South Africa Case Law

Maximum Profit Recovery (Pty) Limited v Rustenburg Local Municipality and Others (CIV APP FB 22/2023)

Maximum Profit Recovery (Pty) Limited v Rustenburg Local Municipality and Others (CIV APP FB 22/2023) [2024] ZANWHC 229; [2025] 1 All SA 441 (NWM) (11 September 2024)

Court

North West High Court, Mafikeng

Case number

CIV APP FB 22/2023

Judges

A H Petersen, R D Hendricks, J T Djaje

The court held that the Municipal Manager awarded the tender under delegated authority as per the Municipality's Supply Chain Management Policy and the Municipal Systems Act. Therefore, the appellant was required to exhaust the internal remedy provided by section 62(1) of the Municipal Systems Act before approaching the court for judicial review. The appellant failed to lodge an internal appeal within the prescribed period and did not apply for exemption under section 7(2)(c) of PAJA. The court found that rights had not accrued to the joint venture until the signing of the Service Level Agree…

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• Exhaustion Of Internal Remedies
• Municipal Tender Awards
• Delegation Of Powers
• Accrual Of Rights
• Promotion Of Administrative Justice Act
• Local Government Municipal Systems Act

Maximum Profit Recovery (Pty) Ltd v Rustenburg Local Municipality and Others (UM81/2022)

Maximum Profit Recovery (Pty) Ltd v Rustenburg Local Municipality and Others (UM81/2022) [2023] ZANWHC 213 (16 November 2023)

Court

North West High Court, Mafikeng

Case number

UM81/2022

Judge

FMM Reid

The High Court granted leave to appeal against dismissal of a tender-review application, finding another court might differ on exhaustion of internal remedies.

• Exhaustion Of Internal Remedies
• Municipal Tender Awards
• Leave To Appeal
• Review Of Administrative Action
• Leave-to-appeal
• Municipal-tender-awards

Public Discipline and Integration of Technology Cape Town CC t/a PDIT v City of Cape Town Municipality and Another (13055/2019)

Public Discipline and Integration of Technology Cape Town CC t/a PDIT v City of Cape Town Municipality and Another (13055/2019) [2019] ZAWCHC 126 (20 September 2019)

Court

Western Cape High Court, Cape Town

Case number

13055/2019

Judge

O L Rogers

The court found that the bid document was ambiguous regarding the definition of sub-contractors for preference point allocation, which misled the applicant and another bidder into forfeiting preference points by mistakenly ticking a box. The Bid Evaluation Committee was aware, through clarificatory correspondence and the nature of the work, that the applicant would not be sub-contracting more than 25 percent of the contract value to sub-contractors with lower BEE status. The Committee's decision to hold the applicant to its mistaken tick was arbitrary, capricious, and not rationally connected…

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• Promotion Of Administrative Justice Act
• Public Procurement
• Preferential Procurement Policy Framework Act
• Bid Evaluation
• Municipal Tender Awards
• Internal Appeal Notice Requirements

Amandla GCF Construction CC and Another v Municipality Manager of Saldanha Bay Municipalityand Others (3563/2018)

Amandla GCF Construction CC and Another v Municipality Manager of Saldanha Bay Municipalityand Others (3563/2018) [2018] ZAWCHC 77; 2018 (6) SA 63 (WCC) (22 June 2018)

Court

Western Cape High Court, Cape Town

Case number

3563/2018

Judge

N P Boqwana

The court held that section 62 of the Municipal Systems Act does not confer any discretion on the Municipality or its officials to extend the statutory 21-day period for lodging an appeal. The language and structure of section 62 indicate a legislative intent for appeals to be dealt with swiftly and within fixed timeframes. The Municipal Manager acted ultra vires in extending the appeal period, and the subsequent appeal and award to the second respondent were invalid. The court rejected arguments that constitutional principles of fairness or inherent powers could override the statutory deadli…

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• Municipal Tender Awards
• Statutory Time Limits
• Ultra Vires
• Internal Appeals
• Preferential Procurement

Evaluations Enhanced Property Appraisals (Pty) Ltd v Buffalo City Metropolitan Municipality and Another (EL 1544/12, ECD 3561/12)

Evaluations Enhanced Property Appraisals (Pty) Ltd v Buffalo City Metropolitan Municipality and Another (EL 1544/12, ECD 3561/12) [2014] ZAECGHC 55; [2014] 3 All SA 560 (ECG) (19 June 2014)

Court

Eastern Cape High Court, Grahamstown

Case number

EL 1544/12; ECD 3561/12

Judges

Alkema, Griffiths, Brooks

The court held that section 7(2)(b) of PAJA obliges a person to exhaust internal remedies before instituting judicial review proceedings, and the applicant failed to do so. The applicant was notified of the tender award and did not request reasons or lodge an internal appeal as required by section 62 of the Municipal Systems Act and section 5 of PAJA. The argument that written notification and simultaneous reasons were constitutionally required was rejected; the statutes do not prescribe such requirements. The applicant did not apply for exemption from exhausting internal remedies under secti…

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• Exhaustion Of Internal Remedies
• Judicial Review
• Municipal Tender Awards
• Interpretation Of Statutes
• Costs Orders

Evaluations Enhanced Property Appraisals (Pty) Ltd v The Buffalo Metropolitan Municipality and Others (EL 1544/12, ECD 3561/12)

Evaluations Enhanced Property Appraisals (Pty) Ltd v The Buffalo Metropolitan Municipality and Others (EL 1544/12, ECD 3561/12) [2013] ZAECELLC 6 (25 June 2013)

Court

Eastern Cape High Court, East London Local Court

Case number

EL 1544/12, ECD 3561/12

Judge

DZ Dukada

The court held that the applicant had not exhausted the internal remedy provided by section 62(1) of the Municipal Systems Act, as she did not give written notice of appeal and reasons to the Municipal Manager within 21 days of written notification of the decision. The court found that mere verbal notification was insufficient and that the municipality was obliged to provide written notification and reasons for the tender award decision. The applicant could not be expected to appeal without proper notification and reasons. The court rejected the argument that the applicant's letter expressing…

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• Exhaustion Of Internal Remedies
• Municipal Tender Awards
• Promotion Of Administrative Justice Act
• Notification And Reasons
• Interim Interdict