The Commercial Case Law Index is a collection of judgments from African countries on topics relating to commercial legal practice. The collection aims to provide a snapshot of commercial legal practice in a country, rather than present solely traditionally "reportable" cases. The index currently covers 400 judgments from Uganda, Tanzania, Nigeria, Ghana and South Africa.
Get started on finding judgments that are relevant to you by browsing the topic list on the left of the screen. Click the arrows next to the topic names to reveal a detailed list of sub-topics. Most judgments are accompanied by a short summary written by subject-matter expert postgraduate students from the University of Cape Town.
The plaintiff filed an action against the defendant for breach of contract, special damages, general damages, interest and costs of the suit. The two issues were whether there was a legally binding contract for decorating services between the plaintiff and the defendant and whether the plaintiff is entitled to the remedies claimed.
It was submitted that under s 55 of the Public Procurement and Disposal of Public Assets Act 2003 (PPDA or the act) all public procurement has to be carried out in accordance with the rules set out in the act and regulations and guidelines made under the act. The court held that there was non-compliance with the PPDA regulations on procurement of services.
The court stated that the act was established to ensure the application of fair, competitive, transparent, non-discriminatory and value for money procurement and disposal standards and practices. Although there was non-compliance with established procedures as set out above, the contracts committee subsequently agreed with the methodology chosen albeit after the event. They ratified the process.
The court went on to decide that on the first issue thereof of whether there was a legally binding contract for decorating services between the plaintiff and the defendant, that the permanent secretary upon clearance by the Contracts Committee was under obligation to retrospectively regularise the procurement of the services of the plaintiff representing a consortium of companies which carried out decorations. The failure to regularise the procurement of the services of the plaintiff worked injustice because the plaintiffs remained unpaid for services procured and which had been cleared by the Contracts Committee.