Mdluli v National Consumer Tribunal and Others (Leave to Appeal) (A195/19) [2022] ZAGPPHC 333 (11 May 2022)

Mdluli v National Consumer Tribunal and Others (Leave to Appeal) (A195/19) [2022] ZAGPPHC 333 (11 May 2022)

The court held that the appellant failed to prove that the third respondent required him to finance the purchase of the vehicles through a bank loan, and thus did not establish a causal link between the breach and the interest paid. Accordingly, the Tribunal's refusal to award interest was upheld. However, the Tribunal erred in refusing to award costs to the appellant, as his complaint was justified and successful. The discretion regarding costs was not properly exercised, and the appellant should not be out of pocket for instituting the application before the Tribunal. The court therefore ordered the third respondent to pay the appellant's costs incurred before the Tribunal and on appeal.

Citation
[2022] ZAGPPHC 333
Parties
Appellant: Patrick Mdluli; Respondent: National Consumer Tribunal; Respondent: M Nkomo; Respondent: Jermanie Investments and Projects (Pty) Ltd
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
11 May 2022
Case Number
A195/19
Procedural Posture
Leave to Appeal / Appeal From Decision of National Consumer Tribunal
Outcome
Appeal partially upheld: costs order granted in favour of appellant; appeal regarding interest dismissed.
Judges
S M Mfenyana, T J Raulinga
Legal Topics
Consumer Protection Act, Contract Breach, Restitution Damages, Costs Award, Interest on Damages
Commercial and Corporate Civil Procedure Consumer Protection Act Contract Breach Restitution Damages Costs Award Interest on Damages

Case Brief

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Parties

Patrick Mdluli

Appellant

National Consumer Tribunal

Respondent

M Nkomo

Respondent

Jermanie Investments and Projects (Pty) Ltd

Respondent

Procedural Posture

Leave to Appeal / Appeal From Decision of National Consumer Tribunal

Legal Issues

  1. 1 Whether the appellant is entitled to restitution damages including interest paid on a bank loan due to breach of contract by the third respondent.
  2. 2 Whether the appellant is entitled to a costs order against the third respondent for proceedings before the Tribunal and on appeal.

Ratio Decidendi

The court held that the appellant failed to prove that the third respondent required him to finance the purchase of the vehicles through a bank loan, and thus did not establish a causal link between the breach and the interest paid. Accordingly, the Tribunal's refusal to award interest was upheld. However, the Tribunal erred in refusing to award costs to the appellant, as his complaint was justified and successful. The discretion regarding costs was not properly exercised, and the appellant should not be out of pocket for instituting the application before the Tribunal. The court therefore ordered the third respondent to pay the appellant's costs incurred before the Tribunal and on appeal.

Court Disposition

Appeal partially upheld: costs order granted in favour of appellant; appeal regarding interest dismissed.

Orders

  • The third respondent is liable for the costs incurred by the appellant in instituting the application before the Tribunal.
  • The appeal in respect of interest is dismissed.