Kwende Construction CC v Ditsobotla Local Municipality (604/2024) [2025] ZANWHC 119 (15 July 2025)

Kwende Construction CC v Ditsobotla Local Municipality (604/2024) [2025] ZANWHC 119 (15 July 2025)

The court found that Kwende Construction CC was lawfully appointed under emergency procurement provisions, completed the contracted work, and received both a certificate of completion and a written acknowledgment of debt from Ditsobotla Local Municipality. Ditsobotla's opposition was based on bare denials and unsubstantiated allegations of irregularity, without any credible evidence of unlawful conduct or procedural defects in the emergency procurement. The court held that the contract and acknowledgment of debt remain binding until set aside in proper review proceedings, which Ditsobotla had not instituted. The request for referral to oral evidence was rejected due to the absence of a...

Citation
[2025] ZANWHC 119
Parties
Applicant: Kwende Construction CC; Respondent: Ditsobotla Local Municipality
Court
North West High Court, Mafikeng
Jurisdiction
South Africa
Judgment Date
15 July 2025
Case Number
604/2024
Procedural Posture
Urgent Application / Counter Application Determination Following Removal of Main Application From Roll
Outcome
Counter-application granted. Main application dismissed with costs. Ditsobotla Local Municipality ordered to pay the outstanding debt, interest, and costs on attorney and client scale.
Judges
Oosthuizen-Senekal
Legal Topics
Emergency Procurement, Municipal Finance Management Act, Acknowledgment of Debt, Certificate of Completion, Attorney and Client Costs, Interdictory Relief
Civil Procedure Commercial and Corporate Administrative Law Emergency Procurement Municipal Finance Management Act Acknowledgment of Debt Certificate of Completion Attorney and Client Costs +1 more

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Parties

Kwende Construction CC

Applicant

Ditsobotla Local Municipality

Respondent

Procedural Posture

Urgent Application / Counter Application Determination Following Removal of Main Application From Roll

Legal Issues

  1. 1 Whether the emergency procurement and appointment of Kwende Construction CC was lawful and compliant with statutory requirements.
  2. 2 Whether Ditsobotla Local Municipality is liable to pay the outstanding certified debt to Kwende Construction CC.
  3. 3 Whether the main application for interdictory relief remains live and justifies any order.

Ratio Decidendi

The court found that Kwende Construction CC was lawfully appointed under emergency procurement provisions, completed the contracted work, and received both a certificate of completion and a written acknowledgment of debt from Ditsobotla Local Municipality. Ditsobotla's opposition was based on bare denials and unsubstantiated allegations of irregularity, without any credible evidence of unlawful conduct or procedural defects in the emergency procurement. The court held that the contract and acknowledgment of debt remain binding until set aside in proper review proceedings, which Ditsobotla had not instituted. The request for referral to oral evidence was rejected due to the absence of a...

Court Disposition

Counter-application granted. Main application dismissed with costs. Ditsobotla Local Municipality ordered to pay the outstanding debt, interest, and costs on attorney and client scale.

Orders

  • The Applicant's application dated 9 February 2024 is dismissed with costs on the attorney and client scale.
  • The Applicant is ordered to make payment to the Respondent in the amount of R7,518,171.22, including interest thereon a tempore morae at the legally prescribed interest rate, calculated from 31 January 2024 to date of final payment, which payment is to be made within 14 days of this order.