Corin v Red Ivory Banqueting (Pty) Ltd (NCT/271555/2023/75(1)(b)) [2024] ZANCT 11 (9 July 2024)

Corin v Red Ivory Banqueting (Pty) Ltd (NCT/271555/2023/75(1)(b)) [2024] ZANCT 11 (9 July 2024)

The Tribunal found that the applicant cancelled the wedding booking on short notice due to COVID-19 travel restrictions, which were unforeseen and unavoidable. The respondent was entitled to a reasonable cancellation fee, but the applicant did not provide evidence to rebut the respondent's claims regarding industry practice and economic loss. Applying section 17(4) of the Consumer Protection Act, the Tribunal determined that a reasonable cancellation charge should not exceed 10% of the total amount paid. Accordingly, the respondent was ordered to refund R72,000.00 to the applicant, representing the amount paid less a 10% cancellation fee.

Citation
[2024] ZANCT 11
Parties
Applicant: Jennifer Mary Corin; Respondent: Red Ivory Banqueting (Pty) Ltd
Court
National Consumer Tribunal
Jurisdiction
South Africa
Judgment Date
9 July 2024
Case Number
NCT/271555/2023/75(1)(b)
Procedural Posture
Review Application / Final Judgment After Hearing
Outcome
The application succeeds in part; the respondent is ordered to refund the applicant less a reasonable cancellation fee.
Judges
A Potwana, P Manzi-Ntshingila, S Mbhele
Legal Topics
Consumer Protection Act, Cancellation Fee, Advance Booking, Covid 19 Force Majeure, Refund Claim
Commercial and Corporate Civil Procedure Consumer Protection Act Cancellation Fee Advance Booking Covid 19 Force Majeure Refund Claim

Case Brief

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Parties

Jennifer Mary Corin

Applicant

Red Ivory Banqueting (Pty) Ltd

Respondent

Procedural Posture

Review Application / Final Judgment After Hearing

Legal Issues

  1. 1 Whether the applicant is entitled to a refund of R75,000.00 paid for a cancelled wedding booking.
  2. 2 What constitutes a reasonable cancellation fee under section 17 of the Consumer Protection Act.
  3. 3 Whether the respondent acted reasonably in imposing a cancellation charge.

Ratio Decidendi

The Tribunal found that the applicant cancelled the wedding booking on short notice due to COVID-19 travel restrictions, which were unforeseen and unavoidable. The respondent was entitled to a reasonable cancellation fee, but the applicant did not provide evidence to rebut the respondent's claims regarding industry practice and economic loss. Applying section 17(4) of the Consumer Protection Act, the Tribunal determined that a reasonable cancellation charge should not exceed 10% of the total amount paid. Accordingly, the respondent was ordered to refund R72,000.00 to the applicant, representing the amount paid less a 10% cancellation fee.

Court Disposition

The application succeeds in part; the respondent is ordered to refund the applicant less a reasonable cancellation fee.

Orders

  • The respondent must pay R72,000.00 into the applicant’s bank account within 30 ordinary days of the issuing of this judgment.
  • There is no order as to costs.