Case Law[2022] ZAGPJHC 477South Africa
68 Melville Road Properties (PTY) Ltd v Agile Capital Holdings (PTY) Ltd and Others (27208/2020;27214/2020;27204/2020;27213/2020;27205/2020;27210/2020;27209/2020;27215/2020;3024/2021) [2022] ZAGPJHC 477 (21 July 2022)
High Court of South Africa (Gauteng Division, Johannesburg)
21 July 2022
Headnotes
Summary: Application 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 granted
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## 68 Melville Road Properties (PTY) Ltd v Agile Capital Holdings (PTY) Ltd and Others (27208/2020;27214/2020;27204/2020;27213/2020;27205/2020;27210/2020;27209/2020;27215/2020;3024/2021) [2022] ZAGPJHC 477 (21 July 2022)
68 Melville Road Properties (PTY) Ltd v Agile Capital Holdings (PTY) Ltd and Others (27208/2020;27214/2020;27204/2020;27213/2020;27205/2020;27210/2020;27209/2020;27215/2020;3024/2021) [2022] ZAGPJHC 477 (21 July 2022)
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sino date 21 July 2022
THE REPUBLIC OF SOUTH
AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
JOHANNESBURG
DATE
:
21
st
july 2022
REPORTABLE:
NO
OF
INTEREST TO OTHER JUDGES:
NO
REVISED:
(1)
CASE NO
:
27208/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
AGILE
CAPITAL HOLDINGS (PTY) LIMITED
Respondent
(2)
CASE NO
:
27214/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
ANVIL
PROPERTY SMITH (PTY) LIMITED
Respondent
(3)
CASE NO
:
27204/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
CMS
MANAGEMENT CC
Respondent
(4)
CASE NO
:
27213/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
CORNERSTONE
CASH INVESTMENTS (PTY) LIMITED
Respondent
(5)
CASE NO
:
27205/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
I
CAPITAL RISK SERVICES (PTY) LIMITED
Respondent
(6)
CASE NO
:
27210/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
LEGERITY
(PTY) LIMITED
Respondent
(7)
CASE NO
:
27211/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
LITTLE
SWIFT INVESTMENTS (PTY) LIMITED
Respondent
(8)
CASE NO
:
27209/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
RIPARIAN COMMODITIES
(PTY) LIMITED t/a
BARAK
FLUID MANAGEMENT
Respondent
(9)
CASE NO
:
27215/2020
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
SD
PROPERTIES JHB (PTY) LIMITED
Respondent
(10)
CASE NO
:
3024/2021
In the matter between:
68
MELVILLE ROAD PROPERTIES
(PTY)
LIMITED
Applicant
and
PHK
TRUST
Respondent
Coram:
Adams J
Heard
on
: 21 July 2021 – the ‘virtual
hearing’ of these matters was conducted as a videoconference
on
the
Microsoft Teams
.
Delivered:
21 July 2022 - 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 13:00 on 21 July 2022.
Summary:
Application 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 granted
ORDER
The
following identical orders are made in each of the ten applications
for leave to appeal under the separate case number:
(1)
The respondent’s application for
leave to appeal succeeds.
(2)
The respondent is granted leave to
appeal to the Full Court of this Division.
(3)
The costs of this application for leave
to appeal shall be costs in the appeal.
JUDGMENT [APPLICATION FOR
LEAVE TO APPEAL]
Adams J:
[1].
I shall refer
to the parties as referred to in the original ten opposed
applications – under ten separate case numbers, in
respect of
which I had, on 23 May 2022, handed down one judgment. The applicant
is the respondent in these applications for leave
to appeal and the
applicants for leave to appeal were the respondents in the main
applications. As I indicated in the said judgment,
all of these
opposed applications against the respondents were based on the same
factual matrices underlying the applicant’s
causes of action,
which were almost identical in all of the applications, hence the one
consolidated judgment.
[2].
The
respondents also raised the exact same defences in opposition to the
claims by the applicant against them. Judgment was granted
in favour
of the applicant against all of the respondents, who were ordered to
pay to the applicant the amounts claimed by the
applicant, 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
23
rd
of May 2022, in terms of which I had granted judgment in favour of
the applicant against the respondents.
[3].
It is again
convenient to deal with all of these applications for leave to appeal
in one judgment.
[4].
The applications for leave to
appeal are mainly against my legal conclusion arising from my
interpretation of the contractual relationships
between the applicant
and the respondents, as well as my application of the facts to such
an interpretation.
This
conclusion, so the respondents contend, was incorrect in that I
should not have concluded that the ‘Total Base Development
Cost’ had been finally and correctly calculated as envisaged in
the written agreements of purchase and sale, which had been
concluded
by the parties. The stage at which such a calculation could and
should have been done had not as yet arrived, so it was
submitted on
behalf of the respondents. There are other grounds on which the
respondents base their applications for leave to appeal,
such as the
fact that, according to them, the court
a
quo
erred
in its legal interpretation of the definition in the agreement of
‘the Quantity Surveyor’, as well as in its
acceptance of
the hearsay evidence relating to the ‘Total Base Development
Cost’.
[5].
Nothing new has been raised by the respondents in this
application 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 starting point of the
inquiry is the wording of the agreement, in
terms of which
the
‘Total Base Development Cost’ is defined as ‘the
total base development cost of the Scheme, as determined
by the
quantity surveyor, which shall include the cost headings referred to
in Annexure “E” hereto.’ This, in
my view, means
that the total base development costs are those costs determined by
the Quantity Surveyor.
[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 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 agreements between the parties and the
application of the facts
to that interpretation. Another court is
likely to find, as contended by the respondents, that the stage
envisaged by the agreement
at which the total development cost was to
be calculated accurately and finally had not yet arrive. The appeals
therefore, in my
view, have reasonable prospects of success.
[9].
Leave to appeal should therefore
be granted.
Order
[10].
In the circumstances, the
following identical orders are made in each of the ten applications
for leave to appeal under the separate
case number:
(1)
The respondent’s application for
leave to appeal succeeds.
(2)
The respondent is granted leave to
appeal to the Full Court of this Division.
(3)
The costs of this application for leave
to appeal shall be costs in the appeal.
L R ADAMS
Judge of the High
Court
Gauteng
Local Division, Johannesburg
HEARD
ON:
21
st
July 2022 – in a ‘virtual hearing’ as a
videoconference on
Microsoft Teams.
JUDGMENT
DATE:
21
st
July 2022 – judgment handed down electronically
FOR THE
APPLICANT:
Advocate Jonathan Brewer
INSTRUCTED
BY:
Vining & Camerer Incorporated, Sandton
FOR
THE RESPONDENTS:
Adv Anthonie Troskie SC
INSTRUCTED
BY:
Claassen Incorporated,
Birdhaven,Johannesburg
[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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