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Cash Crusaders interdicts EFF from shutting down its stores


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Cash Crusaders interdicts EFF from shutting down its stores

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Cash Crusaders interdicts EFF from shutting down its stores

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7th June 2023

By: News24Wire

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Cash Crusaders has successfully interdicted the Economic Freedom Fighters (EFF) from embarking on a national shutdown of the retailer's stores on Thursday. This follows allegations from the political party that CEO Brent Topat 'hijacked' the stores of black-owned franchisees.

The South Gauteng High Court in Johannesburg, which made the ruling on Tuesday with costs awarded against the EFF, noted it was unlawful to shut down a business or prevent a business owner from trading.

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It also dismissed an argument put forward by counsel for the EFF that "shut down" in this case referred to a plan to lawfully picket and protest against Cash Crusaders, rather than actually preventing the company's businesses from operating.

The ruling stated that "every business in South Africa has the right to trade and must be protected against unlawful interference".

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"Attempts to colour the threat of shut down as some other lawful picket that is envisaged cannot succeed."

As for another argument put forward by the EFF that it would not have embarked on its actions against Cash Crusaders if the retailer had agreed to meet with it, the court said there was "no rule of law that provides for a businessman or woman to subject themselves to a political party's interference", noting the retailer had every right to refuse to meet them.

The court interdicted the EFF from "shutting down" Cash Crusaders stores in South Africa or calling on its members or the general public to do so. It was also not allowed to prevent any employees from attending work in the group's stores. 

The EFF's national spokespeople, Sinawo Thambo and Leigh-Ann Mathys, did not immediately respond to requests for comment.

At the centre of the EFF's campaign is litigation instituted against the company by three businessmen. In addition to this, City Press reported that Topat denied suppressing former black-owned franchises, citing an arbitration process that led to the termination of affected businesses.

On 24 May, Cash Crusaders received a notice from the EFF at one of its stores in the Sedibeng region, saying the party was going to shut down all of its stores nationwide on 8 June, and make sure that Topat "does not make any profit" on the day.

"The nationwide shutdown of all Cash Crusaders stores comes because of its CEO’s continued suppression of former black-owned franchises in the last year. The EFF in Gauteng was made aware of over 60 blacked-owned franchises that were unlawfully hijacked from them by Brent Topat," the notice said, according to City Press.

In response, the retailer wrote to the EFF informing it that Cash Crusaders would be approaching the court for an interdict and stating that it viewed the threat of a shut down as "unlawful conduct".

It is understood that the EFF wrote back indicating it would not march against Cash Crusaders if it agreed to meet with it. Cash Crusaders argued it had no problem meeting with the litigants directly but did not want to meet with the EFF.

Cash Crusader's attorney, Selwyn Zackon, of Ashersons Attorneys, said the retailer was "pleased by the verdict".

"The view of Cash Crusaders is that our objection is not against lawful demonstration, which is a constitutional right. The objection is against an unlawful shutting down of our businesses. The position taken by Cash Crusaders was found to be correct by the court," he said.

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