FPS Ltd. v Trident Construction (Pty) Ltd. (519/87) [1989] ZASCA 28; [1989] 2 All SA 295 (A) (29 March 1989)

FPS Ltd. v Trident Construction (Pty) Ltd. (519/87) [1989] ZASCA 28; [1989] 2 All SA 295 (A) (29 March 1989)

The court found that Roberts was a servant of F.P.S. Limited and acted within the course and scope of his employment when he solicited and received the investment funds from Broadbent. The evidence established that Broadbent intended to deal with F.P.S. through Roberts, relying on F.P.S.'s reputation and prior dealings. The written contract of employment and the degree of control exercised by F.P.S. over its consultants supported the existence of a master-servant relationship. Although Roberts exceeded his authority by arranging a syndicated investment, his actions fell within the functions for which he was appointed. F.P.S. was therefore vicariously liable for the loss suffered by the...

Citation
[1989] ZASCA 28
Parties
Appellant: F.P.S. Limited; Respondent: Trident Construction (Pty) Limited
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
29 March 1989
Case Number
519/87
Procedural Posture
Civil Appeal / Appeal From Judgment of the Natal Provincial Division
Outcome
Appeal dismissed with costs. Judgment of the court a quo upheld.
Judges
Botha, Van Heerden, Vivier, Eksteen, Grosskopf
Legal Topics
Vicarious Liability, Employee Theft, Scope of Employment, Pleadings and Admissions
Delict Civil Procedure Vicarious Liability Employee Theft Scope of Employment Pleadings and Admissions

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 6 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

F.P.S. Limited

Appellant

Trident Construction (Pty) Limited

Respondent

Procedural Posture

Civil Appeal / Appeal From Judgment of the Natal Provincial Division

Legal Issues

  1. 1 Whether F.P.S. Limited is vicariously liable for the theft committed by its employee, Roberts, in the course and scope of his employment.
  2. 2 Whether the relationship between Roberts and F.P.S. was that of master and servant or independent contractor.
  3. 3 Whether Broadbent dealt with Roberts in his personal capacity or as a representative of F.P.S.

Ratio Decidendi

The court found that Roberts was a servant of F.P.S. Limited and acted within the course and scope of his employment when he solicited and received the investment funds from Broadbent. The evidence established that Broadbent intended to deal with F.P.S. through Roberts, relying on F.P.S.'s reputation and prior dealings. The written contract of employment and the degree of control exercised by F.P.S. over its consultants supported the existence of a master-servant relationship. Although Roberts exceeded his authority by arranging a syndicated investment, his actions fell within the functions for which he was appointed. F.P.S. was therefore vicariously liable for the loss suffered by the...

Court Disposition

Appeal dismissed with costs. Judgment of the court a quo upheld.

Orders

  • The appeal is dismissed with costs.
  • The order of the Natal Provincial Division in favour of the respondent is confirmed.