Klein NO and Others v Levick and Others; In Re Levick and Another v Master of the High Court, Johannesburg and Others (40681/2019; 41368/2019; 526/2020; 13811/2020; 12492/2020) [2020] ZAGPJHC 306 (23 November 2020)

Klein NO and Others v Levick and Others; In Re Levick and Another v Master of the High Court, Johannesburg and Others (40681/2019; 41368/2019; 526/2020; 13811/2020; 12492/2020) [2020] ZAGPJHC 306 (23 November 2020)

The court found that the provisional trustees had established good cause for the authority sought under s18(3) of the Insolvency Act. The trustees demonstrated urgency and reasonable grounds for opposing the review proceedings and instituting the counter application, which seeks to secure the attendance and...

Source-derived case information.

Citation
[2020] ZAGPJHC 306
Parties
Applicant: Norman Klein N.O.; Applicant: Dawid Ryk van der Merwe N.O.; Applicant: Taryn Jane Niezel N.O.; Applicant: Aviwe Ntandazo Ndyamara N.O.; Applicant: Sibusiso Nduna N.O.; Respondent: Leigh Anne Levick; Respondent: Tannah Levick; Respondent: Master of the High Court, Johannesburg; Respondent: Ntuwiseni Netshitahame N.O.
Court
South Gauteng High Court, Johannesburg
Jurisdiction
South Africa
Judgment Date
23 November 2020
Case Number
40681/2019; 41368/2019; 526/2020; 13811/2020; 12492/2020
Procedural Posture
Urgent Application / Application for Authority Under S18(3) of the Insolvency Act to Litigate in Pending Review Proceedings and Related Litigation.
Outcome
Application granted. The trustees are authorised to litigate in the specified review proceedings and related litigation.
Judges
E F Dippenaar
Legal Topics
Insolvency Act Section 18 3, Trustee Authority, Review of Master Decisions, Creditor Protection, Judicial Oversight, Costs Orders
Civil Procedure Commercial and Corporate Insolvency Act Section 18 3 Trustee Authority Review of Master Decisions Creditor Protection Judicial Oversight Costs Orders

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Parties

Norman Klein N.O.

Applicant

Dawid Ryk van der Merwe N.O.

Applicant

Taryn Jane Niezel N.O.

Applicant

Aviwe Ntandazo Ndyamara N.O.

Applicant

Sibusiso Nduna N.O.

Applicant

Leigh Anne Levick

Respondent

Tannah Levick

Respondent

Master of the High Court, Johannesburg

Respondent

Ntuwiseni Netshitahame N.O.

Respondent

Procedural Posture

Urgent Application / Application for Authority Under S18(3) of the Insolvency Act to Litigate in Pending Review Proceedings and Related Litigation.

Legal Issues

  1. 1 Whether the provisional trustees have shown good cause for authority to litigate in pending review applications and related proceedings.
  2. 2 Whether the trustees have locus standi to oppose the review applications and institute a counter application.
  3. 3 Whether the interests of creditors would be prejudiced by granting authority to the trustees.

Ratio Decidendi

The court found that the provisional trustees had established good cause for the authority sought under s18(3) of the Insolvency Act. The trustees demonstrated urgency and reasonable grounds for opposing the review proceedings and instituting the counter application, which seeks to secure the attendance and cooperation of the witnesses at the s152 enquiry. The trustees' participation is necessary to protect the interests of the creditors, especially given the relief sought in the review applications, which could prejudice the estate. The court held that the trustees have locus standi to oppose the applications and that their opposition and counter application are not frivolous or...

Court Disposition

Application granted. The trustees are authorised to litigate in the specified review proceedings and related litigation.

Orders

  • The applicants are authorised in terms of s18(3) of the Insolvency Act, 24 of 1936, as amended, to have litigated and to continue to litigate in the legal proceedings under case numbers 40681/2019, 41368/2019, 526/2020, 13811/2020 and 12492/2020 and such other litigation that may take place between the applicants...
  • The costs of the application are to be costs in the cause in the main proceedings under the above case numbers.