Govender v Reddy and Another (12442/2009) [2010] ZAKZDHC 8 (17 February 2010)

Govender v Reddy and Another (12442/2009) [2010] ZAKZDHC 8 (17 February 2010)

The court found that the sale agreement was subject to a suspensive condition requiring the applicant to obtain a mortgage loan. Although no specific period was stipulated, it was accepted that fulfilment should occur within a reasonable time. The first respondent cancelled the agreement six weeks after its conclusion, but failed to provide evidence that a reasonable time had expired for the applicant to secure the loan. The court held that the respondent did not discharge the onus of proving that the period was unreasonable, and therefore the purported cancellation was invalid. The applicant was entitled to a declarator and costs.

Citation
[2010] ZAKZDHC 8
Parties
Applicant: Saroja Devi Govender; Respondent: Jahanna Kalishia Reddy; Respondent: Registrar of Deeds
Court
Kwazulu-Natal High Court, Durban
Jurisdiction
South Africa
Judgment Date
17 February 2010
Case Number
12442/2009
Procedural Posture
Urgent Application / Return Date on Final Interdict After Interim Relief Granted
Outcome
Application granted. The purported cancellation of the sale agreement by the first respondent is declared invalid. Costs awarded to the applicant.
Judges
Msimang
Legal Topics
Sale of Land, Suspensive Condition, Specific Performance, Interdict, Contract Cancellation
Land and Property Civil Procedure Sale of Land Suspensive Condition Specific Performance Interdict Contract Cancellation

Case Brief

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Parties

Saroja Devi Govender

Applicant

Jahanna Kalishia Reddy

Respondent

Registrar of Deeds

Respondent

Procedural Posture

Urgent Application / Return Date on Final Interdict After Interim Relief Granted

Legal Issues

  1. 1 Whether the suspensive condition in the sale agreement was fulfilled within a reasonable time.
  2. 2 Whether the first respondent was entitled to cancel the sale agreement and resile from it.
  3. 3 Whether the applicant is entitled to final interdictory relief and a declarator regarding the validity of the cancellation.

Ratio Decidendi

The court found that the sale agreement was subject to a suspensive condition requiring the applicant to obtain a mortgage loan. Although no specific period was stipulated, it was accepted that fulfilment should occur within a reasonable time. The first respondent cancelled the agreement six weeks after its conclusion, but failed to provide evidence that a reasonable time had expired for the applicant to secure the loan. The court held that the respondent did not discharge the onus of proving that the period was unreasonable, and therefore the purported cancellation was invalid. The applicant was entitled to a declarator and costs.

Court Disposition

Application granted. The purported cancellation of the sale agreement by the first respondent is declared invalid. Costs awarded to the applicant.

Orders

  • The purported cancellation of the sale agreement by the first respondent is declared invalid.
  • The first respondent is ordered to pay the costs of the application.