Sedikelo and Another v Belega Women's Investments (Pty) Ltd and Others (2282/2017) [2018] ZAFSHC 29 (15 March 2018)

Sedikelo and Another v Belega Women's Investments (Pty) Ltd and Others (2282/2017) [2018] ZAFSHC 29 (15 March 2018)

The court held that granting the relief sought by the applicants would not serve the interests of justice, as it would directly infringe upon the rights of existing shareholders who were not joined or cited in the proceedings. Furthermore, the previous order of Naidoo, J had already determined the shareholding of the first respondent, and there was no guarantee that a future application for rescission would succeed. The applicants' approach of seeking declaratory relief before rescinding the prior order was procedurally improper and could result in conflicting court orders. Accordingly, the application was dismissed without consideration of its merits.

Citation
[2018] ZAFSHC 29
Parties
Applicant: Tumelo Gaelebale Faith Sedikelo; Applicant: Palesa Mamokhoetsi Moahloli; Respondent: Belega Women's Investments (Pty) Ltd; Respondent: Sun International (South Africa) Ltd; Respondent: Mangaung Sun (Pty) Ltd; Respondent: Free State Gambling and Racing Board; Respondent: Etapele Investments (Pty) Ltd
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
15 March 2018
Case Number
2282/2017
Procedural Posture
Urgent Application / Application for Declaratory Relief Regarding Shareholding
Outcome
Application dismissed with costs.
Judges
P J Loubser
Legal Topics
Shareholder Disputes, Joinder of Parties, Conflicting Court Orders, Declaratory Relief
Commercial and Corporate Civil Procedure Shareholder Disputes Joinder of Parties Conflicting Court Orders Declaratory Relief

Case Brief

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Parties

Tumelo Gaelebale Faith Sedikelo

Applicant

Palesa Mamokhoetsi Moahloli

Applicant

Belega Women's Investments (Pty) Ltd

Respondent

Sun International (South Africa) Ltd

Respondent

Mangaung Sun (Pty) Ltd

Respondent

Free State Gambling and Racing Board

Respondent

Etapele Investments (Pty) Ltd

Respondent

Procedural Posture

Urgent Application / Application for Declaratory Relief Regarding Shareholding

Legal Issues

  1. 1 Whether the applicants can be declared valid shareholders of the first respondent despite a prior court order determining shareholding.
  2. 2 Whether the application can be granted without rescinding the previous order of Naidoo, J.
  3. 3 Whether the interests of justice are served by granting the relief sought in the absence of joinder of existing shareholders.

Ratio Decidendi

The court held that granting the relief sought by the applicants would not serve the interests of justice, as it would directly infringe upon the rights of existing shareholders who were not joined or cited in the proceedings. Furthermore, the previous order of Naidoo, J had already determined the shareholding of the first respondent, and there was no guarantee that a future application for rescission would succeed. The applicants' approach of seeking declaratory relief before rescinding the prior order was procedurally improper and could result in conflicting court orders. Accordingly, the application was dismissed without consideration of its merits.

Court Disposition

Application dismissed with costs.

Orders

  • The application is dismissed with costs.