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South Africa decisions
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City of Tshwane Metropolitan Municipality v Phanyane and Others (2024/032979) [2025] ZAGPPHC 551 (30 May 2025)
The High Court dismissed a third defendant’s exception to a municipality’s alternative breach-of-contract claim arising from an alleged irregular procurement.
Inxuba Yethemba Municipality v Msweli and Others (PR198/21) [2025] ZALCPE 6; [2025] 7 BLLR 710 (LC); (2025) 46 ILJ 1725 (LC) (7 April 2025)
The Labour Court found that the arbitrator failed to properly evaluate the gravity of the municipal manager's misconduct, which included the unlawful appointment of a service provider without following supply chain management procedures and the approval of a variation order in excess of financial delegations. The arbitrator incorrectly minimized the seriousness of the misconduct, disregarded the statutory and fiduciary duties of the municipal manager, and failed to appreciate the element of dishonesty and the destruction of the trust relationship. The municipal manager's conduct was accompani…
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Marweshe and Others v City of Tshwane Metropolitan Municipality and Others (JR82/2024) [2024] ZALCJHB 543 (9 December 2024)
The Labour Court dismissed a review of an arbitration award, holding the applicants’ fixed-term municipal contracts were unlawful because the posts were not on the staff establishment.
Mbambisa and Others v Nelson Mandela Bay Metropolitan Municipality (272/2023) [2024] ZASCA 151; (2025) 46 ILJ 277 (SCA); 2025 (3) SA 112 (SCA) (8 November 2024)
The Supreme Court of Appeal held that section 32 of the Municipal Finance Management Act creates a statutory obligation for municipalities to recover unauthorised, irregular, or fruitless and wasteful expenditure from officials who deliberately or negligently incur such expenditure, regardless of whether the municipality suffered actual loss or received value for the expenditure. The court rejected the defendants' argument that liability under section 32 is limited to legal accountability and not financial liability, finding that the plain language, context, and purpose of the provision requi…
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Khari Investments (Pty) Ltd v Mopani District Municipality (5424/2018) [2024] ZALMPPHC 86 (12 August 2024)
The High Court held that an oral municipal services agreement was unenforceable because section 116 of the MFMA requires such contracts to be in writing.
Musawenkosi Mkhwanazi v Tokiso Dispute Settlement (Pty) Ltd (JR1575/21) [2024] ZALCJHB 271 (5 July 2024)
Labour Court review dismissed: the arbitrator’s findings on procurement irregularities, conflict of interest, and lifestyle-audit non-compliance were upheld.
Special Investigating Unit v Member of the Executive Council for the Department of Transport, Kwazulu-Natal and Another (KN/01/2021) [2024] ZAST 2 (27 February 2024)
The Tribunal found that both the review application and the counterapplication were brought after unreasonable delays, and neither party provided a full and satisfactory explanation for the delay. The SIU failed to justify its delay in instituting the review, and the MEC similarly failed to explain the delay in bringing the counterapplication. The interests of justice did not warrant overlooking these delays, especially given the significant prejudice that would result from setting aside a major infrastructure contract after its completion. On the merits, the SIU failed to substantiate its gr…
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Maharaj v Transnet Soc Limited and Others (JR1497/21) [2024] ZALCJHB 131 (23 February 2024)
Labour Court review of a dismissal award failed. The court held the commissioner reasonably found gross negligence, irregular expenditure, and a justified dismissal.
Sunday's River Municipality v Profusion Protection Services (Pty) Ltd and Another - Application for Rescission (1049/2022) [2023] ZAECQBHC 58 (17 August 2023)
The High Court dismissed Sunday’s River Municipality’s rescission application, finding no proper explanation for its default and no substantiated defence.
Special Investigating Unit and Another v Duneco CC and Others (WC/05/22) [2023] ZAST 9 (23 June 2023)
The Tribunal found that the procurement process for PPEs by the Matzikama Local Municipality was fundamentally flawed and did not comply with the Municipality's Supply Chain Management policy, MFMA Circular 100, or statutory requirements. The transaction with Duneco CC was an unsolicited bid, not subjected to a competitive process, and was facilitated through collusion between municipal officials and the supplier. The delay in instituting the legality review was not unreasonable given the investigative challenges and pandemic context; even if unreasonable, it was condoned in the interests of…
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