NUM obo Majebe v Civil and General Contractors (PA6/19) [2020] ZALAC 56; [2021] 4 BLLR 374 (LAC); (2021) 42 ILJ 1027 (LAC) (17 November 2020)

NUM obo Majebe v Civil and General Contractors (PA6/19) [2020] ZALAC 56; [2021] 4 BLLR 374 (LAC); (2021) 42 ILJ 1027 (LAC) (17 November 2020)

The Labour Appeal Court held that, following the majority judgment in Pieman’s Pantry, the Prescription Act applies to claims under the LRA, including arbitration awards for reinstatement and backpay, which constitute a 'debt' for prescription purposes. The referral of the dispute to the CCMA and the subsequent review application brought by the respondent interrupted the running of prescription. Since the review application had not been finalised, the arbitration award had not prescribed. The Labour Court erred in finding otherwise and dismissing the application to make the award an order of court. The appeal was upheld, and the matter was referred back to the Labour Court to determine...

Citation
[2020] ZALAC 56
Parties
Appellant: NUM obo Mayime Dalton Majebe; Respondent: Civil & General Contractors
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
17 November 2020
Case Number
PA6/19
Procedural Posture
Civil Appeal / Appeal From Labour Court Dismissal of Application to Make Arbitration Award an Order of Court
Outcome
Appeal upheld; Labour Court's order set aside; matter referred back for determination of merits.
Judges
Phatshoane, Coppin, Kathree-Setiloane
Legal Topics
Prescription Act, Arbitration Award Enforcement, Review Application Interruption, Unfair Dismissal, Condonation, Reinstatement and Backpay
Labour Law Civil Procedure Prescription Act Arbitration Award Enforcement Review Application Interruption Unfair Dismissal Condonation Reinstatement and Backpay

Case Brief

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Parties

NUM obo Mayime Dalton Majebe

Appellant

Civil & General Contractors

Respondent

Procedural Posture

Civil Appeal / Appeal From Labour Court Dismissal of Application to Make Arbitration Award an Order of Court

Legal Issues

  1. 1 Whether an arbitration award issued under the LRA constitutes a 'debt' for purposes of the Prescription Act.
  2. 2 Whether the running of prescription in respect of an arbitration award is interrupted by a review application brought in the Labour Court.
  3. 3 Whether the Labour Court correctly dismissed the application to make the arbitration award an order of court on the basis of prescription.

Ratio Decidendi

The Labour Appeal Court held that, following the majority judgment in Pieman’s Pantry, the Prescription Act applies to claims under the LRA, including arbitration awards for reinstatement and backpay, which constitute a 'debt' for prescription purposes. The referral of the dispute to the CCMA and the subsequent review application brought by the respondent interrupted the running of prescription. Since the review application had not been finalised, the arbitration award had not prescribed. The Labour Court erred in finding otherwise and dismissing the application to make the award an order of court. The appeal was upheld, and the matter was referred back to the Labour Court to determine...

Court Disposition

Appeal upheld; Labour Court's order set aside; matter referred back for determination of merits.

Orders

  • The late delivery of the notice of appeal and of the record are condoned and the appeal is reinstated on the roll.
  • The appeal is upheld.