Premier Attraction 300 CC t/a Premier Security v City of Cape Town (592/2017) [2018] ZASCA 69 (29 May 2018)

Premier Attraction 300 CC t/a Premier Security v City of Cape Town (592/2017) [2018] ZASCA 69 (29 May 2018)

The court found that Premier, by accepting the price escalations offered by the City and failing to invoke the dispute resolution mechanisms in the contract, objectively manifested an intention to waive its right to claim payment based on its own interpretation and calculations. Premier had full knowledge of its rights and the means to enforce them but chose to abide by the City's calculations, thereby waiving its rights. The claims for amounts due between 1 September 2010 and 25 June 2012 had prescribed, as the debts became due when Premier submitted invoices in accordance with the contract. The court also held that condonation for late institution of proceedings was granted by the high...

Citation
[2018] ZASCA 69
Parties
Appellant: Premier Attraction 300 CC t/a Premier Security; Respondent: City of Cape Town
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
29 May 2018
Case Number
592/2017
Procedural Posture
Civil Appeal / Appeal From High Court, Western Cape Division
Outcome
Appeal dismissed with costs, including costs of two counsel.
Judges
Majiedt, Swain, Mbha, D Pillay, Schippers
Legal Topics
Contract Interpretation, Waiver, Prescription, Sectoral Determination, Arbitration Clause
Commercial and Corporate Civil Procedure Contract Interpretation Waiver Prescription Sectoral Determination Arbitration Clause

Case Brief

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Parties

Premier Attraction 300 CC t/a Premier Security

Appellant

City of Cape Town

Respondent

Procedural Posture

Civil Appeal / Appeal From High Court, Western Cape Division

Legal Issues

  1. 1 Whether the appellant waived its right to claim payment based on its own interpretation and calculation of contract prices.
  2. 2 Whether the appellant's claim for payment had prescribed under the applicable law.
  3. 3 Whether the City of Cape Town discharged its onus of proving waiver and prescription.

Ratio Decidendi

The court found that Premier, by accepting the price escalations offered by the City and failing to invoke the dispute resolution mechanisms in the contract, objectively manifested an intention to waive its right to claim payment based on its own interpretation and calculations. Premier had full knowledge of its rights and the means to enforce them but chose to abide by the City's calculations, thereby waiving its rights. The claims for amounts due between 1 September 2010 and 25 June 2012 had prescribed, as the debts became due when Premier submitted invoices in accordance with the contract. The court also held that condonation for late institution of proceedings was granted by the high...

Court Disposition

Appeal dismissed with costs, including costs of two counsel.

Orders

  • The appeal is dismissed with costs, including the costs of two counsel.