South Africa Case Law

Alto Management CC v Wingtip Crossing Shopping Centre (Pty) Ltd (Leave to Appeal) (59545/2018)

Alto Management CC v Wingtip Crossing Shopping Centre (Pty) Ltd (Leave to Appeal) (59545/2018) [2024] ZAGPPHC 1113 (29 October 2024)

Court

North Gauteng High Court, Pretoria

Case number

59545/2018

Judge

S J R Mogagabe

The court found that Wingtip's grounds for appeal were a repetition of those previously considered and dismissed in the main judgment. The authorities cited by Wingtip were distinguished on the basis that the JBCC Agreement at issue did not contain a clause making full performance a condition precedent for payment, unlike the contracts in those cases. Upon lawful termination of the contract, interim payment certificates relied upon by Wingtip ceased to have legal effect and could not sustain a claim for payment. The court applied the stricter test under section 17(1)(a) of the Superior Courts…

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• Leave To Appeal
• Construction Contracts
• Performance Specification
• Payment Certificates
• Prospects Of Success

Grenco Projects and Construction CC v Hermanus Esplanade Dev Co (Pty) Ltd (4260/2024)

Grenco Projects and Construction CC v Hermanus Esplanade Dev Co (Pty) Ltd (4260/2024) [2024] ZAWCHC 172; [2024] 3 All SA 504 (WCC); 2024 (6) SA 500 (WCC) (18 June 2024)

Court

Western Cape High Court, Cape Town

Case number

4260/2024

Judge

A Kantor

The court found that while the respondent bona fide disputes the claims underlying the JBCC payment certificates on reasonable grounds and these disputes are subject to pending arbitration, the JBCC contract specifically provides that adjudicator's determinations must be implemented pending arbitration. The payment certificates are not immune from dispute, but the contract compels payment unless and until overturned by arbitration. However, in the exercise of its discretion, the court considered the progression of the arbitration, the respondent's financial position, and the potential adverse…

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• Company Liquidation
• Jbcc Construction Contract
• Payment Certificates
• Arbitration Pending
• Badenhorst Rule
• Statutory Demand

Group Five Construction Pty Ltd v Fikeni A.O. (43891/2019)

Group Five Construction Pty Ltd v Fikeni A.O. (43891/2019) [2024] ZAGPJHC 448 (7 May 2024)

Court

South Gauteng High Court, Johannesburg

Case number

43891/2019

Judge

Noko

The High Court dismissed Group Five’s application for leave to appeal, finding no reasonable prospect of success where the final certificate still identified defects to be remedied.

• Leave To Appeal
• Construction Contracts
• Payment Certificates
• Final Completion
• Contractual Obligations
• Leave-to-appeal

Qualelect Investments Holdings (Pty) Ltd v AZRAPART (Pty) Ltd (2020/15965)

Qualelect Investments Holdings (Pty) Ltd v AZRAPART (Pty) Ltd (2020/15965) [2022] ZAGPJHC 329 (13 May 2022)

Court

South Gauteng High Court, Johannesburg

Case number

2020/15965

Judge

Moorcroft

High Court judgment enforcing interim payment certificates under a construction appointment letter, and awarding the certified sums, prescribed interest, and costs.

• Construction Contracts
• Payment Certificates
• Contractual Interpretation
• Mora Interest
• Costs Award
• Construction-contracts

HT Pelatona Projects (Pty) Ltd v Nelson Mandela Bay Local Municipality (2807/2020)

HT Pelatona Projects (Pty) Ltd v Nelson Mandela Bay Local Municipality (2807/2020) [2022] ZAECPEHC 1 (18 January 2022)

Court

Eastern Cape High Court, Port Elizabeth

Case number

2807/2020

Judge

Rugunanan

The court found that the SIU failed to demonstrate a direct and substantial legal interest in the payment application between Pelatona and the municipality. The SIU's statutory powers under the Special Investigating Units and Tribunals Act do not extend to intervening in litigation for the purpose of opposing payment applications unless it institutes its own civil proceedings. The SIU did not provide prima facie proof of a right to intervene, as its allegations were based on hearsay and opinion evidence without supporting facts. The payment certificates issued to Pelatona were unchallenged an…

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• Intervention Application
• Statutory Powers Of Siu
• Payment Certificates
• Special Investigating Units And Tribunals Act
• Prima Facie Right To Intervene

Pro-Care Contracting (Pty) Ltd v ISA & Partners (Pty) Ltd (285/2019)

Pro-Care Contracting (Pty) Ltd v ISA & Partners (Pty) Ltd (285/2019) [2021] ZAFSHC 17 (28 January 2021)

Court

Free State High Court, Bloemfontein

Case number

285/2019

Judge

C Reinders

The court found that the respondent's version regarding the validity and process of issuing payment certificates was supported by the formal contract between the parties. The disputed certificates did not bear the respondent's letterhead or signature and were not issued in accordance with the agreed process. The applicant's argument that previous certificates were paid without signature did not establish the validity of the disputed certificates. Applying the Plascon-Evans rule, the court could not reject the respondent's version as far-fetched or palpably false. Consequently, the applicant f…

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• Payment Certificates
• Contractual Liability
• Motion Proceedings
• Genuine Dispute Of Fact

Multiminds 186 CC t/a Cooling Solutions v E'tsho Civils (Pty) Ltd and Another (3023/2019)

Multiminds 186 CC t/a Cooling Solutions v E'tsho Civils (Pty) Ltd and Another (3023/2019) [2020] ZAFSHC 40 (28 February 2020)

Court

Free State High Court, Bloemfontein

Case number

3023/2019

Judge

Chesiwe

The High Court ordered a principal agent to issue and certify payment certificates under a JBCC subcontract, rejecting a non-joinder objection.

• Payment Certificates
• Joint Building Contract Committee
• Non Joinder
• Specific Performance
• Payment-certificates
• Non-joinder

Raubex Construction (Pty) Ltd v Phumelela Local Municipality and Another (4204/2019)

Raubex Construction (Pty) Ltd v Phumelela Local Municipality and Another (4204/2019) [2019] ZAFSHC 230 (28 November 2019)

Court

Free State High Court, Bloemfontein

Case number

4204/2019

Judge

JP Daffue

The High Court ordered a municipality to pay retention monies under payment certificates 29 and 30, rejected its defences, and granted condonation for late affidavits.

• Construction Contracts
• Payment Certificates
• Liquid Documents
• Condonation
• Interest On Late Payments
• Payment-certificates

Icon Construction (Pty) Limited v Msunduzi Municipality (10672/2018P)

Icon Construction (Pty) Limited v Msunduzi Municipality (10672/2018P) [2019] ZAKZPHC 72 (18 October 2019)

Court

Kwazulu-Natal High Court, Pietermaritzburg

Case number

10672/2018P

Judge

Vahed

The court found the contract price was a first-year subtotal in a three-year works contract, upheld the engineer’s payment certificates, and ordered payment with interest and costs.

• Construction Contracts
• Interpretation Of Contracts
• Payment Certificates
• Interest On Overdue Payments
• Construction-contracts
• Contract-interpretation

Mamli Projects Corporation v Ekurhuleni Metropolitan Municipality (011751/17)

Mamli Projects Corporation v Ekurhuleni Metropolitan Municipality (011751/17) [2018] ZAGPJHC 85 (2 February 2018)

Court

South Gauteng High Court, Johannesburg

Case number

011751/17

Judge

E Molahlehi

The High Court held that the principal agent did not exceed its mandate when issuing payment certificates, and ordered the municipality to pay the certified sums plus interest.

• Specific Performance
• Contractual Interest
• Payment Certificates
• Principal Agent Authority
• Payment-certificates
• Principal-agent-authority