Hotellica obo Groenewald v Good Logistics Solutions and Others (C440/2010) [2013] ZALCCT 56 (31 May 2013)
- Citation
- [2013] ZALCCT 56
- Status
- Judgment
- Jurisdiction
- South Africa
- Court
- Labour Court Cape Town
- Panel
- Steenkamp
- Case number
- C440/2010
More details
- Court
- Labour Court Cape Town
- Panel
- Steenkamp
- Case number
- C440/2010
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The union failed to comply with Rule 7A and did not prosecute its review application for over three years, despite repeated court orders and clear instructions from the CCMA. The union's excuse of unfamiliarity with the rules is unacceptable for a representative body. The employer was forced to bring multiple applications to prompt compliance, incurring unnecessary costs. The court finds the union's conduct inexcusable and dismisses the review application with punitive costs on an attorney and client scale, including costs of counsel and previous related applications.
Court disposition
Review application dismissed with costs on an attorney and client scale.
Orders
- The review application is dismissed with costs on an attorney and client scale, including the costs of counsel.
- Costs to include the costs of the applications heard on 23 March 2011, 2 December 2011, and 31 May 2013.
02
Material facts
Parties
Hotellica obo Mercia Marlese Groenewald
Applicant Counsel: K SomdyalaGood Logistics Solutions
Respondent Counsel: C de KockCCMA
RespondentCommissioner Alviso Adams
Respondent03
Procedural history
Posture
Review Application / Application to Dismiss Review for Want of Prosecution
04
Questions and positions
Legal issues
- 01
Whether the review application should be dismissed for failure to prosecute and non-compliance with Labour Court Rules.
- 02
Whether a punitive costs order is warranted against the applicant union for repeated non-compliance.
Party arguments
- Applicant
- The employer seeks dismissal of the review application due to the union's persistent failure to comply with Labour Court Rules, specifically Rule 7A, and its lack of prosecution over three years. The employer has had to approach the court multiple times to compel compliance, causing unnecessary delay and expense.
- Respondent
- The union, represented by Mr Somdyala, offered no substantive opposition and did not file answering papers. The only excuse presented was unfamiliarity with the Labour Court Rules, claiming lack of competence in procedural matters.
05
Court’s reasoning
Legal principles
- 01
Labour Court Rules, Rule 7A
A party seeking to review an arbitration award must comply with Rule 7A of the Labour Court Rules, including filing the record and notifying other parties.
- 02
Nehawu v Vanderbijlpark Society for the Aged (2011) 32 ILJ 1959 (LC)
Trade unions are expected to be conversant with the Labour Relations Act and the Rules of the Labour Court, given the Act's longstanding operation.
- 03
General principles of costs in South African civil procedure
A punitive costs order may be imposed where a party's conduct is inexcusable and causes unnecessary litigation.
06
Ratio, limits and disposition
Ratio decidendi
The union failed to comply with Rule 7A and did not prosecute its review application for over three years, despite repeated court orders and clear instructions from the CCMA. The union's excuse of unfamiliarity with the rules is unacceptable for a representative body. The employer was forced to bring multiple applications to prompt compliance, incurring unnecessary costs. The court finds the union's conduct inexcusable and dismisses the review application with punitive costs on an attorney and client scale, including costs of counsel and previous related applications.
Obiter and limits
- Trade unions should not represent members if they cannot do so competently.
- It is shocking for a trade union to collect subscription money without providing proper service.
- The Labour Relations Act has been in force for 17 years; unions should be well aware of the rules.
Court disposition
Review application dismissed with costs on an attorney and client scale.
- The review application is dismissed with costs on an attorney and client scale, including the costs of counsel.
- Costs to include the costs of the applications heard on 23 March 2011, 2 December 2011, and 31 May 2013.
Source and reliance status
Labour Court Cape Town
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Labour Court Cape Town
Judgment
IN THE LABOUR COURT OF
SOUTH AFRICA
(HELD CAPE TOWN)
CASE NUMBER: C440/2010
DATE: 31 MAY 2013
In the matter between:
HOTELLICA obo MERCIA MARLESE
Applicant
GROENEWALD
and
GOOD
LOGISTICS SOLUTIONS First Respondent
CCMA
Second Respondent
COMMISSIONER
ALVISO ADAMS Third Respondent
J U
D G M E N T
STEENKAMP, J:
This is an application to dismiss a review application that was filed by the applicant in the main application, i.e. Hotellica (to which I shall refer as “the Union”) more than three years ago, on 18 May 2010. The application to dismiss is unopposed. Nevertheless, Mr K Somdyala appeared in Court today for the Union. Despite the fact that the Union has not filed any answering papers, I allowed Mr Somdyala to address the Court.
This sorry saga flows from an arbitration award issued by the Commissioner, Alviso Adams, who is cited as the third respondent,
under the auspices of the CCMA, as long ago as 12 April 2010. In that award the Commissioner found that the dismissal of the individual applicant, Mercia Marlese Groenewald, who is a member of the Union, was substantively and procedurally unfair. It is that award that the Union sought to have reviewed and set aside.
However, the Union did not comply with Rule 7A, despite the fact that the CCMA on 31 May 2010, that is exactly three years ago, advised the Union that it (i.e. the CCMA) had despatched the record of proceedings to the registrar of this Court. The CCMA further advised the Union that it was required to make copies of the record; to furnish the other parties with a copy; and to advise the registrar in terms of Rule 7A(8) whether they stand by their notice of motion or wish to amend, add to or vary it.
Despite that advice from the CCMA, the Union did nothing to comply with the Rules of Court until 6 October 2010, when the employer, who is the applicant today, filed an application in which it sought to order the Union to file a record in accordance with Rule 7A(6) within 10 days. The Union still did nothing to comply with the Labour Court Rules and the registrar then enrolled an application two years ago, on 23 March 2011.
That application came before my sister Rabkin-Naicker J. She issued an order in which she directed the Union to file a record within 10 days. The Union did eventually file a record but still did not comply with Rule 7A(8).
On 7 July 2011 the employer once again filed an application for the matter to be set down and for an order to be made that the review
application be dismissed. That application was enrolled on 2 December 2011 and came before Savage, AJ.
The Court then made an order, ordering the Union to serve and file a transcript of the arbitration proceedings. By this stage the Union had still not filed the record. It is only after the second order by Savage, AJ that it did so. The Union then filed a copy of the transcript on 12 December 2011 but still did not comply with Rule 7A(8).
The employer then delivered yet another application on 20 March 2012, seeking an order for the review application to be dismissed.
Eventually, on 2 July 2012, the Union delivered a notice in terms of Rule 7A(8)(b) in which it simply stated that it intends to stand by the original notice of motion. Since then, it has done nothing further to prosecute the review application.
Eventually, on 3 May 2013, the registrar enrolled this unopposed application for dismissal for hearing today. The Union was still not prompted into action and did not file any opposing papers. Mr Somdyala simply arrived at Court today seeking to oppose the application without filing any papers.
As I have said, I have allowed him to address the Court nevertheless. The only excuse he offered is that the Union is not conversant with the Rules of the Labour Court. That is simply inexcusable. A trade union should not purport to represent its members when it cannot do so competently. It is shocking that a trade union should collect subscription money from its members when it cannot provide a proper service to them.
My brother Le Grange J has noted in Nehawu v Vanderbijlpark Society for the Aged (2011) 32 ILJ 1959 (LC) that the Labour Relations Act has now been in force for some 17 years and that trade unions should be well aware of the Rules of this Court and the provisions of the LRA.
The employer party in this case has been forced to approach the Court on at least three occasions in order to prompt the Union to do its job. The Union still did not do so.
In these circumstances, a punitive costs order is called for.
THE
REVIEW APPLICATION IS DISMISSED WITH COSTS ON AN ATTORNEY AND CLIENT SCALE, INCLUDING THE COSTS OF COUNSEL; SUCH COSTS TO INCLUDE THE COSTS OF THE APPLICATIONS HEARD ON 23 MARCH 2011, 2 DECEMBER 2011, AND TODAY, 31 MAY 2013.
_______
STEENKAMP, J
APPEARANCES:
APPLICANT (Hotellica):
K Somdyala
(Union official)
RESPONDENT (Good Logistics Solutions): C de Kock
Instructed by: Carelse
Khan
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