Aon South Africa (Pty) Ltd v Van den Heever NO and Others (615/2016) [2017] ZASCA 66; [2017] 3 All SA 365 (SCA); 2018 (6) SA 38 (SCA) (30 May 2017)

Aon South Africa (Pty) Ltd v Van den Heever NO and Others (615/2016) [2017] ZASCA 66; [2017] 3 All SA 365 (SCA); 2018 (6) SA 38 (SCA) (30 May 2017)

The Supreme Court of Appeal held that the requirements for res judicata in the form of issue estoppel were satisfied. There was a complete identity of interests between the liquidators of Protector and Financial Services, as well as between Glenrand and Financial Services, with Aon standing in Glenrand's shoes. The factual and legal issues, as well as the relief sought, were substantially the same in both actions, namely the recovery of R50 million paid to Financial Services as the purchase price for its stake in Protector. The previous judgment had determined that there was no dishonesty or collusive scheme, and that the payments were made with the knowledge and intention of all relevant...

Citation
[2017] ZASCA 66
Parties
Appellant: Aon South Africa (Pty) Ltd; Respondent: Corné Van den Heever NO; Respondent: Maryna Estelle Symes NO; Respondent: Glenrand MIB Financial Services (Pty) Ltd (in liquidation)
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
30 May 2017
Case Number
615/2016
Procedural Posture
Civil Appeal / Appeal From Gauteng Local Division, Johannesburg, High Court
Outcome
Appeal upheld; special plea of res judicata (issue estoppel) succeeds in relation to claims A, B, and C; claims A, B, and C dismissed; costs awarded to appellant.
Judges
Navsa, Theron, Wallis, Petse, Zondi
Legal Topics
Res Judicata, Issue Estoppel, Company Liquidation, Undue Preference, Collusive Transactions, Insolvency Act Claims
Civil Procedure Commercial and Corporate Res Judicata Issue Estoppel Company Liquidation Undue Preference Collusive Transactions Insolvency Act Claims

Case Brief

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Parties

Aon South Africa (Pty) Ltd

Appellant

Corné Van den Heever NO

Respondent

Maryna Estelle Symes NO

Respondent

Glenrand MIB Financial Services (Pty) Ltd (in liquidation)

Respondent

Procedural Posture

Civil Appeal / Appeal From Gauteng Local Division, Johannesburg, High Court

Legal Issues

  1. 1 Whether the requirements for res judicata and issue estoppel are satisfied in this case.
  2. 2 Whether there is sufficient identity of parties and issues between the previous and present actions.
  3. 3 Whether the claims advanced by the liquidators of Financial Services involve reconsideration of issues already determined in the previous litigation.

Ratio Decidendi

The Supreme Court of Appeal held that the requirements for res judicata in the form of issue estoppel were satisfied. There was a complete identity of interests between the liquidators of Protector and Financial Services, as well as between Glenrand and Financial Services, with Aon standing in Glenrand's shoes. The factual and legal issues, as well as the relief sought, were substantially the same in both actions, namely the recovery of R50 million paid to Financial Services as the purchase price for its stake in Protector. The previous judgment had determined that there was no dishonesty or collusive scheme, and that the payments were made with the knowledge and intention of all relevant...

Court Disposition

Appeal upheld; special plea of res judicata (issue estoppel) succeeds in relation to claims A, B, and C; claims A, B, and C dismissed; costs awarded to appellant.

Orders

  • The appeal is upheld with costs.
  • The order of the high court is set aside and replaced with the following order: (a) The special plea is upheld in relation to claims A, B and C. (b) Claims A, B and C are dismissed. (c) The plaintiffs are to pay the defendant’s costs in relation to the defence of claims A, B and C including the costs consequent upon...