South Africa Case Law

Barak Fund SPC Limited obo Barak Structured Trade Finance Segregated Portfolio v Business Venture Investments and Others (Leave to Appeal) (36125/2022)

Barak Fund SPC Limited obo Barak Structured Trade Finance Segregated Portfolio v Business Venture Investments and Others (Leave to Appeal) (36125/2022) [2024] ZAGPPHC 1348 (20 December 2024)

Court

North Gauteng High Court, Pretoria

Case number

36125/2022

Judge

MP Kumalo

The High Court dismissed leave to appeal, finding no reasonable prospects of success on the applicant’s citation, the facility agreement, or the suretyships.

• Leave To Appeal
• Facility Agreement
• Suretyship
• Company Law Cayman Islands
• Leave-to-appeal
• Facility-agreement

ABSA Bank Limited v Pillai and Another (11400/18)

ABSA Bank Limited v Pillai and Another (11400/18) [2024] ZAGPJHC 1045 (15 October 2024)

Court

South Gauteng High Court, Johannesburg

Case number

11400/18

Judge

Du Plessis

The High Court granted ABSA summary judgment for R10,178,401.90 under a facility agreement and suretyship, rejecting settlement and set-off defences.

• Summary Judgment
• Suretyship
• Set Off
• Facility Agreement
• Summary-judgment
• Set-off

First Rand Bank Limited v Erasmus (27120/2017)

First Rand Bank Limited v Erasmus (27120/2017) [2024] ZAGPJHC 393 (22 April 2024)

Court

South Gauteng High Court, Johannesburg

Case number

27120/2017

Judge

R Strydom

The court found that the facility agreement between FirstRand and Ms Erasmus was valid and enforceable. The respondent was provided with all relevant terms and conditions, signed the facility letters, and made extensive use of the facility, including re-advances. There was no evidence of misrepresentation, coercion, or unilateral amendment by FirstRand. The respondent's misunderstanding of the account's operation did not constitute a defence, especially given her professional experience. The facility agreement was not void under the National Credit Act or common law, and any unlawful provisio…

Source excerpt

• National Credit Act
• Mortgage Bond Enforcement
• Special Executability
• Facility Agreement
• Striking Out Application

National Housing Finance Corporation SOC LTD v Clare Water (Pty) Ltd and Another (2022/26666)

National Housing Finance Corporation SOC LTD v Clare Water (Pty) Ltd and Another (2022/26666) [2023] ZAGPJHC 1295 (13 November 2023)

Court

South Gauteng High Court, Johannesburg

Case number

2022/26666

Judge

Ian Green

The High Court dismissed an exception to particulars of claim, finding a reasonably possible interpretation of the facility agreement allowed the claim to stand.

• Exception To Particulars Of Claim
• Contract Interpretation
• Suspensive Conditions
• Facility Agreement
• Suretyship
• Exception-to-particulars-of-claim

VBS Mutual Bank (In Liquidation) v Mafoko and Another (2021/34634)

VBS Mutual Bank (In Liquidation) v Mafoko and Another (2021/34634) [2023] ZAGPJHC 105 (9 February 2023)

Court

South Gauteng High Court, Johannesburg

Case number

2021/34634

Judge

Maier-Frawley

The court found that the respondents executed valid written suretyships in favour of VBS, binding themselves as sureties and co-principal debtors for Leratadima's indebtedness up to R100 million, excluding interest. The facility agreement and its addenda were valid, binding, and implemented, with Leratadima receiving and utilising the funds. The respondents' defences of tacit extension or new credit agreement were not pleaded or supported by admissible evidence and were contractually precluded by the non-variation clause. The alleged unlawful suspension of the facility agreement by VBS did no…

Source excerpt

• Suretyship Liability
• Facility Agreement
• Certificate Of Indebtedness
• Non Variation Clause
• Release Of Surety
• Mora Interest

Nedbank Limited v Rinor Civils (Pty) Ltd and Others (5696/2021)

Nedbank Limited v Rinor Civils (Pty) Ltd and Others (5696/2021) [2022] ZAFSHC 224 (15 September 2022)

Court

Free State High Court, Bloemfontein

Case number

5696/2021

Judge

Loubser

The High Court refused summary judgment because the plaintiff sued on an agreement later amended by addendum, creating a defect in the pleaded cause of action.

• Summary Judgment
• Facility Agreement
• Suretyship
• Pleading Defects
• Summary-judgment
• Facility-agreement

Industrial Development Corporation of South Africa v Energy Fabrication (Pty) Ltd and Others (6855/2020)

Industrial Development Corporation of South Africa v Energy Fabrication (Pty) Ltd and Others (6855/2020) [2022] ZAGPJHC 112 (22 February 2022)

Court

South Gauteng High Court, Johannesburg

Case number

6855/2020

Judge

Flatela L

The High Court granted leave to appeal on the R64.48 million revolving credit claim, but refused leave on the R122.01 million claim after summary judgment.

• Summary Judgment
• Facility Agreement
• Revolving Credit Facility
• Leave To Appeal
• Guarantee Interpretation
• Summary-judgment

Bongata Trading 537 CC and Others v Firstrand Bank Ltd; Jack Tafelgerei CC and Others v Firstrand Bank Limited (4202/2019; 4340/2019)

Bongata Trading 537 CC and Others v Firstrand Bank Ltd; Jack Tafelgerei CC and Others v Firstrand Bank Limited (4202/2019; 4340/2019) [2021] ZAFSHC 43 (25 February 2021)

Court

Free State High Court, Bloemfontein

Case number

4202/2019; 4340/2019

Judge

DAFFUE

Applicants sought to compel document production under Rule 35(14), but the court held Rule 35(7) was the wrong remedy and dismissed both applications with costs.

• Rule 35 Discovery
• Rule 30a Non Compliance
• Pleading Requirements
• Suretyship Liability
• Facility Agreement
• Rule-35-14

Firstrand Bank Limited v Selloe and Others (M276/2017)

Firstrand Bank Limited v Selloe and Others (M276/2017) [2019] ZANWHC 32 (14 February 2019)

Court

North West High Court, Mafikeng

Case number

M276/2017

Judge

T Djaje

The High Court dismissed a bank’s claim against three sureties for failure to link them to the later facility agreement, but entered judgment against two unopposed respondents.

• Suretyship Liability
• Facility Agreement
• Default Judgment
• Public Policy Defence
• Costs Order
• Suretyship-liability

Firstrand Bank Limited v Du Plessis and Others (29137/2016)

Firstrand Bank Limited v Du Plessis and Others (29137/2016) [2018] ZAGPPHC 646 (19 March 2018)

Court

North Gauteng High Court, Pretoria

Case number

29137/2016

Judge

Nowosenetz

Bank succeeded on suretyships for Astradeals’ debt; judgment was granted against the first and third respondents, with interest and attorney-and-client costs.

• Suretyship Liability
• Facility Agreement
• Certificate Of Indebtedness
• National Credit Act Exclusion
• Rectification Of Contract
• Personal Knowledge Affidavit