Sehlare and Another v De Jongh & Pienaar and Others (10054/08) [2008] ZAGPHC 421 (25 November 2008)

Sehlare and Another v De Jongh & Pienaar and Others (10054/08) [2008] ZAGPHC 421 (25 November 2008)

The court found that the suspensive condition in the sale agreement was not fulfilled by the stipulated date, causing the agreement to lapse. Subsequent conduct and the addendum did not revive the agreement, as the addendum did not comply with section 2(1) of the Alienation of Land Act. The third respondent was not entitled to commission because the agreement had lapsed and no breach by the applicants was established. The R192,000.00 paid as part of the transaction was trust money and should have been held to the credit of the applicants. The attorneys involved failed to act on proper instructions, and the applicants were entitled to the return of the full amount. Costs were awarded on...

Citation
[2008] ZAGPHC 421
Parties
Applicant: Tsheko Patrick Sehlare; Applicant: Sebaetseng Dorah Sehlare; Respondent: De Jongh & Pienaar; Respondent: David Du Plessis; Respondent: Beaulah Du Plessis; Respondent: Steyn Lyell & Maeyane Inc.
Court
High Courts - Gauteng
Jurisdiction
South Africa
Judgment Date
25 November 2008
Case Number
10054/08
Procedural Posture
Civil Application / Judgment
Outcome
Application granted in favour of the applicants; respondents ordered to pay R192,000.00 plus interest and costs.
Judges
TM Makgoka
Legal Topics
Alienation of Land Act, Suspensive Condition, Trust Money, Fiduciary Duty, Estate Agent Commission
Land and Property Civil Procedure Alienation of Land Act Suspensive Condition Trust Money Fiduciary Duty Estate Agent Commission

Case Brief

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Parties

Tsheko Patrick Sehlare

Applicant

Sebaetseng Dorah Sehlare

Applicant

De Jongh & Pienaar

Respondent

David Du Plessis

Respondent

Beaulah Du Plessis

Respondent

Steyn Lyell & Maeyane Inc.

Respondent

Procedural Posture

Civil Application / Judgment

Legal Issues

  1. 1 Whether the agreement for the sale of immovable property lapsed due to non-fulfilment of the suspensive condition.
  2. 2 Whether subsequent conduct and the addendum revived the lapsed agreement.
  3. 3 Whether the third respondent was entitled to commission after the agreement lapsed.

Ratio Decidendi

The court found that the suspensive condition in the sale agreement was not fulfilled by the stipulated date, causing the agreement to lapse. Subsequent conduct and the addendum did not revive the agreement, as the addendum did not comply with section 2(1) of the Alienation of Land Act. The third respondent was not entitled to commission because the agreement had lapsed and no breach by the applicants was established. The R192,000.00 paid as part of the transaction was trust money and should have been held to the credit of the applicants. The attorneys involved failed to act on proper instructions, and the applicants were entitled to the return of the full amount. Costs were awarded on...

Court Disposition

Application granted in favour of the applicants; respondents ordered to pay R192,000.00 plus interest and costs.

Orders

  • The first, second and third respondents, jointly and severally, are ordered to pay the applicants R192,000.00 plus interest at 15.5% per annum from 1 August 2007 to date of payment.
  • The first, second and third respondents, jointly and severally, are ordered to pay the costs of this application.