South Africa Case Law

Diem v DRD Investments (Pty) Ltd and Another (16005/2018)

Diem v DRD Investments (Pty) Ltd and Another (16005/2018) [2019] ZAWCHC 179 (12 December 2019)

Court

Western Cape High Court, Cape Town

Case number

16005/2018

Judge

Mangcu-Lockwood

The applicant failed to disclose material information regarding the state of the body corporate, ongoing disputes, liquidity issues, and the possibility of substantial special levies, all of which were within her exclusive knowledge and relevant to the future administration and financial obligations of the property. The cumulative effect of these non-disclosures was material and would have induced a reasonable purchaser to reconsider entering into the agreement. The duty to disclose arose in the circumstances, and the applicant's omission constituted a pre-contractual misrepresentation. Claus…

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• Specific Performance
• Misrepresentation
• Material Non Disclosure
• Sectional Title Schemes Management Act
• Contractual Warranty

De Waal Incorporated v Property and PIP Solutions (Pty) Ltd (A02/19)

De Waal Incorporated v Property and PIP Solutions (Pty) Ltd (A02/19) [2019] ZAWCHC 89 (27 June 2019)

Court

Western Cape High Court, Cape Town

Case number

A02/19

Judges

P.A.L.Gamble, M.K.Parker

The court found that clause 12.5 of the discounting agreement did not impose a personal contractual warranty or unconditional guarantee of payment on the appellant. The clause was interpreted as a recordal of a statement of fact, not a promissory undertaking. While the respondent established the existence of a tacit term requiring the appellant to exercise reasonable professional skill, care, and diligence, and proved that the appellant was negligent in failing to conduct the correct Deeds Office search, the respondent failed to establish that such negligence was causally linked to its loss.…

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• Bridging Finance
• Contractual Warranty
• Professional Negligence
• Tacit Terms
• Duty Of Care

Van Rooyen v Brown and Another (A3104/2015)

Van Rooyen v Brown and Another (A3104/2015) [2018] ZAGPJHC 453 (28 June 2018)

Court

South Gauteng High Court, Johannesburg

Case number

A3104/2015

Judges

H Cele, M Twala

High Court appeal about latent defects, a voetstoots clause, warranties, and an invalid electrical compliance certificate in a house sale.

• Voetstoots Clause
• Latent Defects
• Contractual Warranty
• Damages For Non Disclosure
• Electrical Compliance Certificate
• Voetstoots-clause

Basenzi Construction CC t/a Power Wheel and Tyres and Another v Hofmil Investments (Pty) Ltd (3573/16)

Basenzi Construction CC t/a Power Wheel and Tyres and Another v Hofmil Investments (Pty) Ltd (3573/16) [2018] ZAGPPHC 599 (18 January 2018)

Court

North Gauteng High Court, Pretoria

Case number

3573/16

Judge

Van der Schyff

Leave to appeal was refused because the notice of appeal was vague and the applicants failed to show a reasonable prospect of success.

• Leave To Appeal
• Rescission Of Judgment
• Lease Agreement
• Bona Fide Defence
• National Building Regulations
• Contractual Warranty

Spar Group Limited v Moremart Superstore (Pty) Limited; In re: Moremart Superstore (Pty) Limited v Spar Group Limited (51934/2015)

Spar Group Limited v Moremart Superstore (Pty) Limited; In re: Moremart Superstore (Pty) Limited v Spar Group Limited (51934/2015) [2016] ZAGPPHC 599 (12 July 2016)

Court

North Gauteng High Court, Pretoria

Case number

51934/2015

Judge

Canca

Rescission of a default judgment was granted where service went to an attorney’s former address and the claimed debt amount was genuinely disputed.

• Rescission Of Judgment
• Default Judgment
• Bona Fide Defence
• Contractual Warranty
• Domicilium Address
• Rescission-of-judgment

South African Petroleum Energy Guild (NPC) v RMB Private Bank (2014/27890)

South African Petroleum Energy Guild (NPC) v RMB Private Bank (2014/27890) [2014] ZAGPJHC 368 (5 December 2014)

Court

South Gauteng High Court, Johannesburg

Case number

2014/27890

Judge

R Sutherland

The court held that neither a tacit nor an implied term existed in the contract permitting the bank to freeze the applicant's account based solely on suspicion of money laundering. The express warranty in the agreement did not confer such a right, and statutory obligations under FICA and POCA comprehensively regulate the bank's duties in this regard. Only the Financial Intelligence Centre may instruct a bank to freeze an account, and absent such instruction, the bank's unilateral action was unlawful. The court found that importing such a term would be unduly intrusive and contrary to the anti…

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• Money Laundering
• Implied Terms
• Contractual Warranty
• Financial Intelligence Centre Act
• Prevention Of Organised Crime Act

Sentinel Trust N.O. and Others and Barnes N.O. and Others (15583/2010)

Sentinel Trust N.O. and Others and Barnes N.O. and Others (15583/2010) [2013] ZAGPPHC 390 (12 November 2013)

Court

North Gauteng High Court, Pretoria

Case number

15583/2010

Judge

VRSN Nkosi

High Court dispute over a share sale reflected in a written contract and a lapsed mining licence. The court found for the defendants on misrepresentation and warranty issues.

• Sale Of Shares
• Misrepresentation
• Latent Defect
• Contractual Warranty
• Parol Evidence Rule
• Mining Rights

Platt v Platt (116/2011)

Platt v Platt (116/2011) [2013] ZAECPEHC 44 (17 September 2013)

Court

Eastern Cape High Court, Port Elizabeth

Case number

116/2011

Judge

M Makaula

The applicant failed to establish a prima facie right to the suspension of the execution of the order. The settlement agreement constitutes a contract, and any breach of warranty entitles the applicant to claim damages in contract, which is an adequate alternative remedy. The amount withheld by the applicant is arbitrary and not shown to represent actual damages. The applicant did not demonstrate irreparable harm, as he can recover any loss through contractual action, especially since the respondent owns immovable property within the court's jurisdiction. The balance of convenience favours th…

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• Stay Of Execution
• Divorce Settlement
• Contractual Warranty
• Undisclosed Liabilities

Class A Trading 689 (Pty) Ltd v Paton and Another (1937/2007)

Class A Trading 689 (Pty) Ltd v Paton and Another (1937/2007) [2011] ZAWCHC 569 (9 September 2011)

Court

Western Cape High Court, Cape Town

Case number

1937/2007

Judge

Rogers

The court found that clause 18.1 of the sale agreement, read with the attached sketch plan, constituted either a contractual term or a material representation that the area south of Impala Road was 3,464m2. The actual area delivered was only 2,989m2, a deficiency of 475m2. The plaintiff was entitled to relief under the actio quanti minoris, which allows recovery of the difference between the price paid and the actual value of the property delivered. The court accepted evidence of subsequent offers to purchase the property as a reasonable basis for determining its value, and, adopting a conser…

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• Sale Of Land
• Contractual Warranty
• Aedilitian Remedies
• Quanti Minoris
• Misrepresentation
• Rectification

Iveco South Africa (Pty) Ltd v Botha (5972/2008)

Iveco South Africa (Pty) Ltd v Botha (5972/2008) [2011] ZAFSHC 81 (2 June 2011)

Court

Free State High Court, Bloemfontein

Case number

5972/2008

Judge

Rampai

Application for leave to appeal in a prescription dispute over a municipal debt tied to a share sale agreement and alleged acknowledgement of liability.

• Prescription Act Section 14
• Acknowledgement Of Liability
• Interruption Of Prescription
• Share Sale Agreement
• Contractual Warranty
• Prescription