Carospan (Pty) Ltd t/a Nashua Bloemfontein & Nashua Aliwal v Kabile, Magistrate for the District of Tweespruit and Another (5893/2023) [2024] ZAFSHC 80 (22 March 2024)

65 Reportability
Civil Procedure

Brief Summary

Review — Gross irregularity in proceedings — Application to review and set aside orders of the Magistrate's Court — Applicant contended that interim interdict and final interdict were granted without proper notice and opportunity to defend — Court found that the presiding officer acted in a high-handed manner, preventing a fair hearing — Default judgment granted despite the notice of intention to defend being submitted prior to judgment — Orders of the Magistrate's Court reviewed and set aside due to gross irregularity in the proceedings.

IN THE HIGH COURT OF SOUTH AFRICA,
FREE STATE DIVISION, BLOEMFONTEIN
Reportable: YES/NO
Of Interest to other Judges: YES/NO
Circulate to Magistrates: YES/NO
In the matter between:
CAROSPAN (PTY) LTD t/a NASHUA BLOEMFONTEIN &
NASHUA ALIWAL
and
KEI KABILE, MAGISTRATE FOR THE DISTRICT OF
TWEESPRUIT
FRANS FARMING (PTY) Ltd
CORAM: LOUBSER , Jet MGUDLWA, AJ
HEARD ON: 18 MARCH 2024
JUDGEMENT BY: LOUBSER , J
DELIVERED ON: 22 MARCH 2024
Case number: 5893/2023
Applicant
First Respondent
Second Respondent
[1] This is an application for the review and setting aside of three different orders
granted by the Magistrate's Court of Tweespruit under case number 11 /2023. The
first is an interim interdict granted against the Applicant on 31 August 2023, the
second is an order confirming the rule nisi and the granting of a final interdict
against the Applicant on 29 September 2023, and the third is a default judgement
granted against the Applicant on the same date.
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[2] Section 22 of the Superior Courts Act1 provides for the grounds upon which the
proceedings of any Magistrate's Court may be brought under review before a High
Court. Those grounds are the following:
22(1 )(a) absence of jurisdiction on the part of the Court;
(b) interest in the cause, bias, malice or corruption on the part of the
presiding judicial officer;
(c) gross irregularity in the proceedings; and
(d) the admission of inadmissible or incompetent evidence or the rejection
of admissible or competent evidence.
[3] In its present application, the Applicant is relying on the ground mentioned in
Section 22(1)(c), namely gross irregularity in the proceedings. In Absa Bank Ltd
v De Villiers and Another2 Navsa, JA stated the following: "A gross irregularity in
civil proceedings in an inferior court means an irregular act or omission by the
presiding judicial officer in respect of the proceedings, of so gross a nature that it
was calculated to prejudice the aggrieved litigant, on proof of which the court would
set aside such proceedings, unless it was satisfied that the litigant had in fact not
suffered any prejudice. An example of conduct justifying a review based on a gross
irregularity in the proceedings is where a judicial officer acts in a high-handed
manner and prevents a party from having its case heard."3 In paragraph 27 of the
judgement the learned Judge referred to an earlier case where it was stated that
the crucial question is whether the conduct of the presiding officer prevented a fair
trial of the issues. If it did prevent a fair trial of the issues, then it will amount to a
gross irregularity.
[4] The two Respondents are not opposing the application for a review. This Court
was not provided with a transcribed record of the proceedings in question, but the
First Respondent filed reasons for the judgements together with a Notice to Abide
by the decision of the Court.
[5] In the founding affidavit filed in support of the application, it is alleged that the
application for an interim interdict was brought ex parte and on an urgent basis by
1 Act 10 of 2013
2 [2010) 2 All SA 99 (SCA)
3Par 26
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Frans Farming against Carospan on 31 August 2023, that is before a summons
issued by Frans Farming against Carospan had been served on the latter. In the
summons , Frans Farming alleged that a rental agreement entered into between
the parties had been induced by fraud or mistake, and it claimed cancellation of
the agreement and the repayment of some R13 000.00 it had already paid to
Carospan. In the urgent application, Frans Farming moved for an interim interdict
to stop the monthly payments it had to make to Carospan in terms of the said
agreement. As indicated earlier, the interim interdict was granted, with the return
date being 29 September 2023.
[6] The present Applicant bemoans the fact that the interim interdict was granted
before service of the summons on it. Furthermore, no grounds were advanced
whatsoever for the relief sought, it says. However, this is not correct. Full grounds
for the interim relief and for the urgency of the matter were in fact alleged in the
accompanying affidavit of Frans Farms.
[7] As for the final interdict and the default judgement that was granted on 29
September 2023, the Applicant points out in its founding affidavit that the interim
interdict was served on Carospan, together with the summons , on 12 September
2023. I pause here to mention that Carospan was directed in the summons to file
its notice of intention to defend within 10 days if it wanted to dispute the claim.
When the matter again came before the court on 29 September 2023, no such
notice had yet been filed. In the normal course of motion proceedings, such cause
is shown in an answering affidavit filed before the return date. On 29 September
2023, there was no answering affidavit before the court. There was also no notice
to oppose the application before the court.
[8] In the present founding affidavit filed in support of the review application, it is
pointed out on behalf of Carospan that on 27 September 2023, that is two days
before the final orders were granted, the attorneys of Carospan attempted to serve
the notice to oppose in the urgent proceedings and the notice of intention to defend
in the action electronically on Frans Farming. The 27th day of September 2023 was
the last day for filing of the notice of intention to defend the action, I need to
mention on this respect. The attempt to file the notice by e-mail and attempts to
make telephonic contact with the attorneys of Frans Farming were unsuccessful,
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it is alleged in the founding affidavit. When the matters were called in court on 29
September 2023, the candidate attorney appearing for Carospan handed up the
two notices of opposition and intention to defend the action. It is further alleged
that the First Respondent then stated that the notice to defend was out of time,
while the notice of intention to oppose should have been accompanied by an
answering affidavit to be effective. She then proceeded to grant a final interdict as
well as default judgement.
[9] It is further submitted by the Applicant that the conduct of the First Respondent
was grossly irregular in granting the said orders. Apart from the fact that the orders
were made to the prejudice of Carospan, the First Respondent had acted in a high
handed manner and had prevented the Applicant from having its case heard.
Carospan further contends that the First Respondent should have postponed the
return date to afford the parties the opportunity to file answering and replying
affidavits in the application. By failing to do so, the First Respondent entertained
the matter as unopposed, thereby committing a gross irregularity. The Applicant
was not afforded a fair hearing, it is submitted.
[10] In the reasons provided by the First Respondent, the First Respondent points out
that the summons in the matter was served on the Defendant on 12 September
2023. She further points out that Carospan had failed to give notice of intention to
defend within 10 days of service of the summons , as stipulated in the summons.
Therefore, on 29 September 2023, she granted default judgement when requested
to do so by the attorney appearing for Frans Farming.
[11] As for the granting of the final interdict on the same day, the First Respondent
mentions that Carospan had failed to file any notice of intention to oppose. She
then dealt with the requirements for the granting of a final interdict, namely a clear
right, irreparable harm, no other remedy and service of the interim order. She
concluded that her decision in both the instances were made with regard to the
law and the Rules of the Magistrate's Court.
[12] Now as far as the default judgement is concerned, it is clear on a conspectus of
all the facts and circumstances placed before this Court, that the First Respondent
has failed to take cognisance of Rules 12(2) and 13(5) of the Magistrate's Court
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Rules when she granted default judgement. Rule 12(2) provides that, if it appears
that the defendant intends to defend the action, but that the notice of intention to
defend is defective in that it had not been properly delivered, inter alia, judgement
shall not be entered against the defendant unless the plaintiff has delivered notice
in writing to the defendant to deliver a notice of intention to defend within 5 days
of receipt of such notice. According to the Applicant, the notice of intention to
defend was handed up to the First Respondent on 29 September 2023, from which
it appeared that there was an attempt to serve the notice electronically on the
attorneys of Frans Farming on 27 September 2023. The First Respondent,
however, was of the opinion that service had not been effected as the parties had
not consented to electronic service.
[13] If this was the case, then the notice of intention to defend was no doubt defective
as contemplated by Rule 12(2). In such circumstances the First Respondent
should not have granted default judgement. The fact that she did grant judgement
despite the provisions of Ru le 12(2), constituted an act of gross irregularity.
[14] Rule 13(5) provides that a notice of intention to defend may be delivered even
after expiration of the period specified in the summons before default judgement
has been granted, provided that the plaintiff shall be entitled to costs if the notice
of intention to defend was delivered after the plaintiff has lodged the request for
judgement by default. In the present matter the notice of intention to defend was
handed up to the First Respondent before judgement by default was granted, and
therefore the First Respondent also committed a gross irregularity in terms of this
rule by granting default judgement against Carospan.
[15] This brings me to the granting of the final interdict on 29 September 2023. The
rule nisi contained in the interim interdict called upon Carospan to show cause on
29 September 2023 why the interim interdict should not be made final. The notice
to oppose was also handed up to the First Respondent on that day, with the
explanation that there was an unsuccessful attempt to serve same electronically
on the attorneys of Frans Farming on 27 September 2023. The interim interdict
did not specify in which manner cause must be shown on 29 September 2023 why
the order should not be made final. Carospan elected to hand in a notice to oppose
on that day. If the First Respondent wanted to ensure that Carospan would be
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afforded a fair hearing, she would have extended the return date of the rule nisi
and place Carospan on terms to file an answering affidavit on a specific date.
Instead of doing this, she conducted herself in a high-handed manner by simply
ignoring the fact that Carospan wanted to oppose, and by granting a final order
subsequently. In my view, this also constituted a gross irregularity on the part of
the First Respondent.
[16] In view of the Court's findings so far, it is deemed unnecessary to specifically deal
with the merits of the reviewing and setting aside of the interim interdict. No order
will be made in that respect.
[17] Because the application is not opposed by any of the Respondents, no order of
costs will be made.
[18] In the premises, I make the following orders:
1. The Default Judgement granted by the First Respondent against the
Applicant on 29 September 2023 under civil case number 11/2023 of the
Tweespruit Magistrate's Court, is hereby reviewed and set aside.
2. The confirmation of the rule nisi and the subsequent granting of a final
interdict by the First Respondent against the App licant on 29 Septembe r
2023 under civil case number 11 /2023 of the Tweespruit Magistrate's Court,
is hereby reviewed and set aside.
3. There is no order as to costs.
P. J. LOUBSER, J
I concur:
For the Applicant:
Instructed by:
For the Respondents:
/roosthuizen
Adv. J. Donnelly-Bornman
Peyper Attorneys
Bloemfontein
No appearance
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