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South Africa Judgment

North Gauteng High Court, Pretoria

Sambit Holdings (Proprietary) Limited v Marais and Another (90194/2015) [2021] ZAGPPHC 206 (8 April 2021)

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Professional case brief

Research organized from the available case record

Source document

01

Holding and result

The court found that the applicant failed to demonstrate reasonable prospects of success for the appeal. The applicant sought to introduce a new cause of action by amendment after the pleadings had closed and after the claim had prescribed, without showing special or exceptional circumstances. The attempt to amend the replication to include the re-cession was prejudicial to the respondents. The authorities relied upon by the applicant were distinguishable on the facts. Condonation for the delay in prosecuting the application for leave to appeal was granted, but this did not affect the merits. Accordingly, leave to appeal was refused.

Court disposition

Application for leave to appeal dismissed with costs.

Orders

  • The application for leave to appeal is dismissed with costs.
  • Condonation for the delay in prosecuting the application for leave to appeal is granted.

02

Material facts

Parties

Sambit Holdings (Pty) Ltd

Applicant Counsel: Adv C Acker

Johan Marais

Respondent Counsel: Adv LW de Koning SC

Paul Mojapelo

Respondent

03

Procedural history

  1. Posture

    Leave to Appeal / Application for Leave to Appeal Against Dismissal of Amendment Application

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the re-cession of the principal debt from Absa to the applicant entitled it to amend its replication to introduce the new cause of action. It contended that the claim became vested retrospectively and that condonation for any delay should be granted due to misunderstandings and procedural issues. The applicant relied on authorities suggesting that amendments may be permitted in special circumstances.
Respondent
The respondents argued that the applicant could not amend its particulars of claim to introduce a cause of action it did not have at the time summons was issued, as the claim would have prescribed. They contended that the amendment sought was prejudicial and that no special or exceptional circumstances were shown. The respondents' attorneys did not object to the late filing but maintained that the amendment was impermissible.

05

Court’s reasoning

  1. 01

    Section 17 of the Superior Courts Act, 10 of 2013

    Leave to appeal may only be granted if there is a reasonable prospect of success or some other compelling reason.

  2. 02

    General principles of pleading

    A party must make out its case in the particulars of claim and must allege and prove cession if relied upon.

  3. 03

    Uniform Rule 18(6)

    Rule 18(6) requires that the terms of a contract relied upon in pleadings be specified and annexed if written.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the applicant failed to demonstrate reasonable prospects of success for the appeal. The applicant sought to introduce a new cause of action by amendment after the pleadings had closed and after the claim had prescribed, without showing special or exceptional circumstances. The attempt to amend the replication to include the re-cession was prejudicial to the respondents. The authorities relied upon by the applicant were distinguishable on the facts. Condonation for the delay in prosecuting the application for leave to appeal was granted, but this did not affect the merits. Accordingly, leave to appeal was refused.

Obiter and limits

  • Condonation for the delay in uploading and prosecuting the application for leave to appeal was granted due to procedural misunderstandings.
  • The respondents' attorneys undertook not to object to the late filing of the application for amendment.

Court disposition

Application for leave to appeal dismissed with costs.

  • The application for leave to appeal is dismissed with costs.
  • Condonation for the delay in prosecuting the application for leave to appeal is granted.

Source and reliance status

North Gauteng High Court, Pretoria

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Judgment text

The complete available source text.

Source document

North Gauteng High Court, Pretoria

Judgment

[2021] ZAGPPHC 206

IN THE HIGH COURT OF

SOUTH AFRICA

(GAUTENG DIVISION, PRETORIA)

CASE NO: 90194/2015

REPORTABLE

OF

INTEREST TO OTHER JUDGES

REVISED

In the matter between:

SAMBIT HOLDINGS (PTY) LTD Applicant and

JOHAN

MARAIS First Respondent

PAUL

MOJAPELO Second Respondent

This judgment is handed down electronically by circulation to the parties’ representatives by way of email. The date of the judgment shall be deemed to be 8 April 2021.

JUDGMENT

AVVAKOUMIDES AJ

INTRODUCTION:

1. This is an application for leave to appeal against a judgment of this Court dated 9 December 2019 in terms of which an application by the plaintiff to amend its replication was dismissed with costs.

2. Section 17 of the Superior Courts Act, 10 of 2013 provides as follows:

“(1) Leave to appeal may only be given where the judge or judges concerned are of the opinion that-

(a)(i) the appeal would have a reasonable prospect of success; or

(ii) there is some other compelling reason why the appeal should be heard, including conflicting judgments on the matter under consideration”

3. I have had regard to the written and oral submissions on behalf of the applicant. I am not persuaded that the appeal would have a reasonable prospect of success. Before dealing with the reasons for my decision it is necessary to clarify that, insofar as condonation was necessary for the undue delay by the applicant’s attorney to upload the application on CaseLines and to prosecute the application for leave to appeal, such condonation is granted.

4. Furthermore, insofar as there may have been misunderstanding between the parties as to whether condonation was granted in accordance with prayer 1 of the original notice of motion in respect of the application for amendment, although not specifically stated in my judgment of 9 December 2019, I did exercise discretion in considering the aspect of condonation and this is the precise reason why I heard full argument on the merits of the application for amendment. I do not deem it necessary to provide any reasons save to state that the respondents’ attorneys did undertake not to object to the late filing of the application for amendment.

5. I now turn to the reasons for this judgment. It is settled law that a party has to make out his case in the particulars of claim. A party relying on a cession must allege and prove such cession. Only in special or exceptional circumstances may a party, by amendment of its particulars of claim, be permitted to introduce a cause of action it did not have at the time when summons was issued. This is what the applicant has sought to do without showing any special or exceptional circumstances.

6. Rule 18(6) provides as follows:

“Whether the contract is written or oral and when, where and by who it was concluded and if the contract is written a true copy thereof or of the part relied on in the pleading shall be annexed to the pleading”.

7. The cessionary, namely Absa, on 8 November 2015, which is the date upon which summons was served, was the only party entitled to claim in respect of the relevant debt for which the applicant seeks to hold the respondents liable. The applicant contended that on 1 November 2016 Absa re-ceded the principal debt and that the applicant became vested with the claim retrospectively.

8. The pleadings in this case closed on 30 March 2016, before the re-cession of the ceded debt.

9. At the stage when the applicant (as plaintiff) sought to amend its replication to include the re-cession of the book debt from Absa to the applicant, it is clear from the facts that the applicant could not amend its particulars of claim to introduce the re-cession because the claim against the respondents would have prescribed.

10. The applicant, now faced with the dilemma of prescription, thus sought to reintroduce the re-cession by way of an amendment to the replication and this, in my view, is prejudicial to the respondents.

11. I do not deem it necessary to delve into a discussion relating to the authorities relied on by the applicants in the application for leave to appeal, save to state that the issues dealt with in such authorities are distinguishable on the facts before me.

12. Accordingly, on the facts before me, I am not persuaded that the appeal would have a reasonable prospect of success. The application for leave to appeal is thus dismissed with costs.

G.T. AVVAKOUMIDES

ACTING JUDGE OF THE

HIGH COURT

GAUTENG DIVISION,

PRETORIA

Representation for parties:

On behalf of Applicant: Adv C Acker

Instructed by:

Pagel Schulenburg

Email: lombard@law.co.za

On behalf of First Respondent: Adv LW de Koning SC

Instructed by:

Zelda Karelsen

Email: zander@zkattorneys.co.za

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Authorities

Authorities used by the court

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

Superior Courts Act, 10 of 2013

Legislation

Legislation referenced in the available case record.

Uniform Rule 18(6)

Legislation

Legislation referenced in the available case record.

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