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South Africa Judgment

North Gauteng High Court, Pretoria

Hill v Registrar (38792/2011) [2014] ZAGPPHC 29 (18 February 2014)

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Source document

01

Holding and result

The court found that the Registrar had properly exercised his discretion by considering the arguments and the forms of security presented by both parties. The Registrar's statement regarding the two forms of security was interpreted as a practical guideline rather than an absolute rule, and there was no evidence that the Registrar rejected any alternative form of security solely because it was not one of the two mentioned. The applicant failed to demonstrate that the Registrar did not apply his mind or that the discretion was exercised improperly. Therefore, the grounds for review were found to be baseless, and the application was dismissed.

Court disposition

Application dismissed with costs.

Orders

  • The application is dismissed.
  • The applicant is to pay the costs on a party-and-party scale.

02

Material facts

Parties

Hill, Thomas

Applicant

Registrar

Respondent

B Trieberger (Pty) Ltd

Plaintiff

Hill, Thomas

Defendant

03

Procedural history

  1. Posture

    Review Application / Application for Review of Registrar's Decision Under Rule 53

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the Registrar failed to properly consider alternative forms of security and limited acceptable security to payment into the plaintiff's attorney's trust account or a bank guarantee. The applicant contended that this constituted a failure to apply his mind and an improper exercise of discretion, rendering the decision reviewable.
Respondent
The respondent maintained that the Registrar exercised his discretion as required by Rule 32(3)(a), considered the arguments and forms of security presented, and determined that the security offered by the applicant was inadequate. The respondent argued that the Registrar's decision was reasonable and not subject to review.

05

Court’s reasoning

  1. 01

    Cinemark (Pty) Ltd v Alfetta Tune-Up Centre 1979(4) SA 802 (W)

    The Registrar is empowered to determine the form and quality of security to the satisfaction of the court, and once a decision is made, it is final unless discretion is not exercised judicially.

  2. 02

    Rule 32(3)(a) of the Uniform Rules of Court

    A decision by the Registrar is subject to review only if the discretion is not exercised judicially.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the Registrar had properly exercised his discretion by considering the arguments and the forms of security presented by both parties. The Registrar's statement regarding the two forms of security was interpreted as a practical guideline rather than an absolute rule, and there was no evidence that the Registrar rejected any alternative form of security solely because it was not one of the two mentioned. The applicant failed to demonstrate that the Registrar did not apply his mind or that the discretion was exercised improperly. Therefore, the grounds for review were found to be baseless, and the application was dismissed.

Obiter and limits

  • The Registrar's reference to two forms of security was a practical observation, not a rigid limitation.
  • The applicant did not provide evidence that any alternative form of security was rejected solely on the basis of the Registrar's pronouncement.

Court disposition

Application dismissed with costs.

  • The application is dismissed.
  • The applicant is to pay the costs on a party-and-party scale.

Source and reliance status

North Gauteng High Court, Pretoria

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Judgment reading view

Judgment text

The complete available source text.

Source document

North Gauteng High Court, Pretoria

Judgment

[2014] ZAGPPHC 29

IN THE NORTH GAUTENG HIGH COURT, PRETORIA

(REPUBLIC OF SOUTH AFRICA)

CASE NO: 38792/2011

DATE: 18/2/2014

NOT

REPORTABLE

NOT

OF INTEREST TO OTHER JUDGES

In the matter between:

HILL, THOMAS ….............................................................................................Applicant

and

REGISTRAR....................................................................................................Respondent

IN RE:

B TRIEBIGER (PTY) LTD................................................................................Plaintiff

v

Hill THOMAS …...............................................................................................Defendant

JUDGMENT

MALINDI

AJ

INTRODUCTION

[1.] The Applicant (Defendant in the Summary Judgment Application) filed a review application in terms of Rule 53 of the Uniform Rules of Court under Case No. 38792/11.

[2.] The application is opposed only by the 2nd Respondent. The 1st Respondent confirmed his Order in the summary judgment application and the statement in paragraph 5.1 of the Founding Affidavit that:

The grounds of review are that:

2.1. The Registrar failed to apply his mind to the matter by failing to consider other forms of security.

2.2. The Registrar pronounced that only two forms of security were acceptable, that is, payment of the sum claimed into the Plaintiff’s

attorney’s trust account or by way of furnishing of a bank guarantee.

2.3. The Registrar failed to lay any basis to satisfy the “legal requirements” of establishing a practice that only those two forms of security were acceptable.

[3.] Rule 32(3)(a) provides:

“(3) Upon the hearing of an application for summary judgment, the defendant may-

(a) give security to the plaintiff to the satisfaction of the registrar for any judgment including costs which may be given. ”

[4.] The Registrar’s exercise of his discretion in this regard has been conceded by the Applicant.

[5.] In Cinemark (Pty) Ltd v Alfetta Tune-Up Centre 1979(4) SA 802 (W) at 803H – 804A it was said that the Registrar’s task is to determine the form and quality of the security and that “once he has decided that a particular form is satisfactory (or not), it is the end of the matter.”

[6.] The Applicant contends that if the discretion is not exercised judicially the decision is subject to review. This proposition is correct.

[7.] In this case the Registrar heard argument on behalf of the Applicant and the 2nd Respondent. He considered the form of security provided by the Applicant and the 2nd Respondent’s submissions as to its inadequacies as required by Rule 32(3)(a), especially that as the assets of the trust were unknown there would be no satisfaction that any judgment including costs which may be given against the Applicant would be met.

[8.] The Registrar’s decision as to the form and quality of the security required to avert summary judgment cannot be easily assailed by review of his discretion. His decision to reject the form of security provided by the Applicant can therefore not be reviewed.

[9.] Regarding his pronouncement that “practically, two forms of security would suffice, being payment of the claimed amount into the trust account of an attorney or by way of furnishing of a bank guarantee,” the following need to be noted:

9.1. the word “practically” means “to all intents and purposes”; “for all practical purposes but not completely”; “almost”. “In practice” means “in reality”- to refer to what is more or most likely to happen or what is “currently proficient.”

(www.oxforddictionaries.com)

9.2. the Registrar could not have meant the only two forms of security but the most practically accepted or the more or most likely form of security to be satisfactory.

[10.] I am of the view therefore that this ground of review is baseless. In any event the Applicant does not contend that another form of security that he tendered was rejected merely because it is not one of the two that the Registrar considers acceptable.

[11.] In the circumstances, I make the following order:

11.1. The application is dismissed.

11.2. The Applicant is to pay the costs on a party-and-party scale.

SIGNED AT PRETORIA ON THIS DAY OF FEBRUARY 2014.

Malindi, AJ

Acting Judge of the High Court of South Africa

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Cinemark (Pty) Ltd v Alfetta Tune-Up Centre 1979(4) SA 802 (W)

Case cited

Rule 53 of the Uniform Rules of Court

Legislation

Legislation referenced in the available case record.

Rule 32(3)(a) of the Uniform Rules of Court

Legislation

Legislation referenced in the available case record.

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