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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
184 judgments
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184 judgments
Citation
Judgment date
December 2020
Reported
An organ of state may interrupt municipal electricity under statute but must first exhaust intergovernmental dispute mechanisms.
Constitutional and administrative law – cooperative government (s 41 Constitution) and IRFA ss 40–41 – organs of state must make every reasonable effort in good faith to settle intergovernmental disputes before unilateral action; Electricity Regulation Act s 21(5) – licensee may reduce or terminate supply without court order, but exercise must respect constitutional cooperative‑government duties where entire municipality affected; PAJA review – irrationality and failure to consider relevant factors; MFMA/ s 139 intervention and National Treasury dispute‑resolution mechanisms relevant.
29 December 2020
Where s 163(1) is not proved, a court cannot grant s 163(2) buy-out relief, nor vary orders to appellant’s detriment without a cross-appeal.
Company law – s 163 Companies Act – relief for oppressive or unfairly prejudicial conduct; s 163(1) must be proved before s 163(2) relief granted; appellate procedure – respondent cannot obtain variation to appellant’s detriment without cross-appeal; majority voting/ removal as director and dismissal for misconduct do not automatically constitute oppression; winding-up as just and equitable requires insolvency or destroyed substratum, not mere breakdown of relations.
24 December 2020
Reported
An ineligible person accepted as a pension‑fund member may recover contributions via the PFA adjudication system.
Pension funds – membership admitted contrary to rules – acceptance ultra vires and void; membership contract void for common mistake – Pension Funds Adjudicator’s jurisdiction under Chapter VA of PFA – wide definitions of 'complaint' and 'complainant' – non‑member may pursue complaint if dispute arises from fund administration/rules – restitution/enrichment (condictio indebiti/condictio sine causa) available to recover contributions – estoppel/waiver not available – prescription not established.
23 December 2020
Shareholders may enforce specific performance of loan and funding obligations without bringing a derivative action.
Specific performance; standing of shareholders to enforce loan agreements and shareholder funding obligations; derivative action (s 165) not required; conditions precedent in loan agreements (clauses 7,15,16) and evidentiary proof; interpretation and enforcement of shareholder funding clause requiring separate agreement and simultaneous loans; remedy: specific performance and costs (including two counsel).
23 December 2020
A creditor’s suit on an AOD limited to arrears does not bar later enforcement of the original credit agreements or the suretyship.
Civil procedure – acknowledgement of debt – not a novation where parties expressly reserve original rights; res judicata/issue estoppel – requires same relief on same ground; creditor who sued for arrears under AOD not precluded from later claiming under underlying credit agreements; suretyship survives deregistration of debtor company.
23 December 2020
A court may declare an organ of state's procurement contract invalid in a collateral challenge where justice requires.
Public procurement – unsolicited bid – contravention of s 217 Constitution and MFMA – contract invalid from inception; collateral/reactive challenge to administrative action – Merafong and Tasima – court may declare public contract invalid in proceedings where justice requires.
22 December 2020
"Remarriage" in a maintenance settlement means a legally recognised marriage; an unregistered religious ceremony is not remarriage.
Family law – interpretation of settlement deed – meaning of "remarriage"; Marriage Act s29A formalities for valid marriage; effect of unregistered religious ceremony on maintenance obligations; contempt for non‑payment of maintenance; de bonis propriis costs against attorney – procedural fairness and substantive threshold.
18 December 2020
Refinancing‑related advisory services were not acquired for the purpose of making taxable supplies; input tax disallowed and imported services taxable.
VAT – input tax – requirement that goods or services be acquired for the purpose of consumption, use or supply in the course of making taxable supplies – functional relationship test. VAT – imported services – definition and taxation under s7(1)(c) where services are utilized or consumed otherwise than for the purpose of making taxable supplies. VAT – exempt supplies – distinction between borrowing/receipt of financial services and supply/issue of debt securities; borrower is not supplier of financial services. Pleading and evidence – new factual/legal ground (competitiveness) not entertained where not properly pleaded or litigated.
18 December 2020
Reported
Non-recognition of Muslim marriages violates equality, dignity and children's rights; invalidity suspended pending legislative remedy.
Constitutional law — Recognition of Muslim (Sharia) marriages — Marriage Act and Divorce Act inconsistent with ss 9, 10, 28 and 34 of the Constitution for failing to recognise and regulate Muslim marriages; specific Divorce Act provisions (s 6, s 7(3), s 9(1)) unconstitutional as they fail to protect children, provide equitable redistribution and forfeiture on dissolution; common-law definition of marriage invalid to extent of excluding Muslim marriages; declarations suspended for 24 months pending legislative remedy; courts cannot, on s 7(2) alone, order the State to enact legislation absent express constitutional or binding international-law obligations; interim relief to govern existing Muslim unions.
18 December 2020
A court cannot revisit its final order; a later contrary order is null and the matter must be remitted for merits.
Civil procedure – functus officio – finality of judgment – Zweni attributes; Non-joinder – preliminary points – effect on proceedings; Administrative review – remittal to first instance – limits on appellate substitution; Appellate jurisdiction – SCA cannot decide merits not determined by high court; Substitution orders – exceptional circumstances (Trencon).
18 December 2020
Recognition of a traditional leader set aside for procedural unfairness and failure to establish living customary law.
Customary law – recognition and appointment of traditional leader – compliance with Traditional Leadership and Governance Framework Act – audi alteram partem – requirement to establish and apply living customary law of the relevant community – review and set-aside of recognition for procedural and substantive defects.
18 December 2020
Trustees’ recovery claims for broker commissions prescribed where reasonable care would have revealed debtors and relevant facts.
Prescription Act s 12(1) and (3) – knowledge of identity of debtor and facts – deemed knowledge if obtainable by exercise of reasonable care; trustees in insolvency – duty to make reasonable enquiries; prioritisation of other estate tasks does not postpone prescription; imputing/obtaining knowledge from employees and files; recovery of broker commissions in Ponzi scheme context.
17 December 2020
Reported
Defamatory social-media publication lacked reasonable verification; damages cannot be awarded in motion without oral evidence.
Defamation; defences — truth and public interest; fair comment; reasonable publication (Bogoshi) — failure to verify unverified social-media tip; animus iniuriandi; limits on extending media defences to non-media/social media actors; procedural requirement that unliquidated damages in defamation be proved on viva voce evidence or referred to oral evidence.
17 December 2020
Reported
A lockdown responding to a notifiable disease within 50 km forms part of the insured peril for business-interruption cover.
Insurance law – Business-interruption cover – Infectious-diseases extension – Scope of cover where a notifiable disease occurs within prescribed radius and government imposes widespread measures. Contract interpretation – Objective construction of insurance clauses; threshold radius as qualifying requirement not excluding broader public-health responses. Causation – Factual and legal causation in insurance; concurrent and proximate causes; public-health response as part of insured peril. Quantification – Trends/other-circumstances clause adjusts loss quantum, does not negate liability where response is intrinsic to peril.
17 December 2020
Reported
A struck‑off advocate must prove complete reformation; Bars retain standing and interim enforcement needs exceptional circumstances.
Advocate readmission – onus on applicant previously struck off to demonstrate complete and permanent reformation; legal profession regulation – Advocates Act applies to pending readmission launched before LPA commencement; Bars and national Bar retain standing as custodes morum to intervene; medical evidence must establish causal nexus to mitigate deliberate dishonesty; s18 enforcement pending appeal requires truly exceptional circumstances.
15 December 2020
The respondent’s claim dismissed where the trial court improperly rejected the parties’ agreed expert opinion.
Medical negligence – perinatal hypoxic-ischaemic brain injury; expert evidence – parties’ agreed expert opinion; judicial recourse to literature; causation — acute profound (sentinel) event versus prolonged partial hypoxia; fundal pressure and causation; duty to notify parties when questioning agreed expert evidence.
14 December 2020
Reported
Section 115 preserves pre‑LPA entitlement to admission as advocate; LPC’s s 32 conversion power does not oust high court jurisdiction.
Legal Practice Act – s 115 preservation of pre‑commencement entitlements to admission and enrolment; interpretation of transitional provision; s 32 conversion powers of Legal Practice Council; limits of rule‑making; high court retains jurisdiction to admit and authorise enrolment where practitioner qualifies under LPA.
14 December 2020
A valid recusal for bias nullifies the presiding officer’s proceedings and interlocutory orders, requiring a fresh merits hearing.
Judicial recusal – bias – effect of successful recusal nullifies entire proceedings and interlocutory orders; res judicata – interlocutory orders rendered null by recusal; court raising res judicata mero motu – improper where prior recusal vitiates proceedings; remedy – set aside proceedings and remit to full court for merits determination.
11 December 2020
Reported
A bona fide purchaser who did not know and could not reasonably have known of a spouse’s lack of consent is protected by s 15(9)(a).
Matrimonial Property Act s 15(2)(a) & s 15(9)(a) – sale by one spouse without other spouse’s consent – deemed consent where third party did not know and could not reasonably have known lack of consent; duty on purchaser to make reasonable enquiries; objective reasonable-person standard; balance between protection of non-consenting spouse and bona fide third-party purchasers.
11 December 2020
Court held mortgage property identifiable; lower court erred and respondent’s fraud defence rejected.
Property law – mortgage bond – adequacy of description – intention and context of sale agreement and addenda determine identifiability of property. Civil procedure – court raising and deciding issues not pleaded by parties – lower court misdirection. Contract law – alleged fraudulent misrepresentation – must be established on the papers; contractual allocation of development levies relevant to culpability and damages. Relief – declaratory relief preserving security as at judgment date despite subsequent transfer and liquidation.
10 December 2020
S 12(3) requires primary factual causes, not legal conclusions; inadequate particulars defeat a prescription special plea.
Extinctive prescription – s 12(3) Prescription Act – two-stage enquiry: (i) identification of primary facts from which debt arises; (ii) when creditor had or should have had knowledge of those facts. Legal conclusions (negligence) are not primary facts. Pleading particularity – where primary facts are not pleaded, a prescription special plea cannot be determined and should be dismissed.
10 December 2020
Application for reconsideration dismissed: no exceptional circumstances, single‑witness evidence properly evaluated and s 227 application rightly refused.
Criminal procedure – reconsideration under s 17(2)(f) Superior Courts Act – exceptional circumstances; Criminal law – single witness evidence and cautionary rule; Failure to call potentially material witness – adverse inference and fairness; Section 227 Criminal Procedure Act – cross‑examination on prior sexual history; Corroboration by first report, police and medico‑legal evidence.
10 December 2020
Reported
An applicant must prove specific, material grounds under s 139(2) before a court may remove business rescue practitioners.
Companies Act s 139(2) – Removal of business rescue practitioner – Applicant must prove statutory grounds (incompetence, lack of care, illegality, conflict, incapacity) on balance of probabilities; s 140(3)(a)/(b) (BRP as 'officer of the court' and bearing directors' duties) has limited application in voluntary business rescue; bona fide or commercially-motivated errors (e.g. VAT invoicing practice) do not automatically justify removal; appointment to multiple group companies does not automatically create disqualifying conflict.
9 December 2020
Whether a company’s board may appoint a substitute business rescue practitioner without approval of the existing practitioner.
Company law – business rescue – appointment and replacement of business rescue practitioners; interpretation of ss129, 130, 131, 137, 139 and 140 of the Companies Act; board’s power to appoint substitute practitioners; practitioner authority (or lack thereof) to appoint substitutes; interplay between regulatory filings and substantive validity of appointments.
8 December 2020
Reported
An authorised s 69 LRA picket is not a "gathering" for purposes of s 11 of the Regulation of Gatherings Act.
Labour law – Picketing under s 69 LRA – Statutory interpretation – Later specialised legislation (LRA) excludes application of general Regulation of Gatherings Act s 11 liability for authorised pickets; Labour Court remedies under s 68 prevail.
7 December 2020
A surety’s right of recourse accrues on payment to the creditor and s 154(2) does not alter that common-law rule.
Suretyship – surety’s right of recourse arises upon payment to the creditor; Companies Act s 154(2) – does not alter common law as to timing of accrual of surety’s claim; Business rescue – creditor’s right to enforce debts determined by existing law, including common law; Summary judgment – defence based on s 154(2) held to be bad in law.
3 December 2020
Conversion between close corporation and company does not interrupt juristic personality; misdescription does not invalidate contracts or judgments.
Company law – conversion of close corporation to company – continuity of juristic personality; Contract law – misdescription of corporate form in agreements (suretyship) does not vitiate enforceability; Civil procedure – rescission of default judgment – misdescription and director knowledge not a ground for rescission; Service at domicilium in misdescribed document effective.
1 December 2020
Reported
Handwritten hospital records with an incomplete RAF1 medical section can constitute substantial compliance and, absent timely objection, render the claim valid.
Road Accident Fund Act s 24 – RAF 1 medical report – substantial compliance by submission of hospital records – s 24(5) deeming provision where Fund fails to object within 60 days – prescription and procedural requirements – purposive interpretation.
1 December 2020
November 2020
Three-year prescription applies; debtor's payments and balance requests interrupted prescription, creditor entitled to debt and mora interest.
• Prescription Act s11(b): meaning of "the State" — organs of state distinct from government do not automatically attract 15-year period; s11(d) three-year period applies to such creditors. • Prescription Act s14: tacit acknowledgement — partial payments and annual requests for balances can interrupt prescription. • Pleadings: admissions and deemed admissions obviate need for further proof of admitted facts and quantum. • Mora interest: arises by operation of law from contractual due date; rate and commencement dates to be correctly stated.
30 November 2020
Pre-commencement ticket revenues were debts owed to the carrier and barred from suit by the business rescue moratorium.
Company law – business rescue – s 133 moratorium on legal proceedings; pre-commencement receipts – nature as debt versus trust/agency; timing of creditor’s entitlement; leave of court or practitioner’s consent required to litigate during business rescue.
30 November 2020
Search and seizure warrants under the Counterfeit Goods Act invalid where quarantined goods and no reasonable grounds existed for suspected dealing.
Counterfeit Goods Act – search and seizure warrants – requirement of reasonable grounds before judicial authorisation; ex parte disclosure duties of complainant; statutory timelines for prosecution and rights to release where timelines lapse; prohibiting use of Act’s remedies as a terrorem device in commercial disputes; costs for abusive litigation conduct.
27 November 2020
Reported
Uncorroborated, internally inconsistent single‑witness evidence and investigative failures rendered the State's case inadequate; appellants acquitted.
Criminal law – single-witness evidence – corroboration and caution where witness' versions contain material contradictions; criminal procedure – s 174 discharge – sufficiency of State evidence; police/investigation failures – impact on reliability of prosecution case; substitution to culpable homicide – negligence in conveyance of arrestee.
27 November 2020
Unexplained, lengthy delay by MEC in seeking review disentitles setting aside municipal managers despite regulatory irregularity.
Local government — s 54A Municipal Systems Act — appointment of municipal managers — supervisory role of MEC and time-limited duty to act within 14 days — jurisdiction of High Court v Labour Court — review under PAJA or principle of legality — reasonableness of delay and remedial discretion to grant just and equitable relief.
26 November 2020
Reported
Where s 4(3) requirements are clearly met, a court may order the Minister to grant citizenship rather than remit.
Citizenship law – s 4(3) Citizenship Act – requirements: birth in Republic, non‑citizen parents not permanent residents, continuous residence from birth to majority, registration of birth under Births and Deaths Registration Act (s 5). Birth registration – issuing of birth certificate (s 5(3)) constitutes registration for non‑citizen parents. Administrative law – citizenship recognition is a question of law not discretion; courts may order grant where statutory conditions are satisfied. Procedural – absence of prescribed application form does not defeat an application where none has been prescribed; admissions in answering affidavit not raising real dispute of fact. Costs – punitive costs (attorney‑and‑client and two counsel) justified where organ of state persists unreasonably after controlling authority.
25 November 2020
Reported
Whether a municipal entity performing municipal functions qualifies as a municipality for income tax exemption purposes.
Income Tax – s 10(1) exemption – scope limited to entities that are part of a sphere of government (municipalities) – municipal entities and state-owned companies performing municipal functions do not automatically qualify – corporate autonomy, governance and financial independence determinative.
20 November 2020
An external foreign company cannot invoke South African business rescue; foreign compositions require formal recognition proceedings.
Companies Act – business rescue – whether an external (foreign) company registered under s 23 may be placed under business rescue – definition of "company" and incorporation under the Act. Private international law/insolvency – recognition and enforcement of foreign insolvency/composition orders – extra-territorial effect and requirement for recognition proceedings in South Africa. Procedure – who may apply for recognition (foreign representative/official liquidator) and protective terms for local creditors. Appeals – admissibility of further evidence on appeal; lateness and costs consequences.
20 November 2020
Reported
A court may not override s 18(4)(iv)’s automatic suspension of execution orders; any such order is void.
Superior Courts Act s 18 — execution orders — s 18(4)(iv) automatic suspension of execution pending urgent appeal — high court cannot order otherwise to override statutory suspension — such an order is a nullity; requirements for leave to execute under s 18(3) (exceptional circumstances; irreparable harm to applicant; absence of irreparable harm to respondent) must be strictly proved; appointments and acts by substitute practitioners during suspended execution invalid.
19 November 2020
Deemed consent under s 15(9)(a) protects bona fide purchasers who could not reasonably have known a spouse’s consent was lacking.
Matrimonial Property Act 88 of 1984 – ss 15(2)(a) and 15(9)(a) – sale by one spouse in community of property without other spouse’s written consent – applicability of deemed consent where purchaser did not and could not reasonably know consent was lacking – burden on purchaser to prove bona fides and reasonableness of reliance on seller’s representations.
18 November 2020
Reported
Whether the respondent was barred by the underlying contract from calling the applicant’s unconditional performance guarantee.
Contract law – Performance guarantees – Autonomy of guarantee; limited exception where underlying contract clearly precludes demand; construction of FIDIC-based clauses 4.2 and 2.5; employer’s right to call unconditional guarantee at its risk under indemnity; application of Hitachi precedent.
13 November 2020
Email service to the nominated address was held valid; rescission refused for lack of good cause and no bona fide defence.
Civil procedure – rescission of judgment – Uniform Rule 42(1)(a) – judgment erroneously sought or granted – effect of non-receipt of notice due to opponent’s attorneys’ internal affairs. Civil procedure – form of notice of motion – compliance with form 2(a) – condonation of hybrid form where no prejudice. Civil procedure – service by electronic mail – rule 4A and rule 6(5)(d)(i) – electronic service to nominated address constitutes valid service. Civil procedure – common-law rescission – good cause requires reasonable explanation for default, bona fides and a bona fide defence with some prospect of success. Succession law – reconstruction of wills under common law v reliance on s 2(3) of the Wills Act.
13 November 2020
Reported
Prescription in malicious‑proceedings claims starts only after proceedings have terminated in the applicant’s favour.
Prescription — Prescription Act s12 — commencement of prescription when creditor has complete cause of action; Malicious proceedings — requirement that proceedings terminate in plaintiff’s favour before cause of action arises; Professional regulatory tribunals (HPCSA) — disciplinary/disciplinary-like proceedings analogous to criminal prosecutions for purpose of malicious-proceedings claims; Kruger — limited application and does not remove favourable-termination requirement.
5 November 2020
Reported
A right of first refusal cannot be extended against unrelated third parties or other property via Oryx or notice.
Right of first refusal; Oryx mechanism — creates independent contract with grantor only, does not make grantee party to original third‑party contract; doctrine of notice — enforces preferential right against third parties with knowledge but does not enlarge its substantive scope; exception for failure to disclose cause of action; severability of multi‑aspect agreements; remedy limits — cannot convert improper conduct into new contractual rights against unrelated grantors.
4 November 2020
Reported
Whether the respondent’s regulations introducing pre-qualification criteria were ultra vires and inconsistent with s217 and the Framework Act.
Constitutional and procurement law – section 217 – public procurement must be fair, equitable, transparent, competitive and cost-effective – preferential procurement permitted only within statutory framework. Administrative/legislative power – ultra vires – ministerial regulations cannot contradict or add to the framework set by national legislation. Procurement regulations – pre-qualification criteria and mandatory subcontracting – impermissible antecedent disqualification outside the points system. Remedy – declaration of invalidity suspended for 12 months to allow remedial action.
2 November 2020
A Minister cannot mandate unreleasable contingency reserves that usurp a pension fund board’s statutory discretion over surplus apportionment.
Pension Funds Act — surplus apportionment — s 15B(4) & s 15B(5)(e) — contingency reserve accounts — board discretion — regulation 35(4) ultra vires — Minister exceeded delegated powers — principle of legality; PAJA/condonation of delay; supervisory remedies (s 18, s 15K) adequate.
2 November 2020
A Ministerial regulation forcing calculable untraced members’ enhancements into frozen contingency reserves exceeded statutory power.
Pension funds – surplus apportionment – contingency reserve accounts – interpretation of ss 15A, 15B(4) and 15B(5)(e) – limits of Ministerial regulation‑making under s 36 of the Pension Funds Act – ultra vires and principle of legality.
2 November 2020
Reported
Whether a ministerial regulation compelling treatment of calculable allocations to untraced former members unlawfully exceeded PFA powers.
Pension funds – Surplus apportionment – Boards’ discretion under ss 15A, 15B(4) and 15B(5)(e) – Contingency reserve accounts – Minister’s regulation-making power under s 36 – Regulation 35(4) ultra vires – principle of legality; Administrative delay/condonation – collateral challenge considered.
2 November 2020
October 2020
Leave to appeal costs order dismissed; high court properly exercised discretion in awarding punitive personal costs against applicant.
Costs — personal and punitive costs against public officials — appellate restraint in reviewing discretionary costs orders — interference only for material misdirection — conduct amounting to recklessness, vexatious litigation or abuse of process may justify punitive costs; Biowatch principles not engaged where law is not challenged.
30 October 2020
Premier's recognition of a traditional leader upheld; factual disagreement not reviewable absent irrationality; MEC countersignature unnecessary.
Traditional leadership — administrative review — factual findings of provincial committee; PAJA — review grounds; irrationality threshold; s 140(2) Constitution — countersignature only where decision concerns MEC-assigned function; admissibility of confirmatory affidavits.
30 October 2020
Reported
Whether convictions under both s 2(1)(e) and s 2(1)(f) POCA duplicate offences.
POCA ss 2(1)(e) and 2(1)(f) – distinction between active conduct/participation and managerial knowledge – potential splitting of charges. Admissibility – satellite vehicle tracking reports are factual measurements, admissible and may be reliable evidence. Search warrants – irregular warrant does not automatically require exclusion under s 35(5) where officers acted bona fide and exclusion would be detrimental to justice. Sentencing – prescribed minimums and assessment of substantial and compelling circumstances.
29 October 2020
Reported
Interim enforcement under s18 requires exceptional circumstances and irreparable harm; dissolution administrators cannot govern beyond 90 days.
• Civil procedure – Superior Courts Act s 18 – interim enforcement pending appeal requires exceptional circumstances and proof of irreparable harm on a balance of probabilities. • Constitutional law – Local government – s 139(1)(c) intervention and appointment of administrators – interaction with s 159(2) 90‑day election requirement. • Municipal law – Municipal Structures Act (ss 34, 35) construed as regulating implementation of s 139 interventions. • Separation of powers and local autonomy – prolonged administration beyond 90 days undermines voters’ rights and constitutional scheme.
27 October 2020