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South Africa Judgment

South Gauteng High Court, Johannesburg

Suliman v Road Accident Fund (2019/26898) [2024] ZAGPJHC 506 (23 May 2024)

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Professional case brief

Research organized from the available case record

Source document

01

Holding and result

The court found that the case, while significant for the plaintiff, was not out of the ordinary for legal practitioners. The time taken by the plaintiff to consider the Fund's offer was reasonable, and costs should be awarded for 22 and 23 May 2024. The appropriate scale for costs, as per Rule 67A effective from 12 April 2024, is scale B. The plaintiff's request for scale C was not justified given the ordinary nature of the case from a legal perspective.

Court disposition

The action was settled on the merits and quantum, with costs awarded to the plaintiff on scale B for 22 and 23 May 2024.

Orders

  • The settlement agreement is made an order of court.
  • The defendant shall pay the plaintiff R2.9 million for all heads of damages except past hospital and medical expenses, which are postponed by agreement.
  • The defendant shall pay the plaintiff's costs on scale B for 22 and 23 May 2024.

02

Material facts

Parties

Bulbulia Suliman

Plaintiff Counsel: Adv Z Khan

Road Accident Fund

Defendant Counsel: Ms N Mhlongo

Amounts and remedies

  • Settlement Amount: ZAR 2,900,000

03

Procedural history

  1. Posture

    Civil Trial / Post Settlement Costs Determination

04

Questions and positions

Legal issues

Party arguments

Applicant
The plaintiff, represented by Adv Z Khan, argued that costs should be awarded on scale C, the higher scale, for the period after 12 April 2024. He did not seek costs for 21 May 2024, when no judge was available, but requested costs for 22 and 23 May 2024. He contended that his client required reasonable time from the afternoon of 22 May until the morning of 23 May to consider the Fund's offer, as the matter was significant for the plaintiff and required detailed explanation.
Respondent
The defendant, represented by Ms N Mhlongo, conceded party and party costs and agreed to costs for 22 May 2024. She argued that, following the implementation of Rule 67A on 12 April 2024, the plaintiff was entitled to costs on scale B, not scale C.

05

Court’s reasoning

  1. 01

    Rule 67A of the Uniform Rules of Court

    Costs should be awarded on a fair scale reflecting the nature of the case and the conduct of the parties. Scale B is appropriate for ordinary matters post-12 April 2024.

  2. 02

    General principles of fairness in civil procedure

    A litigant is entitled to a reasonable time to consider settlement offers, especially in matters of personal significance.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the case, while significant for the plaintiff, was not out of the ordinary for legal practitioners. The time taken by the plaintiff to consider the Fund's offer was reasonable, and costs should be awarded for 22 and 23 May 2024. The appropriate scale for costs, as per Rule 67A effective from 12 April 2024, is scale B. The plaintiff's request for scale C was not justified given the ordinary nature of the case from a legal perspective.

Obiter and limits

  • The amount settled, R2.9 million, is substantial but does not render the case exceptional for the purposes of costs.
  • Lawyers must allow clients reasonable time to consider settlement offers, especially in personal injury matters.

Court disposition

The action was settled on the merits and quantum, with costs awarded to the plaintiff on scale B for 22 and 23 May 2024.

  • The settlement agreement is made an order of court.
  • The defendant shall pay the plaintiff R2.9 million for all heads of damages except past hospital and medical expenses, which are postponed by agreement.
  • The defendant shall pay the plaintiff's costs on scale B for 22 and 23 May 2024.

Source and reliance status

South Gauteng High Court, Johannesburg

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Judgment reading view

Judgment text

The complete available source text.

Source document

South Gauteng High Court, Johannesburg

Judgment

[2024] ZAGPJHC 506

IN THE HIGH COURT OF SOUTH AFRICA

GAUTENG DIVISION, JOHANNESBURG

Case NO: 2019-26898

1. REPORTABLE: No

2. OF INTEREST TO OTHER JUDGES: No

3.

REVISED

23 May 2024

In the matter between:

BULBULIA,

SULIMAN

Plaintiff

and

ROAD

ACCIDENT

FUND

Defendant

JUDGMENT

WRIGHT J

[1] This action has been settled. Only part of the question of costs is to be decided by me. The parties have agreed a draft order which I am to make an order of court, having decided the remaining questions of costs.

[2] Mr Z Khan appears for the plaintiff and Ms N Mhlongo appears for the Fund.

[3] The trial was set down for Tuesday, 21 May 2024. The merits and quantum were in issue. On 21 May, no judge was available. The parties used that day to talk to each other about settlement. They settled the merits at 90% in favour of the plaintiff. Negotiations on the quantum continued on Wednesday, 22 May. During the early afternoon of 22 May, the Fund made an offer. The offer was accepted by the plaintiff this morning, Thursday 23 May at 9am. The plaintiff agreed to take R2.9m for all heads of damages except past hospital and medical expenses, which issue is to be postponed by agreement.

[4] Ms Mhlongo concedes party and party costs. She says that, as from 12 April 2024 when the new Rule 67A came into operation, the plaintiff is entitled to costs on scale B. Mr Khan seeks costs on scale C, the higher scale.

[5] Mr Khan does not ask for costs for Tuesday, 21 May when the matter stood as no judge was available. He seeks costs for yesterday and for today. Ms Mhlongo concedes costs for yesterday, 22 May.

[6] Mr Khan says that his client needed a reasonable time, from yesterday afternoon until this morning, to consider the Fund’s offer. He said that he needed to explain the matter in detail to his client. In my view, the time needed was reasonable in the circumstances. This case is an ordinary everyday matter for lawyers who deal with such cases. But it is a significant matter for the plaintiff, Mr Bulbulia. Mr Bulbulia was entitled to question Mr Khan about the case and the offer. Costs should include those for 22 and 23 May 2024.

[7] The amount settled, R2.9m is large but this case, from a lawyer’s perspective, is not out of the ordinary. Scale B is fair for costs as from 12 April 2024 onwards.

Order

[1]

X

GC Wright

Judge of the High Court

Gauteng Division, Johannesburg

HEARD :23 May 2024

DELIVERED :23 May 2024

APPEARANCES :

Plaintiff Adv Z Khan

082 697 0108

advkhan@vodamail.co.za

Instructed by RA Seedat Attorneys

011 492 3337/083 417 2777

raseedat@iafrica.com

Defendant State Attorney

Ms N Mhlongo

072 452 7151

nkatekom@raf.co.za

Instructed by RAF

Rhulani Makondo

rhulanim@raf.co.za

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Rule 67A of the Uniform Rules of Court

Legislation

Legislation referenced in the available case record.

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