Geldenhuys NO and Others v Daniels (20848/2014) [2016] ZASCA 45 (31 March 2016)

Geldenhuys NO and Others v Daniels (20848/2014) [2016] ZASCA 45 (31 March 2016)

Clause 15 of the agreement rendered the offer irrevocable until midnight on 18 January 2008, but did not provide that the offer would lapse if not accepted by that time. After the stated date, the offer became revocable but remained open for acceptance until revoked. The Trust did not revoke the offer before the respondent accepted it on 29 January 2008. Therefore, the acceptance was effective and resulted in a binding agreement. The heading 'offer lapses' did not override the clear wording of the clause. The respondent was entitled to damages for the Trust's repudiation of the agreement.

Citation
[2016] ZASCA 45
Parties
Appellant: Hannes Geldenhuys NO; Appellant: Hendrik Snyman Oosthuizen NO; Appellant: Abel Herman Gerhardus Nell NO; Respondent: Susan Romao-Duarte Daniels
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
31 March 2016
Case Number
20848/2014
Procedural Posture
Civil Appeal / Appeal From Kwa Zulu Natal Local Division, High Court
Outcome
Appeal dismissed with costs.
Judges
Ponnan, Wallis, Petse, Dambuza, Tsoka
Legal Topics
Irrevocable Offer, Acceptance of Offer, Contractual Repudiation, Damages for Breach, Sale of Immovable Property
Commercial and Corporate Land and Property Irrevocable Offer Acceptance of Offer Contractual Repudiation Damages for Breach Sale of Immovable Property

Case Brief

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Parties

Hannes Geldenhuys NO

Appellant

Hendrik Snyman Oosthuizen NO

Appellant

Abel Herman Gerhardus Nell NO

Appellant

Susan Romao-Duarte Daniels

Respondent

Procedural Posture

Civil Appeal / Appeal From Kwa Zulu Natal Local Division, High Court

Legal Issues

  1. 1 Whether the acceptance of an offer to purchase immovable property after the stated irrevocability date resulted in a binding contract.
  2. 2 Whether the offer lapsed or became revocable after the stated date.
  3. 3 Whether the respondent was entitled to damages following the cancellation of the agreement.

Ratio Decidendi

Clause 15 of the agreement rendered the offer irrevocable until midnight on 18 January 2008, but did not provide that the offer would lapse if not accepted by that time. After the stated date, the offer became revocable but remained open for acceptance until revoked. The Trust did not revoke the offer before the respondent accepted it on 29 January 2008. Therefore, the acceptance was effective and resulted in a binding agreement. The heading 'offer lapses' did not override the clear wording of the clause. The respondent was entitled to damages for the Trust's repudiation of the agreement.

Court Disposition

Appeal dismissed with costs.

Orders

  • The appeal is dismissed with costs.