Vigne v Miles (CA32/2017) [2020] ZAECGHC 108 (29 September 2020)

Vigne v Miles (CA32/2017) [2020] ZAECGHC 108 (29 September 2020)

The court found that the appellant was given a verbal mandate to find a buyer for the property and that she was the effective cause of the sale to the Riverview Trust, whose trustee was the party she had introduced. Although commission was not expressly discussed, the circumstances and conduct of the parties established a tacit agreement that commission would be payable at the customary rate. Expert evidence supported that 5% was an appropriate rate, and the appellant had indicated willingness to accept this. The respondent's denial of liability was unconvincing and contradicted by his own admissions. The appellant discharged the onus of proof and was entitled to commission at 5% of the...

Citation
[2020] ZAECGHC 108
Parties
Appellant: Margaret May Vigne; Respondent: David Leo Miles
Court
Eastern Cape High Court, Grahamstown
Jurisdiction
South Africa
Judgment Date
29 September 2020
Case Number
CA32/2017
Procedural Posture
Civil Appeal / Appeal From Magistrate's Court Judgment
Outcome
Appeal upheld; Magistrate's order set aside and replaced with an order for payment of commission and costs.
Judges
M.J. Lowe, O.H. Ronaasen
Legal Topics
Estate Agent Commission, Tacit Contract, Mandate, Customary Rate, Onus of Proof
Commercial and Corporate Estate Agent Commission Tacit Contract Mandate Customary Rate Onus of Proof

Case Brief

Summary, issues, holding and outcome

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Parties

Margaret May Vigne

Appellant

David Leo Miles

Respondent

Procedural Posture

Civil Appeal / Appeal From Magistrate's Court Judgment

Legal Issues

  1. 1 Whether the appellant established an agreement, express or tacit, entitling her to estate agent's commission for the sale of the property.
  2. 2 Whether the appellant was the effective cause of the sale to the purchaser.
  3. 3 What rate of commission, if any, was payable to the appellant.

Ratio Decidendi

The court found that the appellant was given a verbal mandate to find a buyer for the property and that she was the effective cause of the sale to the Riverview Trust, whose trustee was the party she had introduced. Although commission was not expressly discussed, the circumstances and conduct of the parties established a tacit agreement that commission would be payable at the customary rate. Expert evidence supported that 5% was an appropriate rate, and the appellant had indicated willingness to accept this. The respondent's denial of liability was unconvincing and contradicted by his own admissions. The appellant discharged the onus of proof and was entitled to commission at 5% of the...

Court Disposition

Appeal upheld; Magistrate's order set aside and replaced with an order for payment of commission and costs.

Orders

  • The appeal succeeds with costs.
  • The Magistrate’s order is set aside and replaced as follows: Defendant is to pay to Plaintiff the sum of R110,000.00 (being 5% of the sale price of R2,200,000.00).