Scheepers and Another v Van Niekerk (16907/10) [2014] ZAGPJHC 382 (29 October 2014)

Scheepers and Another v Van Niekerk (16907/10) [2014] ZAGPJHC 382 (29 October 2014)

The court held that the respondent's cancellation of the Plettenberg Bay property portion of the settlement agreement, which had been made an order of court, was invalid. Once a settlement agreement is made an order of court, it cannot be cancelled unilaterally; any variation or setting aside must be done through court process. However, the applicant was not entitled to immediate transfer, as payment had not been secured. The applicant was directed to provide a written bankers' guarantee for the purchase price and secure all transfer costs within 45 days. If the applicant failed to do so, the court order incorporating the settlement agreement would be set aside. The parties' rights...

Citation
[2014] ZAGPJHC 382
Parties
Applicant: Johannes Egbertus Scheepers; Applicant: Millenium Advertising CC; Respondent: Ilze Fourie Van Niekerk
Court
South Gauteng High Court, Johannesburg
Jurisdiction
South Africa
Judgment Date
29 October 2014
Case Number
16907/10
Procedural Posture
Civil Application / Final Judgment After Opposed Application
Outcome
Application partially granted; respondent's cancellation declared invalid, but transfer subject to applicant providing guarantee.
Judges
P L Carstensen
Legal Topics
Enforcement of Settlement Agreement, Transfer of Property, Bankers Guarantee, Court Order Cancellation
Civil Procedure Land and Property Enforcement of Settlement Agreement Transfer of Property Bankers Guarantee Court Order Cancellation

Case Brief

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Parties

Johannes Egbertus Scheepers

Applicant

Millenium Advertising CC

Applicant

Ilze Fourie Van Niekerk

Respondent

Procedural Posture

Civil Application / Final Judgment After Opposed Application

Legal Issues

  1. 1 Whether the respondent's cancellation of the Plettenberg Bay property portion of the settlement agreement, made an order of court, was valid.
  2. 2 Whether the applicant was in breach of the settlement agreement by failing to secure payment and transfer.
  3. 3 Whether a settlement agreement made an order of court can be cancelled by a party unilaterally.

Ratio Decidendi

The court held that the respondent's cancellation of the Plettenberg Bay property portion of the settlement agreement, which had been made an order of court, was invalid. Once a settlement agreement is made an order of court, it cannot be cancelled unilaterally; any variation or setting aside must be done through court process. However, the applicant was not entitled to immediate transfer, as payment had not been secured. The applicant was directed to provide a written bankers' guarantee for the purchase price and secure all transfer costs within 45 days. If the applicant failed to do so, the court order incorporating the settlement agreement would be set aside. The parties' rights...

Court Disposition

Application partially granted; respondent's cancellation declared invalid, but transfer subject to applicant providing guarantee.

Orders

  • The respondent's cancellation dated 24 February 2014 of the Plettenberg Bay property portion of the settlement agreement dated 3 August 2012, made an order of court under case number 16907/10, is declared invalid.
  • The applicant is directed to present a written bankers' guarantee in the sum of R17,625,000.00 and secure all transfer fees, costs, and duties to the transferring attorneys within 45 days from the date of this order.