Case Law[2022] ZAGPJHC 551South Africa
Jai Hind EMCC CC T/A Emmerentia Convenience Centre v Engen Petroleum Limited South Africa: In re: Engen Petroleum Limited South Africa v Jai Hind EMCC CC T/A Emmerentia Convenience Centre (A5030/2022; 11752/2020) [2022] ZAGPJHC 551; 2023 (2) SA 252 (GJ) (4 August 2022)
High Court of South Africa (Gauteng Division, Johannesburg)
4 August 2022
Headnotes
or dismissed. Self-evidently, assuming Jai Hind really did vacate the premises on 30 July, the only live controversy is about paying the arrear sums for holding over. However, despite the obvious mootness of the eviction order, as at the date of the appeal, the decision on
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Jai Hind EMCC CC T/A Emmerentia Convenience Centre v Engen Petroleum Limited South Africa: In re: Engen Petroleum Limited South Africa v Jai Hind EMCC CC T/A Emmerentia Convenience Centre (A5030/2022; 11752/2020) [2022] ZAGPJHC 551; 2023 (2) SA 252 (GJ) (4 August 2022)
Jai Hind EMCC CC T/A Emmerentia Convenience Centre v Engen Petroleum Limited South Africa: In re: Engen Petroleum Limited South Africa v Jai Hind EMCC CC T/A Emmerentia Convenience Centre (A5030/2022; 11752/2020) [2022] ZAGPJHC 551; 2023 (2) SA 252 (GJ) (4 August 2022)
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sino date 4 August 2022
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
(GAUTENG
DIVISION, JOHANNESBURG)
APPEAL
CASE NO: A5030/2022
CASE
NUMBER: 11752/2020
DATE
OF APPEAL: 27 July 2022
REPORTABLE:
YES
OF
INTEREST TO OTHER JUDGES: YES
2022/8/4
In the matters between:
JAI HIND EMCC CC T/A
EMMERENTIA
Applicant
CONVENIENCE
CENTRE
and
ENGEN
PETROLEUM LIMITED SOUTH AFRICA
Respondent
In
re
:
ENGEN PETROLEUM
LIMITED SOUTH AFRICA
Applicant
and
JAI HIND EMCC CC T/A
EMMERENTIA CONVENIENCE
Respondent
CENTRE
This
judgment has been delivered by being uploaded to the caselines
profile on 4 August 2022 at 10h00 and communicated to the parties
by
email.
JUDGMENT
Sutherland
DJP (with whom Adams J and Thompson AJ concur):
Introduction
[1]
This case is about an appeal against an order in terms of section
18(3) of the Superior
Courts Act 10 of 2013 (SC act) to put into
operation an order of court pending a potential appeal.
[1]
The following issues arise:
a.
Whether or not a proper case has been made out to order the putting
into operation
of the initial order.
b.
Whether the
appeal is moot, and if so, what are the implications.
[2]
c.
What is the
appropriate procedure to give effect to the injunction in section
18(4) (iii) that an appeal in terms of section 18(4)
be heard ‘as
a matter of extreme urgency’, more especially in relation to
the applicability of Rule 49 (6) –
(10) in relation to section
18(4) appeals?
[3]
Relevant
facts and background
[2]
The appellant, Jai Hind CC has been, since 2008, a lessee of the
respondent, Engen.
On 25 May 2019 they concluded a settlement
agreement of a dispute between them that had been referred to
arbitration. The settlement
was subsequently made an order of court
on 16 October 2019. The settlement and order addressed various
reciprocal obligations premised
on Jai Hind vacating the premises by
31 March 2020. It reads thus:
1.
Jai Hind CC (trading as Emmerentia Convenience Centre, previously,
The Business Zone 1010 CC) (Jai Hind), having failed to conclude
a
sale agreement with a purchaser on or before 31 December 2019, in
terms of the Court Order dated 16 October 2019 under case number
2019/31374 (incorporating a Settlement Agreement dated 23 May 2019)
(the Court Order), is declared to be in unlawful occupation
of the
business premises situated at …...
2.
As a result of Orca Investments (Pty) Ltd, having failed to lodge an
application for a retail license with the Department of
Energy on or
before 31 December 2019, in terms of the Court Order, Jai Hind is
declared to be in unlawful occupation of the premises.
3.
Jai Hind is declared to be in breach of the Court Order and is
directed to vacate the premises within 10 business days of this
court's order.
4.Jai
Hind is ordered in terms of clause 12 of the Court Order to pay a
holding over penalty of an amount of R250,000.00 in respect
of the
month ending April 2020 and R250,000.00 (or part thereof) for each
month thereafter (or part thereof) that it remains in
unlawful
occupation of the premises contrary to the Court Order.
5.Jai
Hind is directed to pay the costs of the application, including the
costs of two counsel, one being Senior Counsel.
[3]
Insofar relevant in this appeal, the settlement and order provided
that if Jai Hind
did not vacate the premises on 31 March 2020, it
would be liable to pay a holding over sum of R250,000 per month in
addition to
the rent and royalty payments provided for in the lease
agreement. It is common cause that the terms of the agreement and
order
were not met, and Jai Hind remained in occupation after 31
March 2020.
[4]
Engen thereupon brought an application against Jai Hind alleging a
contempt of the
court order and seeking an eviction and payment of
the arrears holding over payments. On 14 October 2021, an order was
granted
by Keightley J directing Jai Hind to vacate and pay the
holding over sums, calculated retrospectively from 1 April 2022, by
then
19 months in arrear, and amounting to R 4,750,000. The order
declared Jai Hind to be in breach of the order incorporating the
settlement
agreement but did not declare that Jai Hind was in
contempt of that order.
[5]
Jai Hind thereupon filed an application for leave to appeal. It was
dismissed. Simultaneously
with the application by Jai Hind for leave
to appeal, Engen obtained an order, granted on 5 May 2022, putting
the order of 18 October
2021 into operation. Jai Hind then, filed a
notice of appeal against the section 18(3) order on 11 May 2022, and
also applied to
the SCA for leave to appeal. On 30 June 2022 the
application to the SCA for leave to appeal was refused and on 20 July
2022, Jai
Hind made an application in terms of Section 17(2)f) of SC
act to the President of the SCA for a reconsideration. The answer to
that request was outstanding at the time the appeal was heard on 27
July 2022.
[6]
On the day of appeal hearing, the representatives of the parties
announced that they
had reached an agreement that Jai Hind would
vacate the premises on Saturday 30 July 2022, three days hence. The
lease between
the parties was, in any event, due to terminate, by
effluxion of time, on Sunday 31 July 2022. They further agreed that
an order
to that effect should be made by consent. Such order was
made. The view was taken that in consequence of that agreement that
compliance
with the eviction leg of the order had become moot. The
arguments advanced in the appeal were therefore confined to whether
or
not the order directing payment for the holding over, put into
operation in terms of section 18(3) order, should be upheld or
dismissed.
Self-evidently, assuming Jai Hind really did vacate the
premises on 30 July, the only live controversy is about paying the
arrear
sums for holding over. However, despite the obvious mootness
of the eviction order, as at the date of the appeal, the decision on
the merits of the section 18(4) appeal still had to address the case
that had been presented to Keightley J in May 2022 when the
prospect
of an indefinite occupation by Jai Hind until the appeal process had
been exhausted, was the status quo. The order granted
then was both
ad factum praestandum
and a money judgment. The assumption
that the eviction order aspect can be unravelled from the holding
over aspect is neither obvious
or simple; the two aspects are
intertwined facets of the order against which the appeal lies. In our
view the whole of the order
is moot, an aspect addressed hereafter.
The
law about Section 18 of the SC act
[7]
The requirements for an order in terms of Section 18 (3) disturbing
the ordinary course
of the appeal process is now well established.
The position is comprehensively captured by Ponnan JA in
Ntlemeza
v Helen Suzman Foundation
thus
:
[4]
[28]
The primary purpose of s 18(1) is to reiterate the
common-law position in relation to the ordinary effect of appeal
processes
— the suspension of the order being appealed, not to
nullify it. It was designed to protect the rights of litigants who
find
themselves in the position of General Ntlemeza, by ensuring
that, in the ordinary course, the orders granted against them are
suspended
while they are in the process of attempting, by way of the
appeal process, to have them overturned. The suspension contemplated
in s 18(1) would thus continue to operate in the event of a further
application for leave to appeal to this court and, in the event
of
that being successful, in relation to the outcome of a decision by
this court in respect of the principal order. Section 18(1)
also sets
the basis for when the power to depart from the default position
comes into play, namely, exceptional circumstances which
must be read
in conjunction with the further requirements set by s 18(3). As
already stated and as will become clear later, the
legislature has
set the bar fairly high.
[35]
Section 18(1) entitles a court to order otherwise 'under exceptional
circumstances'. Section 18(3) provides a further controlling
measure,
namely, a party seeking an order in terms of s 18(1) is required 'in
addition', to prove on a balance of probabilities
that he or she will
suffer irreparable harm if the court does not so order
and
that
the other party will not suffer irreparable harm if the court so
orders.
[36]
In
Incubeta
Holdings (Pty) Ltd and Another v Ellis and Another
2014
(3) SA 189
(GJ)
para
16, the court said the following about s 18:
'It
seems to me that there is indeed a new dimension introduced to the
test by the provisions of s 18. The test is twofold. The
requirements
are:
•
First,
whether or not exceptional circumstances exist; and
•
Second,
proof on a balance of probabilities by the applicant of —
-the
presence of irreparable harm to the applicant/victor, who wants
to put into operation and execute the order; and
-the
absence of irreparable harm to the respondent/loser, who seeks leave
to appeal.'
[37]
As to what would constitute exceptional circumstances, the court,
in
Incubeta
,
looked for guidance to an earlier decision (on admiralty law),
namely
MV
Ais Mamas: Seatrans Maritime v Owners, MV Ais Mamas, and Another
2002
(6) SA 150 (C)
,
where it was recognised that it was not possible to attempt to lay
down precise rules as to what circumstances are to be regarded
as
exceptional and that each case has to be decided on its own facts.
However, at 156H – 157C, the court said the following:
'What
does emerge from an examination of the authorities, however, seems to
me to be the following:
1.
What is ordinarily contemplated by the words exceptional
circumstances is something out of the ordinary and of an unusual
nature; something which is excepted in the sense that the general
rule does not apply to it; something uncommon, rare or
different; besonder,
seldsaam, uitsonderlik, or in hoë mate
ongewoon.
2.
To be exceptional the circumstances concerned must arise out
of, or be incidental to, the particular case.
3.
Whether or not exceptional circumstances exist is not a
decision which depends upon the exercise of a judicial discretion:
their existence or otherwise is a matter of fact which the Court
must decide accordingly.
4.
Depending on the context in which it is used, the word
exceptional has two shades of meaning: the primary meaning is unusual
or different; the secondary meaning is markedly unusual or specially
different.
5.
Where, in a statute, it is directed that a fixed rule shall be
departed from only under exceptional circumstances, effect
will,
generally speaking, best be given to the intention of the Legislature
by applying a strict rather than a liberal meaning
to the phrase, and
by carefully examining any circumstances relied on as allegedly being
exceptional.'
[8]
Accordingly, the exercise is to locate exceptionality and thereafter
determine whether,
as a fact, irreparable harm shall be suffered by
Engen and thereafter determine, as a fact, whether irreparable harm
shall be suffered
by Jai Hind if the order is implemented at once. It
was incumbent on Engen to prove exceptionality and thar it would
suffer irreparable
harm if the order was not implemented at once. If
it proved that it had still to prove that Jai Hind succeeded in the
appeal, sometime
in the future, it would suffer no irreparable harm
if it complied with the order implemented at once.
What
is the predicament experienced by Engen that evidences ‘exceptional
circumstances’ and ‘irreparable harm’?
[9]
As reflected in the order granted in October 2021, Engen’s
essential case is
that it has a clear right to possession of the
property from 1 April 2020 and if Jai Hind does not vacate then it
has an entitlement
to a monthly holding over payment made
contemporaneously with the improper occupation by Jai Hind. Keightley
J endorsed that perspective
in the section 18(3) judgment, thus:
“
[26] I cannot
ignore Engen’s predicament that unless granted relief under s
18(3) it faces the prospect of an unwanted tenant,
with no right of
occupation, possibly beyond the termination date of the pre-existing
lease agreement. The court orders obtained
by [Engen] directing Jai
Hind would be rendered vacuous in these circumstances.”
[10]
There is a further leg to Engen’s plight, which critically
informs the bargain the parties
struck in the settlement agreement.
If Engen does not get possession on due date and also does not get
paid the holding over sums
and must wait indefinitely for relief,
will it be able to get the arrear holding over payments at an
uncertain later date? Engen’s
deponent states that a search for
ancillary assets possessed by Jai Hind turned up nothing. What Jai
Hind says about its own predicament
re-enforces Engen’s
predicament. Jai Hind’s principal rationale for resisting the
section 18 order to pay the holding
over sums, as it agreed to do in
the settlement agreement, is that were it to do so, the effect on its
cash-flow would cause it
to cease trading, which it describes as its
‘irreparable harm’. Because of the peculiarities of the
regulatory regime
for the retail sale of fuel, the opportunity to
trade is site-specific and Jai Hind cannot simply move its business
to other premises
and carry on. The revelation by Jai Hind that it
cannot meet the holding over obligation that it took upon itself
suggests, if
true, that it acted mala fide when submitting to that
obligation to settle the arbitration. In Jai Hind’s papers this
impecuniosity
is ventilated by bald allegations without any
corroborating substantiation. Notwithstanding that deficiency in
disclosure, it cannot
be concluded that the allegation is implausible
because the common cause facts are that the business of Jai Hind is
solely the
sale of fuel and its sole revenue stream.
[11]
Unquestionably, the prospects of Engen getting paid the arrear
holding over sums after the exhaustion
of the appeal process,
totalling 28 months (April 2020 to July 2022) in the sum of R7
million are probably zero. The real question,
however, is whether
this vulnerability is relevant as a factor within the contemplation
of the species of exceptionality catered
for by section18 (3),
warranting immediate compliance by Jai Hind.
[12]
Why is this dire scenario sketched here not an ordinary risk that any
creditor runs, in business
itself, or in commercial litigation? In
every case where a creditor has a money judgment, and even with a
cohort of angels in train,
the insolvency of the debtor will defeat
the attempt to obtain satisfaction of the order. That is why
businesses procure various
forms of real or personal securities. The
harm of not being paid in accordance with the agreement, ie whilst
Jai Hind was trading
and earning, is indeed ‘irreparable’
if Hai Hund will not be able to pay later. It is probably because
precisely that
outcome was foreseeable, that the holding over
obligation was put into the settlement agreement. Yet, if this
irreparable harm
is not ‘exceptional’ in the course of
litigation, no section 18 relief is available. This is a critical
dimension of
the factual matrix.
[13]
The question posed brings sharply into focus the anterior question of
exactly what is it that
one is in search of in order to conclude that
a given fact-specific set of circumstances clears the threshold of
exceptionality.
It must be recognised that ‘exceptionality’
is a value judgment. The examples in the caselaw illustrate a range
of
such judgment calls.
[14]
Both
Incubeta
Holdings (Pty) Ltd v Ellis & Another
[5]
and
Shoprite
Checkers (Pty) Ltd v Jansen & Another
[6]
were
about restraints of trade agreements. The self-evident exceptionality
was that the only time that the order could be given
effect to was
immediately and, thus, to wait for an appeal outcome made a mockery
of the legal process. These examples illustrate
the primacy of the
finite
period within which the order can be effective,
as
triggering the exceptionality.
University
of the Free State v Afriforum & Another
[7]
was
about the implementation of a language policy. The University’s
policy had been interdicted from implementation. It then
sought a
section 18(3) order to proceed to implement it pending an appeal,
based on the logistics of admitting novice students
and the
disruption that would occur if not implemented during the period that
the appeal process would take. This application was
dismissed but
succeeded on appeal in the SCA. In
Ntlemeza
v Helen Suzman Foundation
the section 18 order was sought to prevent a police general from
continuing in office from which he had been suspended on grounds
of
gross misconduct, pending an appeal.
[8]
The section 18(3) order was premised on a need to safeguard the
reputation of the Hawks unit and an immediate and ongoing need
to
safeguard public confidence in the police while the appeal process
was in progress. The section 18(4) appeal was dismissed.
[15]
None of these cases involved the payment of money. Are ‘money
orders’ outside the
ring-fence of exceptionality? The answer is
no. First, the fact-specific attribute of the test means there are no
general guidelines
or principles. An example of a pure money order
satisfying the test could be an order requiring a parent to pay
maintenance for
a child where not to do so would result in
destitution or starvation. Public interest factors could impinge on
otherwise private
circumstances too; eg compelling payment to release
medicines needed to save lives. Second, in any event, the order by
Keightley
J in favour of Engen was not a pure money order and the
money aspect cannot be divorced from the order ad factum praestandum
to
vacate the premises.
[16]
These peculiarities of Engen’s case qualify it for
exceptionality and take out of the broad
range of ordinary perils of
litigation:
a.
The initial settlement agreement was made to settle a dispute.
b.
The settlement included express provisions to secure Engen’s
interests
if Jai Hind defaulted by not vacating the premises on 31
March 2020.
c.
The provision for a holding over payment anticipated the risk of a
loss of a
remedy if not paid contemporaneously with the holding over.
d.
No other security was held to cover the holding over payments if Jai
Hind did
not vacate on due date.
e.
On the probabilities, as evidenced from the evidence adduced, payment
for holding
over cannot be recovered ex post facto.
f.
The consequences were that without immediate compliance by Jai Hind,
the
relief is valueless.
g.
The fact that Jai Hind was in breach of a court order, in terms
agreed to by
it, exacerbates the default.
[17]
Plainly, the irreparable harm caused to Engen is self-evident from
the attributes that make the
case exceptional.
Is
the predicament of Jai Hind one of irreparable harm?
[18]
Jai Hind’s case for irreparable harm in thinly described in the
answering affidavit. Largely
it traverses its viewpoint about the
initial disputes and its grievances about Engen’s conduct. Its
principal ground of resistance
is that if it vacates, it will lose
the chance to trade and will lose a chance to sell the business,
baldly alleged to be worth
R17 million. For good measure it throws in
the allegation that the holding over payments are unconscionable
penalties, a premise
not raised in the main case. What is visibly
omitted is any treatment of the embarrassing fact that it agreed to
these very terms
to settle earlier litigation and an account of why,
were it to comply, it cannot recover from Engen, the sums paid for
holding
over, if it wins the appeal, in the fullness of time. Thus
the essential premise of the case advanced by Jai Hind is that the
business
would become extinct if it complied with the order before
the appeal process was exhausted.
[19]
The business of Jai Hind as a service station was time bound, as
best, to the duration of the
lease until 31 July 2022. Had Jai Hind
paid the holding over sums to Engen until the end if the lease there
is no doubt that it
could have recovered the sums, if entitled to,
when the appeal process had been exhausted. It is not a proven fact
that Jai Hind,
the entity, as distinct from Jai Hind’s service
station business, is or will become extinct.
[20]
Were the extinction of the business, indeed to be a consequence of
compliance with the order
before the appeal process is complete, and
that outcome could be properly described by the phrase ‘irreparable
harm’
is that a species of irreparable harm catered for by
section 18(3)? Ought not the requisite ‘irreparable harm’
derive
from being unable to recover the performance made to comply
with the order? If the harm derives from another cause, such as
insolvency,
is that not immaterial because such a risk is an ordinary
incidence of litigation? Conceptually, the proffering of insolvency
as
a defence to complying with a court order is stillborn on policy
grounds. Moreover, the settlement agreement contemplated the
extinction
of the service station business in the hands of Jai Hind.
By the time that any ordinary appeal process is exhausted the
business
would, in any event, be extinct. The stance of Jai Hind
cannot be endorsed. It suffers no irreparable harm as contemplated by
section
18(3).
Mootness
of the appeal
[21]
On the peculiar facts in this case, to belabour the obvious, as at
the date of the appeal hearing,
assuming Jai Hind honours its
obligation to vacate in three days’ time, there can no ongoing
holding-over sums payable. The
status quo, as at the date of appeal,
means that the money aspect of the order has now, as regards the
arrears, morphed into a
damages claim for a failure to pay them when
due. But that was not the position on 5 May 2022 when Keightley J
made the order appealed
against. Putting the eviction order into
operation was wholly appropriate to address the exceptionality of the
case, along with
the obligation to pay for holding over, both the
arrears and the prospective payments when they fell due, if Jai Hind
remained
in occupation.
[22]
The case is therefore moot. However, it is appropriate that the
appeal be decided notwithstanding
that fact. The Court has a
discretion to deal with a matter, even if moot, if a proper reason
exists to do to address a ‘legal
issue of importance’
[9]
or in the ‘interests of justice’.
[10]
[23]
This case ventilates controversies in an area of law that has had, as
yet, only a little jurisprudential
scrutiny. Few examples of the
application of section 18(4) are reported. The facts in this case
call for an elaborate examination
which illuminates the nuances in
the application of section 18 both substantively and procedurally.
[24]
In addition, the advent of the status of mootness came about on the
eve of the appeal when the
parties had already incurred considerable
costs which call for an appropriate order.
The
appropriate procedure to prosecute a section 18 appeal
[25]
When the section 18(4) appeal process was commenced by Jai Hind, its
attorney set about following
the prescripts of rule 49. This was
construed by Engen as a deliberate piece of gamesmanship designed to
spin out the process and
delay the appeal. That approach certainly
had precisely that effect. It not necessary to decide whether mala
fides motivated the
attorney because it is plain the process that
ought to be followed is obscure. Section 18 does not prescribe a
procedure. What
is an attorney expected to do?
[26]
In our view, it is plain that to prosecute an appeal under the
conditions prescribed by section
18(4) (iii), ie, as a matter of
extreme urgency, the provisions of rule 49 are inapplicable. Rule 49
is about setting time periods
for obvious steps to be taken, of
which, as one example, 60 days is prescribed to file a record. The
procedure in rule 49 (6) –
(10) is incompatible with urgency.
[27]
Extreme urgency means just that. The rationale is imbedded in the
premise of section 18; ie,
the immediate implementation of an order
to ensure its efficacy and concomitantly, the need to resolve any
dispute about whether
that should happen extremely quickly.
[28]
In this case the matter was resolved when Engen, aggrieved by the
delay sought judicial intervention
by approaching the office of the
Deputy Judge president to speed things up. That intervention did
accelerate the process, but the
major delay had already occurred.
Ultimately, despite that intervention, three months elapsed from the
date of the section 18(3)
order and the appeal hearing, an
unacceptable period if section 18(4)(iii) is to be honoured.
[29]
The default procedure when section 18(4) is invoked must be to
approach the head of court at
once. In the Gauteng Division, because
of the use of a digital platform for all civil cases, it is very
simple to expedite a section
18 (4) appeal with extreme urgency in
any case where oral evidence was not received. A record for the
appeal can be produced by
doing no more than adding an additional
index to the case file of all the documentation relevant for the
appeal. That can be done
on the same day the notice of appeal is
filed. No compiling and printing of a record is needed. All that
remains to make the matter
ripe to be heard is heads of argument, if
needed. A further ad hoc directive, after a meeting with the Deputy
Judge President to
set a date, completes the process. It is
conceivable that a hearing can take place within no more than 20-25
court days at most.
[30]
What is appropriate is that a directive be issued by the Judge
president to cater for the absence
of rules. Until that occurs, the
procedure to follow is as follows:
a.
File a notice of appeal and appeal index in the same digital file as
soon as
reasonably possible after the section 18 (3) order was made.
b.
Simultaneously approach the Deputy Judge President for directions
about heads
of argument and a date for a hearing.
Costs
[31]
There is no reason why costs should not follow the result. The matter
was plainly of importance
to both parties who both employed senior
counsel.
The
order
(1)
The appeal is dismissed.
(2)
The appellant shall bear the respondents costs including the costs of
two counsel.
Sutherland
DJP
Deputy
Judge President of the High Court of South Africa
I
agree.
Adams
J
Judge
of the High Court of South Africa
I
agree.
Thompson
AJ
Acting
Judge of the High Court of South Africa
Heard:
27 July
2022
Judgment:
4 August 2022.
For
the Appellant (Jai Hind)
Adv
Nigel Redman SC.
Instructed
by
Des
Naidoo Attorney.
For
the Respondent (Engen)
Adv
Terry Motau SC,
With
him, Adv Realeboga Tshetlo,
Instructed
by Phukubje Pierce Masithela Attorneys.
[1]
Section 18:
Suspension
of decision pending appeal
(1)
Subject
to subsections (2) and (3), and unless the court under exceptional
circumstances orders otherwise, the operation
and execution of a
decision which is the subject of an application for leave to appeal
or of an appeal, is suspended pending
the decision of the
application or appeal.
(2)
Subject to subsection (3), unless the court under exceptional
circumstances orders otherwise, the operation and execution
of a
decision that is an interlocutory order not having the effect of a
final judgment, which is the subject of an application
for leave to
appeal or of an appeal, is not suspended pending the decision of the
application or appeal.
(3)
A
court may only order otherwise as contemplated in subsection (1) or
(2), if the party who applied to the court to order
otherwise, in
addition proves on a balance of probabilities that he or she will
suffer irreparable harm if the court does not
so order and that the
other party will not suffer irreparable harm if the court so orders.
(4)
If
a court orders otherwise, as contemplated in subsection (1)-
(i) the
court must immediately record its reasons for doing so;
(ii) the
aggrieved party has an automatic right of appeal to the next highest
court;
(iii) the
court hearing such an appeal must deal with it as a matter of
extreme urgency; and
(iv) such
order will be automatically suspended, pending the outcome of such
appeal.
(5)
For
the purposes of subsections (1) and (2), a decision becomes the
subject of an application for leave to appeal or of
an appeal, as
soon as an application for leave to appeal or a notice of appeal is
lodged with the registrar in terms of the rules.
[2]
At the time the appeal was heard, the Supreme Court of Appeal (SCA)
had already, on 30 June 2022, refused leave to appeal. However,
an
application in terms of section 17(2)(f) of the SC act had
thereafter been filed. Such an application is to the President
of
the SCA to cause a reconsideration of the refusal of leave to
appeal. The Section 17(2)(f) procedure is however part
of the
appeal process. See:
State
v Liesching & Others
2019 (4) SA 219
(CC)at para [60]); Cloete &
another v S and Similar application 2019(4) SA 268 (CC) at para [33]
and [64]
[3]
The relevant portions of Rule 49 of the Uniform Rules of Court read
thus:
(6)
(a)
Within
sixty days after delivery of a notice of appeal, an appellant shall
make written application to the registrar of
the division where the
appeal is to be heard for a date for the hearing of such appeal and
shall at the same time furnish him
with his full residential address
and the name and address of every other party to the appeal and if
the appellant fails to do
so a respondent may within ten days after
the expiry of the said period of sixty days, as in the case of the
appellant, apply
for the set down of the appeal or cross-appeal
which he may have noted. If no such application is made by either
party the appeal
and cross-appeal shall be deemed to have lapsed:
Provided that a respondent shall have the right to apply for an
order for his
wasted costs.
(b)
The court to which the
appeal is made may, on application of the appellant or
cross-appellant, and upon good cause shown,
reinstate an appeal or
cross-appeal which has lapsed.
(7)
(a)
At
the same time as the application for a date for the hearing of an
appeal in terms of subrule (6)
(a)
of this rule the
appellant shall file with the registrar three copies of the record
on appeal and shall furnish two copies
to the respondent. The
registrar shall further be provided with a complete index and copies
of all papers, documents and exhibits
in the case, except formal and
immaterial documents: Provided that such omissions shall be referred
to in the said index. If
the necessary copies of the record are not
ready at that stage, the registrar may accept an application for a
date of hearing
without the necessary copies if—
(i) the
application is accompanied by a written agreement between the
parties that the copies of the record may be
handed in late; or
(ii) failing
such agreement, the appellant delivers an application together with
an affidavit in which the reasons
for his omission to hand in the
copies of the record in time are set out and in which is indicated
that an application for condonation
of the omission will be made at
the hearing of the appeal.
(b)
The
two copies of the record to be served on the respondent shall be
served at the same time as the filing of the aforementioned
three
copies with the registrar.
(c)
After
delivery of the copies of the record, the registrar of the court
that is to hear the appeal or cross-appeal shall assign
a date for
the hearing of the appeal or for the application for condonation and
appeal, as the case may be, and shall set the
appeal down for
hearing on the said date and shall give the parties at least twenty
days’ notice in writing of the date
so assigned’.
(d)
If
the party who applied for a date for the hearing of the appeal
neglects or fails to file or deliver the said copies of the
record
within 40 days after the acceptance by the registrar of the
application for a date of hearing in terms of subrule (7)
(a)
the
other party may approach the court for an order that the application
has lapsed.
(8)
(a)
Copies referred to in subrule (7) shall be clearly
typed on A.4 standard paper in double spacing, paginated and bound
and
in addition every tenth line on every page shall be numbered.
(b)
The
left side of each page shall be provided with a margin of at least
35 mm that shall be left clear, except in the case of exhibits
that
are duplicated by photoprinting, where it is impossible to obtain a
margin with the said dimensions. Where the margin of
the said
exhibits is so small that parts of the documents will be obscured by
binding, such documents shall be mounted on sheets
of A4 paper and
folded back to ensure that the prescribed margin is provided.
(9)
By consent of the parties, exhibits and annexures having no bearing
on the point at issue in the appeal and immaterial portions
of
lengthy documents may be omitted. Such consent, setting out what
documents or parts thereof have been omitted, shall be signed
by the
parties and shall be included in the record on appeal. The court
hearing the appeal may order that the whole of the record
be placed
before it.
(10)
When the decision of an appeal turns exclusively on a point of law,
the parties may agree to submit such appeal to the court
in the form
of a special case, in which event copies shall be submitted of only
such portions of the record as may be necessary
for a proper
decision of the appeal: Provided that the court hearing the appeal
may require that the whole of the record of the
case be placed
before it.
[4]
Ntlemeza
v Helen Suzman Foundation
2017 (5) SA 402
(SCA) at paras [28] and [35] – [37]. See too:
Knoop NO v Gupta (Execution)
2021 (3) SA 135
(SCA) at paras [44] –
[48].
[5]
2014
(4) SA 189 (GJ)
[6]
(2018)
39 ILJ 2751 (LC)
[7]
2018
(3) SA 428 (SCA)
[8]
2017
(5) SA 402 (SCA)
[9]
Capitec
bank Holdings Ltd v Coral Lagoon Investments 194 (Pty) Ltd and
others
2022 (1) SA 100
(SCA) at para [19]
[10]
Bwanya
v The Master of the High Court
2022 (3) SA 250
(SCA) at para [15].
sino noindex
make_database footer start
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