South Africa Case Law

Sakhana Construction CC v Strand Junction Retail (Pty) Limited (4219/2022)

Sakhana Construction CC v Strand Junction Retail (Pty) Limited (4219/2022) [2022] ZAWCHC 225 (3 November 2022)

Court

Western Cape High Court, Cape Town

Case number

4219/2022

Judge

M J Dolamo

The court found that the applicant's claim for R750,000 was disputed on bona fide reasonable grounds, both factually and legally. The respondent provided sufficient facts to show that the debt was either paid or had prescribed, and the reflection of the debt in the 2020 financials did not interrupt prescription as it occurred after prescription had run. The court held that the Badenhorst principle applies to legal disputes as well as factual ones, and where a genuine dispute exists regarding indebtedness or prescription, liquidation proceedings are not appropriate. The applicant failed to est…

Source excerpt

• Company Liquidation
• Bona Fide Dispute
• Prescription Act
• Badenhorst Principle
• Tacit Acknowledgment Of Debt

Voltex (PTY) Ltd T/A Atlas Group v Resilient Rock (PTY) Ltd (2021/29872)

Voltex (PTY) Ltd T/A Atlas Group v Resilient Rock (PTY) Ltd (2021/29872) [2022] ZAGPJHC 350 (20 May 2022)

Court

South Gauteng High Court, Johannesburg

Case number

2021/29872

Judge

VM Movshovich

Leave to appeal was dismissed in a liquidation dispute because insolvency was not established and the debt remained genuinely disputed.

• Company Liquidation
• Commercial Insolvency
• Bona Fide Defence
• Without Prejudice Rule
• Badenhorst Principle
• Company-liquidation

Multipro Investments v EB Diamonds CC (238/2019)

Multipro Investments v EB Diamonds CC (238/2019) [2020] ZANCHC 1 (17 January 2020)

Court

Northern Cape High Court, Kimberley

Case number

238/2019

Judge

Mamosebo

The court found that Multipro Investments had locus standi as a creditor of EB Diamonds CC, supported by the written agreement and prior judgment. EB Diamonds failed to file its answering affidavit timeously and did not provide a satisfactory explanation for the delay; condonation was refused. The doctrines of estoppel and res judicata did not apply because the liquidation application was distinct from the prior claim for indebtedness. The Badenhorst principle was inapplicable as EB Diamonds did not genuinely dispute the debt in good faith or on reasonable grounds. The requirements for provis…

Source excerpt

• Provisional Liquidation
• Locus Standi
• Condonation
• Res Judicata
• Badenhorst Principle