Voermol Feeds (Pty) Ltd v CCMA and Others (C 943/12) [2013] ZALCCT 50 (29 November 2013)
- Citation
- [2013] ZALCCT 50
- Status
- Ruling
- Jurisdiction
- South Africa
- Court
- Labour Court Cape Town
- Panel
- Steenkamp
- Case number
- C 943/12
More details
- Court
- Labour Court Cape Town
- Panel
- Steenkamp
- Case number
- C 943/12
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The court found that the arbitrator's award was not so unreasonable that no other commissioner could have reached the same conclusion. The arbitrator gave the parties a full opportunity to present their case, properly identified and understood the dispute, and dealt with the substantial merits. There was no evidence of fraud, and the duplicate claims were submitted in error without intent to defraud. The arbitrator's findings on credibility, compensation, and costs were exercises of discretion that do not warrant interference on review or appeal. The grounds of appeal raised by the applicant do not present reasonable prospects that another court would reach a different conclusion under the strict test for review.
Court disposition
Leave to appeal is dismissed with costs.
Orders
- The application for leave to appeal is dismissed with costs.
02
Material facts
Parties
Voermol Feeds (Pty) Ltd
Applicant Counsel: Edward Nathan SonnenbergsCCMA
RespondentCommissioner M Loyson N.O.
RespondentDr Jasper Coetzee
Respondent Counsel: Andre Olivier attorney03
Procedural history
Posture
Leave to Appeal / Application for Leave to Appeal Following Ex Tempore Judgment on Review of Arbitration Award
04
Questions and positions
Legal issues
- 01
Whether the arbitrator's award was so unreasonable that no other commissioner could have reached the same conclusion.
- 02
Whether the arbitrator and the court failed to distinguish between charges of submitting duplicate claims and incurring 'quick succession' claims.
- 03
Whether evidence of fraud was disregarded.
- 04
Whether the award of compensation was just and equitable.
- 05
Whether the arbitrator's finding on costs should have been set aside.
Party arguments
- Applicant
- The applicant contended that the court failed to distinguish between the charges against the employee, specifically submitting duplicate claims and incurring 'quick succession' claims. It argued that evidence of fraud was disregarded and that the compensation awarded was not just and equitable. The applicant also submitted that the arbitrator's finding on costs should have been set aside.
- Respondent
- The respondents maintained that the claims were not in breach of any rule and that the arbitrator's findings were reasonable. They argued that there was no evidence of fraud, that duplicate invoices were submitted in error, and that the arbitrator's discretion regarding compensation and costs should not be interfered with on review or appeal.
05
Court’s reasoning
Legal principles
- 01
Gold Fields Mining South Africa (Pty) Ltd (Kloof Gold Mine) v CCMA & others JA 2/2012, 4 November 2012 at para [20]
A court will not interfere with an arbitrator's findings unless the award is so unreasonable that no other arbitrator could have reached the same decision.
- 02
Kemp t/a Centralmed v Rawlins (2009) 30 ILJ 2677 (LAC); [2009] 11 BLLR 1027 (LAC) paras [20] – [21]
When awarding compensation and costs, an arbitrator exercises a discretion which a court will not lightly interfere with, especially on review or appeal.
06
Ratio, limits and disposition
Ratio decidendi
The court found that the arbitrator's award was not so unreasonable that no other commissioner could have reached the same conclusion. The arbitrator gave the parties a full opportunity to present their case, properly identified and understood the dispute, and dealt with the substantial merits. There was no evidence of fraud, and the duplicate claims were submitted in error without intent to defraud. The arbitrator's findings on credibility, compensation, and costs were exercises of discretion that do not warrant interference on review or appeal. The grounds of appeal raised by the applicant do not present reasonable prospects that another court would reach a different conclusion under the strict test for review.
Obiter and limits
- It would be exceptional for a court in review proceedings to interfere with an arbitrator's findings on credibility.
- Even if the court may have awarded a different sum of compensation or not awarded costs, the arbitrator's decision is not so unreasonable that no other arbitrator could have reached it.
Court disposition
Leave to appeal is dismissed with costs.
- The application for leave to appeal is dismissed with costs.
Source and reliance status
Labour Court Cape Town
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.
Labour Court Cape Town
Ruling
REPUBLIC
OF SOUTH AFRICA
THE LABOUR COURT OF SOUTH AFRICA, CAPE TOWN
JUDGMENT
Case no: C 943/12
DATE: 29 NOVEMBER 2013
NOT
REPORTABLE
In the matter between:
VOERMOL FEEDS (PTY) LTD..................................................................................Applicant
And
CCMA ….........................................................................................................First Respondent
COMMISSIONER M LOYSON N.O. ….................................................Second Respondent
DR
JASPER COETZEE..............................................................................Third Respondent
Delivered: 29 November 2013
RULING
ON LEAVE TO APPEAL
STEENKAMP J
Introduction
[1] The applicant seeks leave to appeal against my ex tempore judgment of 9 October 2013.
[2] I found that the arbitration award by the second respondent was not so unreasonable that no other commissioner could have come to the same conclusion.
Grounds of appeal
[3] The applicant raises the following grounds of appeal:
3.1 The court failed to distinguish between charges preferred against the employee, namely submitting duplicate claims and incurring “quick succession” claims.
3.2 The court (and the arbitrator) disregarded evidence of fraud.
3.3 The award of compensation was not “just and equitable”.
3
.4 The court should have set aside the arbitrator’s finding on costs.
Evaluation / Analysis
[4] Although the grounds of review were not clearly delineated, I will deal with them under these broad categories.
Distinguishing between the charges
[5] The applicant says that the employee benefitted from the “quick succession” claims. But it is common cause that the claims were not in breach of any rule. The arbitrator’s findings in this regard are not open to review, and there is no reasonable prospect that another court will come to a different conclusion.
[6] The award, quite simply, ticks all the boxes enumerated by the LAC in Gold Fields Mining South Africa (Pty) Ltd (Kloof Gold Mine) v CCMA & others 1:
6.1 In terms of his duty to deal with the matter with a minimum of legal formalities, the process that the arbitrator employed gave the parties a full opportunity to have their say in respect of the dispute.
6.2 The arbitrator properly identified the dispute. He was required to arbitrate.
6.3 The arbitrator understood the nature of the dispute. He was required to arbitrate.
6.4 The arbitrator dealt with the substantial merits of the dispute.
6.5 The arbitrator’s decision was not so unreasonable that no other arbitrator could have come to the same decision.
Evidence of fraud
[7] It is clear from Moulton’s evidence that, in response to a question whether, in his experience as a state prosecutor, he would proceed with a fraud claim in court, his response was in the negative. Even though that referred to his experience in a criminal court, the fact remains that he did not find any evidence of fraud.
Duplicate invoices submitted in error
[8] Moulton accepted that the duplicate aims were submitted in error. That was, in his view, the only “legitimate explanation”.
The arbitrator found that the extent of the employee’s errors was minimal. That is not an unreasonable conclusion.
No intention to defraud
[9] Moulton conceded that, in his view, the employee did not have any intention to defraud the employer. That is the evidence. There is no reasonable prospect that another court will come to a different conclusion, and thus find that the conclusion reached by the arbitrator was unreasonable.
Credibility findings
[10] It would be exceptional for a court in review proceedings to interfere with an arbitrator’s findings on credibility. There is no basis for this court or another court to do so in this case.
Compensation and costs
[11] When awarding compensation and costs an arbitrator is exercising a discretion. A court will not lightly interfere with such a discretion, especially not on review.
[12] Even on appeal, a higher court will not lightly interfere with the discretion of the court a quo on compensation. As the Labour Appeal Court pointed out in Kemp t/a Centralmed v Rawlins: 2
“There are many factors that are relevant to the question whether the court should or should not order the employer to pay compensation.
...
From the above it is clear that in the case of a narrow discretion – that is, a situation where the tribunal or court has available to it a number of courses from which to choose – its decision can only be interfered with by a court of appeal on very limited grounds such as where the tribunal or court –
(a) did not exercise a judicial discretion; or
(b) exercised its discretion capriciously; or
(c) exercised its discretion upon a wrong principle; or
(d) has not brought its unbiased judgment to bear on the question; or
(e) has not acted for substantial reasons (see Ex Parte Neethling 1951 (4) SA 331 (A) at 335); or
(f) has misconducted itself on the facts (Constitutional Court judgment in National Coalition for Gay & Lesbian Equality at para 11); or
(g) reached a decision in which the result could not reasonably have been made by a court properly directing itself to all the relevant facts and principles (Constitutional Court judgment in National Coalition for Gay & Lesbian Equality at para 11).
If the court or arbitrator answers that the requirements of fairness will be better met by awarding the employee compensation, then
compensation will be awarded.”
[13] Even though the court may have awarded a different sum of compensation, and even if this court were of the view that it would
not have awarded costs at arbitration, the decision reached by the arbitrator in this regard is not so unreasonable that no other
arbitrator could have come to that decision.
[14] In conclusion, there are no reasonable prospects that another court will come to a different conclusion, given the strict test of review outlined in Kloof Gold Mining.
Order
The application for leave to appeal is dismissed with costs.
Steenkamp
J
APPEARANCES
APPLICANT: Edward Nathan Sonnenbergs.
THIRD RESPONDENT: Andre Olivier attorney.
1JA 2/2012, 4 November 2012 at para [20].
2(2009) 30 ILJ 2677 (LAC); [2009] 11 BLLR 1027 (LAC) paras [20] – [21].
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