Marce Projects (Pty) Ltd and Another v City of Johannesburg Metropolitan Municipality and Another (33992/2019) [2019] ZAGPJHC 540; [2020] 2 All SA 157 (GJ) (17 December 2019)

Marce Projects (Pty) Ltd and Another v City of Johannesburg Metropolitan Municipality and Another (33992/2019) [2019] ZAGPJHC 540; [2020] 2 All SA 157 (GJ) (17 December 2019)

The court found that the applicants, as targeted bidders under the Regulation 36 procurement process, have locus standi to challenge the awarding of the tender to TFM. The urgency of the application was justified due to the City's failure to provide information and the risk of the tender being fully implemented, which would undermine the effectiveness of any relief granted in the review. The requirements for an interim interdict were met: the applicants established a prima facie right to participate in a lawful procurement process and to protect public resources; there was a well-grounded apprehension of irreparable harm if the tender was implemented further; the balance of convenience...

Citation
[2019] ZAGPJHC 540
Parties
Applicant: Marcé Projects (Pty) Ltd; Applicant: Marcé Fire Fighting Technology (Pty) Ltd; Respondent: City of Johannesburg Metropolitan Municipality; Respondent: TFM Industries
Court
South Gauteng High Court, Johannesburg
Jurisdiction
South Africa
Judgment Date
17 December 2019
Case Number
33992/2019
Procedural Posture
Urgent Application / Interim Interdict Pending Review
Outcome
Interim interdict confirmed; implementation of the contract between the City and TFM is interdicted pending review.
Judges
L T Modiba
Legal Topics
Municipal Procurement, Interim Interdict, Section 217 Constitution, Regulation 36 Deviation, Public Interest, Locus Standi
Administrative Law Civil Procedure Commercial and Corporate Municipal Procurement Interim Interdict Section 217 Constitution Regulation 36 Deviation Public Interest +1 more

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Parties

Marcé Projects (Pty) Ltd

Applicant

Marcé Fire Fighting Technology (Pty) Ltd

Applicant

City of Johannesburg Metropolitan Municipality

Respondent

TFM Industries

Respondent

Procedural Posture

Urgent Application / Interim Interdict Pending Review

Legal Issues

  1. 1 Whether the applicants have locus standi to bring the urgent application for interim interdict.
  2. 2 Whether the application meets the requirements for urgency under Rule 6(12).
  3. 3 Whether the applicants make out a case for the granting of an interim interdict pending review.

Ratio Decidendi

The court found that the applicants, as targeted bidders under the Regulation 36 procurement process, have locus standi to challenge the awarding of the tender to TFM. The urgency of the application was justified due to the City's failure to provide information and the risk of the tender being fully implemented, which would undermine the effectiveness of any relief granted in the review. The requirements for an interim interdict were met: the applicants established a prima facie right to participate in a lawful procurement process and to protect public resources; there was a well-grounded apprehension of irreparable harm if the tender was implemented further; the balance of convenience...

Court Disposition

Interim interdict confirmed; implementation of the contract between the City and TFM is interdicted pending review.

Orders

  • Non-compliance with forms, service, and time-periods is condoned; application heard as urgent.
  • Pending determination of the review application under case number 33291/2019, respondents are interdicted from implementing the contract for supply of fire engines and water trucks.