Case Law[2023] ZAGPJHC 1372South Africa
Mamba Strike Force CC v Sheriff Germiston North N.O. and Others (2019/14264) [2023] ZAGPJHC 1372 (24 November 2023)
High Court of South Africa (Gauteng Division, Johannesburg)
24 November 2023
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Mamba Strike Force CC v Sheriff Germiston North N.O. and Others (2019/14264) [2023] ZAGPJHC 1372 (24 November 2023)
Mamba Strike Force CC v Sheriff Germiston North N.O. and Others (2019/14264) [2023] ZAGPJHC 1372 (24 November 2023)
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sino date 24 November 2023
REPUBLIC OF SOUTH
AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG LOCAL
DIVISION, JOHANNESBURG
CASE
NO:
2019/14264
NOT REPORTABLE
NOT OF INTEREST TO OTHER
JUDGES
REVISED
In
the matter between:
MAMBA
STRIKE FORCE CC
Applicant
And
SHERIFF
GERMISTON NORTH N.O.
First
Respondent
ALFRED
MATHYE
Second
Respondent
THE
PRIVATE SECURITY SECTOR PROVIDENT FUND
Third
Respondent
JUDGMENT
STAIS AJ:
This judgment is
handed down electronically by circulating it to the parties’
representatives by email and by uploading on
CaseLines.
[1]
This is an application for rescission of
judgment.
[2]
It has its genesis in a complaint lodged on
28 September 2018 with the third respondent (“Fund”) by
the second respondent
(“Mathye”), a former employee of
the applicant (“Mamba Strike Force”). The complaint
pertained to Mathye’s
contributions to and benefits due to him
from the Fund, which culminated in an investigation and reasoned
determination by the
Pension Funds Adjudicator (“Adjudicator”)
on 28 March 2019.
Relief Sought
[3]
Mamba Strike Force and those advising it,
appear not to have been able to discern the judgement that was to be
the subject of this
application. They clearly failed to have regard
to the relevant provisions of the Pension Funds Act, 1956 (“Act”),
despite having been referred thereto on several occasions.
[4]
Neither the notice of motion nor founding
affidavit identifies the judgement sought to be rescinded, nor the
legal basis for the
recission. The notice of motion refers simply to
“
the judgment granted
”
in this court, whilst the founding affidavit refers to “
a
judgment
” that
“
was
made or taken in the absence of the Plaintiff by way of an
administrative procedure that the Applicant was unaware of through
the submission of a certificate of the Pension Fund Adjudicator to
the Register of the High Court”
(sic).
[5]
Moreover, the heads of argument filed on
behalf of the applicant does not identify the judgment sought to be
rescinded but informs
that the rescission was brought in terms of
Rule 31 alternatively Rule 42 further alternatively in terms of the
common law, because
the applicant was not aware
“
how
exactly the Second Respondent obtained a judgment against the
Applicant
.”
[6] It is necessary
therefore to refer to the history of the matter and to the relevant
provisions of the Act, which are to
be found in Chapter VA thereof –
‘Determination and Adjudication of Complaints’. It is
necessary to do so also
for the purposes of the cost order I intend
to make.
The Act
[7]
The Act
empowers the Adjudicator to
investigate
any complaint and make the order which any court of law may make,
[1]
whereafter a statement containing the determination and the reasons
therefor shall be sent to all parties and to the clerk or registrar
of the court which would have had jurisdiction had the matter been
heard by a court.
[2]
[8]
The
Adjudicator’s determination shall be deemed to be a civil
judgment of that court, shall be so noted by the clerk/registrar,
and
a writ or warrant of execution may be issued by the clerk/registrar
of the court and executed by the sheriff after expiration
of a period
of six weeks after the date of the determination, on condition that
no application for relief was lodged with the High
Court.
[3]
[9]
A
party aggrieved by the Adjudicator’s determination is entitled
to seek relief from the court within six weeks after the
date of the
determination, and the court is entitled to consider the merits of
the complaint and may make any order it deems fit.
[4]
Applicant’s
Conduct
[10]
The
Adjudicator twice unsuccessfully invited Mamba Strike Force to submit
its response to the complaint, reviewed the written submissions
(including a response to the complaint filed by the Fund) and arrived
at a reasoned determination and order on 28 March 2019 (“Order”).
[11] The Order was
forwarded to the Registrar of this court and
bears
the Registrar’s official stamp dated 17 April 2019; the
allocated case number that has been used by the parties in all
subsequent filings; and informs in the express words used by the
Legislature in the relevant sections of the Act, that the
determination
“
shall
be deemed to be a civil judgment of any court of law had the matter
been heard by such court
” and
further that “
a writ or warrant
may be issued by the clerk or the registrar of the court in question
and executed by the sheriff of such court
after expiration of a
period of six weeks after the date of the determination; on condition
that no application contemplated in
section 30(P) has been lodged
(sic).
”
[12]
Despite being warned of the
consequences that follow upon the Adjudicator’s determination,
Mamba Strike Force
failed to seek relief
from the court. It
also failed to act on
advice of the Adjudicator’s office that it had the right to
apply to the Financial Services Tribunal
(“Tribunal”)
within 60 days after being notified of the determination (or such
longer period as may be allowed by the
Tribunal) for a
reconsideration of the determination in terms of section 230 of the
Financial Sector Regulation Act, 2017.
[13]
The Order
i
nter alia
compelled
Mamba
Strike Force
to participate in a defined
process to facilitate the computation of Mathye’s outstanding
contributions within four weeks,
failing which the Fund was to
reconstruct the contribution schedules based on information in its
possession.
[14]
Mamba
Strike Force
failed to adhere to the terms
of the Order despite receiving a request for information from the
Fund on 23 August 2019. The Fund
then proceeded to perform an arrear
contribution reconstruction as the Order obliged it to do, in the sum
of R94,970.43.
[15]
On
6 August 2020 Mathye demanded payment of the contribution amount
within two weeks and informed
Mamba
Strike Force
that the Order had been filed
at this court and given a case number, and that failure to pay would
result in Mathye approaching
this court for the relief. At its
request,
Mamba Strike Force
was
granted extensions to consider the matter and revert, but it failed
to do so. A further demand for payment (including late payment
interest) made on 26 February 2021 drew no response from
Mamba
Strike Force
. In both instances, the Order
was attached to the demand.
[16]
Mathye duly proceeded in terms of the Act
and had the Registrar of this court issue a writ of execution against
the
Mamba Strike Force
.
Significantly, the writ refers to the realisation of the sum of R125,
857.96 “
in respect of the
calculated contribution reconstruction and late payment interest as
per the order filed in
[this court]
on
the 17
th
April 2019.
”
[17]
It appears that execution by the third
respondent failed to realise the full claim and during May 2022,
Mathye initiated steps to
recover the balance of the debt in terms of
section 65A in the Magistrates Court Act, 1944. On 30 June 2021
Mamba
Strike Force
launched an application to
reclaim possession of the goods removed by the sheriff and to stay
the writ pending final determination
by the Tribunal for
reconsideration of the Adjudicator’s “
decision
”
(“Stay Application”); and relied on the then-pending Stay
Application to delay the section 65A proceedings.
[18]
The status of the Stay Application is
unknown, but this is irrelevant because (a) it is common cause that
Mamba Strike Force
has
not challenged the Order and (b)
Mamba
Strike Force
and Mathye settled the section
65A proceedings in terms of a consent order whereby
Mamba
Strike Force
agreed to pay Mathye
R90,237.96 by 10 August 2022.
[19]
Mamba Strike Force
failed
to comply with the consent order too. The claim by
Mamba
Strike Force,
that its representative at
the Section 65A proceedings was not authorised to settle the matter
because she did not have the approval
of its sole shareholder, was
raised for the first time in its replying affidavit and is, on the
facts, legally indefensible.
[20]
In
the result,
Mamba Strike Force
failed to participate in the hearing by the
Adjudicator despite two demands to do so; ignored the Adjudicator’s
determination
and Order; failed to challenge the Order; failed to
comply with the Order; failed to pay Mathye pursuant to receiving two
demands
to do so; and failed to honour the Magistrate Court’s
consent order.
The Recission
[21]
Mamba
Strike Force
filed this rescission application on 16 September
2022. In doing so, it did not heed the wise words of Miguel de
Cervantes –
“
forewarned, forearmed; to be prepared is
half the victory.
”
[22] I referred above to
Mamba Strike Force
’s inability to
identify the judgment that I am asked to rescind. In the replying
affidavit, it makes the surprising allegation
that it did not
approach the Tribunal because it “
would
have
been pointless in the light of the issue of
a
judgment in the High Court
in
this matter under this case number [and the] …
Tribunal
has no jurisdiction over the High Court
.
”
The emphasis is mine, because it is apparent that
even at such a late stage of the proceedings initiated by
Mamba
Strike Force, it
remained unaware of the
relevance and consequences of the Adjudicator’s determination.
[23]
Miss
Dreyer, who appeared for
Mamba
Strike Force
(but
who was not the author of its papers or heads of argument filed on
its behalf) properly accepted that the only judgement that
can
conceivably be relevant to this application is the Order that was
received from the Adjudicator by the Registrar and filed
in this
court on 17 April 2019 in terms of the Act.
[5]
[24] Rule 31 is clearly
not applicable to the facts of this matter, and Ms Dreyer did not
press for rescission in terms of the common
law. As the Order was not
erroneously sought or granted in the absence of
Mamba
Strike Force
, there is no room to apply Rule 42. That then
should have been the end of the matter and Mamba Strike Force should
have been so
advised at the outset.
[25] That then leaves the
matter of costs.
Costs
[26]
Mamba
Strike Force
seeks principally (in both the notice of motion
and its heads of argument) that Mathye’s attorney be ordered to
pay the costs
of the application
de bonis propriis
. There is
simply no basis for such an order. As an aside, I did consider that
it would not have been inappropriate in the circumstances
to deprive
Mamba Strike Force
’s attorneys of
their fees herein. However, that should ultimately be a matter
between the client and its attorneys of record.
[27] Mathye seeks a
punitive cost order against
Mamba Strike Force
.
This is clearly warranted and the order I intend to make shall
provide for this.
[28]
Mamba
Strike Force
failed
to participate in the adjudication proceedings and ignored the Order.
Although it raises objection in the present application
to the merits
of the Order, it
failed
to exhaust its internal remedies
[6]
and
the
objection now serves merely to motivate ‘good cause’ for
condonation of the belated filing of a rescission application
that
was stillborn. It ignored letters of demand and delayed the section
65A proceedings by launching an application that it failed
to
progress and proffers a disingenuous explanation for what is
prima
facie
contemptuous conduct in refusing to honour its obligations in terms
of the section 65A consent order.
[29] The evidence reveals
that
Mamba Strike Force
exhibited a
remarkedly supine attitude to its obligations and only requested an
update from its former attorney towards the fourth
quarter of 2021 –
eighteen months after the date of the Order. Despite his alleged
tardiness, the former attorney’s
mandate was terminated only
mid the following year. The applicant’s conduct since then has
been no better, as is evident
from the facts traversed above.
[30] It has, through its
conduct, unreasonably delayed making payment to Mathye and has kept
him out of pocket for four-and-half
years.
[31] Adv Davids, who
appeared for Mathye, referred me to several passages in the answering
affidavit that motivate expressly for
a punitive cost order. Despite
being afforded the opportunity to provide an exculpatory response,
Mamba Strike Force
could do no more than
reply with bare denials.
[32] In the premises, I
make the following order:
1. The application
is dismissed.
2. The applicant is
ordered to pay the costs of the application on the scale as between
attorney and client.
P STAIS
Acting Judge of the High
Court
Johannesburg
This judgment was
handed down electronically by circulation to the parties’ legal
representatives by email and by being uploaded
to CaseLines. The date
and time for hand down is deemed to be 24 November 2023.
APPEARANCES
:
Applicant: Adv
Dreyer
Attorney of record: MJ
Hood & Associates
Second respondent: Adv
Davids
Attorney
of record:
LG Gouveia Attorneys
Date of hearing: 6
November 2023
Date of judgment: 24
November 2023
[1]
Section 30E(1)(a)
of the Act.
[2]
Section
30M
of the Act.
[3]
Section
30O of the Act.
[4]
Section
30P of the Act.
[5]
I use the words ‘judgment’ and ‘order’
interchangeably – see
Neotel
(Pty) Ltd v Telkom SA SOC Ltd & Others
[2017] ZASCA 47
at paras 12-13
[6]
Eskom
Holdings SOC Ltd v Vaal River Development Association (Pty) Ltd &
Others
2023 (4) SA 325
(CC) at [215]-[218]
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