Du Plooy v Sasol Bedryf (Eiendoms) BPK (125/87) [1987] ZASCA 123; [1988] 1 All SA 417 (A) (30 September 1987)

Du Plooy v Sasol Bedryf (Eiendoms) BPK (125/87) [1987] ZASCA 123; [1988] 1 All SA 417 (A) (30 September 1987)

The court held that the prospecting contracts were divisible. The incomplete clauses 7(a), (d), and (e) related to future agreements concerning surface rights and compensation after the prospecting period, and were not so intertwined with the core rights and obligations regarding prospecting and the option to purchase mineral rights as to render the entire contracts invalid. The essential terms for prospecting and the option to purchase were sufficiently agreed upon and could stand independently. The probable intention of the parties, as inferred from the contracts, was that the main rights and obligations would remain valid even if certain ancillary terms required future agreement....

Citation
[1987] ZASCA 123
Parties
Appellant: Adriaan Marthinus Francois du Plooy; Respondent: Sasol Bedryf (Eiendoms) BPK
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
30 September 1987
Case Number
125/87
Procedural Posture
Civil Appeal / Appeal From the Orange Free State Provincial Division
Outcome
The appeal is dismissed with costs, including the costs of two counsel.
Judges
Joubert, Viljoen, Van Heerden, Smalberger, Steyn
Legal Topics
Formalities in Land Contracts, Divisibility of Contracts, Mineral Rights, Option to Purchase
Land and Property Commercial and Corporate Formalities in Land Contracts Divisibility of Contracts Mineral Rights Option to Purchase

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Parties

Adriaan Marthinus Francois du Plooy

Appellant

Sasol Bedryf (Eiendoms) BPK

Respondent

Procedural Posture

Civil Appeal / Appeal From the Orange Free State Provincial Division

Legal Issues

  1. 1 Whether the inclusion of incomplete clauses 7(a), (d), and (e) in the prospecting contracts renders the entire contracts invalid under the Formalities in Respect of Contracts of Sale of Land Act 71 of 1969.
  2. 2 Whether the prospecting contracts are divisible such that the invalidity of certain clauses does not affect the validity of the remainder of the contracts.

Ratio Decidendi

The court held that the prospecting contracts were divisible. The incomplete clauses 7(a), (d), and (e) related to future agreements concerning surface rights and compensation after the prospecting period, and were not so intertwined with the core rights and obligations regarding prospecting and the option to purchase mineral rights as to render the entire contracts invalid. The essential terms for prospecting and the option to purchase were sufficiently agreed upon and could stand independently. The probable intention of the parties, as inferred from the contracts, was that the main rights and obligations would remain valid even if certain ancillary terms required future agreement....

Court Disposition

The appeal is dismissed with costs, including the costs of two counsel.

Orders

  • The appeal is dismissed.
  • The appellant is ordered to pay the costs of the appeal, including the costs of two advocates.