Download PDF

South Africa Judgment

North Gauteng High Court, Pretoria

Road Accident Fund v Lombard and Another (74084/2019) [2023] ZAGPPHC 1937 (16 November 2023)

On this page

Professional case brief

Research organized from the available case record

Source document

01

Holding and result

The court held that interest on judgment debts against the Road Accident Fund follows ex lege and commences 14 days after the date of judgment in accordance with section 17(3)(a) of Act 56 of 1996. The original order by Millar J did not expressly mention interest, but the legal position is that interest accrues automatically. To avoid future disputes and unnecessary applications, the court found it advisable to include a specific prayer for interest in the order. Accordingly, the order of Millar J was varied to include interest running from 14 days after the date of the order until payment. The application for condonation was granted, and the respondent's claim for interest was upheld by varying the original order.

Court disposition

Application for condonation granted; original order varied to include interest on judgment debt.

Orders

  • The late filing of the application is condoned.
  • It is declared that interest follows ex lege on any judgment debt against the Road Accident Fund and starts running in terms of section 17(3)(a) of Act 56 of 1996 after 14 days from the date of judgment.
  • The order of Millar J is varied to include interest running from 14 days after the date of the order until payment.
  • It is advisable that a specific prayer for interest be contained in future orders to prevent unnecessary applications.

02

Material facts

Parties

Road Accident Fund

Applicant Counsel: Ms B Rangata

Henry Lombard

Respondent Counsel: Adv SJ Myburg

The Sheriff Centurion East

Respondent

03

Procedural history

  1. Posture

    Civil Application / Application for Condonation and Variation of Order

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant sought condonation for the late filing of the application and argued that the claim for interest on late payment of capital should be dismissed. Alternatively, the applicant requested that the court order be varied to include interest on late payment of capital. The applicant also requested that the respondent pay the costs of the application if opposed and that the order be suspended pending determination of the interest claim.
Respondent
The respondent argued that interest on judgment debts against the Road Accident Fund accrues ex lege and should be included in the order. The respondent relied on relevant case law to support the position that interest runs from 14 days after the date of judgment in terms of section 17(3)(a) of Act 56 of 1996. The respondent opposed the dismissal of the interest claim and supported the variation of the original order to explicitly include interest.

05

Court’s reasoning

  1. 01

    Section 17(3)(a) of Act 56 of 1996

    Interest on judgment debts against the Road Accident Fund accrues ex lege and commences 14 days after the date of judgment.

  2. 02

    General Accident Versekerings Maatskappy Suid Afrika Bpk v Bailey NO 1988 (4) SA 353 (A)

    It is advisable for a specific prayer for interest to be included in the court order to avoid unnecessary applications.

  3. 03

    Thoroughbred Breeders Association v Price Waterhouse 2001 (4) SA 551 (SCA)

    A court order may be varied to include interest where it was not expressly stated but is required by law.

06

Ratio, limits and disposition

Ratio decidendi

The court held that interest on judgment debts against the Road Accident Fund follows ex lege and commences 14 days after the date of judgment in accordance with section 17(3)(a) of Act 56 of 1996. The original order by Millar J did not expressly mention interest, but the legal position is that interest accrues automatically. To avoid future disputes and unnecessary applications, the court found it advisable to include a specific prayer for interest in the order. Accordingly, the order of Millar J was varied to include interest running from 14 days after the date of the order until payment. The application for condonation was granted, and the respondent's claim for interest was upheld by varying the original order.

Obiter and limits

  • It is preferable for parties to include a specific prayer for interest in their orders to prevent future applications and disputes.
  • The issue of interest was argued before Millar J, who was of the view that interest need not be incorporated in a court order as it follows ex lege.

Court disposition

Application for condonation granted; original order varied to include interest on judgment debt.

  • The late filing of the application is condoned.
  • It is declared that interest follows ex lege on any judgment debt against the Road Accident Fund and starts running in terms of section 17(3)(a) of Act 56 of 1996 after 14 days from the date of judgment.
  • The order of Millar J is varied to include interest running from 14 days after the date of the order until payment.
  • It is advisable that a specific prayer for interest be contained in future orders to prevent unnecessary applications.

Source and reliance status

North Gauteng High Court, Pretoria

This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.

Judgment reading view

Judgment text

The complete available source text.

Source document

North Gauteng High Court, Pretoria

Judgment

[2023] ZAGPPHC 1937

IN

THE HIGH COURT OF SOUTH AFRICA

GAUTENG DIVISION, PRETORIA

CASE NO: 7 4 0 8 4 / 2 0 1 9

1. REPORTABLE: YES/NO

2. OF INTEREST TP OTHER JUDGES: YES/NO

3. REVISED: YES/NO

DATE: 16/11/2023

In the matter between:

Road Accident Fund

Applicant

And

Henry Lombard

1 st Respondent

The Sheriff Centurion East

2nd Respondent

REASONS

FOR JUDGMENT

BOTHA AJ

1

Introduction

The Applicant applied for an order in the following terms:

1.1 That the late filing of the application be condoned;

1.2 That the claim for interest for the late payment of the capital by the 1st Respondent be dismissed;

1.3 In the alternative, the Court orders that the court order be varied to include interest on late payment of capital;

1.4 That the 1st Respondent be ordered to pay the costs of this application, in the event of opposition;

1.5 That pending determination of the dismissal of the claim for interest for late payment of capital, the order be suspended or stayed.

2

The order

2.1 On 19 March 2021 Millar J made an order in favour of the 1st Respondent and the Applicant was ordered to pay damages to the 1st Respondent within 14 days after the order.

2.2 The order of Millar J did not specifically mentioned the payment of interest.

2.2 Apparently the issue of interest was raised and argued before Millar J and his view was that the aspect of interest need not be incorporated in a court order as it follows ex lege.

3

3.1 Full argument was presented during this hearing and regard was had to inter alia the following case law:

a) General Accident Versekerings Maatskappy Suid Afrika Bpk v Bailey NO 1988 (4) SA 353 (A);

b) Saunders NO v MEC of the Department of Health: Limpopo Province (899/2013)[2015] ZAGPHC 360 (1 June 2015);

c) Thoroughbred Breeders Association v Price Waterhouse 2001 (4) SA 551 (SCA);

d) Steyn NO v Rona! Bobroff & Partners 2013 (2) SA 311 (SCA);

e) West Rand Estates Ltd v New Zealand Insurance Co Ltd 1926AD 173; and more.

4

After listening to argument by both parties and having debated the issue I made the following ruling that formed the basis for the order:

4.1 It is declared that interest follows ex lege on any judgment debt against the RAF and starts running i.t.o. Sec 17(3) (a) of Act 56 of 1996 after 14 days of the date of the judgment;

4.2 To prevent applications as in the instance, it is advisable that a specific prayer for interest be contained in the order;

4.3 It was further ordered that , ex abudanti cuatela, the order of Millar J be varied to contain an order for interest that starts running 14 days after the date of the order till date of payment.

5

I suffice with my ex tempore judgment and reasons and have nothing more to add.

GB

BOTHA

Acting Judge of the High Court

Gauteng Division, Pretoria

Date of Hearing: 16 October 2023

Judgment delivered: 16 October 2023

Reasons delivered: 16 November 2023

Attorneys for applicant: State Attorney Pretoria

Counsel for applicant: Ms B Rangata

Attorneys for respondent: DWM Attorneys

E- mail nicolette@dwm-attorneys.co.za

Counsel for respondent:Adv SJ Myburg

Source wording is retained. Consult the source document for its original formatting and pagination.

Authorities

Authorities used by the court

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

General Accident Versekerings Maatskappy Suid Afrika Bpk v Bailey NO 1988 (4) SA 353 (A)

Case cited

Saunders NO v MEC of the Department of Health: Limpopo Province (899/2013) [2015] ZAGPHC 360 (1 June 2015)

Case cited

Thoroughbred Breeders Association v Price Waterhouse 2001 (4) SA 551 (SCA)

Case cited

Steyn NO v Ronald Bobroff & Partners 2013 (2) SA 311 (SCA)

Case cited

West Rand Estates Ltd v New Zealand Insurance Co Ltd 1926 AD 173

Case cited

Section 17(3)(a) of Act 56 of 1996

Legislation

Legislation referenced in the available case record.

Case-aware research

Ask AI about this case

The judgment and available research above are public. New questions open in a separate private conversation grounded in this case.

About this LexChat collection

This page organizes the available case record for research. Verify quotations, current status, and subsequent treatment against the source document. Corrections can be reported to hello@esheria.ai.

Legal information, not legal advice. Research summaries do not replace the judgment.