Minister of Social Development and Others v SA Childcare (Pty) Ltd and Others (36962/2020) [2020] ZAGPPHC 794 (14 December 2020)

Minister of Social Development and Others v SA Childcare (Pty) Ltd and Others (36962/2020) [2020] ZAGPPHC 794 (14 December 2020)

The court found that the Minister of Social Development has a statutory and constitutional duty to ensure compliance with the Framework issued under section 16 of the Division of Revenue Act, 4 of 2020, particularly regarding the payment of conditional grants to Early Childhood Development Centres. The responsibilities outlined in the Framework, including monitoring, facilitating payment schedules, and ensuring compliance, rest with the Minister. The MECs failed to provide sufficient factual or legal grounds to challenge the court's findings, and their arguments regarding the payment of subsidies to non-operational centres were not supported by the evidence. The affidavits submitted by...

Citation
[2020] ZAGPPHC 794
Parties
Applicant: Minister of Social Development; Applicant: MEC Social Development Eastern Cape; Applicant: MEC Social Development Gauteng; Applicant: MEC Social Development Free State; Applicant: MEC Social Development KwaZulu-Natal; Applicant: MEC Social Development Limpopo; Applicant: MEC Social Development Mpumalanga; Applicant: MEC Social Development Northern Cape; Applicant: MEC Social Development North West; Respondent: SA Childcare (Pty) Ltd; Respondent: Centre for Early Childhood Development NPC; Respondent: The Reverend Tembela Magadla; Respondent: Busy Bee Crèche and Play School; Respondent: Soshanguve for Early Childhood Development Forum; Respondent: Bonang Day Care Centre; Respondent: The Communities, Children and Responsible Care Organisation; Respondent: Feed the Babies Fund
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
14 December 2020
Case Number
36962/2020
Procedural Posture
Leave to Appeal / Application for Leave to Appeal Against Judgment and Order Dated 20 October 2020
Outcome
Leave to appeal granted to the Minister on the question of statutory and constitutional duty; application for leave to appeal by the MECs dismissed with costs.
Judges
N Janse Van Nieuwenhuizen
Legal Topics
Division of Revenue Act, Conditional Grants, Early Childhood Development, Public Finance Management Act, Statutory Duty, Constitutional Duty

Case Brief

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Parties

Minister of Social Development

Applicant

MEC Social Development Eastern Cape

Applicant

MEC Social Development Gauteng

Applicant

MEC Social Development Free State

Applicant

MEC Social Development KwaZulu-Natal

Applicant

MEC Social Development Limpopo

Applicant

MEC Social Development Mpumalanga

Applicant

MEC Social Development Northern Cape

Applicant

MEC Social Development North West

Applicant

SA Childcare (Pty) Ltd

Respondent

Centre for Early Childhood Development NPC

Respondent

The Reverend Tembela Magadla

Respondent

Busy Bee Crèche and Play School

Respondent

Soshanguve for Early Childhood Development Forum

Respondent

Bonang Day Care Centre

Respondent

The Communities, Children and Responsible Care Organisation

Respondent

Feed the Babies Fund

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal Against Judgment and Order Dated 20 October 2020

  1. 1 Whether the Minister of Social Development has a statutory and constitutional duty to ensure compliance with the Framework issued under section 16 of the Division of Revenue Act, 4 of 2020.
  2. 2 Whether the MECs acted in accordance with their constitutional and statutory obligations in paying subsidies to operational and non-operational Early Childhood Development Centres.
  3. 3 Whether the court erred in ordering payment of subsidies to non-operational centres.

Ratio Decidendi

The court found that the Minister of Social Development has a statutory and constitutional duty to ensure compliance with the Framework issued under section 16 of the Division of Revenue Act, 4 of 2020, particularly regarding the payment of conditional grants to Early Childhood Development Centres. The responsibilities outlined in the Framework, including monitoring, facilitating payment schedules, and ensuring compliance, rest with the Minister. The MECs failed to provide sufficient factual or legal grounds to challenge the court's findings, and their arguments regarding the payment of subsidies to non-operational centres were not supported by the evidence. The affidavits submitted by...

Court Disposition

Leave to appeal granted to the Minister on the question of statutory and constitutional duty; application for leave to appeal by the MECs dismissed with costs.

Orders

  • Leave is granted to the first applicant to appeal to the Supreme Court of Appeal in respect of the question whether the first applicant has a statutory and constitutional duty to ensure compliance with the Framework issued in terms of section 16 of Division of Revenue Act, 4 of 2020.
  • Costs to be costs in the appeal.