Case Law[2023] ZAGPJHC 758South Africa
Sekgala v Body Corporate of Petra Nera (08951/2017) [2023] ZAGPJHC 758 (3 July 2023)
High Court of South Africa (Gauteng Division, Johannesburg)
3 July 2023
Headnotes
to have been inordinate in for example Sebenza Shipping Consultancy v Phakane ([2003] 8 BLLR 832 (LC).
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Sekgala v Body Corporate of Petra Nera (08951/2017) [2023] ZAGPJHC 758 (3 July 2023)
Sekgala v Body Corporate of Petra Nera (08951/2017) [2023] ZAGPJHC 758 (3 July 2023)
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#### REPUBLIC OF SOUTH AFRICA
REPUBLIC OF SOUTH AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
(GAUTENG LOCAL
DIVISION, JOHANNESBURG)
Case No: 08951/2017
In the matter between:
RAMMUTLANA
BOELIE SEKGALA
Applicant
and
THE BODY CORPORATE
OF PETRA NERA
Respondent
In re
THE BODY CORPORATE
OF PETRA NERA
Applicant
And
RAMMUTLANA
BOELIE SEKGALA
Respondent
JUDGMENT ON LEAVE TO
APPEAL
ENGELBRECHT,
AJ
INTRODUCTION AND
BACKGROUND
[1]
On 13 April 2023, this Court dismissed an
application for the rescission of a provisional sequestration order.
On 17 April
2023, the applicant (Mr Sekgala) filed an application for
leave to appeal, and the Registrar set the matter down for argument
on
19 June 2023.
[2]
The facts and circumstances relevant to the
matter are set out in the main judgment. I do not intend to
repeat them here.
In essence, Mr Sekgala, whose estate has been
finally sequestrated, sought by way of the rescission application to
unscramble the
egg: if the order for provisional sequestration is
rescinded, then the
sine qua non
for the final sequestration order would no longer exist.
[3]
The grounds for seeking leave are
numerous. The substance of the application is that an injustice
was done when the rescission
application was dismissed. Mr
Sekgala asserts that the reasoning in the judgment was informed by
facts not set out in the
rescission application itself, but rather by
“
historical research”
,
and that he was not given an opportunity to engage with additional
facts relied on. That complaint is similar one of the
grounds
for rescission dealt with in the main judgment, namely that although
Mr Sekgala had presented argument before Lamont J,
the 8 September
2020 order of provisional sequestration was to be treated as one
granted by default, because the order ultimately
granted was
different from the one sought and in any event was one that was not
capable of being granted in the circumstances given
the peremptory
language in section 11(1) of the Insolvency Act 24 of 1936
(Insolvency Act). My dismissal of that submission
forms another
basis for the grant of leave. The judgment is also criticized
for constituting an improper exercise of discretion,
inter
alia
on the basis that the delay in
bringing the rescission application was not inordinate (relying for
the purpose on a finding that
the delay was a “
far
cry”
from 20 years that had been
found in a different case to constitute an abuse). Mr Sekgala
also relies on an alleged misdirection
on the facts and raises a
complaint that the answering affidavit in the rescission had to be
regarded as
pro non scripto
for having been filed out of time, which is an about-turn from the
position adopted before me in argument in h emain application:
as I
explained in the main judgment, Mr Sekgala said that he was not
pressing the point on lateness of the filing of the answering
affidavit.
[4]
The respondent (the Body Corporate) opposes
the application for leave to appeal.
THE TEST FOR LEAVE TO
APPEAL
[5]
For leave to appeal to be granted in this
matter, I have to be satisfied that the requirements of section
17(1)(
a
)
of the Superior Courts Act 13 of 1995 (Superior Courts Act) are met –
that the appeal would have a reasonable prospect of
success or that
there is some other compelling reason why the appeal should be heard.
[6] The use of the word
“
would
” in section 17(1)(a)(i) of the Superior
Courts Act, indicates a measure of certainty that another court will
differ from
the court whose judgment is sought to be appealed against
(see
Ferriers v Wesrup Beleggings CC
2019 JDR 1148 (FB) at §
7). In
Acting National Director of Public Prosecutions v
Democratic Alliance
2016 JDR 1211 (GP) the Full Bench of the
Gauteng Division, Pretoria referred with approval to what was said by
Bertelsmann J in
The Mont Chevaux Trust v Tina Goosen and 18
Others
, namely:
“
It is clear
that the threshold for granting leave to appeal against a judgment of
a High Court has been raised in the new Act.
The former test
whether leave to appeal should be granted was a reasonable prospect
that another court might come to a different
conclusion, see Van
Heerden v Cronwright and Others
1985 (2) SA 342
(T) at 343H.
The use of the word ‘would’ in the new statute indicates
a measure of certainty that another court
will differ from the court
whose judgment is sought to be appealed against.
”
[7]
The bar on prospects of success is high.
I accept that, since section 17(1)(a) lists the requirements
disjunctively, I may
also grant leave if there is some other
compelling reason to grant leave. In the present case, there is
no such other compelling
reason. There is no novelty or issue
of public importance that arises, and no conflicting judgments on any
issue central
to the rescission that would warrant consideration on
appeal. For purposes of this judgment, the only issue there is
whether
Mr Sekgala would enjoy reasonable prospect of success on
appeal.
DISCUSSION
[8]
The application for leave to appeal reminds
one of the adage “
a little
knowledge is a dangerous thing”
.
Mr Sekgala, who has represented himself through the long history of
this matter, has done an admirable job of conducting
research in an
effort to support the position advanced. Unfortunately,
decontextualized reliance on judgments that are invariably
distinguishable on the facts or dealing with the legal position in an
entirely different context can lead a lay person astray.
[9]
A pertinent example is the criticism of the
finding that there had been an inordinate delay in bringing the
application, with Mr
Sekgala comparing his position (a delay of about
eight months) with an extreme case of delay in prosecution of an
action to assert
that his delay was not unreasonable. The
question of inordinate delay is bound up with the facts and context
of each matter.
Considerations as the absence of a proper
explanation for periods of delay, and the period of delay given the
particular context
are factual matters that must be brought into
account. In the present case, Mr Sekgala was unable to offer a
satisfactory
explanation for the delay of eight months in bringing
the rescission application, in addition to which the delay in
bringing the
application meant that the order sought to be rescinded
had been overtaken by events, notably the grant of a final
sequestration
order (which Mr Sekgala was unsuccessful in
challenging). A delay of eight months in bringing a rescission
application has,
in any event, been held to have been inordinate in
for example
Sebenza Shipping Consultancy
v Phakane
([2003]
8 BLLR 832
(LC).
[10]
When a party learns that a default judgment
has been granted against him or her and that party believes there are
grounds upon which
to rescind it, it is imperative that such a party
acts promptly. Not only does a judgment have consequences for
the parties
immediately involved, but it may also affect third
parties (as is the case with provisional and final sequestration).
That
is why there is a requirement that rescission applications be
instituted within a reasonable time. In the present case, there was
a
very real and practical consequence of the delay: Mr Sekgala’s
estate has been finally sequestrated. The order sought
to be
undone was variously extended, revived and ultimately served as the
jurisdictional prerequisite for the grant of the final
order.
The effects of the delay in the particular circumstances of the case
has had significant consequences.
[11]
The problem with inappropriate reliance on
case precedent arises also in the context of the criticism that
information outside the
founding and answering affidavits was
recounted in the recordal of relevant facts, by reference to
judgments dealing with “
unspecified
knowledge of the judge”
, a
decision
mero motu
to
call for an inspection
in loco
and for determining a matter on the basis of a legal point not raised
in the pleadings. In the present case, this Court was
concerned
with a rescission application. Whether the jurisdictional facts
for the grant of rescission existed depended not
only on what the
parties said in the rescission application, but also a consideration
of the pleadings and orders that had gone
before, and which were
relevant to the question. The facts set out in the judgment
were not based on “
unspecified
knowledge”
, but on the litigation
history evident from the papers and orders that were (appropriately)
uploaded to CaseLines for purposes
of considering the prayer for
rescission. Importantly, the decision to grant or deny an
application for rescission depends
on the exercise of a discretion,
so that no Court could ignore the relevant background and the
perspective provided by the litigation
history. I could not
ignore, for example, that the order of Lamont J had lapsed, and that
Makume J then reinstated it on
11 December 2020. I could not
leave out of account that an unsuccessful attempt had also been made
to rescind the order of
Makume J. Surely, I could not pretend
that a final sequestration order had not been made. And I could
not ignore what
was taken into account by the various courts as
reasons for giving effect to the Lamont J order. Mr
Sekgala enjoys
no prospects of convincing another court that my
bringing into account these matters was inappropriate.
[12]
Be that as it may. The real nub of
the application for leave to appeal is whether the jurisdictional
requirements of absence
from the proceedings and an erroneous order
were present. Mr Sekgala argues that my conclusion on absence
relies on an interpretation
that is incongruent with the
constitutional right to access to court, and that my finding that
Lamont J was entitled and empowered
to make the order that he did is
inconsistent with the plain and peremptory language of section 11(1)
of the Insolvency Act.
[13]
I find that there are not reasonable
prospects on the basis of the arguments advanced that on either of
these questions another
Court would come to a different conclusion
than the one reached in the main judgment, as follows.
[14]
On the first issue, the problem with the
broadness of the meaning of absence that Mr Sekgala would have this
court adopt is that
it would create an untenable situation.
These courts would be flooded with rescission applications if every
party present
in court could apply for rescission on the basis that
the order made was one not in the exact terms sought, but rather one
crafted
to suit the exigencies of the case in light of the
submissions received. I am not persuaded that any other court
would conclude
that Lamont J had made an order in the absence of
submissions by Mr Sekgala. On his own version, Mr Sekgala was
present and
sought to persuade my learned brother to discharge the
earlier order. His argument was not successful, but he did
enjoy a
measure of success in that a final order of sequestration was
not made on the appointed day. Substantively speaking, all that
the order of 8 September 2020 did was to make clear that Mr Sekgala
was called upon to explain why a final order ought not to be
granted. He was given the procedural right that he was entitled
to.
[15]
As to the second point. It is no
longer the state of our law that “
plain
language”
is the be all and end
all of interpretation.
15.1.
In
Natal Joint Municipal Pension
Fund v Endumeni Municipality
2012 (4) SA
593
(SCA) the Supreme Court of Appeal called for
an objective
process of interpretation that leads to the adoption of a sensible
meaning. A “
sensible”
meaning is to be
preferred to one that leads to insensible or un-businesslike results,
or one which undermines the apparent purpose
of the clause under
consideration. The court, faced with competing interpretations,
must make a determination on which meaning
to be preferred within the
context of the document in which it appears.
15.2.
The Constitutional Court endorsed
Endumeni
in
University of Johannesburg v Auckland Park Theological Seminary
2021 (1) SA 1
(CC),
explaining that context and language must be considered
together from the outset; indeed it considered it settled law that
interpretation
is to be approached “
holistically:
simultaneously considering the text, context and purpose”
.
[16]
No court could interpret section 11(1) of the Insolvency Act
without bringing into account the apparent purpose of the provision
(to provide an opportunity to a respondent to make submissions why a
final sequestration order is not to be made) and the content
of
section 9(5) of the Insolvency Act (allowing a Court hearing an
application for sequestration of an estate to “
make such
other order in the matter as in the circumstances appear to be
just”
). The overarching consideration must be justice
and equity, not only to one party but to both, and the efficient use
of court
resources. Why should a court faced with a concern that an
order originally made in provisional sequestration proceedings had
not
properly called upon the respondent to set out his or her case
not make a further order that addresses that concern? Why
should the original order be discharged and fresh proceedings be
instituted? There is simply no legal basis for concluding
that
there is such a requirement.
[17]
For these reasons, I am not persuaded that another court would
conclude that Lamont J, in making the order, purported to exercise
a
power that he did not have. Notably, as I have mentioned,
Makume J revived the order and ultimately final sequestration
of Mr
Sekgala’s estate followed. Mr Sekgala’s efforts to
undo those orders were unsuccessful. None of the
courts that
were confronted with Mr Sekgala’s position on the Lamont J
order accepted his arguments as correct.
[18]
In any event, as is pointed out in the main judgment, the
requirement of a rescindable error is one of a procedural nature.
The points that Mr Sekgala makes turn on the substantive
interpretation of law, which is a question for appeal and not an
appropriate
basis for rescission.
[19] Moreover, Mr Sekgala
cannot make out a case that Lamont J would not have made the order
had he been aware of some fact unknown
to him when in fact he did.
The relevant facts and submissions were before Lamont J.
[20]
There are no prospects that another Court would come to the
conclusion that the prerequisites for rescission have been met, or
that
the discretion of this Court had been exercised inappropriately
or capriciously.
[21]
In the circumstances, I make
the following order:
21.1.
The application for leave to appeal is
dismissed.
21.2.
There is no order as to costs.
M Engelbrecht
ACTING JUDGE OF THE
HIGH COURT
GAUTENG
LOCAL DIVISION, JOHANNESBURG
Delivered:
This judgment was prepared and
authored by the Judge whose name is reflected and is handed down
electronically by circulation to
the Parties/their legal
representatives by email and by uploading it to the electronic file
of this matter on CaseLines. The date
and time for hand-down is
deemed to be on 03 July 2023 at 16:00.
Heard
on : 19 June 2023
Delivered:
03 July 2023
Appearances:
For
the Applicant:
in
person
For
the Respondent:
A
Du Ploy
Instructed
by
Richards
Attorneys
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