Vhazwimi Properties (Pty) Limited v Bise Engineering Projects CC (11/22832) [2019] ZAGPJHC 217 (16 May 2019)

Vhazwimi Properties (Pty) Limited v Bise Engineering Projects CC (11/22832) [2019] ZAGPJHC 217 (16 May 2019)

The court found that the joint venture agreement between the defendant and HO HUP UBUNYE Construction (Pty) Ltd expressly excluded the existence of a partnership or any independent legal personality. As a result, the joint venture could not be sued or sue in its own name. The proposed amendment would introduce a defence based on a non-existent legal entity, rendering the pleadings excipiable and prejudicing the plaintiff. The defendant failed to demonstrate that granting leave to amend would serve the interests of justice. Accordingly, the application for leave to amend was dismissed.

Citation
[2019] ZAGPJHC 217
Parties
Applicant: Vhazwimi Properties (Pty) Limited; Respondent: Bise Engineering Projects CC
Court
South Gauteng High Court, Johannesburg
Jurisdiction
South Africa
Judgment Date
16 May 2019
Case Number
11/22832
Procedural Posture
Interlocutory Application / Application for Leave to Amend Plea
Outcome
Application for leave to amend the plea dismissed with costs.
Judges
Molahlehi
Legal Topics
Amendment of Pleadings, Joint Venture Agreement, Non Joinder, Prejudice in Amendment, Legal Personality, Oral Contract
Civil Procedure Commercial and Corporate Amendment of Pleadings Joint Venture Agreement Non Joinder Prejudice in Amendment Legal Personality Oral Contract

Case Brief

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Parties

Vhazwimi Properties (Pty) Limited

Applicant

Bise Engineering Projects CC

Respondent

Procedural Posture

Interlocutory Application / Application for Leave to Amend Plea

Legal Issues

  1. 1 Whether the defendant is entitled to leave to amend its plea to elaborate its defence based on the existence of a joint venture.
  2. 2 Whether the joint venture between the defendant and HO HUP UBUNYE Construction (Pty) Ltd constitutes a legal entity capable of being sued or suing.
  3. 3 Whether granting the amendment would cause prejudice to the plaintiff.

Ratio Decidendi

The court found that the joint venture agreement between the defendant and HO HUP UBUNYE Construction (Pty) Ltd expressly excluded the existence of a partnership or any independent legal personality. As a result, the joint venture could not be sued or sue in its own name. The proposed amendment would introduce a defence based on a non-existent legal entity, rendering the pleadings excipiable and prejudicing the plaintiff. The defendant failed to demonstrate that granting leave to amend would serve the interests of justice. Accordingly, the application for leave to amend was dismissed.

Court Disposition

Application for leave to amend the plea dismissed with costs.

Orders

  • The defendant's application for leave to amend its plea is dismissed with costs.