Loch Logan Waterfront (Pty) Limited and Another v Bentel Associates International (Pty) Ltd Limited (147/2015) [2017] ZASCA 135 (29 September 2017)

Loch Logan Waterfront (Pty) Limited and Another v Bentel Associates International (Pty) Ltd Limited (147/2015) [2017] ZASCA 135 (29 September 2017)

The Supreme Court of Appeal found that the appellants’ delay in filing the appeal record was excessive and unexplained, and that condonation should not be granted. The contract between Bentel and the trust was not validly delegated to the company, as required by the written terms of the architect’s contract, and the mere submission of invoices to the company did not amount to a contractual variation. The trial court erred in its calculation of the amount owed to Bentel and in applying the incorrect rate and date for interest. The trust remained the party liable to Bentel for fees and disbursements, and Bentel was entitled to costs, including those of two counsel. The cross appeal was...

Citation
[2017] ZASCA 135
Parties
Appellant: Loch Logan Waterfront (Pty) Limited; Appellant: The Trustees of the N Georgiou Trust; Respondent: Bentel Associates International (Pty) Ltd
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
29 September 2017
Case Number
147/2015
Procedural Posture
Civil Appeal / Appeal and Cross Appeal From the Free State Division of the High Court, Bloemfontein
Outcome
Application for condonation and reinstatement of appeal dismissed; cross appeal upheld; trial court order set aside and replaced.
Judges
Lewis, Seriti, Petse, Plasket, Schippers
Legal Topics
Contractual Delegation, Condonation, Prescribed Rate of Interest Act, Locus Standi, Costs Award
Commercial and Corporate Civil Procedure Contractual Delegation Condonation Prescribed Rate of Interest Act Locus Standi Costs Award

Case Brief

Summary, issues, holding and outcome

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Parties

Loch Logan Waterfront (Pty) Limited

Appellant

The Trustees of the N Georgiou Trust

Appellant

Bentel Associates International (Pty) Ltd

Respondent

Procedural Posture

Civil Appeal / Appeal and Cross Appeal From the Free State Division of the High Court, Bloemfontein

Legal Issues

  1. 1 Whether condonation should be granted for the late filing of the appeal record and reinstatement of the appeal.
  2. 2 Whether the company was substituted for the trust as a party to the architect’s contract with Bentel.
  3. 3 Whether the trial court miscalculated the amount owed to Bentel for fees and disbursements.

Ratio Decidendi

The Supreme Court of Appeal found that the appellants’ delay in filing the appeal record was excessive and unexplained, and that condonation should not be granted. The contract between Bentel and the trust was not validly delegated to the company, as required by the written terms of the architect’s contract, and the mere submission of invoices to the company did not amount to a contractual variation. The trial court erred in its calculation of the amount owed to Bentel and in applying the incorrect rate and date for interest. The trust remained the party liable to Bentel for fees and disbursements, and Bentel was entitled to costs, including those of two counsel. The cross appeal was...

Court Disposition

Application for condonation and reinstatement of appeal dismissed; cross appeal upheld; trial court order set aside and replaced.

Orders

  • The appellants’ application for condonation in respect of the late filing of the record and for the reinstatement of their appeal is dismissed with the costs of two counsel.
  • The cross appeal is upheld with the costs of two counsel.