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South Africa Judgment

North Gauteng High Court, Pretoria

Ferreira v Rossberg and Another (6317/2010) [2011] ZAGPPHC 143 (27 May 2011)

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01

Holding and result

The court found that the applicant was entitled to payment of the amount held in trust, as determined by Mr. Prinsloo in accordance with the antenuptial contract and the settlement agreement made an order of court. The respondents had no legal basis to withhold payment, particularly as they lacked locus standi to claim maintenance for their major daughter. The second respondent's counterclaim for the appointment of a new liquidator was dismissed because Mr. Prinsloo had not been served with the application and no cogent reasons were provided for the delay in seeking his removal. Costs were awarded against the second respondent, as she was the principal in instructing the first respondent to withhold payment.

Court disposition

Application granted; counterclaim dismissed with costs.

Orders

  • The first respondent is ordered to forthwith make payment to the applicant of the amount of R343,229.54 together with the interest accrued thereon and to account to the applicant in respect thereof.
  • The first and second respondent jointly and severally, the one paying the other to be absolved, must pay the costs of this application.

02

Material facts

Parties

Ferreira David Hermanus

Applicant Counsel: Mr. J.W. Steyn

Rossberg Sophia Magrieta

Respondent

Ferreira Elizabeth Hendrieka

Respondent Counsel: Mr. I. Engelbecht

Amounts and remedies

  • Amount Awarded to Applicant: ZAR 343,229.54

03

Procedural history

  1. Posture

    Civil Application / Final Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the amount of R343,229.54, determined by Mr. Prinsloo in accordance with the parties' antenuptial contract and the settlement agreement made an order of court, is being unlawfully withheld by the first respondent. He contended that the respondents have no legal basis to retain the funds, particularly as any maintenance claims for their major daughter cannot be asserted by the respondents. The applicant sought payment of the amount plus interest and costs.
Respondent
The second respondent counterclaimed for the appointment of a new liquidator, alleging that Mr. Prinsloo lacked the necessary legal expertise to determine the accrual and division of assets under the antenuptial contract. Alternatively, she sought an order for payment of a specific amount as determined by Mr. Prinsloo, subject to legal adjustments. The respondents also argued that the amount should be withheld due to the applicant's alleged maintenance obligations towards their daughter.

05

Court’s reasoning

  1. 01

    General principle of South African civil procedure

    Orders of court, especially those obtained by consent, must have finality and cannot be lightly varied.

  2. 02

    General principle of audi alteram partem

    A liquidator or appointed expert must be served with papers if relief is sought to relieve them of their functions.

  3. 03

    Matrimonial Property Act 88 of 1984; general family law principles

    Maintenance claims for major children must be brought by the children themselves; parents lack locus standi to claim maintenance on their behalf.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the applicant was entitled to payment of the amount held in trust, as determined by Mr. Prinsloo in accordance with the antenuptial contract and the settlement agreement made an order of court. The respondents had no legal basis to withhold payment, particularly as they lacked locus standi to claim maintenance for their major daughter. The second respondent's counterclaim for the appointment of a new liquidator was dismissed because Mr. Prinsloo had not been served with the application and no cogent reasons were provided for the delay in seeking his removal. Costs were awarded against the second respondent, as she was the principal in instructing the first respondent to withhold payment.

Obiter and limits

  • Finality in litigation is essential for the efficacy of court orders.
  • Condonation is a discretionary matter and must be justified by cogent reasons, which were absent in this case.
  • It would be inappropriate to order costs against the first respondent, who acted as agent for the second respondent.

Court disposition

Application granted; counterclaim dismissed with costs.

  • The first respondent is ordered to forthwith make payment to the applicant of the amount of R343,229.54 together with the interest accrued thereon and to account to the applicant in respect thereof.
  • The first and second respondent jointly and severally, the one paying the other to be absolved, must pay the costs of this application.

Source and reliance status

North Gauteng High Court, Pretoria

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Judgment text

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Source document

North Gauteng High Court, Pretoria

Judgment

[2011] ZAGPPHC 143

NOT

REPORTABLE

IN

THE HIGH COURT OF SOUTH AFRICA

(NORTH GAUTENG HIGH COURT, PRETORIA)

CASE NO: 6317/2010

DATE:27/05/2011

In the matter between:

FERREIRA

DAVID HERMANUS..............................................................................APPLICANT

And

ROSSBERG,

SOPHIA MAGRIETA..............................................................1ST

RESPONDENT

FERREIRA,

ELIZABETH HENDRIEKA....................................................... 2nd RESPONDENT

JUDGMENT

[1] The applicant brought an application for the payment of an amount of R343 229.54 together with interest accrued to be paid to the plaintiff, as well the costs to be paid jointly and severally alternatively by the second respondent.

[2] The second respondent has also counterclaimed, seeking the appointment of a new liquidator alternatively an order for the payment of a specific amount as determined by Mr. Prinsloo being the person appointed by the parties to determine the accrual for the division in terms of the Antenuptual Contract with necessary adjustments with the necessary legal adjustments as proposed.

[3] It is common cause that the parties were married to each other out of community of property and of profit and loss, but with the inclusion of the Accrual System as contemplated in Chapter one of the Matrimonial Property Act 88 of 1984. The parties were subsequently divorced on the 23 November 2007 at the Central Divorce Act. They also reached a settlement agreement which was made an order of the Court, as regards division of their assets. In terms of the said agreement, it was agreed inter alia, that their respective estates will be determined, with the cut of date being the date on which the divorce was granted, and divided in terms of the provisions of Antenuptual Contract H3174/ 86 concluded by the parties on 20 June 1986, by Mr. Dawid Prinsloo of Hopetown a Charted Accountant.

[4] It is trite that there has to be finality to matters. In my view, for the orders of court to have the efficacy of a legal document, there must be finality to the litigation that is the pons of that particular judgment. Orders of Court, especially if obtained by consent, cannot be lightly varied.

[5] It is common cause that Mr. Prinsloo has not been cited in these proceedings. The order sought by the second respondent, is

essentially to relieve Mr. Prinsloo of his functions as agreed upon by the parties. It is suggested by the second respondent that

Prinsloo has no legal knowledge of determining whether the assets and liabilities are excluded in terms of various contracts concluded by the parties. Although incompetence might be reason to relieve an appointed liquidator of his functions in an estate, he must be served with

the papers seeking such relief. In casu, Mr. Prinsloo has not been served with this application.

[6] The second respondent, has not proffered me with cogent reasons why since November 2007 she did not take appropriate steps to have Mr. Prinsloo relieved of his official duties in their estate. Condonation is a discretionary matter of the court. In casu, have not been persuaded why I should exercise my discretion in favour of the second respondent. Her counter application must therefore be dismissed with costs.

[7] The amount sought by the applicant, Mr. David Hermanus Ferreira is kept in the trust account of the first respondent, the erstwhile

attorney of record of the second respondent. It would seem that one of the reasons why the amount is not being paid out to the applicant is that applicant owes maintain money to the same amount held in trust, in respect of the maintenance of his and second respondent's daughter. It is common cause that, this daughter, that she is a major studying B.Com at Stellenbosch University. The respondents have no right to withhold payment for this reason because they have no locus standi to claim maintenance on behalf of Ms Ferreira, or any of the major children of the parties.

[8] The first respondent and the second respondent were aware of the determination by Mr. Prinsloo of the respective shares of the

parties1.The first respondent was also informed as early in August 2009 that she no longer has any reason to keep the amount in her trust account2. The respondents did not take any action to counter this assertion.

[9] I am of the view that the respondents have not made a case why the relief sought by the applicant should not be granted. It is trite that costs follow record of the second respondent. She could not pay out the money held in her, unless so instructed by the second respondent. As she the agent of the second respondent, it would be inappropriate to mulct her with costs of this matter. The second respondent must bear all the costs.

[10] In the result, I make the following order:

1. That the first respondent is ordered to forthwith make payment to the applicant of the amount of R343, 229, 54 together with the interest accrued thereon and to account to the applicant in respect thereof;

2. That the first and second respondent jointly and severally, the one paying the other to be absolved, pay costs of this application.

NM

MAVUNDLA

JUDGE

OF THE HIGH COURT

DATE OF JUDGMENT : 27/05/2011

APPLICANT'S ATT : WEAVIND & WEAVIND INCORPORATED

APPLICANTS ADV : MR.J.W. STEYN

2nd RESPONDENTS' ATT : WOLVAARDT INCORPORATED

2nd RESPONDENTS' ADV:MR. I. ENGELBECHT

1Vide paginated pages 43-45, 83-90 of the papers

2Vide paginated page 92 annexure "DD" of the papers.

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Authorities

Authorities used by the court

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Matrimonial Property Act 88 of 1984

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