South Africa Case Law

Simmonds NO v Essafrau and Others; In Re: Brankin v Essafrau and Others (934/2017)

Simmonds NO v Essafrau and Others; In Re: Brankin v Essafrau and Others (934/2017) [2018] ZASCA 113 (14 September 2018)

Court

Supreme Court of Appeal

Case number

934/2017

Judges

Ponnan, Tshiqi, Swain, Mothle, Nicholls

The appeal was dismissed because the appellant failed to establish, on the affidavits, that the deceased lawfully acquired ownership of the shares in Burchells Bush Lodge Shareblock Limited. The founding affidavit contained contradictory statements regarding the manner of acquisition, and the respondents' answering affidavit compounded the confusion with inconsistent admissions and denials. The central legal issue of ownership could not be resolved on the papers, as the facts were not common cause and the probabilities could not be considered in motion proceedings. The requirements for final…

Source excerpt

• Vindication Of Shares
• Ownership Of Shares
• Motion Proceedings
• Contradictory Affidavit Evidence
• Pledge Of Shares

Watkins-Ball N.O and Others v Leggatt and Others (9325/08)

Watkins-Ball N.O and Others v Leggatt and Others (9325/08) [2010] ZAGPJHC 192 (24 November 2010)

Court

South Gauteng High Court, Johannesburg

Case number

9325/08

Judge

EF Dippenaar

The court found that the applicants failed to prove the existence of a valid pledge over the Nedcor Limited shares. The evidence indicated that the underlying debt was owed to Nedbank or BOE, not the trust, and that the debt had likely been extinguished by payments and judgments obtained by Nedbank. No valid pledge was registered in accordance with the Security Services Act or STRATE rules, and the statements of account did not reflect any pledge. The applicants did not make out a case for a pledge in their founding papers and attempted to do so in reply, which is impermissible. On the papers…

Source excerpt

• Pledge Of Shares
• Sale In Execution
• Security Services Act Compliance
• Declaratory Relief
• Motion Proceedings
• Registration Of Security Interests

Deli Chicken (Pty) Ltd v Van Den Heever NNO (20738/06)

Deli Chicken (Pty) Ltd v Van Den Heever NNO (20738/06) [2009] ZAGPPHC 85 (1 June 2009)

Court

North Gauteng High Court, Pretoria

Case number

20738/06

Judge

Molopa

The court dismissed an exception to particulars of claim and allowed amendment, holding the pleaded share-pledge and fraud issues were for trial.

• Exception Procedure
• Amendment Of Pleadings
• Pledge Of Shares
• Company Liquidation
• Res Judicata
• Fraud On Court

Bock and Others v Duburoro Investments (Pty) Ltd (228/2002)

Bock and Others v Duburoro Investments (Pty) Ltd (228/2002) [2003] ZASCA 94; [2003] 4 All SA 103 (SCA); 2004 (2) SA 242 (SCA) (26 September 2003)

Court

Supreme Court of Appeal

Case number

228/2002

Judges

Harms, Zulman, Farlam, Navsa, Van Heerden

The Supreme Court of Appeal held that the banks did not exercise parate executie but rather took over the pledged shares at a fair price in accordance with the terms of the pledge agreements. The amounts credited to the principal debtors were above the ruling market prices, and there was no evidence of prejudice to the sureties. The court reaffirmed that there is no general principle in South African law that any prejudice to a surety automatically releases them; release only occurs if there is a breach of a legal duty or obligation. The terms of the deeds of suretyship and pledge agreements…

Source excerpt

• Suretyship
• Parate Executie
• Pactum Commissorium
• Pledge Of Shares
• Release Of Surety
• Quantification Of Debt