Dlamini and Other v Sakota and Others (J 450/98) [1999] ZALC 58 (15 April 1999)

55 Reportability

Brief Summary

Labour Law — Dismissal for operational requirements — Applicants challenging fairness of dismissal despite signing settlement agreements — Court finding disputes of fact regarding the nature of the settlement and the applicants' understanding — Dismissal of application to strike out claim as the court could not conclude waiver of rights without oral evidence — Costs awarded to the applicants.

IN THE LABOUR COURT OF SOUTH AFRICA
HELD IN JOHANNESBURG
Case no.  J 450/98
In the matter between:
Vela Dlamini and Others Applicants
AND
Savo Sakota   1st  
Respondent
Ritso Sakota                    2nd  
Respondent
Durban  Deep Wholesale Meat 3rd 
Respondent
Meat ‘n More  4th 
Respondent
Dartprops 5th Respondent
   
JUDGMENT

MLAMBO J.
1. This is an application to join one Ranko Sakota as a respondent in these  
proceedings.     When   the   dispute   was   initially   referred   to   this   court   for  
adjudication the respondents were as follows: 
1.1_ Sakota Savo ­ first respondent; 
1.1_ 1.2_ Sakota Ritso ­ second respondent 
1.3_ Durban Deep Wholesale Meat ­ third respondent ; 
1.4_ Meat ‘n More  ­ fourth respondent and
1.5_  Dartprops ­ fifth respondent.
2. The first and second respondents are brothers and are cited as  
respondents     because   it   is   alleged   that   they   are   co­   owners  
(and/or partners) of the third to fifth respondents.  Ranko Sakota  
the   person   now   sought   to   be   joined   as   sixth   respondent   is  
apparently the father of the first and second respondents .  The  
basis for joining him is that it is alleged that he is a business  
partner of the first and second respondents and also co­owner  
of the third to the fifth respondents.

3. The parties could not agree on the procedure to be followed and  
the court ruled that it would hear evidence from both parties on  
the   joinder   point   then   make   a   ruling.     Thereafter   the   matter  
would be re­enrolled  for the trial proper.
4. The   applicants   main   witness   on   this   issue   was   Laas   Vicky  
Baloyi   (“Baloyi”).     He   testified   that   he   was   employed   on   18  
February 1997 to vacuum and cut meat.  He was employed at  
what he called, Durban Deep Meat & More in Roodepoort.  He  
testified that at some stage he was transferred to Meat ‘n More  
Eastgate but later returned to Rodepoort.  He confirmed that he  
knew Vela Dlamini, one of the individual applicants.   He was  
referred to Dlamini’s payslips which reflected that on 7 January  
1995   he   was   employed   at   Meat   ‘n   More   ­   Northgate,   on   10  
January   1998   he   was   employed   at   Durban   Deep   Wholesale  
Meat.     He   was   also   referred   to   a  document   headed   “Durban  
Deep Wholesale Meat”  dated 12 January 1998 being a letter  
confirming   that   Dlamini   had   been   an   employee   of   the   said

Durban   Deep   Wholesale   Meat   at   a   salary   of   R   425­   00   per  
week.   He confirmed that other individual applicants worked at  
the   different   outlets   of   Durban   Deep   Wholesale   Meat,   Meat  
More and Dartprops, at different points in time.
5. Baloyi was also asked to confirm a number of other documents.  
These documents bore testimony to the fact that the individual  
applicants were policy holders of Anchor Life.   The documents  
also   reflected   that   premiums   were   collected   by   Durban   Deep  
Wholesale;   Durban   Deep   Bloemfontein;   Durban   Deep  
Dartprops; Durban Deep Alexandra; Durban Deep Dobsonville;  
Durban Deep Grobelsdal; Louis Tritchard, Potgietersrus, Cresta  
And Burgersfort.
6. Baloyi also confirmed that he and the other individual applicants  
were  members of the Meat ‘n More Provident Fund.  R Sakota  
is   reflected   as   the   principal   employer   for   purposes   of   the  
provident   fund.   This   R   Sakota   is   also   reflected   as  trading   as  
Meat   ‘n   More.     Baloyi   also   testified   that   he   and   the   other

individual applicants, irrespective of where they were employed  
or based were under a single human resource management.
7. Baloyi’s evidence also covered the fact that the Meat ‘n More  
logo appeared on the letter  head of Durban Deep Wholesale  
Meat (third respondent) and on the business card of Dartprops  
43 (fifth respondent).  He also testified that drivers employed at  
Durban Deep Wholesale Meat (third respondent) used to load  
meat   at   Durban   Deep   Wholesale   Meat   in   Roodepoort  
proceeded to Dartprops (fifth respondent) and load more meat  
in boxes and then deliver at the various outlets of Meat ‘n More  
(fourth respondent).
8. Albert   Ndlovu   was   also   called   to   testify   on   behalf   of   the  
applicants.  He testified that he was employed as a driver on 2  
April 1996 by Durban Deep Wholesale Meat (third respondent)  
in Roodepoort.  He confirmed Baloyi’s evidence that as drivers  
they loaded meat at Durban Deep Wholesale Meat then went to  
load frozen meat from Dartprops and then delivered the meat to

the outlets of Meat  ‘n More.    He testified that  all drivers  and  
trucks came from Durban Deep Wholesale Meat and none from  
Dartprops.     He also confirmed when showed photos of trucks  
that   they   were   the   trucks   they   used.     These   trucks   bear   the  
Meat ‘n More logo.
9. The respondent’s evidence came from Mathys Johannes Swart  
who testified that he was an accountant practising for his own  
account   and   that   he   was   the     accountant   for   Durban   Deep  
Wholesale   Meat   and   Meat   ‘n   More   (third   and   fourth  
respondents).     He   is   also   the   auditor   of   a   company   called  
Dartprops 43 (Pty) Ltd.  He testified further that : Durban Deep  
Wholesale Meat was a partnership of Risto and Savo Sakota,  
Meat ‘n More was a partnership of the father (Ranko Sakota)  
and five of  his children.    During December  1998 the Meat  ‘n  
More   outlets   were   sold   to   Meat   n’   More   (Pty)   Ltd   whose  
shareholders are the Sakota brothers and their two sisters i.e  
Dragoljub Sakota Milica Bodokouglo and Ranka Zatezaco.  He  
also testified that the Sakota family was engaged in a number of

business   ventures   but   the   administration   of   the   different  
businesses was conducted at one central office; he also acted  
as auditor of Durban Deep Butchery (Pty) Ltd which was later  
converted   into   Durban   Deep   Butchery   CC   whereafter   the  
interest of the partners or members was then sold.  He testified  
that there was no relationship or connection between Meat ‘n  
More   and   Durban   Deep   Wholesale   Meat   and   that   separate  
books of account are kept for each entity.  He testified that the  
businesses were  totally  unrelated  in  all  respects save  for  the  
single administration.
10. According to Swart the only respondent in this matter is Durban  
Deep   Wholesale   Meat   (“the   third   respondent).     However  
according to the applicants all the respondents including Ranko  
Sakota   are   one   and   the   same   employer   though   trading   in  
several outlets and in different venues.
11. Rule 22 of the rules of this court provides: 
“1 The court may join any number of persons, whether jointly,

jointly   or   severally,   separately,   or   in   the   alternative   ,   as  
parties in proceedings, if the right to relief depends on the  
determination of substantially the same question of law or  
facts.
2(a) The court may, of its own motion or on application and on  
notice   to   every   other   party,   make   an   order   joining   any  
person   as   a   party   in   the   proceedings   if   the   party   to   be  
joined has a substantial interest in the subject matter of the  
proceedings. 
2. When making an order in terms of paragraph (a), the court may  
give   such   directions   as   to   the   further   procedure   in   the  
proceedings as it deems fit, and make an order as to costs.”
Herbstein & Van Winsen (Juta) 1997   in   “The Civil Practice  
of the Supreme Court of South Africa”  at page 170 state:  “If 
a   third   party   has   or   may   have,   a   direct   and   substantial

interest in any order the court might  make in proceedings  
or   if   such   an   order   cannot   be   sustained   or   carried   into  
effect   without   prejudicing   that   party,   he   is   a   necessary  
party and should be joined in the proceedings,..”.   At page  
172     a   “direct   and   substantial   interest”   is   described   as   “an 
interest   in   the   right   which   is   the   subject   matter   of   the  
litigation and not merely a financial interest which is only  
an indirect interest in such litigation.”
12. In a dismissal dispute where joinder is in issue a party that may  
closely   be   connected   with   the   employment,   supervision   and  
remuneration   of   the   employee   has   a   direct   and   substantial  
interest  in the outcome of the dispute.    That party  should be  
joined and or can demand to be joined in the proceedings.
13. It   is   clear   therefore   that   Durban   Deep   Wholesale   Meat   as   a  
partnership   of   Risto   and   Savo   Sakota   have   a   direct   and  
substantial interest in this matter.  They should have been cited

as Risto and Savo Sakota trading as Durban Deep Wholesale  
Meat.
14. I am of the view that the proper approach regarding the other  
respondents is to consider the business activities of the Sakota  
family on the one hand and those of the entities they created to  
conduct   their   businesses   and   how   these   affected   the  
employment of the individual applicants.
15. I   accept   the   evidence   of   Mr   Swart   that   other   than   the  
partnership of Durban Deep Wholesale Meat and Meat ‘n more  
there are other entities such as Durban Deep Butchery(Pty) Ltd,  
Dartprops   43   (pty)Ltd.     However   there   are   several   common  
denominators amongst these entities and they are:
15.1 They are all engaged in one trade, i.e. the meat trade.
15.2 They all involve the same family, i.e a father and his sons and  
daughters.
15.3 Save   for   Meat   ‘n   More   (Pty)   Ltd   they   all   utilize   a   single  
administration office.

15.4 They all utilize the same marketing logo i.e Meat ‘n More.
16. The entity known as Durban Deep Wholesale Meat is the only  
one   mentioned   by   Swart   as   the     employer   of   the   individual  
applicants.   It is in this regard that the evidence of Baloyi and  
Ndlovu becomes crucial.     Their evidence that their  pay slips  
reflected   different   employers   at   certain   stages   must   mean  
something.   For instance if Vela Ndlamini was an employee of  
Durban   Deep   Wholesale   meat   then   that     is   what   his   payslip  
should reflect.   That payslip cannot at a different stage reflect  
the   name   Meat   ‘n   More   and   at   another   stage   again   reflect  
Durban Deep Wholesale Meat as employers.  This confirms the  
applicants’ evidence that they were employed interchangeably  
amongst the different  businesses.
17. The applicants’ evidence that they loaded meat at Durban Deep  
Wholesale Meat and also at Dartprops and thereafter delivered  
it   at   Meat   ‘n   More   outlets   is   unchallenged.     There   was   no  
evidence from the respondents to the effect that other business

entities had their own employees.   More telling is the fact that  
the trucks used to load and deliver the meat were driven by the  
same employees and the same trucks serviced all the business  
entities.
18. I can also not ignore the fact that the trucks bore the same logo  
common to all the business entities.   I can also not ignore the  
fact that a partner in one entity could also be managing director  
of   one   of   the   other   business   entities.     In   my   view   all   the  
members of the Sakota family mentioned in these proceedings  
as   well   as   the   business   entities   they   were   involved   in   were  
intimately   connected   and   involved   to   the   employment   of   the  
individual   applicants.     In   my   view   they   all   have   a   direct   and  
substantial interest in the outcome of the present litigation.
19. In my view all the business entities i.e. Durban Deep Wholesale  
Meat;   Meat   ‘n   More;   Durban   Deep   Butchery   (Pty)   Ltd   and/or  
Durban Deep Butchery CC; Meat ‘n More (Pty) Ltd; and all the  
Sakota   family   members   named   in   this   litigation   were   all

engaged in the same enterprise.   They are for all intents and  
purposes   one   and   the   same   employer   of   the   individual  
applicants.     The   joinder   application   should   therefore   succeed  
and   the   court,   of   its   own   motion,     also   joins   Durban   Deep  
Butchery (Pty) Ltd and/or Durban Deep Butchery CC; Meat ‘n  
More (Pty) Ltd and Dartprop 43 (Pty) Ltd as respondents in this  
matter.
20. The order of the court is therefore:
20.1 The joinder application is upheld.
20.2 Ranko Sakota is joined as a respondent in these proceedings  
jointly and severally.
20.3 Durban Deep Butchery (Pty) Ltd and/or Durban Deep Butchery  
CC,     Meat   ‘n   More   (Pty)   Ltd   and   Dartprops   43   (Pty)   Ltd   are  
joined   in   these   proceedings   as   respondents   jointly   and  
severally.
20.4 The costs of this application shall be costs in the cause.

Mlambo J.
Date of judgment: 15 April 1999.
For the applicants: Mr Maluleke of National Entitled Workers Union.
For the respondents: Mrs Moyses instructed by Sampson Okes,  
Higgings Inc.