Emfuleni Local Municipality and Others v Sams Tissue Products (PTY) Ltd (18024/2022) [2022] ZAGPJHC 954 (1 December 2022)
The court found that the Applicants' interpretation of prayer 4 was clearly incorrect. The order does not prevent the Municipality from instituting action for recovery of actual debts owed by the Respondent; it only restricts action based on estimated debts. The Applicants' concerns regarding prescription or special...
Source-derived case information.
- Citation
- [2022] ZAGPJHC 954
- Parties
- Applicant: Emfuleni Local Municipality; Applicant: Executive Mayor, Emfuleni Municipality: Sipho Radebe N.O.; Applicant: Municipal Manager, Emfuleni Municipality: Lucky Leseane N.O.; Respondent: Sams Tissue Products (PTY) Ltd
- Court
- South Gauteng High Court, Johannesburg
- Jurisdiction
- South Africa
- Case Number
- 18024/2022
- Procedural Posture
- Leave to Appeal / Application for Leave to Appeal Following Judgment Delivered on 6 July 2022.
- Outcome
- Application for leave to appeal dismissed with costs.
- Judges
- M A Makume
- Legal Topics
- Leave to Appeal, Interpretation of Court Orders, Debt Collection by Laws
Source-derived case record
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
Emfuleni Local Municipality
Applicant
Executive Mayor, Emfuleni Municipality: Sipho Radebe N.O.
Applicant
Municipal Manager, Emfuleni Municipality: Lucky Leseane N.O.
Applicant
Sams Tissue Products (PTY) Ltd
Respondent
Procedural Posture
Leave to Appeal / Application for Leave to Appeal Following Judgment Delivered on 6 July 2022.
Legal Issues
- 1 Whether prayer 4 of the previous order prevents the Municipality from exercising its legal rights regarding debt collection for debts incurred prior to 29 June 2022.
- 2 Whether the Applicants have reasonable prospects of success on appeal regarding the interpretation of prayer 4.
Ratio Decidendi
The court found that the Applicants' interpretation of prayer 4 was clearly incorrect. The order does not prevent the Municipality from instituting action for recovery of actual debts owed by the Respondent; it only restricts action based on estimated debts. The Applicants' concerns regarding prescription or special pleas were unfounded, as the Respondent had indicated no intention to rely on such pleas and had invited the filing of a counterclaim. Applying the test under Section 17(1) of Act 10 of 2013, the court was not persuaded that there were reasonable prospects of success for the appeal.
Court Disposition
Application for leave to appeal dismissed with costs.
Orders
- The application for leave to appeal is dismissed.
- The Applicants are ordered to pay the costs of this application.
Full Case Text
Judgment text and source record
51 paragraphs
REPUBLIC OF SOUTH AFRICA
IN THE HIGH COURT OF SOUTH AFRICA
GAUTENG DIVISION, JOHANNESBURG
CASE NO: 18024/2022
REPORTABLE: NO
OF INTEREST TO OTHER JUDGES: NO
REVISED
1/12/2022
In the matter between:
EMFULENI LOCAL MUNICIPALITY
1ST APPLICANT
EXECUTIVE MAYOR, EMFULENI
2ND APPLICANT
MUNICIPALITY: SIPHO RADEBE N.O.
MUNICIPAL MANAGER, EMFULENI
MUNICIPAL: LUCKY LESEANE N.O.
3RD APPLICANT
And
SAMS TISSUE PRODUCTS (PTY) LTD
RESPONDENT
JUDGMENT ON APPLICATION FOR LEAVE TO APPEAL
MAKUME J:
[1] The Applicants who were the Respondents in this application seek leave to appeal against prayer four of the order I handed down on the 6th July 2022.
[2] That prayer 4 reads as follows:
“This order does not prevent the Respondents from exercising their legal rights in terms of the revenue and debt collection by laws in respect of any actual indebtedness owed by the Applicants to the Respondent arising after 29th June 2022.”
[3] The Applicants argue that this order means that the Municipality is prevented from exercising its legal right in terms of its revenue and debt collection by laws, including instituting any legal proceedings in respect of Sam Tissue Products indebtedness prior to 29 June 2022.
[4] It is that interpretation that the Applicant says should go on appeal to the full bench of this Court alternatively the Supreme Court of Appeal.
[5] The Applicants interpretation of the order in paragraph 4 is clearly wrong. There is nowhere in the judgment nor in the order in which this Court barred Emfuleni from instituting action against the Respondent for recovery of debts due to it. All that the order says is that if there is actual debt not estimated debt they can proceed to institute action.
[6] It must be recalled that the interdict came about because Emfuleni threatened to cut off electricity supplies on a disputed claim based on estimates. It is that matter for which Emfuleni is now been sued as directed in paragraphs 2 and 3 of the order.
[7] The order in paragraph 4 is directed at preventing threats to cut off based on estimates which may result in further interdicts.
[8] The Applicants unfounded fear that it will be faced with a plea of prescription or some form of special plea has been put to bed by Counsel for the Respondent who indicated before this Court that Sams Tissue has no intention of relying on such pleas and actually invited the Applicants to file their counterclaim.
[9] The test to be applied in deciding whether or not leave should be granted is governed by the provisions of Section 17(1) of Act 10 of 2013 which provides as follows:
“Leave to appeal may only be given where the judge or judges concerned are of the opinion that:
a) (i) the appeal would have a reasonable prospect of success or
(ii) there is some other compelling reason why the appeal should be heard including conflicting judgments.”
[10] I am not persuaded that the appeal would have a reasonable prospects of success.
ORDER:
1. The application for leave to appeal is dismissed.
2. The Applicants are ordered to pay costs of this application.
DATED at JOHANNESBURG this the 01st day of DECEMBER 2022.
M A MAKUME
JUDGE OF THE HIGH COURT
DATE OF HEARING : 01 DECEMBER 2022
DATE OF JUDGMENT : 01 DECEMBER 2022
FOR APPLICANTS
: ADV MATHOPO
INSTRUCTED BY
: MAJAVU INCORPORATED
FOR RESPONDENT : ADV KHAN
INSTRUCTED BY
: SHAHEED DOLLIE ATTORNEYS