Steyn NO and Others v Blockpave (Pty) Ltd (2959/2010) [2010] ZAFSHC 134 (12 October 2010)

Steyn NO and Others v Blockpave (Pty) Ltd (2959/2010) [2010] ZAFSHC 134 (12 October 2010)

The court found that the Dries Steyn Trust was not properly before the court because no valid resolution was taken by the full complement of trustees to institute proceedings against the respondent. The minutes relied upon did not evidence a decision to sue, nor was there a written resolution signed by all trustees as required by the trust deed. The absence and subsequent resignation of the third trustee rendered the trust incapable of acting, as the minimum number of trustees required by the trust deed was not met and the replacement trustee had not yet been authorised by the Master. The special power of attorney given to the attorneys was defective, lacking the support of all trustees....

Citation
[2010] ZAFSHC 134
Parties
Appellant: Andreas Jacobus Steyn N.O.; Appellant: Carl Petrus Pretorius N.O.; Appellant: Margaretha Elizabeth Moolman N.O.; Respondent: Blockpave (Pty) Ltd
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
12 October 2010
Case Number
2959/2010
Procedural Posture
Civil Application / Preliminary Judgment on Points in Limine
Outcome
Application dismissed on preliminary points; trust not properly before the court.
Judges
Rampai
Legal Topics
Trustee Authority, Resolution Requirement, Special Power of Attorney, Majority Vote in Trust, Quorum and Decision Making
Civil Procedure Commercial and Corporate Trustee Authority Resolution Requirement Special Power of Attorney Majority Vote in Trust Quorum and Decision Making

Case Brief

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Parties

Andreas Jacobus Steyn N.O.

Appellant

Carl Petrus Pretorius N.O.

Appellant

Margaretha Elizabeth Moolman N.O.

Appellant

Blockpave (Pty) Ltd

Respondent

Procedural Posture

Civil Application / Preliminary Judgment on Points in Limine

Legal Issues

  1. 1 Whether the Dries Steyn Trust was properly before the court.
  2. 2 Whether a valid resolution was taken by the trustees to institute proceedings against the respondent.
  3. 3 Whether the attorneys were properly authorised to act on behalf of the trust.

Ratio Decidendi

The court found that the Dries Steyn Trust was not properly before the court because no valid resolution was taken by the full complement of trustees to institute proceedings against the respondent. The minutes relied upon did not evidence a decision to sue, nor was there a written resolution signed by all trustees as required by the trust deed. The absence and subsequent resignation of the third trustee rendered the trust incapable of acting, as the minimum number of trustees required by the trust deed was not met and the replacement trustee had not yet been authorised by the Master. The special power of attorney given to the attorneys was defective, lacking the support of all trustees....

Court Disposition

Application dismissed on preliminary points; trust not properly before the court.

Orders

  • The respondent's points in limine are upheld.
  • The rule nisi is discharged.