Alte Eiendomme v Schutte NO and Others (4110/2006) [2011] ZAFSHC 56 (17 March 2011)

Alte Eiendomme v Schutte NO and Others (4110/2006) [2011] ZAFSHC 56 (17 March 2011)

The court found that the written commission agreement between the parties was clear and unambiguous in its terms, acknowledging the plaintiff as the effective cause of the sale and stipulating the commission payable. The court rejected the defendants' argument that payment of commission was conditional upon the purchaser being 'willing and able' or upon payment of the first instalment, holding that the agreement did not create such conditions. The court further held that the plaintiff was in possession of the required fidelity fund certificate at all relevant times. Applying the integration rule, the court found that the written agreement constituted the exclusive record of the parties'...

Citation
[2011] ZAFSHC 56
Parties
Plaintiff: Alte Eiendomme; Defendant: Francoais Benjamin Schutte NO; Defendant: Pearl Grace Schutte NO; Defendant: Francoais Stephanus Schutte NO
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
17 March 2011
Case Number
4110/2006
Procedural Posture
Civil Procedure / Application for Absolution From the Instance After Plaintiff Closed Its Case
Outcome
Application for absolution from the instance dismissed with costs.
Judges
P.U. Fischer
Legal Topics
Estate Agency Commission, Effective Cause, Integration Rule, Parol Evidence Rule, Contractual Interpretation
Commercial and Corporate Civil Procedure Estate Agency Commission Effective Cause Integration Rule Parol Evidence Rule Contractual Interpretation

Case Brief

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Parties

Alte Eiendomme

Plaintiff

Francoais Benjamin Schutte NO

Defendant

Pearl Grace Schutte NO

Defendant

Francoais Stephanus Schutte NO

Defendant

Procedural Posture

Civil Procedure / Application for Absolution From the Instance After Plaintiff Closed Its Case

Legal Issues

  1. 1 Whether the plaintiff was entitled to estate agent commission under the written 'commission agreement'.
  2. 2 Whether the commission agreement was subject to the condition that the purchaser was 'willing and able'.
  3. 3 Whether payment of commission was conditional upon payment of the first instalment of the purchase price.

Ratio Decidendi

The court found that the written commission agreement between the parties was clear and unambiguous in its terms, acknowledging the plaintiff as the effective cause of the sale and stipulating the commission payable. The court rejected the defendants' argument that payment of commission was conditional upon the purchaser being 'willing and able' or upon payment of the first instalment, holding that the agreement did not create such conditions. The court further held that the plaintiff was in possession of the required fidelity fund certificate at all relevant times. Applying the integration rule, the court found that the written agreement constituted the exclusive record of the parties'...

Court Disposition

Application for absolution from the instance dismissed with costs.

Orders

  • The application for absolution from the instance is dismissed with costs.