Baloi and Another v Maddox Adams International South Africa (Pty) Ltd (J203/16) [2018] ZALCJHB 264 (15 August 2018)

Baloi and Another v Maddox Adams International South Africa (Pty) Ltd (J203/16) [2018] ZALCJHB 264 (15 August 2018)

The court found that the arbitration award sought to be enforced by the applicants had prescribed. Prescription was interrupted by conciliation and review proceedings, but after the dismissal of the joinder application in 2005, the applicants abandoned the award and took no further steps to prosecute it. When the present application was launched in 2016, more than three years had elapsed, and the claim was time-barred under the Prescription Act. Furthermore, the liquidation of Rofo preceded the award, and no contracts of employment existed at the time of transfer. Section 197A of the LRA only applies to contracts in existence immediately before winding-up; thus, the respondent did not...

Citation
[2018] ZALCJHB 264
Parties
Applicant: Dennis Baloi; Applicant: Caswell Mozomane Baloyi; Respondent: Maddox Adams International South Africa (Pty) Ltd
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
15 August 2018
Case Number
J203/16
Procedural Posture
Declaratory Application / Judgment
Outcome
Application dismissed with no order as to costs.
Judges
Nkutha-Nkontwana
Legal Topics
Prescription of Arbitration Award, Transfer of Business as Going Concern, Section 197a Lra, Unfair Dismissal, Joinder Application
Labour Law Civil Procedure Prescription of Arbitration Award Transfer of Business as Going Concern Section 197a Lra Unfair Dismissal Joinder Application

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 6 Party arguments 2
Sign in to unlock

Parties

Dennis Baloi

Applicant

Caswell Mozomane Baloyi

Applicant

Maddox Adams International South Africa (Pty) Ltd

Respondent

Procedural Posture

Declaratory Application / Judgment

Legal Issues

  1. 1 Whether the respondent's takeover of Rofo Equipment CC constituted a transfer of business as a going concern under section 197 and 197A of the LRA.
  2. 2 Whether the arbitration award dated 4 August 2003 has prescribed and is enforceable against the respondent.
  3. 3 Whether the applicants' claim is barred by res judicata.

Ratio Decidendi

The court found that the arbitration award sought to be enforced by the applicants had prescribed. Prescription was interrupted by conciliation and review proceedings, but after the dismissal of the joinder application in 2005, the applicants abandoned the award and took no further steps to prosecute it. When the present application was launched in 2016, more than three years had elapsed, and the claim was time-barred under the Prescription Act. Furthermore, the liquidation of Rofo preceded the award, and no contracts of employment existed at the time of transfer. Section 197A of the LRA only applies to contracts in existence immediately before winding-up; thus, the respondent did not...

Court Disposition

Application dismissed with no order as to costs.

Orders

  • The application is dismissed with no order as to costs.