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 matter involved an application for extension of time of appeal against a lower court decision granted against the applicant.
The main issue was whether the applicant had shown cause to justify the granting of the extension. The court noted that the length of the duration of the delay in bringing an application for extension is immaterial provided there are good reasons to justify it. In its engagement with the law, the court emphasised the role of judicial discretion in assessing the efficacy of granting the extension. It stated that for this discretion to be exercised the applicant had to show good and substantial reasons for failure to initially make the appeal. These could be a rule, lack of means, mistake or accident. The other inseparable twin leg was for the applicant to show prima facie good cause why the appeal should be heard.
In assessing whether the contemplation of an out of court settlement as reason for delay was a substantial enough reason, the court cited the Supreme Court judgment of Ikenta Best Ltd v AG Rivers State (2008) 2 SCNJ 152 to establish that the reason would not meet muster. The court thus concluded that the application did not meet the first condition for granting an extension and therefore dismissed the application for lacking merit.
The matter involves an application for an extension of the period of appeal by applicant against a lower court decision.
The main issue was whether the applicant, after consideration of the interests of justice and fair hearing, is entitled to an extension of the period of appeal. Starting from the point that the execution of a judgment does not foreclose the aggrieved party’s right of appeal, the court stated that the applicant must show good and substantial reasons for the delay in appeal, which can be rooted in a rule, lack of means, mistake or accident and, prima facie good cause why the application should be heard. Whilst the first leg requires a satisfactory justification, the second leg only requires one to show that the grounds of appeal are arguable. It is upon satisfaction of both the above that the court will use its discretion to grant the application.
As the applicant’s sole reason was that the delay stemmed from a desire to explore an out of court settlement option, the court followed the Supreme Court decision in Ikenta Best (Nig.) Ltd v AG Rivers State (2008) 2 SCNJ 152 to arrive at the position that the applicant’s reason could not be regarded as a good and substantial reason for delay in filing an appeal. The court thus held the applicant had failed to justify why the extension should be granted and therefore dismissed the application.
The dispute emanated from an agreement between the appellant and the respondents to clear a debt owed to the appellant by the respondents. The agreement provided for reduction of the debt on the grounds that the respondents pay an initial payment of 500 million and the balance before the exit of Central Bank examiners who had who had come to inspect the appellant bank. After payment of all debt, the appellant required the respondents to pay R5.5 billion alleging that it did not pay the balance as agreed.
The respondents approached the court and an order that parties should maintain status quo until the matter was resolved was granted. The appellant then filed a petition to wind up the respondents which prompted the respondents to approach the court seeking a committal order arguing that the appellant was in contempt of court. This was opposed by a preliminary objection seeking to strike out the committal order. The court granted the objection while pointing out that it had no jurisdiction to decide on the matter.
The appellant appealed the decision to strike out citing lack of jurisdiction of the trial judge and that the judge did not consider all issues raised by appellants and that it should have dismissed not strike out the committal order.
The held that the trial judge correctly dealt with the issue and that since he had no jurisdiction, it was not necessary for him to consider issues regarding the merits of the case and dismissed the appeal.
The applicant sought a declaratory order stating that the first respondent was in contempt of a court order which restricted him from transferring, alienating and or disposing of the 60% shareholding in the third respondent company.
The court considered whether the first respondent was in contempt of court. It was held that the first respondent was indeed in contempt of an order issued by the same court in 2015.
When the first respondent argued that the transfer of shared occurred in 1997, the court examined the third respondent company’s annual returns from 2008 to 2015 which reflected share ownership to belong to two entities; Tanwood Ltd and Garwood Ltd. At the time neither Busa Ltd nor Queen Foreign Ltd appeared as shareholders. The court also examined a company search that was conducted in 2016 which reflected a change in shareholding; Queen Foreign Ltd was a majority shareholder. The court accepted the above as prima facie proof of contempt of court. The court relied on previous judgments that outlined the conditions that have to be met in order to legally prove that contempt of court occurred; it was held that all conditions were met.
As a result of contempt, the court disregarded the purported transfer of shares in the third respondent company and stated that the power of attorney had no effect whatsoever. The court awarded costs to the applicant. No fine was imposed.
The issue before the court was an application for extension of time to file an appeal.
The applicant was seeking condonation from the court after he failed to file an appeal within the time prescribed by court rules. He based his appeal on the grounds that he was not aware of the judgment and blamed his lawyer for not informing him of the judgment. He argued that it was just and equitable for the court to extend the time to file the appeal and that there was likelihood of success.
The respondent on the other hand opposed the application arguing that the applicant failed to produce evidence to support its application.
In deciding the case, the court held that court rules empower the court to extend time limits if there are sufficient reasons. It ruled that negligence on the part of the applicant’s counsel amounts to sufficient reason for extension of time limits. The court found that refusal to extend the time limits will cause injustice to the applicant.
The application for extension of time was granted.