Govender and Another v Burden and Swart Attorneys (35418/2010) [2013] ZAGPPHC 255 (27 August 2013)

Govender and Another v Burden and Swart Attorneys (35418/2010) [2013] ZAGPPHC 255 (27 August 2013)

The court found that the plaintiffs had a longstanding relationship of trust with the defendant, having previously advanced bridging finance which was always repaid by the defendant. The evidence showed that the plaintiffs did not have any relationship with Mr Linkmeyer or his companies and would not have contracted with him. The defendant failed to produce any corroborating documentation to support its claim that the agreement was with Mr Linkmeyer or his companies. Annexure 'A' was a standard template used by the defendant for such transactions, and its lack of signature was not material given the established practice. The court accepted the second plaintiff's evidence as credible and...

Citation
[2013] ZAGPPHC 255
Parties
Plaintiff: Lenny Govender; Plaintiff: Michelle Govender; Defendant: Burden and Swart Attorneys
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
27 August 2013
Case Number
35418/2010
Procedural Posture
Civil Trial / Judgment After Trial
Outcome
Judgment granted in favour of the plaintiffs for the outstanding loan amount, with interest and costs.
Judges
Molefe
Legal Topics
Loan Agreement, Bridging Finance, Oral and Written Contract, Undertaking to Repay, Mutually Destructive Versions
Commercial and Corporate Loan Agreement Bridging Finance Oral and Written Contract Undertaking to Repay Mutually Destructive Versions

Case Brief

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Parties

Lenny Govender

Plaintiff

Michelle Govender

Plaintiff

Burden and Swart Attorneys

Defendant

Procedural Posture

Civil Trial / Judgment After Trial

Legal Issues

  1. 1 Whether the defendant entered into a binding loan agreement with the plaintiffs for R600,000.00.
  2. 2 Whether the defendant undertook to repay the loan as per Annexure 'A'.
  3. 3 Whether the plaintiffs contracted with the defendant or with its client, Mr Linkmeyer and/or his companies.

Ratio Decidendi

The court found that the plaintiffs had a longstanding relationship of trust with the defendant, having previously advanced bridging finance which was always repaid by the defendant. The evidence showed that the plaintiffs did not have any relationship with Mr Linkmeyer or his companies and would not have contracted with him. The defendant failed to produce any corroborating documentation to support its claim that the agreement was with Mr Linkmeyer or his companies. Annexure 'A' was a standard template used by the defendant for such transactions, and its lack of signature was not material given the established practice. The court accepted the second plaintiff's evidence as credible and...

Court Disposition

Judgment granted in favour of the plaintiffs for the outstanding loan amount, with interest and costs.

Orders

  • Judgment is granted in favour of the plaintiffs for an amount of R426,000.00.
  • Interest at a rate of 15.5% per annum from 18 March 2010 until date of payment.