Campbell NO and Another v Fourie and Another (860/2019) [2019] ZAFSHC 213 (7 November 2019)

Campbell NO and Another v Fourie and Another (860/2019) [2019] ZAFSHC 213 (7 November 2019)

The court found that the plaintiffs acted reasonably in instituting the action, fulfilling their statutory duty to recover irregularly spent public funds. The settlement agreement with the second defendant resolved the bulk of the claim, and the withdrawal against the first defendant was justified and did not prejudice him. The court exercised its discretion to depart from the general rule on costs, considering the minimal costs incurred at withdrawal and the equitable circumstances. The first defendant's pursuit of costs was not frivolous or vexatious but did not warrant a punitive costs order. Accordingly, each party was ordered to pay its own costs.

Citation
[2019] ZAFSHC 213
Parties
Plaintiff: Malcom Neil Campbell NO; Plaintiff: Vrystaat Munisipale Pensioenfonds; Defendant: Fritz Fourie; Defendant: Jade Steenkamp
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
7 November 2019
Case Number
860/2019
Procedural Posture
Civil Procedure / Application for Costs Following Withdrawal of Action
Outcome
Application dismissed. Each party to pay its own costs.
Judges
Naidoo
Legal Topics
Costs on Withdrawal, Judicial Discretion in Costs, Party and Party Costs, Attorney and Client Costs
Civil Procedure Costs on Withdrawal Judicial Discretion in Costs Party and Party Costs Attorney and Client Costs

Case Brief

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Parties

Malcom Neil Campbell NO

Plaintiff

Vrystaat Munisipale Pensioenfonds

Plaintiff

Fritz Fourie

Defendant

Jade Steenkamp

Defendant

Procedural Posture

Civil Procedure / Application for Costs Following Withdrawal of Action

Legal Issues

  1. 1 Whether the first defendant is entitled to costs after the plaintiffs withdrew the action without tendering costs.
  2. 2 Whether the court should depart from the general rule that the unsuccessful party pays costs.
  3. 3 Whether the circumstances justify each party paying its own costs.

Ratio Decidendi

The court found that the plaintiffs acted reasonably in instituting the action, fulfilling their statutory duty to recover irregularly spent public funds. The settlement agreement with the second defendant resolved the bulk of the claim, and the withdrawal against the first defendant was justified and did not prejudice him. The court exercised its discretion to depart from the general rule on costs, considering the minimal costs incurred at withdrawal and the equitable circumstances. The first defendant's pursuit of costs was not frivolous or vexatious but did not warrant a punitive costs order. Accordingly, each party was ordered to pay its own costs.

Court Disposition

Application dismissed. Each party to pay its own costs.

Orders

  • The application is dismissed.
  • Each party is to pay its own costs.