Trans-Natal Steenkoolkorporasie Bpk. v Merwe (1) (245/83) [1985] ZASCA 25 (21 May 1985)

Trans-Natal Steenkoolkorporasie Bpk. v Merwe (1) (245/83) [1985] ZASCA 25 (21 May 1985)

The Supreme Court of Appeal found that the respondent failed to prove that the alleged misrepresentation was made by the appellant's officials at the meeting of 3 July 1979. The evidence showed that no express assurance was given that R360 per hectare would be the maximum compensation offered in the future. The...

Source-derived case information.

Citation
[1985] ZASCA 25
Parties
Appellant: Trans-Natal Steenkoolkorporasie Beperk; Respondent: Christiaan Frederick van der Merwe
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Case Number
245/83
Procedural Posture
Civil Appeal / Appeal From Judgment of the Transvaal Provincial Division
Outcome
Appeal upheld; judgment of the court a quo set aside.
Judges
Kotzé, Trengove, Cillié, Botha, Vivier
Legal Topics
Misrepresentation, Mineral Rights, Contractual Amendment, Specific Performance
Commercial and Corporate Land and Property Misrepresentation Mineral Rights Contractual Amendment Specific Performance

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Downloadable case file Legal principles 3 Authorities cited 3 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

Trans-Natal Steenkoolkorporasie Beperk

Appellant

Christiaan Frederick van der Merwe

Respondent

Procedural Posture

Civil Appeal / Appeal From Judgment of the Transvaal Provincial Division

  1. 1 Whether the alleged misrepresentation was made by the appellant's officials at the meeting of 3 July 1979.
  2. 2 Whether the respondent was entitled to cancel the amending agreements and seek rejection of their registration.
  3. 3 Whether the respondent and other landowners were assured that no higher compensation than R360 per hectare would be offered in the future.

Ratio Decidendi

The Supreme Court of Appeal found that the respondent failed to prove that the alleged misrepresentation was made by the appellant's officials at the meeting of 3 July 1979. The evidence showed that no express assurance was given that R360 per hectare would be the maximum compensation offered in the future. The respondent's belief was based on his own inference from statements made, not on any direct representation. The court held that, given the rising market prices and competitive pressures, it was unreasonable for the respondent to rely on such an inference. The appeal was upheld, and the judgment of the court a quo was set aside.

Court Disposition

Appeal upheld; judgment of the court a quo set aside.

Orders

  • The appeal succeeds with costs, including the costs of two counsel.
  • The order of the court a quo is set aside.