South Africa Case Law

Telegenix Trading 799 (Pty) Limited v Zimele Investment Enterprise Company (Pty) Ltd and Others (A277/2022)

Telegenix Trading 799 (Pty) Limited v Zimele Investment Enterprise Company (Pty) Ltd and Others (A277/2022) [2023] ZAGPPHC 1128 (5 September 2023)

Court

North Gauteng High Court, Pretoria

Case number

A277/2022

Judges

R G Tolmay, R Francis-Subbiah, L Barit

High Court appeal over SANRAL tender disqualifications for failure to submit a valid B-BBEE certificate. The appeal succeeded, the cross-appeal failed, and Zimele’s review was dismissed.

• Public Procurement
• Preferential Procurement Regulations
• B Bbee Compliance
• Judicial Review
• Acceptable Tender
• Pre Qualification Criteria

Fezi Consultants and Auditors (Pty) Ltd v Centlec (SOC) Ltd (1381/2022)

Fezi Consultants and Auditors (Pty) Ltd v Centlec (SOC) Ltd (1381/2022) [2023] ZAFSHC 325 (15 August 2023)

Court

Free State High Court, Bloemfontein

Case number

1381/2022

Judges

Mbhele, Daniso

The court found that Fezi misunderstood the requirements of the tender, resulting in non-responsive pricing and failure to meet the prescribed minimum qualifying criteria. The tender documents were clear, and Fezi's bid did not comply with the technical specifications or the pricing schedule. The bid evaluation committee was not permitted to deviate from the conditions of the tender or condone non-compliance. The principles of fairness, equity, transparency, competitiveness, and cost-effectiveness, as set out in section 217(1) of the Constitution and the Preferential Procurement Policy Framew…

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• Public Procurement
• Promotion Of Administrative Justice Act
• Preferential Procurement Policy Framework Act
• Acceptable Tender
• Bid Evaluation
• Threshold Requirement

Tekoa Consulting Engineers (Pty) Ltd v Alfred Nzo District Municipality and Others (1284/2021)

Tekoa Consulting Engineers (Pty) Ltd v Alfred Nzo District Municipality and Others (1284/2021) [2022] ZAECMKHC 59 (6 September 2022)

Court

Eastern Cape High Court, Makhanda

Case number

1284/2021

Judge

Laing

The High Court dismissed an application for leave to appeal in a tender review, standing by its finding that the tender process and award were unlawful.

• Tender Review
• Promotion Of Administrative Justice Act
• Preferential Procurement Policy Framework Act
• Unreasonable Delay
• Acceptable Tender
• Costs Order

Mabotwane Security Services v Rustenburg Local Municipality and Another (UM119/19)

Mabotwane Security Services v Rustenburg Local Municipality and Another (UM119/19) [2020] ZANWHC 70 (20 August 2020)

Court

North West High Court, Mafikeng

Case number

UM119/19

Judge

M.E. Mahlangu

The court held that the applicant’s bid was not an acceptable tender and dismissed its review, while granting the municipality’s counter-application.

• Public Procurement
• Acceptable Tender
• Preferential Procurement Policy Framework Act
• Municipal Finance Management Act
• Bid Evaluation
• Declaration Of Interest

ABET Inspection Engineering (Pty) Ltd v The Petroleum Oil and Gas Corporation of South Africa and Another (A280/2017)

ABET Inspection Engineering (Pty) Ltd v The Petroleum Oil and Gas Corporation of South Africa and Another (A280/2017) [2018] ZAWCHC 7 (1 February 2018)

Court

Western Cape High Court, Cape Town

Case number

A280/2017

Judges

A.G. Binns-Ward, R. Allie, B.P. Mantame

The court found that Vumela's tender was substantively compliant with the requirements of the PPPFA and the tender specifications. The accreditation and certification attached to the business as an organisation or facility, not to its owner, and Vumela had acquired the accredited business as a going concern. SANAS and the Department of Labour were notified of the change of ownership, and accreditation and certification were subsequently issued in Vumela's name. Any irregularity in the tender process was purely formal and did not detract from the purpose of the relevant provisions. The court h…

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• Public Procurement
• Preferential Procurement Policy Framework Act
• Acceptable Tender
• Judicial Review
• Material Irregularity
• Sanctions For Non Compliance

Intsimbi Industrial Manufacturing CC and Others v Municipality Manager of the Nelson Mandela Metropolitan Municipality and Others (1961/2012)

Intsimbi Industrial Manufacturing CC and Others v Municipality Manager of the Nelson Mandela Metropolitan Municipality and Others (1961/2012) [2015] ZAECPEHC 64 (13 November 2015)

Court

Eastern Cape High Court, Port Elizabeth

Case number

1961/2012

Judge

Beshe

The court found that the requirement for registration on the municipality's supplier database was peremptory and served a legitimate governance function, ensuring that only suitable entities could be awarded contracts. The joint venture, as a separate legal entity, was not registered at the time of tender closure, and the tender document clearly stipulated this requirement. The applicants' reliance on the registration of the constituent entities was misplaced, as the joint venture itself was the bidder. The municipality was entitled to declare the bid non-responsive and cancel the tender, esp…

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• Promotion Of Administrative Justice Act
• Public Procurement
• Procedural Fairness
• Acceptable Tender
• Judicial Review

Loliwe CC t/a Vusumzi Environmental Services v City of Cape Town and Others (3791/2012)

Loliwe CC t/a Vusumzi Environmental Services v City of Cape Town and Others (3791/2012) [2012] ZAWCHC 162 (6 July 2012)

Court

Western Cape High Court, Cape Town

Case number

3791/2012

Judge

A.G. Binns-Ward

The exclusion of the applicant’s bid in the Atlantic tender was unlawful due to the irrational and mechanical application of the functionality scoring system, which failed to consider information that could be readily deduced or clarified. The bid evaluation committee’s approach did not satisfy the requirements of fairness and transparency under s 217 of the Constitution and the PPPFA. However, upon a holistic evaluation of the applicant’s bid, material anomalies and inconsistencies in its cost breakdown rendered the bid non-responsive and not an acceptable tender. Consequently, the applicant…

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• Municipal Procurement
• Preferential Procurement Policy Framework Act
• Promotion Of Administrative Justice Act
• Bid Evaluation
• Judicial Review
• Acceptable Tender

Chairperson: Standing Tender Committee and Others v JFE Sapela Electronics (Pty) Ltd and Others (511/2004)

Chairperson: Standing Tender Committee and Others v JFE Sapela Electronics (Pty) Ltd and Others (511/2004) [2005] ZASCA 90; 2008 (2) SA 638 (SCA) ; [2005] 4 All SA 487 (SCA) (26 September 2005)

Court

Supreme Court of Appeal

Case number

511/2004

Judges

Scott, Cameron, Mthiyane, Lewis, Maya

The SCA held that Nolitha’s prison tenders were invalid, but refused to set them aside because too much time had passed and the work was largely done.

• Public Procurement
• Preferential Procurement Policy Framework Act
• Acceptable Tender
• Judicial Review
• Doctrine Of Legality
• Promotion Of Administrative Justice Act