PRE-CLOSURE OF PLEADINGS INTRICACIES: RECENT COURT RULING REAFFIRMS TIME IS OF ESSENCE

Introduction:

Once a party has been effectively served with summons, they must act promptly and follow the procedures set out in the Uniform Rules of Court (“the Rules of Court”). Failure to do so can lead to undesirable and costly consequences. The judgment delivered on 13 November 2024 by the North-West High Court serves as a reminder of the need for swift action. In essence, in this matter, the Applicant was of the view that it was not in a position to plead effectively / sufficiently to the case of the Respondents, and as such, had served the Respondents with the Notice in terms of Rule 30A.

Brief facts:

After being served with summons, the Applicant issued a Notice in terms of Rule 35(14), requesting the criminal trial transcript from the Respondents. The transcript was crucial because the Respondents’ allegations of negligence were based on its contents.

When the transcript was not provided, the Applicant served a Notice in terms of Rule 30A, intending to compel the Respondents to disclose the document. However, before the Applicant could proceed with its application under Rule 30A, the Respondents served a Notice of Bar. Coincidentally, the deadline for the Applicant to file its Plea occurred on the same day as the expiry of the Rule 30A Notice period.

The Applicant subsequently applied to have the Notice of Bar declared irregular, arguing that it (unjustifiably) allowed the Respondents to avoid the consequences of the Rule 30A application. The court disagreed, siding with the Respondents. It held that the Applicant had two lawful options to address the situation:

  • Prepare a Plea to the best of its ability, even without the transcript, and file it.
  • Apply for an extension of time to file the Plea

Conclusion:

This judgment is important for legal practitioners, in-house counsel, and anyone who is served with summons. It serves as a reminder of the importance of time when one is served with the court papers. The time periods as outlined in the Rules of Court must be observed. Where one is not in a position to plead due to inadequacy of documentation and/or information, appropriate steps, congruent to the Rules of Court, must be followed. Whilst compliance with the Rules of Court must be always observed, they do make provision for extension where necessary. Importantly, requests for extensions must be made in good faith and supported by sufficient reasons. Courts are generally unsympathetic to parties perceived as obstructive or opportunistic, and adverse cost orders may be issued against such parties. Legal practitioners, in-house counsel, and individuals served with summons should take heed of this judgment as a reminder to act promptly and comply with procedural rules.

View Related Blogs
View All
news

The Fine Print in Claims-Made Policies: When a Claim Is Not a Claim

The interpretation of what constitutes a claim under a claims-made policy is often a contentious issue. Ambiguities in policy wording frequently lead to disagreements between policyholders and insurer...

Adams NewsInsurance LawJean-Paul Rudd
news

Exclusion Clauses in Claims-Made Policies: What Insurers Need to Know

Claims-made policies in professional indemnity insurance often include prior exclusion clauses, which serve to limit the insurer’s liability for claims arising from circumstances that occurred o...

Adams NewsInsurance LawJean-Paul Rudd
news

Lessons from the U.S.: Claims-Made Policies and the Importance of Objective Policy Terms Over Subjective Beliefs or Assurances

Can a professional services firm rely on a client’s assurance that they will not pursue legal action to avoid notifying its claims-made professional liability insurer of a potential claim arising fr...

Adams NewsInsurance LawJean-Paul Rudd