Scribante Construction (Pty) Ltd v Coega Development Corporation (Pty) Ltd (2478/06) [2006] ZAECHC 117 (20 July 2006)

Parties

Procedural Posture

Urgent Application / Interim Interdict Pending Review

Legal Issues

1. 1 Whether the first respondent's decision to award the contract to the Sakhisizwe joint venture was procedurally fair and lawful.
2. 2 Whether the evaluation method applied by the first respondent complied with the Preferential Procurement Policy Framework Act and the communicated tender conditions.
3. 3 Whether the applicant is entitled to interim relief pending the review of the first respondent's decision.

Ratio Decidendi

The court found that the first respondent applied an evaluation method for awarding the contract that was not communicated to the applicant and was contrary to the tender data and the Preferential Procurement Policy Framework Act. The introduction of a 'scoring of intention in empowerment' criterion was not disclosed to tenderers and had never previously been applied. In the absence of any opposition or explanation from the first respondent, the applicant's allegations of unfair treatment were upheld. The balance of convenience favoured the applicant, as the implementation of the contract by the joint venture would prejudice the applicant pending the review. The requirements for interim...

Court Disposition

Interim interdict granted restraining implementation of the contract pending review.

Orders

• The first respondent is interdicted and restrained from permitting the joint venture comprising the second, third, and fourth respondents or any other contractor from executing the whole or any portion of the contract for the construction of municipal infrastructure for the Coega Industrial Zone 2 (Electronic and...
• The joint venture comprising the second, third, and fourth respondents is interdicted and restrained from implementing the whole or any portion of the aforestated contract.