KeyHealth Medical Scheme v Glopin (Pty) Ltd (1265/2021) [2022] ZASCA 147; 2023 (1) SA 388 (SCA) (28 October 2022)

KeyHealth Medical Scheme v Glopin (Pty) Ltd (1265/2021) [2022] ZASCA 147; 2023 (1) SA 388 (SCA) (28 October 2022)

The Supreme Court of Appeal held that the agreement between KeyHealth and Glopin was not a mandate revocable at will, but a contract with clear terms regarding duration and termination. Clause 4 of the agreement stipulated that it would continue for the period of Glopin's accreditation and could only be terminated in accordance with specified events or ruling legislation. None of the termination triggers had occurred, and KeyHealth's unilateral revocation was not permitted by the contract. The legislative provisions cited by KeyHealth did not override the contractual terms. The appeal was dismissed, and the full court's decision, which found KeyHealth's revocation unlawful and invalid,...

Citation
[2022] ZASCA 147
Parties
Appellant: KeyHealth Medical Scheme; Respondent: Glopin (Pty) Ltd
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
28 October 2022
Case Number
1265/2021
Procedural Posture
Civil Appeal / Appeal From the Gauteng Division of the High Court, Pretoria; Judgment of Full Bench Affirmed
Outcome
Appeal dismissed with costs, including costs of two counsel.
Judges
Molemela, Plasket, Mabindla-Boqwana, Weiner, Masipa
Legal Topics
Revocation of Mandate, Contract Duration and Termination, Broker Services, Medical Schemes Act, Remuneration of Brokers
Commercial and Corporate Civil Procedure Revocation of Mandate Contract Duration and Termination Broker Services Medical Schemes Act Remuneration of Brokers

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 6 Party arguments 2
Sign in to unlock

Parties

KeyHealth Medical Scheme

Appellant

Glopin (Pty) Ltd

Respondent

Procedural Posture

Civil Appeal / Appeal From the Gauteng Division of the High Court, Pretoria; Judgment of Full Bench Affirmed

Legal Issues

  1. 1 Whether the agreement between KeyHealth and Glopin constituted a mandate revocable at will by KeyHealth.
  2. 2 Whether the terms of duration and termination in the agreement precluded unilateral revocation by KeyHealth.
  3. 3 Whether KeyHealth lawfully terminated the agreement or breached its terms.

Ratio Decidendi

The Supreme Court of Appeal held that the agreement between KeyHealth and Glopin was not a mandate revocable at will, but a contract with clear terms regarding duration and termination. Clause 4 of the agreement stipulated that it would continue for the period of Glopin's accreditation and could only be terminated in accordance with specified events or ruling legislation. None of the termination triggers had occurred, and KeyHealth's unilateral revocation was not permitted by the contract. The legislative provisions cited by KeyHealth did not override the contractual terms. The appeal was dismissed, and the full court's decision, which found KeyHealth's revocation unlawful and invalid,...

Court Disposition

Appeal dismissed with costs, including costs of two counsel.

Orders

  • The appeal is dismissed with costs, including the costs of two counsel.