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Supreme Court of Appeal of South Africa

The Supreme Court of Appeal is, except in respect of certain labour and competition matters, the second highest court in South Africa. In terms of the Constitution, it is purely an appeal court and may decide only appeals and issues connected with appeals. (Banner image by Ben Bezuidenhout).
Physical address
Cnr Mirriam Makeba & President Brand Streets, Bloemfontein, Free State, 9301
25 judgments
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25 judgments
Citation
Judgment date
May 2014
An interim interdict protecting alleged share ownership does not prevent the applicant from requisitioning a shareholders' meeting to remove a director.
Company law – Shareholders’ right to requisition meeting (s 61(3)) ; Removal of director by shareholders (s 71) ; Effect and construction of interim interdicts restraining voting/alienation of shares ; Court orders must be read in context and not given literal effect that thwarts corporate governance ; Plascon-Evans rule on disputes of fact in motion proceedings.
30 May 2014
A suretyship referencing a future loan is valid under s6 if the principal debt is identifiable by incorporation and extrinsic evidence.
Suretyship – formal requirements – s 6 General Law Amendment Act 50 of 1956 – written terms of suretyship must be embodied in a signed document. Accessory nature of suretyship – principal debt need not exist at time suretyship is concluded. Incorporation by reference – a suretyship omitting essential terms may be saved by identifying and incorporating a loan agreement by admissible extrinsic evidence. Admissibility – extrinsic evidence allowed to identify the principal obligation provided it does not impermissibly supplement the written agreement.
30 May 2014
Reported
A court may accept a third‑party purchaser’s bank guarantee as adequate substitute security for an improvement (enrichment) lien.
Enrichment (improvement) lien — substitution of security — judicial discretion to accept payment into court or third‑party banker’s guarantee — third‑party purchaser’s guarantee sufficient to secure enrichment claim — Bombay Properties distinction rejected; Sandton Square approach endorsed.
30 May 2014
Reported
Issue estoppel rejected: respondents not privies and arbitration did not decide alleged fiduciary-breach issues.
Res judicata / issue estoppel – idem actor requirement – privity – witnesses and interested employees do not necessarily derive title from arbitration parties. Issue estoppel – scope – an arbitration’s determination of contractual interpretation may not preclude litigation against non-parties on different issues such as fiduciary breach. Common law development – same-parties requirement may be relaxed but requires persuasive reasons and fairness considerations.
30 May 2014
Eviction under PIE requires full evidence on alternatives and occupiers’ circumstances; insufficiency of information warrants remittal.
PIE s6 eviction at instance of organ of state; just and equitable enquiry; requirement to consider availability of suitable alternative accommodation and occupiers’ personal circumstances; constitutional housing rights (s26, s28); duty of provincial and national authorities to provide information; remittal where material facts are lacking (Ekurhuleni/Grootboom/Joe Slovo precedent).
30 May 2014
Reported
Scheme rules cannot override statutory requirements; extension rights vested in the body corporate, not the developers.
Sectional title — right of extension — rules of scheme cannot confer rights beyond statute; rule 77 ultra vires; Sectional Titles Act 1986 s25(6) vests extension rights in body corporate where no statutory reservation; transitional preservation of rights requires compliance with statutory reservation/registration; municipal tie condition preventing separate ownership of garages/storerooms/maids rooms enforced; developers obliged to divest contravening units.
29 May 2014
Reported
Uncorroborated, unreliable accomplice evidence and material contradictions rendered the appellant’s conviction unsafe.
Criminal law – evidence – accomplice testimony – cautionary rule requires corroboration where accomplice is unreliable; uncorroborated accomplice evidence unsafe to convict. Criminal procedure – extra‑curial admissions of one accused do not constitute admissible evidence against a co‑accused for proving guilt. Evidence – contradictions between witnesses and misfindings on number of attackers undermine safety of conviction.
29 May 2014
Reported
Misappropriation and concealment of trust deficits rendered the attorneys unfit to continue practising.
Attorneys — Trust account irregularities — Misappropriation of trust funds and creation of trust deficits by paying investor interest from trust monies; manipulation of bank reconciliations to conceal deficits. Attorneys — Accounting obligations — Duty of every director/attorney to keep proper books and account for trust interest under s 78(3) and Rule 70 compliance. Professional discipline — Standard of proof in s 22(1)(d) enquiries; failure to provide meaningful explanations is aggravating; striking off appropriate where misconduct involves dishonesty and risk to trust creditors.
29 May 2014
Reported
Whether a pension‑fund rule creates employer‑funded redundancy benefits for non‑local authority employers admitted by concession.
Pension‑fund rules – interpretation in context and against factual background – redundancy/retrenchment benefit arising from collective bargaining among local authorities – employer‑funded benefit channeled through fund but not payable by Fund – extended definition of “local authority” not importing obligations onto non‑local employers admitted by concession.
29 May 2014
Whether a municipality must pay contractually proven refuse-collection fees supported by contemporaneous service counts.
Contract law – written memorandum of agreement governs where parties accept its terms – tariffs and CPI escalation – contemporaneous service counts as best evidence of quantum – pleading discrepancies and incorrect reliance on earlier municipal resolution – appeal dismissed.
29 May 2014
Whether the parties concluded a valid customary marriage under s 3(1) given rites, payment, delivery and subsequent conduct.
Customary law – Recognition of Customary Marriages Act 120 of 1998 – s 3(1) requirements for validity: age, mutual consent, negotiation/celebration according to customary law. Living customary law – courts may use expert evidence, textbooks and other evidence to ascertain contemporary customary practices. Essential rites – payment, exchange of gifts, slaughter, counselling and formal handing over (delivery of makoti) as indicia of a valid customary marriage. Evaluation of evidence – balance of probabilities, credibility and conduct after rites (photographs, letters, video) relevant to establish marriage.
29 May 2014
Reported
Refusal to postpone did not amount to gross irregularity where the litigant caused repeated delays and absented himself.
Civil procedure — Review — Gross irregularity — Postponement of trial mero motu — Judicial discretion to grant or refuse postponement — No right to chosen legal representative where litigant caused delay — Improper ex parte communications and double‑booking by counsel — Costs against unsuccessful reviewer.
29 May 2014
Reported
A commercial cooperation agreement silent as to duration is terminable by either party on reasonable written notice.
Contract — Duration silent — Tacit/implied term of terminability on reasonable notice may be implied by construction when parties’ relationship requires close cooperation and mutual trust; surrounding commercial circumstances relevant.
29 May 2014
Verifying affidavit by a cessionary need not show deponent’s first‑hand knowledge of all facts; documentary possession may suffice.
Civil procedure – Summary judgment – Rule 32(2) verifying affidavit by cessionary – deponent need not have first‑hand knowledge of every fact; possession of documents may suffice – fact‑based enquiry into reliability of positive assertions; Rule 32(3)(b) – opposing affidavit must disclose fully nature, grounds and material facts of bona fide defence.
29 May 2014
Reported
Where an appellant attended but was not heard, the Board’s non-appearance dismissal was void and the asylum-seeker’s permit must be restored.
Refugee law – s 22 asylum seeker permit – Refugee Appeal Board – disposal for non-appearance – attendance but not heard renders decision void – continued entitlement to asylum-seeker permit – unlawful arrest and detention – administrative duty to investigate – costs for amici curiae.
28 May 2014
Reported
A suspended employee taking outside work is not automatically deemed discharged under s17(5) absent unauthorised absence.
Public Service Act s 17(5)(a) – interpretation of subsections (i) and (ii); suspension – absence with or without permission; deemed discharge versus dismissal under LRA; jurisdiction of bargaining council to arbitrate presumed dismissals; s 30(b) remunerative outside work to be determined by disciplinary process where appropriate.
28 May 2014
Reported
Whether plastic turf-protection tiles are "floor coverings" under TH3918 or "other" plastic articles under TH3926.
Customs and excise – tariff classification – interpretation governed by Harmonized System: headings and chapter/section notes paramount; Explanatory Notes subsidiary – whether stadium turf is a "floor" within tariff heading 3918 – plastic turf-protection tiles not "floor coverings" but classifiable as "other articles of plastics" under 3926.90.90 – novelty of article irrelevant to classification.
23 May 2014
Reported
A summons served by the applicant interrupts prescription despite the s129 NCA notice to the respondent being delivered only later.
National Credit Act s 129 – notice to consumer; s 130(4)(b) – mandatory adjournment and remedial steps; Prescription Act s 15 – interruption by service of process; non‑compliance with s 129 is dilatory not void; summons served interrupts prescription.
19 May 2014
Reported
A court cannot award general damages absent the Fund’s satisfaction that the injury is 'serious' under the Regulations.
Road Accident Fund Act – s 17(1A) and Regulation 3 – serious injury assessment (RAF4) – Fund's satisfaction as jurisdictional fact – Fund not bound by its own expert – joint minute does not displace statutory dispute-resolution and Appeals Tribunal determination – court lacks jurisdiction to award general damages absent compliance with Regulation 3.
19 May 2014
Reported
No enforceable agreement: height servitudes are "interests in land" requiring written, signed deed under s 2(1) of the Alienation of Land Act.
Property law – Praedial servitudes as "interest in land" – Alienation of Land Act s 2(1) requires written, signed deed for alienation/exchange of interests in land; Contract – consensus reduced to writing – parties’ intention to be bound only by written, signed agreement; Contract formation – offer, rejection, counter-offer and lapse; Specific performance – unenforceable where no valid written agreement under Act.
19 May 2014
Incidental judicial remarks about multiple contracts are surplusage and do not create res judicata without evidence.
Civil procedure – amendment of particulars – prescription and interruption by amendment – court refusing amendment may treat amended claim as new for prescription purposes without deciding underlying contractual facts; surplusage in judgment does not create res judicata or issue estoppel. Evidence – factual findings on nature of contract require evidence and proper pleading. Res judicata / issue estoppel – prior incidental remarks unnecessary to decision do not preclude subsequent contrary pleas.
19 May 2014
Reported
Deregistration during a court‑ordered winding‑up is invalid; reinstatement restores the respondent’s corporate status and validates its acts.
Company law – deregistration under s 73 of Companies Act (1973) – competence where company under provisional/final winding‑up – administrative deregistration cannot trump court winding‑up. Company law – reinstatement/reinstation of deregistered companies – effect of CIPC cancellation of deregistration and restoration of corporate status. Civil procedure – competence of proceedings instituted by a deregistered company – validity of orders given pre‑reinstatement. Administrative law – unlawfulness and reviewability of deregistration carried out despite existing winding‑up order. Insolvency – winding‑up procedure – company remains in existence until affairs completely wound up (s 419 of 1973 Act).
15 May 2014
Reported
Indeterminate profit shares and undated cheques did not create credit agreements or secured loans under the National Credit Act; provisional sentence competent.
National Credit Act – definition of credit agreement and requirement of a quantified ‘charge/fee/interest’ – indeterminate profit shares not a ‘charge’; secured loan – cheque not pledged or ceded; pre-action requirements ss 129/130 apply only to credit agreements; negotiable instruments – cheques held for value may found provisional sentence.
14 May 2014
Affidavits were insufficient to decide prescription and statutory notice; Rule 6(5)(g) referral for oral evidence was ordered.
Prescription — constructive knowledge — when debt becomes due — factual question requiring adequate evidence and often oral evidence. Legal Proceedings Act — statutory six‑month notice to organ of state — requirement depends on knowledge of debtor and facts giving rise to claim. Civil procedure — Uniform Rule 6(5)(d)(iii) and 6(5)(g) — where affidavits are inadequate, court may refer issues for oral evidence to ensure just and expeditious decision. Burden on parties — applicant must place sufficient facts in affidavits and respondent must support plea of prescription with factual material (e.g., records).
6 May 2014
Ambiguous medical evidence and failure to subpoena the doctor undermined the State’s case; conviction set aside.
Criminal law – self-defence – road-rage shooting – mutually destructive versions – medical report ambiguity – duty to call medical witness (s 186 CPA) where evidence essential to just decision – accused entitled to acquittal if version reasonably possibly true.
2 May 2014