United Enterprises Corporation and Another v STX Pan Ocean Company Ltd. (222/07) [2008] ZASCA 21; [2008] 3 All SA 111 (SCA) ; 2008 (3) SA 585 (SCA) (27 March 2008)

United Enterprises Corporation and Another v STX Pan Ocean Company Ltd. (222/07) [2008] ZASCA 21; [2008] 3 All SA 111 (SCA) ; 2008 (3) SA 585 (SCA) (27 March 2008)

The Supreme Court of Appeal held that the exceptio rei judicatae did not apply because the Italian court's decision was not on the merits but amounted to absolution from the instance. The respondent's founding affidavit, though based on hearsay, was sufficient to establish a prima facie case under the lenient approach sanctioned by s 6(3) of the Admiralty Jurisdiction Regulation Act and relevant case law. The alleged material non-disclosures and misstatements in the founding affidavit were either not material or adequately addressed by the annexures and subsequent affidavits. Regarding countersecurity, the court found that the appellants failed to demonstrate a genuine and reasonable need...

Citation
[2008] ZASCA 21
Parties
Appellant: United Enterprises Corporation; Appellant: MV Wisdom C; Respondent: STX Pan Ocean Company Limited
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
27 March 2008
Case Number
222/07
Procedural Posture
Civil Appeal / Appeal From Cape High Court Judgment
Outcome
Appeal dismissed with costs.
Judges
Scott, Farlam, Cloete, Combrinck, Hurt
Legal Topics
Arrest for Security, Exceptio Rei Judicatae, Prima Facie Case, Countersecurity, Material Non Disclosure
Admiralty and Maritime Civil Procedure Arrest for Security Exceptio Rei Judicatae Prima Facie Case Countersecurity Material Non Disclosure

Case Brief

Summary, issues, holding and outcome

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Parties

United Enterprises Corporation

Appellant

MV Wisdom C

Appellant

STX Pan Ocean Company Limited

Respondent

Procedural Posture

Civil Appeal / Appeal From Cape High Court Judgment

Legal Issues

  1. 1 Whether the exceptio rei judicatae applies to prevent a second arrest for security after a previous arrest was set aside in Italy.
  2. 2 Whether the respondent established a prima facie case in its founding affidavit for the arrest.
  3. 3 Whether material non-disclosures or misstatements in the founding affidavit justified setting aside the arrest.

Ratio Decidendi

The Supreme Court of Appeal held that the exceptio rei judicatae did not apply because the Italian court's decision was not on the merits but amounted to absolution from the instance. The respondent's founding affidavit, though based on hearsay, was sufficient to establish a prima facie case under the lenient approach sanctioned by s 6(3) of the Admiralty Jurisdiction Regulation Act and relevant case law. The alleged material non-disclosures and misstatements in the founding affidavit were either not material or adequately addressed by the annexures and subsequent affidavits. Regarding countersecurity, the court found that the appellants failed to demonstrate a genuine and reasonable need...

Court Disposition

Appeal dismissed with costs.

Orders

  • The appeal is dismissed with costs.