South Africa Case Law

Movienet Networks (Pty) Ltd and Another v Motus Ford Culemborg and Others (13781/2024)

Movienet Networks (Pty) Ltd and Another v Motus Ford Culemborg and Others (13781/2024) [2024] ZAWCHC 231 (2 September 2024)

Court

Western Cape High Court, Cape Town

Case number

13781/2024

Judge

A Bhoopchand

The High Court dismissed an application for release of a vehicle after a business email compromise dispute, finding the requested interdict was not competent.

• Business Email Compromise
• Interim Interdict
• Ownership Of Movable Property
• Contractual Rights
• Cybercrime Liability
• Specific Performance

Fortein N.O. v Iprop Trading CC (A70/2023)

Fortein N.O. v Iprop Trading CC (A70/2023) [2024] ZAFSHC 170 (17 May 2024)

Court

Free State High Court, Bloemfontein

Case number

A70/2023

Judges

C. Van Zyl, N.M. Mbhele

The court held that payment into a fraudulent bank account, resulting from business email compromise, does not extinguish the purchaser's obligation to pay the seller. The duty to verify the correctness of banking details before making payment rests on the debtor, not the creditor. The respondent failed to take reasonable steps to confirm the banking details, acting at its own peril. The appellant was not proven to have owed a higher duty of care due to professional status, and the evidence did not establish that the contractual term requiring payment into the Standard Bank account was common…

Source excerpt

• Business Email Compromise
• Duty Of Care
• Payment Verification
• Cybercrime Liability
• Contractual Performance
• Negligence

Lester Connock Commemoration Fund v Brough Capital (Pty) Ltd and Another (28646/2020)

Lester Connock Commemoration Fund v Brough Capital (Pty) Ltd and Another (28646/2020) [2023] ZAGPJHC 1329; 2024 (2) SA 486 (GJ) (16 November 2023)

Court

South Gauteng High Court, Johannesburg

Case number

28646/2020

Judge

MA Makume

The court found that Brough Capital and Mr Chris Botha, as financial service providers, owed a duty of care to the plaintiff to verify withdrawal instructions and bank account changes, especially in light of the prevalence of business email compromise and the unusual withdrawal patterns. The defendants' reliance on Momentum for verification was rejected, as there was no contractual nexus between the plaintiff and Momentum, and the mandate imposed the duty on the defendants. The indemnity clause did not exempt the defendants from liability for gross negligence, which was established by their f…

Source excerpt

• Business Email Compromise
• Gross Negligence
• Financial Services Provider Duties
• Contractual Indemnity
• Cybercrime Liability
• Fiduciary Duty

Safi v Gascoigne Randon and Associates (23052/2022)

Safi v Gascoigne Randon and Associates (23052/2022) [2023] ZAGPJHC 259 (6 March 2023)

Court

South Gauteng High Court, Johannesburg

Case number

23052/2022

Judge

MIA

The High Court dismissed an exception to particulars of claim in a cyber-fraud conveyancing dispute, holding the pleaded case was not vague or lacking material facts.

• Exception To Particulars Of Claim
• Negligence
• Professional Duty Of Care
• Cybercrime Liability
• Protection Of Personal Information Act
• Exception-to-particulars-of-claim

Mosselbaai Boeredienste (Pty) Ltd t/a Mosselbaai Toyota v OKB Motors CC t/a Bultfontein Toyota (A43/2021)

Mosselbaai Boeredienste (Pty) Ltd t/a Mosselbaai Toyota v OKB Motors CC t/a Bultfontein Toyota (A43/2021) [2021] ZAFSHC 286 (18 November 2021)

Court

Free State High Court, Bloemfontein

Case number

A43/2021

Judges

Naidoo, De Kock

The court found that the appellant failed to provide a full and satisfactory explanation for its non-compliance with the Rules of Court, including delays in filing the appeal record and the power of attorney. The record was incomplete and contained errors, and the appellant's legal representatives were tardy in prosecuting the appeal. On the merits, the court agreed with the trial court that the appellant's computer system was compromised due to its own negligence, and the respondent acted on a misrepresentation from the appellant's email. The defence of estoppel was correctly applied, and th…

Source excerpt

• Condonation
• Estoppel
• Negligence
• Cybercrime Liability
• Appeal Lapse

Firstrand Bank Ltd v Kgethile (M370/2018)

Firstrand Bank Ltd v Kgethile (M370/2018) [2021] ZANWHC 63 (31 August 2021)

Court

North West High Court, Mafikeng

Case number

M370/2018

Judge

Petersen

The High Court dismissed Firstrand Bank’s claim for payment against a customer after finding both sides negligent in a cyberfraud banking dispute.

• Bank Customer Relationship
• Breach Of Contract
• Negligence
• Cybercrime Liability
• Unjustified Enrichment
• Bank-customer-relationship

Fourie v Van der Spuy and De Jongh Inc. and Others (65609/2019)

Fourie v Van der Spuy and De Jongh Inc. and Others (65609/2019) [2019] ZAGPPHC 449; 2020 (1) SA 560 (GP) (30 August 2019)

Court

North Gauteng High Court, Pretoria

Case number

65609/2019

Judge

Matthew Klein

The High Court held that attorneys who failed to verify hacked email banking instructions were liable to pay over trust funds lost in cybercrime.

• Attorneys Trust Account
• Cybercrime Liability
• Fiduciary Duty
• Negligence
• Mandate Contract
• Payment Instructions