Shackleton Credit Management (Pty) Ltd v Grober and Another (27212/2002) [2009] ZAGPPHC 66 (18 May 2009)

Shackleton Credit Management (Pty) Ltd v Grober and Another (27212/2002) [2009] ZAGPPHC 66 (18 May 2009)

The court found that the applicant, as cessionary, had acquired all right, title, and interest in the claim and was entitled to be substituted as plaintiff. The default judgment was void because it was granted after the original plaintiff had ceded its rights and thus lacked title to the claim. Abandonment of the void judgment did not constitute res judicata or absolution from the instance, as there was no finality to the matter. The correct procedure was rescission of the default judgment, which the court granted. The applicant was permitted to be substituted as plaintiff and to amend the summons and particulars of claim accordingly. Costs of the applications for rescission and...

Citation
[2009] ZAGPPHC 66
Parties
Applicant: Shackleton Credit Management (Pty) Ltd; Respondent: J. M. Grober; Respondent: Nedbank
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
18 May 2009
Case Number
27212/2002
Procedural Posture
Civil Application / Application for Substitution of Plaintiff and Rescission of Default Judgment
Outcome
Application granted: default judgment rescinded; applicant substituted as plaintiff; costs awarded against applicant.
Judges
S Potterill
Legal Topics
Cession of Claims, Substitution of Parties, Default Judgment Rescission, Abandonment of Judgment, Locus Standi
Civil Procedure Commercial and Corporate Cession of Claims Substitution of Parties Default Judgment Rescission Abandonment of Judgment Locus Standi

Case Brief

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Parties

Shackleton Credit Management (Pty) Ltd

Applicant

J. M. Grober

Respondent

Nedbank

Respondent

Procedural Posture

Civil Application / Application for Substitution of Plaintiff and Rescission of Default Judgment

Legal Issues

  1. 1 Whether the applicant has locus standi to be substituted as plaintiff after cession of the claim.
  2. 2 Whether the default judgment granted to the cedent is void due to lack of title at the time of judgment.
  3. 3 Whether abandonment of the default judgment constitutes res judicata or absolution from the instance.

Ratio Decidendi

The court found that the applicant, as cessionary, had acquired all right, title, and interest in the claim and was entitled to be substituted as plaintiff. The default judgment was void because it was granted after the original plaintiff had ceded its rights and thus lacked title to the claim. Abandonment of the void judgment did not constitute res judicata or absolution from the instance, as there was no finality to the matter. The correct procedure was rescission of the default judgment, which the court granted. The applicant was permitted to be substituted as plaintiff and to amend the summons and particulars of claim accordingly. Costs of the applications for rescission and...

Court Disposition

Application granted: default judgment rescinded; applicant substituted as plaintiff; costs awarded against applicant.

Orders

  • The default judgment is rescinded.
  • The first respondent has 10 days to file a notice of intention to defend from 18 May 2009.