Massmart Holdings Limited v Theron (JS1043/16) [2018] ZALCJHB 4; (2018) 39 ILJ 870 (LC) (11 January 2018)

Massmart Holdings Limited v Theron (JS1043/16) [2018] ZALCJHB 4; (2018) 39 ILJ 870 (LC) (11 January 2018)

The court found, on the objective and admitted facts, that the respondent breached his contractual undertaking by directly facilitating the recruitment of Mr Pillay to African Bank Limited. The respondent provided Mr Pillay's contact details to the bank, signed his offer of employment, and facilitated a revised offer, all of which led to Mr Pillay's resignation. The damages incurred by the applicant in recruiting Mr Pillay's replacement were a natural and foreseeable consequence of the breach. The amount claimed was supported by evidence from the recruitment agency and was found to be fair and reasonable. The respondent was therefore held liable for the damages suffered by the applicant.

Citation
[2018] ZALCJHB 4
Parties
Applicant: Massmart Holdings Limited; Respondent: Jacques Theron
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
11 January 2018
Case Number
JS1043/16
Procedural Posture
Civil Claim / Trial Judgment
Outcome
The respondent is ordered to pay the applicant damages for breach of contract, together with interest and costs.
Judges
P Nkutha-Nkontwana
Legal Topics
Breach of Contract, Damages for Breach, Employment Contract, Recruitment Costs, Section 77 Bcea
Labour Law Civil Procedure Breach of Contract Damages for Breach Employment Contract Recruitment Costs Section 77 Bcea

Case Brief

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Parties

Massmart Holdings Limited

Applicant

Jacques Theron

Respondent

Procedural Posture

Civil Claim / Trial Judgment

Legal Issues

  1. 1 Whether the respondent breached the contractual undertaking not to entice employees to leave the applicant.
  2. 2 Whether the respondent is liable for damages suffered by the applicant due to the breach.
  3. 3 Whether the damages claimed were within the contemplation of the parties when the undertaking was signed.

Ratio Decidendi

The court found, on the objective and admitted facts, that the respondent breached his contractual undertaking by directly facilitating the recruitment of Mr Pillay to African Bank Limited. The respondent provided Mr Pillay's contact details to the bank, signed his offer of employment, and facilitated a revised offer, all of which led to Mr Pillay's resignation. The damages incurred by the applicant in recruiting Mr Pillay's replacement were a natural and foreseeable consequence of the breach. The amount claimed was supported by evidence from the recruitment agency and was found to be fair and reasonable. The respondent was therefore held liable for the damages suffered by the applicant.

Court Disposition

The respondent is ordered to pay the applicant damages for breach of contract, together with interest and costs.

Orders

  • The respondent is ordered to pay the applicant an amount of R284,961.24.
  • The respondent is ordered to pay interest on the above amount at 10.25% per annum a tempore morae.