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Introduction The Supreme Court of Appeal (“SCA”), towards the end of last year, dealt with an interesting case involving a JBCC construction guarantee.1 At issue was whether in the circumstances of the case the guarantor, Renasa Insurance Company Ltd (“Renasa”), was entitled to avoid liability under the guarantee vis-à-vis a claim by the employer. The […]
INTRODUCTION If an engineer, architect, or any professional for that matter, agrees to do work for a client and there is no agreement on the remuneration payable, does that mean that the professional is not entitled to payment for any work done? This is the question that the KwaZulu-Natal High Court, Durban, had to answer […]
INTRODUCTION The liquidation of a company does not, save for certain exceptions which are not relevant to this discussion, terminate contracts to which the company is a party. Upon the grant of a final liquidation order in respect of a company, a state of affairs described as the concursus creditorum comes about. What this means […]
INTRODUCTION The Supreme Court of Appeal (SCA) has provided helpful guidance, albeit costly for the engineer concerned, relating to what will suffice as a notice by a Contractor of unforeseen adverse conditions. THE FACTS In 1996 Enviroserve decided to expand its waste disposal site in an area known as Aloes in Port Elizabeth by adding […]
INTRODUCTION Towards the end of last year the Supreme Court of Appeal (“SCA”) reminded us of the basic principles governing the relationship between the owner and hirer of plant1. THE FACTS In June 2000 Mutual Construction Company (Tvl) (Pty) Ltd (“Mutual”) hired a CAT 769 articulated dump truck to Komati Dam Joint Venture (“the Joint […]
Legislative Background 1.1 The Constitution A municipality derives its powers to impose rates originally from the Constitution. Section 229 of the Constitution states that a municipality may impose rates on a property and surcharges on fees for services provided by or on behalf of a municipality. The power to impose rates is subject to Section […]
1. Marriages in Community of Property If prospective marriage partners do not execute an antenuptial contract, their marriage will be in community of property. The assets which a husband and his wife bring into the marriage are pooled and jointly owned in equal shares. Similarly, with certain minor exceptions , all additional assets acquired during […]
Why Make a Will? If you die without making a Will you are said to die intestate. As you will not have nominated an executor to wind up your estate, it will be necessary to ask the Master of the High Court to appoint an executor. After considering the views of the surviving spouse, the […]
The High Court has, in a judgment recently handed down1 , clarified the scope of a builder’s lien and reiterated some of the relevant principles underpinning such a lien. The facts were: Mr Ballinger owned a property in Knysna. Norvic Diverse Systems (Norvic) was employed by Ballinger to build a dwelling on the property. Ballinger […]
BUILDER RESERVES OWNERSHIP At issue in a recent Supreme Court of Appeal decision1 was whether a builder’s reservation of ownership of equipment to be supplied in terms of a building contract was effective. The relevant facts were: Fisher Foods SA (Pty) Ltd (“Fisher Foods”) called for tenders for the construction of a factory in Kempton […]
