Esorfranki Pipelines v Mopani District Municipality and Others (56730/2012) [2018] ZAGPPHC 262 (11 April 2018)

Esorfranki Pipelines v Mopani District Municipality and Others (56730/2012) [2018] ZAGPPHC 262 (11 April 2018)

The court found that there are no reasonable prospects that another court would reach a different conclusion regarding the applicant's damages claim. The applicant failed to establish that, but for the unlawful conduct of the first respondent, it would have been the successful bidder. Both the High Court and the Supreme Court of Appeal previously declined to make such a declaration. The argument that the main judgment set a policy barring claims against municipalities was rejected; the decision was based on the specific facts and is not precedent-setting. Consequently, there is neither a reasonable prospect of success nor a compelling reason for the appeal to be heard.

Citation
[2018] ZAGPPHC 262
Parties
Applicant: Esorfranki Pipelines; Respondent: Mopani District Municipality; Respondent: Tlong Re Yeng CC; Respondent: Base Major Construction (Pty) Ltd; Respondent: The Premier of Limpopo; Respondent: The Minister of Finance
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
11 April 2018
Case Number
56730/2012
Procedural Posture
Leave to Appeal / Application for Leave to Appeal Following Dismissal of Damages Claim in Main Action
Outcome
Application for leave to appeal dismissed with costs, including costs of two counsel.
Judges
T M Makgoka
Legal Topics
Leave to Appeal, Municipal Tender Award, Damages Claim, Reasonable Prospects of Success, Superior Courts Act
Civil Procedure Administrative Law Leave to Appeal Municipal Tender Award Damages Claim Reasonable Prospects of Success Superior Courts Act

Case Brief

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Parties

Esorfranki Pipelines

Applicant

Mopani District Municipality

Respondent

Tlong Re Yeng CC

Respondent

Base Major Construction (Pty) Ltd

Respondent

The Premier of Limpopo

Respondent

The Minister of Finance

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal Following Dismissal of Damages Claim in Main Action

Legal Issues

  1. 1 Whether there are reasonable prospects that another court might reach a different conclusion regarding the applicant's damages claim.
  2. 2 Whether there is a compelling reason for the appeal to be heard despite lack of prospects of success.
  3. 3 Whether the main judgment set a precedent barring claims against municipalities for unlawful tender awards.

Ratio Decidendi

The court found that there are no reasonable prospects that another court would reach a different conclusion regarding the applicant's damages claim. The applicant failed to establish that, but for the unlawful conduct of the first respondent, it would have been the successful bidder. Both the High Court and the Supreme Court of Appeal previously declined to make such a declaration. The argument that the main judgment set a policy barring claims against municipalities was rejected; the decision was based on the specific facts and is not precedent-setting. Consequently, there is neither a reasonable prospect of success nor a compelling reason for the appeal to be heard.

Court Disposition

Application for leave to appeal dismissed with costs, including costs of two counsel.

Orders

  • The application for leave to appeal is dismissed with costs, including costs of two counsel.