable
to pay its debts."
[8]
In this particular case, I cannot see any basis on which to exercise
a discretion in favour of the respondent. The answering affidavit
does not engage with the facts set out in the founding affidavit and
does not provide any cogent reason for the non-payment of
at least
the undisputed portion and there is a complete absence of any
evidence in the answering affidavit of the respondent’s
financial position much less that it can meet any of its obligations
as they fall due.
[9]
In the result, I make the following order:
1.
The respondent is placed in final liquidation.
2.
The costs of this application and, to the extent necessary, those
applications preceding the hearing today, as well as any earlier
hearings in this matter, are to be costs in the liquidation.
A
W PULLINGER
ACTING
JUDGE OF THE HIGH COURT
GAUTENG
DIVISION, JOHANNESBURG
This
judgment was handed down electronically by circulation to the
parties’ and/or parties’ representatives by email
and by
being uploaded to CaseLines. The date and time for hand-down is
deemed to be
10h00
on
15 October 2025
.
DATE
OF HEARING:
15
OCTOBER 2025
DATE
OF JUDGMENT:
15 OCTOBER 2025
APPEARANCES:
COUNSEL
FOR THE APPLICANT:
ADV B DELPORT
instructed
by FRANCOIS PIENAAR ATTORNEYS INC T/A FDP LAW
COUNSEL
FOR THE RESPONDENT:
NO APPEARANCE
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