Case Law[2024] ZAGPJHC 386South Africa
Grindrod Bank Limited v Culverwell & Another (17343/2022) [2024] ZAGPJHC 386 (18 April 2024)
Headnotes
Summary: Applications for leave to appeal – s 17(1)(a)(i) of the Superior Courts Act 10 of 2013 – an applicant now faces a higher and a more stringent threshold – leave to appeal refused
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Grindrod Bank Limited v Culverwell & Another (17343/2022) [2024] ZAGPJHC 386 (18 April 2024)
Grindrod Bank Limited v Culverwell & Another (17343/2022) [2024] ZAGPJHC 386 (18 April 2024)
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sino date 18 April 2024
REPUBLIC OF SOUTH
AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
JOHANNESBURG
1. Not Reportable
2. Not of Interest of
other Judges
DATE
:
18 April
2024
(1)
CASE NO
:
17343/2022
In the matter between:
GRINDROD
BANK
LIMITED
Applicant
And
CULVERWELL
,
ALLAN MONTAGUE
First
Respondent
CULVERWELL
,
DUSTIN MONTAGUE
Second Respondent
(2)
CASE NO
:
17345/2022
In the matter between:
GRINDROD
BANK
LIMITED
Applicant
And
CULVERWELL
,
ALLAN MONTAGUE
First
Respondent
CULVERWELL
,
DUSTIN MONTAGUE
Second Respondent
Neutral
Citation
:
Grindrod Bank v Culverwell and
Another; Grindrod Bank v Culverwell and Another (17343/2022 &
17345/2022)
[2024] ZAGPJHC ---
(18 April 2024)
Coram:
Adams J
Heard
on
: 18 April 2024
Delivered:
18 April 2024 – This judgment was handed down
electronically by circulation to the parties' representatives by
email, by being
uploaded to
CaseLines
and by release to
SAFLII. The date and time for hand-down is deemed to be 14:30 on 18
April 2024.
Summary:
Applications for leave to appeal –
s 17(1)(a)(i)
of the
Superior Courts Act 10 of 2013
– an applicant now faces a
higher and a more stringent threshold – leave to appeal refused
ORDER
The
following identical order is made in each of the two applications for
leave to appeal under the separate case numbers:
(1)
The first and the second respondents’
application for leave to appeal is dismissed with costs on the scale
as between attorney
and own client, such costs to include the costs
consequent upon the employment of Senior Counsel.
JUDGMENT [APPLICATION
FOR LEAVE TO APPEAL]
Adams J:
[1].
I shall refer
to the parties as referred to in the original two opposed
applications – under two separate case numbers, in
respect of
which I had, on 7 August 2023, handed down one judgment. The
first and the second respondents are the first and
the second
applicants in these applications for leave to appeal and the
respondent in these applications for leave to appeal was
the
applicant in the main applications. As I indicated in the said
judgment, these two opposed applications against the respondents
were
based on the same factual matrices underlying the applicant’s
causes of action, which were almost identical in both
applications,
hence the one consolidated judgment.
[2].
The first and
the second respondents also raised the exact same defences in
opposition to the claims by the applicant against them.
In both
matters, judgment was granted in favour of the applicant against the
two respondents, who were ordered to pay to the applicant
the amounts
of R56 million and about R40 million, with interest thereon and costs
of suit. The respondents
apply
for leave to appeal against the judgment and the separate orders, as
well as the reasons therefor, which I granted on the
7
th
of August 2023, in terms of which I had granted judgment in favour of
the applicant against the respondents.
[3].
It is again
convenient to deal with both of these applications for leave to
appeal in one judgment.
[4].
The applications for leave to
appeal are mainly against my factual findings and legal conclusions
arising from my interpretation
of the performance guarantees issued
by the respondents in favour of the applicants, as well as my
application of the facts to
such an interpretation.
This
conclusion, so the respondents contend, was incorrect. The
respondents also contend that I had erred in not upholding the
lis
alibi pendens
point
in limine
raised by them in the main application. The respondents also take
issue with the award of costs I had granted against them on a
punitive scale.
[5].
Nothing new has been raised by the respondents in these
applications for leave to appeal. In my original judgment, I have
dealt
with most of the issues raised and it is not necessary to
repeat those in full.
Suffice to restate
what I said in my judgment, namely that
the
nature and the wording of the Guarantee Agreements between the
respondents and Grindrod Bank, as well as the applicable legal
principles. do not lend themselves to the defences raised by the
respondents in the applications.
[6].
The traditional test in deciding whether leave to
appeal should be granted was whether there is a reasonable prospect
that another
court may come to a different conclusion to that reached
by me in my judgment. This approach has now been codified in
s
17(1)(a)(i)
of the
Superior Courts Act 10 of 2013
, which came into
operation on the 23
rd
of August 2013, and which provides
that leave to appeal may only be given where the judges concerned are
of the opinion that ‘the
appeal would have a reasonable
prospect of success’.
[7].
In
Mont
Chevaux Trust v Tina Goosen
[1]
,
the Land Claims Court held (in an
obiter
dictum
)
that the wording of this subsection raised the bar of the test that
now has to be applied to the merits of the proposed appeal
before
leave should be granted. I agree with that view, which has also now
been endorsed by the SCA in an unreported judgment in
Notshokovu
v S
[2]
.
In that matter the SCA remarked that an appellant now faces a higher
and a more stringent threshold, in terms of the Superior
Court Act 10
of 2013 compared to that under the provisions of the repealed Supreme
Court Act 59 of 1959. The applicable legal principle
as enunciated in
Mont
Chevaux
has also now been endorsed by the Full Court of the Gauteng Division
of the High Court in Pretoria in
Acting
National Director of Public Prosecutions and Others v Democratic
Alliance In Re: Democratic Alliance v Acting National Director
of
Public Prosecutions and Others
[3]
.
[8].
In these matters, I am not
persuaded that the issues raised by the respondents in their
applications for leave to appeal are issues
in respect of which
another court is likely to reach conclusions different to those
reached by me. Those issues include but are
not limited to my
interpretation of the relevant provisions of the performance
guarantees. In my view, the appeals do not have
reasonable prospects
of success.
[9].
Leave to appeal in both matters
should therefore be refused.
Order
[10].
In the circumstances, the
following identical orders are made in each of the two applications
for leave to appeal under the separate
case numbers:
(1)
The first and the second respondents’
application for leave to appeal is dismissed with costs on the scale
as between attorney
and own client, such costs to include the costs
consequent upon the employment of Senior Counsel.
L R ADAMS
Judge of the High
Court
Gauteng Local
Division, Johannesburg
HEARD ON:
18
th
April
2024
JUDGMENT DATE:
18
th
April
2024 – judgment handed down electronically
FOR APPLICANT IN BOTH
APPLICATIONS
Advocate J E Smit
INSTRUCTED BY:
Edward Nathan
Sonnenbergs Inc, Umhlanga Rocks
FOR FIRST AND SECOND
RESPONDENTS IN BOTH APPLICATIONS:
No appearance –
Ms Sousa (a non-practitioner) ‘appeared’ on behalf of
the respondents to apply for a postponement
INSTRUCTED BY:
No
appearance – application for a postponement of the
application for leave to appeal refused
[1]
Mont
Chevaux Trust v Tina Goosen,
LCC 14R/2014 (unreported).
[2]
Notshokovu
v S,
case
no: 157/2015
[2016] ZASCA 112
(7 September 2016).
[3]
Acting
National Director of Public Prosecutions and Others v Democratic
Alliance In Re: Democratic Alliance v Acting National
Director of
Public Prosecutions and Others
(19577/09) [2016] ZAGPPHC 489 (24 June 2016).
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