South Africa Case Law

Tame N.O and Others v Tala Light Weight Construction (Pty) Ltd and Others (6550/2019)

Tame N.O and Others v Tala Light Weight Construction (Pty) Ltd and Others (6550/2019) [2025] ZAWCHC 63 (24 February 2025)

Court

Western Cape High Court, Cape Town

Case number

6550/2019

Judge

S G Magardie

The court found that the first defendant materially breached its obligations under the building contracts by failing to construct the dwellings in a proper and workmanlike manner and not in accordance with the agreed plans and specifications. The evidence of the plaintiffs’ witnesses, particularly the quantity surveyor and land surveyor, established that the work completed was substantially below the contracted standard and that the value of completed work was significantly less than the amounts paid. The contractual mechanism for payment did not preclude the plaintiffs from seeking restituti…

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• Building Contracts
• Restitutionary Damages
• Breach Of Contract
• Quantum Of Damages
• Suretyship Liability
• Contractual Penalties

Lonerock Construction v South African National Roads Agency (SOC Limited)

Lonerock Construction v South African National Roads Agency (SOC Limited) [2023] ZAGPPHC 527; 89831/2018 (27 June 2023)

Court

North Gauteng High Court, Pretoria

Case number

89831/2018

Judge

Neukircher

The court found that the contract did not entitle the defendant to object to or amend an Interim Payment Certificate once issued by the engineer. The plaintiff was entitled to payment as certified in IPC 36, as the contract only allowed for corrections in subsequent certificates, not withdrawal or cancellation of an existing certificate. The defendant's refusal to pay P&Gs and CPA was not contractually justified, and the differential treatment of SMMEs did not alter the plaintiff's rights under the main contract. The subsequent signing of a revised IPC 36 did not amount to waiver or acquiesce…

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• Construction Contracts
• Interim Payment Certificates
• Contractual Penalties
• Waiver And Acquiescence

enX Corporation Limited t/a Eqstra Fleet Management v TNJ Project Solutions (Pty) Ltd and Another (28165/2020)

enX Corporation Limited t/a Eqstra Fleet Management v TNJ Project Solutions (Pty) Ltd and Another (28165/2020) [2023] ZAGPJHC 19 (19 January 2023)

Court

South Gauteng High Court, Johannesburg

Case number

28165/2020

Judge

P V Ternent

The court found that the second defendant, Mokoena, failed to raise any bona fide defence to the plaintiff's claims. Her plea and affidavit consisted of bare denials and vague assertions, lacking factual substance. The suretyship obligations were not disputed in substance, and the argument regarding lack of spousal consent under the Matrimonial Property Act was not supported by sufficient facts. The claim for vehicle repairs was held to be illiquid and unsuitable for summary judgment, but all other claims were liquidated and supported by certificates of balance, which constitute prima facie p…

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• Suretyship Liability
• Summary Judgment
• Contractual Penalties
• Business Rescue
• Certificates Of Balance
• Matrimonial Property Act

Scarliweb (Pty) Ltd t/a Cooling Solutions Projects and Another v Sedtrade (Pty) Ltd (Reg No: 2004/014721/07) and Others (1953/2020)

Scarliweb (Pty) Ltd t/a Cooling Solutions Projects and Another v Sedtrade (Pty) Ltd (Reg No: 2004/014721/07) and Others (1953/2020) [2021] ZANCHC 40 (30 July 2021)

Court

Northern Cape High Court, Kimberley

Case number

1953/2020

Judge

Mamosebo

The court confirmed a rule nisi and held that an adjudicator’s decision under a subcontract was binding and enforceable, ordering Sedtrade to pay the applicants.

• Interdict
• Subcontractor Payment
• Adjudication Enforcement
• Urgent Application
• Contractual Penalties
• Adjudication-enforcement

G. Liviero & Son Building (Pty) Ltd v Sundowner Property Development (Pty) Ltd (49/11)

G. Liviero & Son Building (Pty) Ltd v Sundowner Property Development (Pty) Ltd (49/11) [2011] ZASCA 217; [2012] 2 All SA 43 (SCA) (29 November 2011)

Court

Supreme Court of Appeal

Case number

49/11

Judges

Cloete, Heher, Cachalia, Shongwe, Plasket

The Supreme Court of Appeal held that an employer was not barred from court by the contract’s arbitration clause, and that only part of a counterclaim was res judicata.

• Arbitration Clause Interpretation
• Issue Estoppel
• Res Judicata
• Contractual Penalties
• Builder S Lien
• Arbitration-clause-interpretation

Marlow Projects CC v Van Rensburg and Others (44572/2009)

Marlow Projects CC v Van Rensburg and Others (44572/2009) [2010] ZAGPPHC 134 (23 September 2010)

Court

North Gauteng High Court, Pretoria

Case number

44572/2009

Judge

Phatudi

The High Court held that failure to deliver guarantees breached the sale agreement, bringing the forfeited payment under the Conventional Penalties Act.

• Conventional Penalties Act
• Breach Of Contract
• Restitution
• Contractual Penalties
• Sale Of Land
• Conventional-penalties-act

Roets v Pyramid Freight (Pty) Ltd (A21/2008)

Roets v Pyramid Freight (Pty) Ltd (A21/2008) [2008] ZAWCHC 191 (9 May 2008)

Court

Western Cape High Court, Cape Town

Case number

A21/2008

Judges

Fourie, Waglay

The High Court dismissed an appeal against a magistrate’s order enforcing a contractual penalty, finding the amount was not disproportionate to the respondent’s proven prejudice.

• Contractual Penalties
• Conventional Penalties Act
• Employment Contracts
• Appeal Procedure
• Contractual-penalties
• Appeal-procedure