Imperial Bank v Lanseria International Airport (Pty) Ltd (A154/2014) [2016] ZAGPPHC 119; [2016] 2 All SA 812 (GP) (30 March 2016)

Imperial Bank v Lanseria International Airport (Pty) Ltd (A154/2014) [2016] ZAGPPHC 119; [2016] 2 All SA 812 (GP) (30 March 2016)

The Full Court found that the respondent had locus standi to cancel the lease and seek eviction of the appellant. The evidence established, on a balance of probabilities, that a tacit cession of the lease agreement occurred between Southern and the respondent, and that all parties acted for over a decade on the basis that the respondent was the sub-lessor. The Avfin lease, although not listed in the annexure to the head-lease, was treated by all parties as subject to cession and the respondent was recognised as entitled to enforce its terms. The purported suspensive condition in the head-lease requiring written cession was unnecessary in law, as the transfer of ownership and contractual...

Citation
[2016] ZAGPPHC 119
Parties
Appellant: Imperial Bank; Respondent: Lanseria International Airport (Pty) Ltd
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
30 March 2016
Case Number
A154/2014
Procedural Posture
Civil Appeal / Full Court Appeal From Judgment of Pretorius J, Following Referral to Oral Evidence on Locus Standi, Waiver, and Estoppel
Outcome
Appeal dismissed. Costs awarded against the appellant on the attorney and client scale, including costs of two counsel.
Judges
W R C Prinsloo, V V Tlhapi, T Vilakazi
Legal Topics
Tacit Cession, Privity of Contract, Locus Standi, Lease Cancellation, Attorney and Client Costs, Sale and Leaseback
Land and Property Civil Procedure Commercial and Corporate Tacit Cession Privity of Contract Locus Standi Lease Cancellation Attorney and Client Costs +1 more

Case Brief

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Parties

Imperial Bank

Appellant

Lanseria International Airport (Pty) Ltd

Respondent

Procedural Posture

Civil Appeal / Full Court Appeal From Judgment of Pretorius J, Following Referral to Oral Evidence on Locus Standi, Waiver, and Estoppel

Legal Issues

  1. 1 Whether the respondent had locus standi to cancel the lease and seek eviction of the appellant.
  2. 2 Whether a tacit cession of the lease agreement occurred between the relevant parties.
  3. 3 Whether the head-lease was void for non-compliance with a purported suspensive condition.

Ratio Decidendi

The Full Court found that the respondent had locus standi to cancel the lease and seek eviction of the appellant. The evidence established, on a balance of probabilities, that a tacit cession of the lease agreement occurred between Southern and the respondent, and that all parties acted for over a decade on the basis that the respondent was the sub-lessor. The Avfin lease, although not listed in the annexure to the head-lease, was treated by all parties as subject to cession and the respondent was recognised as entitled to enforce its terms. The purported suspensive condition in the head-lease requiring written cession was unnecessary in law, as the transfer of ownership and contractual...

Court Disposition

Appeal dismissed. Costs awarded against the appellant on the attorney and client scale, including costs of two counsel.

Orders

  • The appeal is dismissed.
  • The respondent is ordered to pay the costs of the appellant on the scale as between attorney and client, including the costs of two counsel.