Transnet SOC Ltd v Tipp-Con (Pty) Ltd and Others (797/2022) [2024] ZASCA 12

2nd February 2024

Transnet SOC Ltd v Tipp-Con (Pty) Ltd and Others (797/2022) [2024] ZASCA 12

Click here to read the full judgment on Saflii

[1]          This is an appeal against the judgment and order granted by the Gauteng Division of the High Court, Pretoria, per Mali J (the high court). The appeal is with leave of the high court. The parties in this appeal are the appellant, Transnet SOC Ltd (Transnet), and the first respondent, Tipp-Con (Pty) Ltd (Tipp-Con). The remaining respondents did not participate in the high court proceedings and are not active parties in this appeal.

[2]           The high court dismissed an application by Transnet to self-review its decision to award a tender to Tipp-Con (the review application). The tender was for the manufacture, supply, and installation of a high security fence at Transnet’s City Deep, Kascon and Kaserne premises (the premises). The premises had been the subject of various incidents of crime, necessitating the installation of a security fence to protect Transnet’s assets.

[3]          After the tender had been awarded to Tipp-Con, the parties concluded a contract and Tipp-Con proceeded to install the fence. During the installation of the fence, disagreement arose between the parties regarding the fence’s specifications. The dispute was referred to an adjudicator, (Mr Patrick Lane SC, the adjudicator), in accordance with the dispute resolution mechanism of the contract. The adjudicator found that the fence was installed according to contractual specification and Tipp-Con was entitled to payment under the contract.

[4]          Transnet purported to file a notice of dissatisfaction against the adjudicator’s determination. Transnet was out of time, so it was unable to contest the ruling of the adjudicator. Tipp-Con sought Transnet’s permission to return to the premises to complete the installation of the fence, but Transnet refused. Tipp-Con launched an application in the Gauteng Division of the High Court, Johannesburg, to make the adjudication award an order of court. In response, Transnet launched the review application in the Gauteng Division of the High Court, Pretoria.