BW Bright Water Way Props (Pty) Ltd v Eastern Cape Development Corporation (EL848/2017; ECD 2148/2017) [2019] ZAECELLC 21 (5 September 2019)
- Citation
- [2019] ZAECELLC 21
- Status
- Order
- Jurisdiction
- South Africa
- Court
- Eastern Cape High Court, East London Local Court
- Panel
- I T Stretch
- Case number
- EL848/2017; ECD 2148/2017
More details
- Court
- Eastern Cape High Court, East London Local Court
- Panel
- I T Stretch
- Case number
- EL848/2017; ECD 2148/2017
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The court held that the order of constitutional invalidity granted in the previous judgment did not have the effect of divesting the applicant of any rights under the lease contract, except as specifically declared invalid. The supplementation was necessary to clarify the scope of the invalidity and to prevent unintended consequences affecting the applicant's contractual entitlements. The respondent was ordered to pay the costs of the application as its opposition was not justified.
Court disposition
Supplementary order granted; applicant's contractual rights preserved except as declared invalid; respondent to pay costs.
Orders
- The order of this Court dated 26 July 2019 is supplemented by the addition, after paragraph (b), of the following: '(c) The order of constitutional invalidity in paragraph (b) above does not have the effect of divesting the applicant of any rights to which it is entitled under the lease contract, but for the declaration of invalidity.'
- The order of 26 July 2019 at paragraph (c) is renumbered as paragraph (d).
- The respondent is directed to pay the costs of this application.
02
Material facts
Parties
BW Bright Water Way Props (Pty) Ltd
Applicant Counsel: Mr Quinn SCEastern Cape Development Corporation
Respondent Counsel: Mr Beyleveld SC03
Procedural history
Posture
Civil Application / Supplementary Order Following Prior Judgment
04
Questions and positions
Legal issues
- 01
Whether the order of constitutional invalidity affects the applicant's rights under the lease contract.
- 02
Whether the previous order required supplementation to clarify the effect on contractual rights.
- 03
Responsibility for costs of the supplementary application.
Party arguments
- Applicant
- The applicant argued that the previous order of constitutional invalidity should not deprive it of any rights under the lease contract, except as specifically declared invalid. The applicant sought clarification to ensure its contractual entitlements remained intact.
- Respondent
- The respondent opposed the supplementation, contending that the original order was clear and that no further clarification was necessary. The respondent disputed liability for costs.
05
Court’s reasoning
Legal principles
- 01
Section 172(1)(b) of the Constitution of the Republic of South Africa, 1996
A declaration of constitutional invalidity does not automatically extinguish contractual rights unless expressly stated.
06
Ratio, limits and disposition
Ratio decidendi
The court held that the order of constitutional invalidity granted in the previous judgment did not have the effect of divesting the applicant of any rights under the lease contract, except as specifically declared invalid. The supplementation was necessary to clarify the scope of the invalidity and to prevent unintended consequences affecting the applicant's contractual entitlements. The respondent was ordered to pay the costs of the application as its opposition was not justified.
Obiter and limits
- The supplementation of orders is appropriate where ambiguity may affect substantive rights.
- Costs may be awarded against a party who unreasonably opposes clarification of a court order.
Court disposition
Supplementary order granted; applicant's contractual rights preserved except as declared invalid; respondent to pay costs.
- The order of this Court dated 26 July 2019 is supplemented by the addition, after paragraph (b), of the following: '(c) The order of constitutional invalidity in paragraph (b) above does not have the effect of divesting the applicant of any rights to which it is entitled under the lease contract, but for the declaration of invalidity.'
- The order of 26 July 2019 at paragraph (c) is renumbered as paragraph (d).
- The respondent is directed to pay the costs of this application.
Source and reliance status
Eastern Cape High Court, East London Local Court
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Eastern Cape High Court, East London Local Court
Order
IN
THE HIGH COURT OF SOUTH AFRICA
EASTERN CAPE LOCAL DIVISION, EAST LONDON
CASE NO: EL 848/2017
ECO 2148/17
Before the Honourable Madam Justice I T Stretch Date:
Thursday, 5 September 2019
In the matter between:
BW BRIGHT WATER WAY PROPS (PTY) LTD
Applicant
and
EASTERN
CAPE DEVELOPMENT CORPORATION Respondent
Having heard Mr Quinn SC for the applicant and Mr Beyleveld SC for the respondent, and having read the papers filed of record:
IT IS ORDERED THAT:
1. The order of this Court dated 26 July 2019 is supplemented by the addition, after paragraph (b) of the following:
"(c) The order of constitutional invalidity in paragraph (b) above does not have the effect of divesting the applicant of any rights to which it is entitled under the lease contract, but for the declaration of invalidity."
2. The order of 26 July 2019 at paragraph (c) is renumbered as paragraph (d).
3. The respondent is directed to pay the costs of this application.
It is recorded that reasons for this order will be handed down in due course.
BY
ORDER OF COURT
REGISTRAR
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