Anglo Office Supplies (Pty) Ltd v Lotz (JA 32/06) [2007] ZALAC 30; (2008) 29 ILJ 953 (LAC) (22 November 2007)

Anglo Office Supplies (Pty) Ltd v Lotz (JA 32/06) [2007] ZALAC 30; (2008) 29 ILJ 953 (LAC) (22 November 2007)

The Labour Appeal Court held that, on the respondent's own version, his dismissal was connected to the transfer of the appellant's retail division to Makulu Time Office Products (Pty) Ltd as a going concern. Section 197(2)(c) of the Labour Relations Act provides that the new employer assumes liability for all actions done by the old employer in relation to employees, including dismissals. The respondent's statement of claim, which alleged an automatically unfair dismissal under section 187(1)(g), did not disclose a cause of action against the appellant, as the liability for such dismissal rests with the new employer. The Labour Court erred in dismissing the point in limine and not...

Citation
[2007] ZALAC 30
Parties
Appellant: Anglo Office Supplies (Pty) Ltd; Respondent: Roger Lotz
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
22 November 2007
Case Number
JA 32/06
Procedural Posture
Civil Appeal / Appeal Against Labour Court's Dismissal of Point in Limine
Outcome
Appeal upheld. Labour Court's order set aside. Point in limine upheld. Respondent granted leave to amend statement of claim within 30 days, failing which claim against appellant deemed dismissed. No order as to costs.
Judges
Tlaletsi, Zondo, Waglay
Legal Topics
Automatic Unfair Dismissal, Transfer of Business, Section 197 Liability, Point in Limine, Condonation for Late Appeal
Labour Law Civil Procedure Automatic Unfair Dismissal Transfer of Business Section 197 Liability Point in Limine Condonation for Late Appeal

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 4 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Parties

Anglo Office Supplies (Pty) Ltd

Appellant

Roger Lotz

Respondent

Procedural Posture

Civil Appeal / Appeal Against Labour Court's Dismissal of Point in Limine

Legal Issues

  1. 1 Whether section 197(2)(c) of the Labour Relations Act renders the new employer liable for dismissals related to a transfer of business as a going concern.
  2. 2 Whether the respondent's statement of claim discloses a cause of action against the appellant under section 187(1)(g) of the Labour Relations Act.
  3. 3 Whether the Labour Court erred in dismissing the point in limine and not recognising the statutory substitution of liability.

Ratio Decidendi

The Labour Appeal Court held that, on the respondent's own version, his dismissal was connected to the transfer of the appellant's retail division to Makulu Time Office Products (Pty) Ltd as a going concern. Section 197(2)(c) of the Labour Relations Act provides that the new employer assumes liability for all actions done by the old employer in relation to employees, including dismissals. The respondent's statement of claim, which alleged an automatically unfair dismissal under section 187(1)(g), did not disclose a cause of action against the appellant, as the liability for such dismissal rests with the new employer. The Labour Court erred in dismissing the point in limine and not...

Court Disposition

Appeal upheld. Labour Court's order set aside. Point in limine upheld. Respondent granted leave to amend statement of claim within 30 days, failing which claim against appellant deemed dismissed. No order as to costs.

Orders

  • The application for condonation for the late filing of the notice of appeal is granted.
  • The appeal is upheld.