Seabeach Property Investment No 28 v Nunn (18310/18)
Seabeach Property Investment No 28 v Nunn (18310/18) [2019] ZAWCHC 9 (22 February 2019)
The court held that the arbitration clause in the sale agreement was drafted to be severable and to survive any invalidity or termination of the principal contract. The parties expressly agreed that disputes regarding formation, validity, enforceability, and rectification of the agreement would be referred to arbitration. The factual matrix in this case was distinguishable from prior authorities where fraud was proven or common cause. Here, the respondent alleged a fundamental mistake induced by misrepresentation, but did not allege fraud. The court found that the parties intended to ring-fen…
Source excerpt
- Arbitration Clause Enforceability
- Contract Void Or Voidable
- Misrepresentation
- Severability Of Arbitration Clause