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Introduction Our courts have in their recent pronouncements on public procurement processes started to emphasise the importance of tenderers complying with the tender rules laid down by organs of State. The motivation for this is probably to try and create a more certain climate around procurement and also to try and stem the flood of […]
Much has been said and written about infringements of competition law by construction companies recently. The high-profile publicity is the culmination of a lengthy process that commenced in 2004 when the competition aithorities introduced a corporate leniency policy relating to cartel activity. Included within the ambit of cartel activity is collusive tendering. The most comming […]
Introduction At the beginning of last year the Supreme Court of Appeal (SCA) was called upon to decide whether the decision of an arbitration appeal tribunal should be reviewed and set aside.1 The Facts In 2003 Gutsche Family Investments (Pty) Ltd and the other shareholder ("the Sellers") in Formex Industries (Pty) Ltd ("the Company") sold […]
Introduction What disputes is an arbitrator entitled to deal with in an arbitration? Defendants often challenge the arbitrator's jurisdiction or power to deal with disputes and claims raised by a claimant on the grounds that the disputes fall outside the scope of the dispute originally declared by the claimant at the inception of the arbitration. […]
What is it? In 2004 the Competition Commission ("the Commission") introduced a corporate leniency policy ("CLP") relating to cartel activity. In terms of this policy leniency can be sought in respect of activities described in section 4(1)(b) of the Competition Act ("the Act"), namely: price fixing market allocation collusive tendering1 An applicant for […]
Introduction In June this year the Supreme Court of Appeal1 ("SCA") delivered a judgment which clarified the legal basis for sectional title disputes to be decided by arbitration. The fundamental question in the case was whether the arbitration regime provided for in the standard Management Rules promulgated under the Sectional Titles Act, 95 of 1986 […]
Introduction Late last year the Supreme Court of Appeal handed down a decision which underscores the importance of complying strictly with the requirements for calling up a construction guarantee. Background Facts A property development company by the name of Hospitality Hotels (Pty) Ltd (“Hospitality”) in 2008 undertook the refurbishment of a hotel. The works included […]
Introduction Usually tenders are attacked by an aggrieved tenderer who believes that the award made was wrong due to either procedural irregularities, corruption or otherwise. What is the position if the organ of State who made the award itself recognises that it acted wrongly in making the award? Can it correct its mistake? In December […]
Introduction It frequently happens in arbitrations that parties settle their disputes before the conclusion of the arbitration proceedings. In these circumstances it has often been the practice for the parties to ask the arbitrator to make an award by consent setting out the terms of the settlement between them. The question as to whether such […]
Introduction In the JBCC cancellation clause there is a provision to the effect that neither the employer nor the contractor can cancel the contract if at the time the party wishing to cancel is itself in breach of a material term of the contract. The old BIFSA White Form Contract had a similar provision which […]