Case Law[2023] ZAGPJHC 847South Africa
Kgagara v Road Accident Fund (2021/28851) [2023] ZAGPJHC 847 (28 July 2023)
High Court of South Africa (Gauteng Division, Johannesburg)
23 June 2023
Headnotes
Summary
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Kgagara v Road Accident Fund (2021/28851) [2023] ZAGPJHC 847 (28 July 2023)
Kgagara v Road Accident Fund (2021/28851) [2023] ZAGPJHC 847 (28 July 2023)
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sino date 28 July 2023
IN THE HIGH COURT OF
SOUTH AFRICA,
GAUTENG DIVISION,
JOHANNESBURG
CASE NO: 2021/28851
NOT REPORTABLE
NOT OF INTERTEST TO OTHER
JUDGES
In the application by
KGAGARA, MPHO
DONALD
Applicant
and
THE ROAD ACCIDENT
FUND
Respondent
JUDGMENT
MOORCROFT AJ:
Summary
Court orders are
suspended pending the outcome of an appeal or application for leave
to appeal, unless otherwise ordered by the
Court
Road Accident Fund –
liability for compensation in respect of amounts compensated by
medical scheme - subrogation
Order
[1] In this matter
I make the following order:
1.
The
application is postponed sine die
2.
Each party
is to pay his or its own costs.
[2] The reasons for
the order follow below.
Introduction
[3] The applicant
as plaintiff instituted an action against the Road Accident Fund
(“the Fund”) for compensation
for injuries sustained by
the applicant in a motor vehicle accident that took place in October
2020. The Fund is a juristic
person established to administer the
claims of individuals injured in motor vehicle accidents in
accordance with the provisions
the Road Accident Fund Act, 56 of 1996
(“the Act”).
[4] The merits were
settled on 11 October 2021 on the basis that the Fund would be
liable for 80% of the applicant’s
proven claim.
[5] The applicant
claimed
inter alia
compensation for past hospital and medical
expenses.
[6] In this
application the applicant seeks an interim payment
[1]
of R85 993.51 in respect of the past hospital and medical
expenses for which the applicant was compensated by a medical
scheme of which he is a beneficiary.
[7] The amount of
the claim is not in dispute and the opposition is based solely
[2]
on the averment that it would be ‘
prudent’
to await the outcome of an application for leave to appeal to the
Constitutional Court in the matter of
Discovery
Health (Pty) Ltd v Road Accident Fund & Another.
[3]
It was common cause between the parties that such an application was
pending.
[8] The Fund issued
a directive on 12 August 2022 in terms of which it announced its
immediate intention to reject all
claims for past medical expenses
made by claimants for damages arising out of motor vehicle accidents
in instances where these
expenses had been paid by medical schemes.
Prior to the directive, medical schemes would make payment of the
past medical expenses
of their members and beneficiaries arising from
motor vehicle accidents falling within the ambit of the Act, and then
by way of
subrogation claim the amount of the payment from the Fund.
In this way the medical schemes fulfilled their obligations to
beneficiaries
of the schemes but were compensated by the Fund
established by law to pay these medical expenses arising from motor
vehicle accidents.
[9] The applicant
in the
Discovery
case (“Discovery Health”)
successfully challenged the directive in the Gauteng Division of the
High Court in Pretoria.
The application came before Mbongwe J who
declared the directive to be unlawful, reviewed and set it aside, and
interdicted the
Fund from implementing it.
[10] An application
for leave to appeal to the Supreme Court of Appeal was dismissed and
the Supreme Court of Appeal also
refused leave to appeal. The Fund
then applied to the Constitutional Court for leave to appeal.
[11] The pending
[4]
application for leave to appeal to the Constitutional Court meant
that the operation and execution of the interdicts are suspended
in
terms of
Section 18(1)
and (3) of the
Superior Courts Act, 10 of
2013
. The argument advanced on behalf of the applicant that the
directive has been set aside by the Court in Pretoria fails to take
cognisance of the principle that court orders are suspended pending
appeals or applications for leave to appeal, unless otherwise
ordered
by the Court.
[12] In a more
recent judgment handed down on 23 June 2023 and also cited as
Discovery
Health (Pty) Ltd v The Road Accident Fund & Another,
[5]
Discovery Health sought an order in terms of
Section 18(1)
and (3) of
the
Superior Courts Act declaring
that the operation of the
interdicts granted by Mbongwe J not be suspended pending the
application to the Constitutional Court.
The application was
dismissed.
[13] The order
granted in the Pretoria High Court on 26 June 2023 confirms that
the earlier order by Mbongwe J remains
suspended pending the outcome
of the proceedings in the Constitutional Court and for this reason
the order now sought cannot be
granted. The directive referred to
above that is subject to attack still stands pending the outcome of
the application to the Constitutional
Court.
[14] The proper
course therefore is to postpone these proceedings
sine die
until
the Constitutional Court has disposed of the matter. No cost order
will be made in respect of the proceedings in the motion
court in the
week of 24 July 2023.
[15] For the
reasons set out above I make the order in paragraph 1.
J MOORCROFT
ACTING JUDGE OF THE
HIGH COURT OF SOUTH AFRICA
GAUTENG DIVISION
JOHANNESBURG
Electronically
submitted
Delivered: This judgement
was prepared and authored by the Acting 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 of the judgment
is deemed to be
28 JULY 2023
.
COUNSEL
FOR THE APPLICANTS:
R
V MUDAU
INSTRUCTED
BY:
A
WOLMERANS INC
COUNSEL
FOR THE RESPONDENT:
MS
M B MORE
INSTRUCTED
BY:
STATE
ATTORNEY
DATE
OF ARGUMENT:
24
JULY 2023
DATE
OF JUDGMENT:
28
JULY 2023
[1]
Interim payments are dealt with in section 17(6) of the Act and in
Rule 34A(1) of the Uniform Rules of Court.
[2]
The Fund actually concedes in heads of argument filed on its behalf
that “
the
Applicant has made out a proper case and is entitled to the relieve
[sic] prayed for in the notice of motion.”
[3]
Discovery
Health (Pty) Ltd v Road Accident Fund & Another
2023 (2) SA 212
(GP).
[4]
See also the decision of the Western Cape High Court in
Watkins
v Road Accident Fund
[2023]
ZAWCHC 14
that was granted at a point of time when there was no
pending application for leave to appeal.
[5]
Discovery
Health (Pty) Ltd v The Road Accident Fund & Another
[2023] ZAGPPHC 523.
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