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South Africa Judgment

North Gauteng High Court, Pretoria

Road Accident Fund v Delkoro and Another [2023] ZAGPPHC 293; 79368/2018 (2 May 2023)

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Research organized from the available case record

Source document

01

Holding and result

The applicant withdrew the urgent application without obtaining the respondents' consent as required by Rule 41, and failed to properly notify the court, resulting in unnecessary expenditure of time and resources. The court found that the applicant's conduct warranted a punitive costs order to reflect its disapproval. Furthermore, the urgency and nature of the allegations justified the employment of two counsel for the respondent. Accordingly, the applicant was ordered to pay costs on the attorney-and-client scale, inclusive of the costs of two counsel.

Court disposition

Application withdrawn; costs awarded against the applicant on an attorney-and-client scale, including costs of two counsel.

Orders

  • The applicant is to pay the costs of the application on the scale as between attorney and client, inclusive of the costs of two counsel.

02

Material facts

Parties

Road Accident Fund

Applicant Counsel: Adv. P. T. Zuma

Weldermariam Heboro Delkoro

Respondent Counsel: Adv. B.P. Geach SC

The Sheriff, Pretoria East

Respondent

03

Procedural history

  1. Posture

    Stay Application / Costs Determination After Withdrawal of Urgent Application

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the complexity of the application did not justify the employment of two counsel and that costs should not be awarded on a punitive scale.
Respondent
The first respondent contended that the urgency and nature of the allegations made in the founding papers, including those against the respondent and his legal team, justified the employment of two counsel and a punitive costs order. The respondent also noted the applicant failed to comply with Rule 41 by not obtaining consent before withdrawal.

05

Court’s reasoning

  1. 01

    Reuben Rosenblum Family Investments (Pty) Ltd and Another v Marsubar (Pty) Ltd (Forward Enterprises (Pty) Ltd and others Intervening) 2003 (3) SA 547 (C) at 550B-C

    A party who withdraws proceedings without the consent of the opposing party is generally liable for all costs caused thereby, except in exceptional circumstances.

  2. 02

    General principle; see also Rosenblum case

    A court may grant a punitive costs order to express its disapproval of a party's conduct, especially where the court's time has been wasted.

06

Ratio, limits and disposition

Ratio decidendi

The applicant withdrew the urgent application without obtaining the respondents' consent as required by Rule 41, and failed to properly notify the court, resulting in unnecessary expenditure of time and resources. The court found that the applicant's conduct warranted a punitive costs order to reflect its disapproval. Furthermore, the urgency and nature of the allegations justified the employment of two counsel for the respondent. Accordingly, the applicant was ordered to pay costs on the attorney-and-client scale, inclusive of the costs of two counsel.

Obiter and limits

  • Presiding judges in urgent court generally do not entertain argument on costs only, but in this instance, the matter was decided to avoid burdening the motion court roll.
  • The applicant's failure to upload the notice of withdrawal led to unnecessary preparation by the court.

Court disposition

Application withdrawn; costs awarded against the applicant on an attorney-and-client scale, including costs of two counsel.

  • The applicant is to pay the costs of the application on the scale as between attorney and client, inclusive of the costs of two counsel.

Source and reliance status

North Gauteng High Court, Pretoria

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Judgment reading view

Judgment text

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Source document

North Gauteng High Court, Pretoria

Judgment

[2023] ZAGPPHC 293

REPUBLIC OF SOUTH AFRICA

IN THE HIGH COURT OF

SOUTH AFRICA

GAUTENG DIVISION,

PRETORIA

CASE NO: 79368/2018

(1) REPORTABLE: YES/NO

(2) OF INTEREST TO OTHER JUDGES: NO

(3) REVISED: NO

Date: 2 May 2023

E van der Schyff

In the matter between:

ROAD

ACCIDENT FUND

APPLICANT

and

WELDERMARIAM

HEBORO DELKORO

1ST RESPONDENT

THE SHERIFF, PRETORIA EAST

2ND

RESPONDENT

JUDGMENT

Van der Schyff J

[1] The applicant approached the court on the basis of extreme urgency seeking an order staying the execution of an order granted on 20 May 2021. The applicant, however, withdrew the application at the twenty-fourth hour. The only aspect that remains in dispute is the issue of costs, and more specifically whether the applicant should pay costs on a party-and-party scale or an attorney-and-client scale, and whether the costs must include the costs of two counsel.

[2] Generally, a presiding judge in the urgent court will not entertain argument on costs only, and the issue of costs would be postponed to the normal motion court. In casu, however, I am of the view that it is not necessary to burden an already overburdened motion court roll with a costs argument, since I have already read the papers. The applicant failed to upload the notice of withdrawal, which was delivered to the respondents on 21 April 2023, to the Caselines’ file, and as a result, I was not aware that the papers need not be read. The first respondent’s attorney of record uploaded the notice and posted a widely shared note after 12h00 on the 23rd of April, but by that time, I had read the papers.

[3] The applicant did not obtain the consent of the respondents as required in terms of Rule 41 before withdrawing the application. The first respondent accepted the withdrawal but not the tendered costs. Counsel referred the court to the principle reiterated in Reuben Rosenblum Family Investments (Pty) Ltd and Another v Marsubar (Pty) Ltd (Forward Enterprises (Pty) Ltd and others Intervening):[1]

‘It is only in exceptional circumstances that a party that has been put to the expense of opposing withdrawn proceedings will not be entitled to all the costs caused thereby.’

[4] In addition, the court’s preparation time was disrespected. It is trite that a court may grant a punitive costs order to show its disdain for a party’s conduct.

[5] Counsel for the applicant submitted that the complexity of the application did not necessitate the input of two counsel. I agree, however, with the first respondents’ counsel that the extreme urgency with which opposing papers had to be prepared, and the nature of the allegations made in the founding papers, not only regarding

the first respondent but also his legal team, justify the services of two counsel.

ORDER

In the result, the following order is granted:

1. The applicant is to pay the costs of the application on the scale as between attorney and client, inclusive of the costs of two counsel.

Judge of the High Court

Delivered: This judgement is handed down electronically by uploading it to the electronic file of this matter on CaseLines. As a courtesy gesture, it will be emailed to the parties/their legal representatives.

For the applicant: Adv. P. T. Zuma Instructed by: The State Attorney, Pretoria For the first respondent: Adv. B.P. Geach SC With: Adv. F.H.H. Kehrhahn Instructed by: Roets & Van Rensburg Inc. Date of the hearing: 24 April 2023 Date of judgment: 2 May 2023

[1] 2003 (3) SA 547 (C) at 550B-C.

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Reuben Rosenblum Family Investments (Pty) Ltd and Another v Marsubar (Pty) Ltd (Forward Enterprises (Pty) Ltd and others Intervening) 2003 (3) SA 547 (C)

Case cited

Uniform Rule 41

Legislation

Legislation referenced in the available case record.

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