Primedia Outdoor Namibia (Pty) Ltd v Roads Contractor Company Ltd and Another (706 of 2010) [2011] NAHC 348 (23 November 2011)

NamibLII

Automated Summary

Key Facts

The case involves Primedia Outdoor Namibia (PTY) LTD (plaintiff) claiming that Road Contractor Company LTD and the Roads Authority (defendants) unlawfully removed 100 advertising frames from leased street light poles in Oshakati in December 2009. The plaintiff sought the return of the frames, monetary compensation of N$253,000, or joint liability with the defendants for that amount, along with interest and costs. A default judgment was initially granted on 30 July 2010 but was later rescinded due to procedural errors, including the failure to annex the relevant lease agreement. The court ultimately set aside the default judgment and ordered the defendants to pay N$220,000 plus monthly payments of N$27,500 until the plaintiff secures an undertaking that the advertising boards will not be removed again, with interest at 20% per annum.

Transaction Type

Lease of street light poles for advertising

Issues

  • The court examined the validity of the default judgment, determining that it was sought and granted in error due to the plaintiff's failure to amend the claim appropriately.
  • The defendants applied for rescission of the default judgment under Rule 44, which the court found had been granted in error.
  • The plaintiff did not attach the lease agreement (Annexure POC1) to its claim, leading to a fatal defect in the case.
  • The plaintiff's default judgment application cited Annexure D, which was an incorrect agreement, contributing to the court's decision to set aside the judgment.

Holdings

  • The court granted default judgment for the plaintiff's first claim, ordering the defendants to pay N$253,000, 20% interest, and costs.
  • The respondent (plaintiff) is ordered to pay the costs of the application.
  • The court set aside the default judgment for the second claim and ordered the defendants to pay N$220,000, monthly N$27,500 until the plaintiff secures an undertaking, and costs.

Remedies

  • The plaintiff is awarded the costs of the legal proceedings.
  • The plaintiff is awarded N$253,000.00 from the first and second defendants, jointly and severally, with the one paying the other being absolved.
  • Interest at 20% per annum is awarded on the N$253,000.00 amount from the date of judgment to the date of payment.
  • The plaintiff is awarded N$220,000.00 from the first and second defendants, jointly and severally, with the one paying the other being absolved.
  • Interest at 20% per annum is awarded on the N$27,500.00 monthly payments from the date of judgment to the date of payment.
  • The first and second defendants must pay the plaintiff N$27,500.00 monthly until the plaintiff secures an undertaking preventing future removal of advertising boards.
  • The respondent is ordered to pay the costs of the application.

Monetary Damages

473000.00

Legal Principles

The court set aside a default judgment granted by another judge under Rule 44, finding it was erroneously sought and granted due to procedural defects including failure to attach a critical lease agreement to the original claim and improper amendment of claims. This reflects the principle that courts must review and correct erroneous judgments under established procedural rules.

Cited Statute

Rules of the High Court of Namibia

Judge Name

Miller, AJ

Passage Text

  • The difficulty is that Annexure "D" is an agreement concluded between the plaintiff and Oshakati Premier Electric. I suspect that to be the agreement which the plaintiff failed to attach to its particulars of claim. That strikes me as a fatal defect.
  • 5. Payment to the plaintiff by the first and second respondents/defendants jointly and severally, the one paying the other to be absolved, of the amount of N$220 000.00. 6. Thereafter, from the date of this judgment, payment to the plaintiff of the monthly amount of N$27 500.00 by the first and second respondents/defendants, jointly and severally, the one paying the other being absolved, for each and every month and until plaintiff is able to secure an undertaking from both the respondents/defendants that the plaintiff's advertising boards, once erected in Oshakati again, will not be removed again by either of the defendants.
  • It is not permissible for the plaintiff to go about matters that way. That much was virtually conceded by Mr. Barnard, who appeared for the plaintiff before Court. The plaintiff faces other difficulties over and above that.

Damages / Relief Type

  • N$220,000 for lost advertising revenue plus monthly N$27,500 until undertaking secured
  • N$253,000 for 100 removed advertising frames
  • 20% annual interest on awarded amounts and costs of suit awarded to plaintiff
  • Rescission of default judgment granted on 30 July 2010