Loggenberg NO and Others v Maree and Others (2801/2016) [2016] ZAFSHC 205 (23 December 2016)

Loggenberg NO and Others v Maree and Others (2801/2016) [2016] ZAFSHC 205 (23 December 2016)

The court held that the oral agreement relied upon by the applicants for the transfer of the Weltevreden farms was void for non-compliance with section 2(1) of the Alienation of Land Act, which requires such agreements to be in writing and signed by the parties. The particulars of claim did not disclose a cause of action, as the essential terms of the alleged agreement, including the purchase price and financing arrangements, were either undefined or incapable of determination. The court further found that South African law does not recognise an agreement to negotiate a further agreement unless a deadlock-breaking mechanism is provided, which was absent in this case. Accordingly, the...

Citation
[2016] ZAFSHC 205
Parties
Applicant: Anton Loggenberg N.O.; Applicant: Charlotta Augusta Loggenberg N.O.; Applicant: Leon Loggenberg N.O.; Respondent: Nicolaas Petrus Maree
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
23 December 2016
Case Number
2801/2016
Procedural Posture
Civil Procedure / Exception to Particulars of Claim
Outcome
Exception upheld; particulars of claim struck out with costs, including costs of two counsel; leave granted to amend particulars of claim.
Judges
JP Daffue
Legal Topics
Formalities in Respect of Sale of Land, Agreement to Agree, Pactum De Contrahendo, Vagueness in Contract, Exception Procedure
Land and Property Civil Procedure Formalities in Respect of Sale of Land Agreement to Agree Pactum De Contrahendo Vagueness in Contract Exception Procedure

Case Brief

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Parties

Anton Loggenberg N.O.

Applicant

Charlotta Augusta Loggenberg N.O.

Applicant

Leon Loggenberg N.O.

Applicant

Nicolaas Petrus Maree

Respondent

Procedural Posture

Civil Procedure / Exception to Particulars of Claim

Legal Issues

  1. 1 Whether the oral agreement for the transfer of immovable property is valid in light of statutory requirements for written agreements.
  2. 2 Whether the particulars of claim disclose a cause of action.
  3. 3 Whether an agreement to negotiate a further agreement is enforceable under South African law.

Ratio Decidendi

The court held that the oral agreement relied upon by the applicants for the transfer of the Weltevreden farms was void for non-compliance with section 2(1) of the Alienation of Land Act, which requires such agreements to be in writing and signed by the parties. The particulars of claim did not disclose a cause of action, as the essential terms of the alleged agreement, including the purchase price and financing arrangements, were either undefined or incapable of determination. The court further found that South African law does not recognise an agreement to negotiate a further agreement unless a deadlock-breaking mechanism is provided, which was absent in this case. Accordingly, the...

Court Disposition

Exception upheld; particulars of claim struck out with costs, including costs of two counsel; leave granted to amend particulars of claim.

Orders

  • The exception is upheld with costs, including the costs of two counsel.
  • All paragraphs in the applicants' particulars of claim relating to prayers 1 and 2, including those prayers, are struck out with costs, including the costs of two counsel.