Pareto Limited and Another v Kotze (14109/2024) [2025] ZAWCHC 338 (8 August 2025)

Pareto Limited and Another v Kotze (14109/2024) [2025] ZAWCHC 338 (8 August 2025)

The court found that only the Covid-19 defence raised a triable issue, specifically whether the lockdown regulations hindered or prevented the tenant from performing under the lease, thereby entitling the tenant to further rental remission under the force majeure clause. The plaintiffs failed to engage substantively...

Source-derived case information.

Citation
[2025] ZAWCHC 338
Parties
Applicant: Pareto Limited; Applicant: Momentum Metropolitan Life Limited; Respondent: Rikus Dirk Jansen Kotze
Court
Western Cape High Court, Cape Town
Jurisdiction
South Africa
Case Number
14109/2024
Procedural Posture
Summary Judgment Application / Opposed Application for Summary Judgment; Judgment on Application
Outcome
Summary judgment refused; defendant granted leave to defend; each party to pay their own costs.
Judges
J Cloete
Legal Topics
Lease Agreement, Force Majeure, Covid 19 Regulations, Summary Judgment, Remission of Rent
Commercial and Corporate Civil Procedure Lease Agreement Force Majeure Covid 19 Regulations Summary Judgment Remission of Rent

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Parties

Pareto Limited

Applicant

Momentum Metropolitan Life Limited

Applicant

Rikus Dirk Jansen Kotze

Respondent

Procedural Posture

Summary Judgment Application / Opposed Application for Summary Judgment; Judgment on Application

  1. 1 Whether the plaintiffs are entitled to summary judgment for unpaid rental and charges under the lease agreement.
  2. 2 Whether the Covid-19 lockdown regulations constituted force majeure or hindered performance, entitling the tenant to rental remission.
  3. 3 Whether the defendant's suretyship obligations extend beyond the initial lease period.

Ratio Decidendi

The court found that only the Covid-19 defence raised a triable issue, specifically whether the lockdown regulations hindered or prevented the tenant from performing under the lease, thereby entitling the tenant to further rental remission under the force majeure clause. The plaintiffs failed to engage substantively with the contractual provisions regarding hindered performance and remission of rent, and the defendant's submissions on this point met the threshold for a triable issue. The other defences—regarding unliquidated amounts, renegotiated rental, and ambiguity in the deed of suretyship—were found to lack substance or factual support. Accordingly, summary judgment was refused, and...

Court Disposition

Summary judgment refused; defendant granted leave to defend; each party to pay their own costs.

Orders

  • The application for summary judgment is refused.
  • The defendant is granted leave to defend.