Case Law[2022] ZAGPJHC 540South Africa
Galloptic Trade Investment (15) PTY Ltd v Groenewald And Others (9333/2020) [2022] ZAGPJHC 540 (20 April 2022)
High Court of South Africa (Gauteng Division, Johannesburg)
20 April 2022
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Galloptic Trade Investment (15) PTY Ltd v Groenewald And Others (9333/2020) [2022] ZAGPJHC 540 (20 April 2022)
Galloptic Trade Investment (15) PTY Ltd v Groenewald And Others (9333/2020) [2022] ZAGPJHC 540 (20 April 2022)
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sino date 20 April 2022
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IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
CASE
NO
: 9333/2020
DATE
:
2020.04.20
REPORTABLE: NO
OF
INTEREST TO OTHER JUDGES: NO.
REVISED
In
the matter between
GALLOPTIC
TRADE & INVESTMENT (15) PTY LTD
Applicant
And
GROENEWALD
& OTHERS
Respondent
J
U D G M E N T
WEPENER
J
:
This
matter concerns the cancellation of a written agreement of sale. Due
to the development of the argument before me, I need not
concern
myself with the prior conduct of the parties in previous litigation,
as the respondent conceded that the first time that
the applicant
made an election whether to abide or abide by or cancel the agreement
was during these proceedings when it elected
to abide by the
contract. The issue arises due to a clause in the offer to purchase
which reads as follows:
“
The purchase
price is R1.25 million, payable as follows:
[1] R nil;
[2] The 1.25 million shall be paid to
the seller upon registration of transfer of the property into the
name of the purchaser and
shall be secured by means of bankers or
other guarantee, within 90 days after confirmation of registration by
the sellers attorneys.”
It is common cause between the parties
that the last phrase refers to the fact that the applicant was in the
process of purchasing
the property and that the 90 day period was
provided for from the time that the applicant acquired the property -
It then had to
confirm the registration into its name so that the
respondents can deliver the guarantees. The respondent’s case
is that
the applicant never complied with the confirmation portion in
that the seller's attorneys did not give a “notice of
registration”.
I quote the word “notice of registration”,
as per the wording of the contract paragraph. The applicant avers
that proof
of such notice by a particular attorney is of no
consequence. It says, and this is undisputed, that the respondent’s
attorney
recorded, in a letter date of 29 November 2018, the fact
that it had knowledge. In the letter, the respondent’s attorney
records that it was aware that the property was registered in the
name of the applicant. The respondent complains that this does
not
overcome the notice required in the offer to purchase. I am of the
view that the respondent’s attitude is one of extreme
technicality. The purpose of the clause was to enable the respondent
to have actual knowledge of the transfer into the applicant’s
name so that he can prepare the bank guarantees within the 90-day
period. On their own admission, the respondents were so aware
but did
not obtain the guarantees. The respondents, therefore, had actual
knowledge of the registration of transfer into the name
of the
applicant and failed to provide the bank guarantees within the 90 day
period. The respondent admitted to have had this
knowledge. I am of
the view that the doctrine of substance over form allows the true
state of affairs to be recognised, i.e., that
the respondents had
actual knowledge of the transfer of the property when they recorded
it in a letter by their attorney sent to
the applicant's attorney.
Thereafter, as it was entitled to do, the applicant gave the
respondent notice, as required in the contract,
and, due to the
respondent’s failure to perform, duly cancelled the agreement.
In my view, the agreement was properly cancelled.
No other issue in
this matter was debated before me. I issue the following order:
[1] The first and second, third
respondents and any persons occupying the property described as
portion [....] of the Farm W [....],
number 517, through them, are
evicted from the property.
[2] The first, second and third
respondents, and any other persons occupying the property through
them, or to vacate the property
on or before 31 May 2022.
[3] In the event of the first, second,
third respondents or any other person occupying the property through,
fail to vacate the
property or before 31 May 2022, then the
sheriff of this court is authorised and directed to take all
necessary steps
in order to carry out the eviction as from 1 June
2022.
Finally, the first and second
respondents are to pay the costs of this application jointly and
severally, the one paying, the other
to be absolved.
WEPENER
J
JUDGE
OF THE HIGH COURT
DATE
:
2022.04.20
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