South Africa Case Law

Wormald N.O. v Woollgar & others (773/2020)

Wormald N.O. v Woollgar & others (773/2020) [2021] ZAECGHC 51 (30 March 2021)

Court

Eastern Cape High Court, Grahamstown

Case number

773/2020

Judge

Roberson

The court held that the phrase 'the lawfully wedded spouse' in the Neville Woollgar Family Trust deed must be interpreted in its proper context, considering the circumstances at the time of the trust's establishment. The founder was married to Lynette Woollgar, and the trust was intended to benefit the family unit as it existed then. There was no evidence that the founder contemplated divorce or remarriage. The subsequent conduct, including the 2016 resolution and payments to Lynette after divorce, supported the respondents' interpretation that only Lynette was intended as the 'lawfully wedde…

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• Trust Deed Interpretation
• Beneficiary Status
• Contractual Construction
• Subsequent Conduct
• Parol Evidence Rule

Platterkloof RMS Broedery (Pty) Ltd v Dahlia Investment Holdings (Pty) Ltd and Another (7836/2020)

Platterkloof RMS Broedery (Pty) Ltd v Dahlia Investment Holdings (Pty) Ltd and Another (7836/2020) [2021] ZAWCHC 1; 2021 (2) SA 527 (WCC) (4 January 2021)

Court

Western Cape High Court, Cape Town

Case number

7836/2020

Judge

Binns-Ward

The court held that the sale of the entire farm, including the leased portions subject to the applicant's right of pre-emption, did trigger the applicant's right of first refusal under clause 10 of the lease. However, the terms of the clause required the applicant to purchase the leased portions on the same terms and conditions as those offered to the third party, which in this case meant purchasing the whole farm for R17 million. The property did not lend itself to pro rata allocation, and the evidence did not support the applicant's contention that the price for the leased portions was R4 m…

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• Right Of Pre Emption
• Specific Performance
• Lease Agreement
• Package Deal Sale
• Contractual Construction

eThekwini Municipality v Breakers Share Block Limited (42/2016)

eThekwini Municipality v Breakers Share Block Limited (42/2016) [2016] ZASCA 140 (29 September 2016)

Court

Supreme Court of Appeal

Case number

42/2016

Judges

Mpati, Shongwe, Swain, Mocumie, Potterill

The Supreme Court of Appeal held that lease rent had to be calculated using the Scheme’s clear definition of floor area, not by excluding public areas. The appeal succeeded.

• Lease Agreement Interpretation
• Rental Calculation
• Town Planning Scheme
• Contractual Construction
• Lease-agreement-interpretation
• Contractual-interpretation

Venalex (Pty) Limited v Vigraha Property CC and Others (5452/2014)

Venalex (Pty) Limited v Vigraha Property CC and Others (5452/2014) [2015] ZAKZDHC 20; [2015] 2 All SA 645 (KZD) (10 March 2015)

Court

Kwazulu-Natal High Court, Durban

Case number

5452/2014

Judge

Olsen

The court held that the contract did not require the substituted purchaser to be a company incorporated after the agreement. The phrase 'to be formed' was interpreted in its business context, not as a technical requirement for post-contract incorporation. Both newly incorporated and shelf companies are functionally equivalent for the purposes of substitution under the contract. The addendum, although lacking an express substitution clause, implicitly recorded the applicant as purchaser and was valid despite minor manuscript insertions. The applicant was entitled to be substituted as purchaser…

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• Preincorporation Contract
• Stipulatio Alteri
• Alienation Of Land Act
• Company Nomination
• Contractual Construction

Shoprite Checkers Ltd vs Hyprop Investments Ltd and Another (A605/08)

Shoprite Checkers Ltd vs Hyprop Investments Ltd and Another (A605/08) [2010] ZAWCHC 360 (9 February 2010)

Court

Western Cape High Court, Cape Town

Case number

A605/08

Judges

Binns-Ward, Traverso, Saldanha

The High Court interpreted a lease clause on municipal rates and held that the tenant’s liability for increases was measured from the first post-completion valuation date, not lease commencement.

• Lease Interpretation
• Rates And Taxes Liability
• Contractual Construction
• Lease-interpretation
• Contractual-construction
• Rates-and-taxes-liability

G.I.C and Others v D.L.C (born B) and Another (CA 52/2009)

G.I.C and Others v D.L.C (born B) and Another (CA 52/2009) [2009] ZAECGHC 87 (10 December 2009)

Court

Eastern Cape High Court, Grahamstown

Case number

CA 52/2009

Judges

F Kroon, J J Nepgen, P C Van der Byl

High Court appeal over a spouse's bid to exercise a purchase option without the other spouse's consent was dismissed; the option required joint exercise and had lapsed.

• Matrimonial Property Act
• Community Of Property
• Option To Purchase
• Contractual Construction
• Subdivision Of Agricultural Land Act
• Admission Of Affidavit

Hill and Another v Magnolia Ridge Properties (Pty) Ltd and Another (14030/08)

Hill and Another v Magnolia Ridge Properties (Pty) Ltd and Another (14030/08) [2009] ZAKZDHC 5 (1 April 2009)

Court

Kwazulu-Natal High Court, Durban

Case number

14030/08

Judge

Wallis

The High Court refused an interim interdict over a deposit, holding the applicants misread a sale clause and failed to show a strong enough case or convenience.

• Interim Interdict
• Contractual Construction
• Deposit Refund
• Sectional Title Development
• Interim-interdict
• Contractual-construction

African Products (Pty) Ltd v AIG South Africa Ltd (659/2007)

African Products (Pty) Ltd v AIG South Africa Ltd (659/2007) [2009] ZASCA 27; 2009 (3) SA 473 (SCA) ; [2009] 4 All SA 99 (SCA) (27 March 2009)

Court

Supreme Court of Appeal

Case number

659/2007

Judges

MPATI, BRAND, CLOETE, CACHALIA, BOSIELO

The court held that the phrase 'unforeseen and sudden' in the insurance policy must be interpreted cumulatively, with 'sudden' given its temporal meaning of 'abrupt' or 'occurring quickly'. The damage to the cables was not sudden, as it resulted from gradual deterioration of the PVC insulation over a lengthy period, even though the failure manifested itself abruptly. The physical damage occurred when the insulation wore away, exposing the copper conductors, which inevitably led to failure. The manifestation of the damage was sudden, but the actual damage was gradual. Therefore, the appellant'…

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• Insurance Policy Interpretation
• Business Interruption Cover
• Contractual Construction
• Contra Proferentem Rule

Lynn & Main Incorporated v Brits Community Sandworks CC (348/2007)

Lynn & Main Incorporated v Brits Community Sandworks CC (348/2007) [2008] ZASCA 100; 2009 (1) SA 308 (SCA); [2009] 1 All SA 116 (SCA) (17 September 2008)

Court

Supreme Court of Appeal

Case number

348/2007

Judges

MPATI, FARLAM, HEHER, KGOMO, MHLANTLA

The court held that a cession of suretyship rights was valid without prior written notice; notice was needed only to make it effective against the surety.

• Cession Of Rights
• Suretyship Interpretation
• Notice Requirement
• Locus Standi
• Contractual Construction
• Cession

Cape Group Construction (Pty) Ltd t/a Forbes Waterproofing v Government of the United Kingdom (99/2002)

Cape Group Construction (Pty) Ltd t/a Forbes Waterproofing v Government of the United Kingdom (99/2002) [2003] ZASCA 51; [2003] 3 All SA 496 (SCA); 2003 (5) SA 180 (SCA) (23 May 2003)

Court

Supreme Court of Appeal

Case number

99/2002

Judges

Schutz, Cloete, Heher

The Supreme Court of Appeal held that Forbes's standard terms and conditions, including the exemption clause, were not incorporated into the contract with the Government. The reference to 'See Terms and Conditions Overleaf' in the faxed quotation was insufficient, as only one page was sent and there was no 'overleaf'. The court found that the natural and objective interpretation of the fax was that no additional terms applied. Even if incorporation was arguable, Forbes failed to take reasonable steps to bring the exemption clause to the Government's attention, as required by the 'ticket' case…

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• Incorporation Of Standard Terms
• Exemption Clauses
• Quasi Mutual Assent
• Contractual Construction