South Africa Case Law

Dimension Data (PTY) Ltd v Omega Digital Services (PTY) Ltd and Another (J2163/19)

Dimension Data (PTY) Ltd v Omega Digital Services (PTY) Ltd and Another (J2163/19) [2019] ZALCJHB 378 (13 December 2019)

Court

Labour Court Johannesburg

Case number

J2163/19

Judge

Lagrange

The court found that the awarding of the new contract to Omega Digital Services to service and maintain Sasol's audio-visual and conferencing facilities did not constitute a transfer of a business as a going concern under section 197 of the LRA. The service rendered was the maintenance of Sasol's infrastructure, not the transfer of an economic entity or discrete business. The mere use of Sasol's infrastructure and the presence of a dedicated team did not amount to the transfer of a business. The court distinguished this case from precedents where a defined business undertaking was transferred…

Source excerpt

• Section 197 Transfer
• Outsourcing
• Joinder
• Service Provision Change
• Costs Order