CHIGUMBA
J:
Should
our courts be courts of law or courts of justice? One would
presuppose that the law is justice and that justice is the law. To
the ordinary man, i.e. one who is untutored in the practice of the
law and the pursuit of justice, it would appear that law and justice
have a symbiotic relationship; one is nothing without the other. Yet,
those who practice the law, will know that, often times than not, the
rigid application of the law may lead to a palpable injustice. That
is why the law is fluid, meaning that its application depends on the
circumstances before the court. The law must be applied to avoid
perpetrating an injustice, especially where the extent of the
injustice would be the non suiting of a litigant, leaving the
litigant with nowhere else to turn, as it were. That is not to say
that non deserving litigants should be shielded from the inevitable
consequences that flow from a correct application of the law. On the
contrary, it is my view that, our courts should be courts of law that
derive their authority and legitimacy from a fair and impartial
application of the law, in the pursuit of justice, and fairness.
The
applicant filed a court application before this court on 8 May 2011
seeking an order for the amendment of the judgment handed down by
this court on 23 January 2008, under case number HC4252/2001. The
order of January 2008 reads as follows:
“Judgment
is entered in favor of the plaintiff as follows: That Defendant pays;
(a)
BP63,750 as replacement value for his damaged vehicle.
(b)
83,717-09 for medical expenses.
(c)
BP1,800,000 for loss of income.
(d)
$3.50 for towing charges.
(e)
BP12,000,000 for car hire charges.
(f)
$2,000,000 for pain and suffering.
(g)
$850,000 for disability.
(h)
$1,000,000 for future medical expenses.
(i)
Costs of suit.”
The
order sought by the applicant in this matter relates to the Zimbabwe
dollar component of that order. The applicant seeks an order that the
judgment of this honorable court in case number HC4252/2001, dated 23
January 2008 be amended as follows: -
“That
the Defendant pays to the Plaintiff:
1.
USD$2,790-60 for medical expenses.
2.
USD$116-66 for towing charges.
3.
USD$66,666-67 for pain and suffering.
4.
USD$28,333-30 for disability.
5.
USD$66,666-67 for future medical expenses.
6.
Interest at the prescribed rate of 5% per annum calculated from the
date of judgment to the date of payment.
7.
Costs of suit.”
It
is common cause that the respondent has paid in full for the
component of the 2008 judgment which provides for payment in Botswana
Pula, in terms of the order of the Supreme Court dated 28 February
2012. It is common cause that payment of the Zimbabwe dollar
component of the 2008 judgment remains outstanding, although
respondent has tendered this payment to the applicant. It is common
cause that the applicant did not attempt to execute in respect of the
Zimbabwe dollar component at the date of the judgment in 2008, and
that, in 2009, Zimbabwe adopted a multicurrency regime. It is also
common cause, that after the accident the applicant was disabled.
The
applicant has come before this court and avers that he requires
urgent medical attention.
He
has attached a quotation from a medical specialist Mr. Bijay B.
Garach, dated 23 March 2012, to show that he requires an estimated
USD$279,400-00 for surgery in Durban South Africa. The purpose of the
surgery is to correct a condition of stiffness in the right knee
which is possibly related to a fracture and muscle tightness, and to
an associated knee joint injury. Mr. B.A.V. Ncube, a specialist
orthopedic surgeon, certified that the applicant is in pain and gross
discomfort in his right foot, on 4 June 2012, and that he needs
further surgery to remove the implants and to fuse his mid-foot and
correct his mal-aligned toes.
The
applicant is currently unemployed and has urgent need for funds in
order to access the medical assistance he requires.
On
24 October 2012, the applicant's Legal Practitioners addressed a
letter to the respondent, to which they attached the judgment of 23
January 2008. In the letter, respondent was reminded that the
Zimbabwe dollar component of the judgment remained unpaid, in a total
of ZWD$4,937,217-09. It is common cause that the Zimbabwean dollar
has fallen into disuse. Respondent was advised that the applicant had
approached the Reserve Bank of Zimbabwe which had confirmed that as
at 23 January 2008, one United States dollar was equivalent to
ZWD$30,000-00. Converting ZWD$3,937,212-10 to USD translates into
USD$164,573-90. Interest at the prescribed sum translates to
USD$41,143-47. The total demanded from the respondent is
USD$205,717-38.
In
a letter dated 8 November 2012, respondent, through its legal
practitioners, tendered the ZWD$ to the applicant, on the basis that
the Zimbabwean dollar was still valid currency, and that, it being
the currency of the judgment which the applicant was seeking to
enforce, that is the currency in which applicant should be paid. The
computation of the interest was brought into question. In a letter
dated 19 November 2012, applicant's legal practitioners explained
that interest had been calculated at the prescribed rate of interest
from February 2008. In par 12.1-14 of the founding affidavit
applicant avers that:
“I
need to execute against the respondent. I need to have the judgment
in my favor sounding in Zimbabwe dollars amended
to reflect United States dollars so that I am paid in a currency that
I will be able to use. I submit that the Zimbabwe Dollar is now
moribund and has fallen into disuse. It is no longer the currency in
use at the moment. There is no point in giving me, as Respondent
contends, the Zimbabwe dollars as I will not be able to use them to
access the medical attention that I so badly and urgently require. I
submit that I am entitled to effective remedies and giving me
Zimbabwean dollars is hardly such effective remedies”. (my
emphasis)
The
notice of opposition was filed of record on 30 May 2013. Mr. Charles
Stewart Gardiner deposed to the opposing affidavit on behalf of the
respondent. He is a son of the managing director of the respondent,
and himself a director of the respondent company. He averred that the
applicant should apply to the court which granted the judgment in
question for the judgment to be corrected in accordance with the
rules of this court.
Mr.
Gardiner denied that applicant had a right to correct the judgment in
terms of the rules of this court. He denied that the applicant was
permanently disabled, although he accepted that the applicant was
injured in the accident. He emphatically declared that the applicant
was dishonest and that he had fraudulently exaggerated his injuries
and allegations of disability. He denied that the applicant is in
urgent need of medical attention. He reiterated that applicant has
already received a sum of USD$90,332-24 from the respondent and
averred that this amount ought to have been more than sufficient to
fund whatever medical attention applicant allegedly requires.
It
was admitted that the respondent is bound by the terms of the Supreme
Court Order. The respondent expressed certainty that the applicant's
awards which emanated from this court were based on fraud, fraudulent
documents and perjured evidence, and referred the court to its
application for leave to adduce further evidence which it filed
before the Supreme Court simultaneously with its appeal under case
number SC19-2008.
Mr.
Gardiner averred that the court should have regard to the independent
expert evidence that was filed before the Supreme Court to prove the
allegations of fraud against the applicant. He reiterated that the
Respondent believed that it was obliged to effect payment in the
amount claimed by the applicant and awarded to him by the court. It
was denied on behalf of the respondent, that it was to blame for the
applicant's hardship because the basis of the liability of the
respondent arises entirely from a finding of vicarious liability for
the negligence of its former employee.
Three
issues fall for determination by this court.
(a)
The first one is whether this court has jurisdiction to entertain
this matter.
(b)
The second issue for determination is whether it is competent for
this court to award payment in United States dollars, in respect of a
judgment sounding in Zimbabwean dollars.
(c)
Finally, we must determine whether it is competent to determine the
rate of exchange by which the conversion may be made.
(a)
Jurisdiction
It
was submitted on behalf of the applicants that the High Court has
jurisdiction to deal with any matter that is placed before it and
that, there is nothing amiss in this court dealing with a matter
arising out of a judgment of this court. The court was referred to
the case of Fleximail
(Pvt) Ltd
v Gift
Bob David Samanyau & 3 Ors
as authority for this proposition.
The
court perused the judgment of the court a
quo.
The
issue for determination, as it was understood by that court was that
the applicants had approached that court since it was the only court
with inherent jurisdiction seeking a declaratur
that the principle of currency nominalism has no place in Labour Law
(i.e. a common law principle) as it would be at variance with the
Labour Act's aim of achieving social justice. The applicants sought
a further declaratur
that
to the effect that damages in lieu of reinstatement have to be paid
in an effective manner, that is, in an amount, currency and quantity
that achieves fairness as required by the Labour Act. A further order
compelling the respondent to pay damages in USD was sought. The
principle relied on by the applicants was that a successful appellant
ought to have the discretion to choose payment of damages in the
currency that will redress the injury suffered and adequately
compensate him for the loss as well as fulfill the objectives of the
Labour Act.
The
respondent had opposed the relief sought by the applicants before the
High Court, on the basis that the matters raised had been canvassed
and dismissed by the Labour Court and were therefore res
judicata,
that this matter was purely a labour issue by virtue of section 89(6)
of the Labour
Act [Chapter 28;01],
that
the court was being asked to usurp the role of Parliament by
repealing the common law principle of currency nominalism and that
the court was being asked to 'overrule” those decisions of the
Supreme Court which had already made the point that in quantifying
damages in labour disputes, the rates that are applicable are those
that applied at the time of dismissal or suspension.
The
High Court took the view that it was the only court with power to
issue declaratory orders. On the issue of usurping the role of
Parliament, the High Court took the view that 'it is not
impermissible for the judiciary to make law by way of decided cases
if an opportunity presents itself to plug a legislative gap
especially where not to do so will leave many an unlawfully dismissed
employee languishing in an asylum of financial misery'.
On
p 5 of the judgment the High Court postulated the question of
whether, in the circumstances of the case before it, it ought to
declare that 'in
the realm of employment relations', the principle of nominalism has
for now, no place until economic normalcy has been restored'.
(my underlining for emphasis.
Clearly
the High Court limited the application and scope of its judgment, to
the realm of employment relations, and to the period during which
there was lack of economic normalcy. It applied the principles of
equity, and enjoined itself to 'tread a path that will avoid
iniquity and injustice where legislative intervention is not
forthcoming'.
The
High Court ordered the respondent to pay damages in USD using the
official exchange rate obtaining as at 5 July 2007.
The
respondent appealed.
The
appeal and cross appeal came before a five member bench of the
Supreme Court on 11 September 2013. The judgment of the Supreme Court
was to allow the appeal to the extent of setting aside the judgment
of the High Court for lack of jurisdiction. It was held, with the
consent of both parties, that the matter should have been determined
by the Labour Court.
It
is this court's view that it would not be proper to rely on
principles which were enunciated in the context of labour disputes,
which differ materially from the matter under consideration, and in
respect of which certain principles underline their conduct, which
are not applicable here, such as social justice and equity. The court
is bolstered in its view by the recent judgment of the Supreme Court
Madhatter
Mining Company v
Marvelous Tapfuma,
where
the court stated that the Samanyau
judgment
had been overturned on appeal and could no longer be cited as
authority or as a basis on which a court can convert damages awarded
in Zimbabwe dollars to United States dollars.
The
vexing question of whether the USD amount would give true value to
the damages that the respondent would be entitled to was posed by the
court.
True
value was defined as a value that would 'neither overcompensate the
respondent nor inadequately do so'. Other pertinent considerations
for a court faced with the question of converting Zimbabwe currency
to USD$ were the issue the two main Zimbabwe dollar to USD$ exchange
rates which obtained prior to 2009, i.e. the official and the
unofficial rates. (See page 14 of the cyclostyled judgment). Finally
the Supreme Court emphasized that it is the Labour Court - and not
the Supreme Court - which in endowed with jurisdiction to apply
principles of equity in its determination of labour disputes, based
on the provisions of section 2A of the Labour Act. See Horace
Nzuma & 2 Ors v
Hunyani Paper &
Packaging.
I
accepted the submission made on behalf of the respondent that this
court has no similar jurisdiction to that of the Labour Court, to
determine disputes on the basis of social justice, or principles of
equity.
The
Labour Court in the Madhatter
case
was then given guidance by the Supreme Court, and the matter was
remitted back to it for the determination of the following issues:
(a)
What
is the effect of the change of currency effected in February 2009 on
debts occurring before the effective date?
(b)
Does the Labour Court have power to order payment in the operational
currency (the United States dollar) of debts incurred under the
Zimbabwe Dollar currency which, though not demonetized, is no longer
in use?
(c)
Has the principle of currency nominalism any application to the
circumstances of this case?
(d)
The method of calculating the quantum of the debt in current
realizable currency if the conclusion of the above issues is in favor
of payment in United States dollars.
These
questions given for the guidance of the Labour Court are regurgitated
here, in the realization that these are the same questions that this
court may have to determine if the question of jurisdiction in this
matter before it is resolved in favor of the applicant.
In
defence of this claim, the respondent raised the main point of the
absence of jurisdictional basis on which the court can 'change'
or 'convert' a judgment that was given by it, in January 2008.
I
am grateful to counsel for the respondent for the extensive heads of
argument filed of record, which appeared to have been tailored to
respond to the questions for guidance which were issued by the
Supreme Court as listed above, for the guidance of the Labour Court.
It
was submitted on behalf of the respondent, that if there is such a
jurisdiction, there is a dispute as to whether it can be exercised
five years after the original judgment and one year after the
judgment of the Supreme Court in which the matter was not raised,
whether the conversion is to take place on the date of the judgment
or on the date on which payment is made, what the proper rate of
exchange would be, whether the conversion can be made in respect of
those heads of damages which were incurred and paid for in Zimbabwe
dollar currency and awarded as special damages at trial, and finally
the bona
fides of
the applicant.
The
respondent submitted that medical expenses and towing charges are
special damages which were incurred in Zimbabwe dollars, not United
States dollars. The loss was incurred 15 years ago in Zimbabwe
dollars, the damages were alleged and proved seven years ago in
Zimbabwe dollars, the respondent disputed the applicant's entitled
to interest at the prescribed rate, or at any rate, on the basis that
the prescribed rate of interest sought to be relied on was only
introduced on 23 October 2009 by S.I.
164-2009,
and backdated to 23 October 2008. Finally, respondent submitted that,
in respect of the three heads of general damages that applicant now
seeks payment for in foreign currency, which was not available to
him, and which he did not seek, at the time of the trial, those
damages are not due to him in any other currency other than the
currency that he claimed them in.
It
is trite that the cause of action for the relief being sought must be
found in the founding affidavit. See Poseidon
Ships Agencies (Pty) Ltd
v
African
Coaling and Exporting
Co
(Durban) (Pty) Ltd ,
Director of Hospital Services v
Mistry,
Dajen (Pvt) Ltd v
Durco
(Pvt)
Ltd ,
Mangwiza v
Ziumbe NO & Anor.
It
was submitted on behalf of the respondent that the founding affidavit
does not disclose the cause of action to support the relief sought.
It was submitted, correctly in my view, that applicant's need for
urgent medical attention is not a jurisdictional basis for the relief
sought. It was contended that the fact that the Zimbabwe dollar is
now moribund and has fallen into disuse, and that, there is no point
making payment in it, again affords the applicant no jurisdictional
basis for the relief sought. Finally, it was submitted that to plead
ad
misericordiam
that he is entitled to an effective remedy does not assist the
applicant at all.
It
is common cause that upon the introduction of the multi-currency
basket in January 2009, Parliament did not see fit to introduce any
legislation to enable this court to look at judgments given before
January 2009. It was contended that, in the absence of legislative
authority that enables this court to look at judgments given in
Zimbabwe dollars before dollarization in January 2009, we must be
guided by the usual common law Rules. I find myself in full agreement
with these statements of the law as it currently stands. However, in
case I am wrong in my view that there is no jurisdictional basis on
which this court may grant the relief sought by the applicant, I will
proceed to deal with the merits of the matter.
The
law that underlies the legal principle of functus
officio was
summarized in the case of Firestone
South Africa (Pty) Ltd v
Genticuro
as
follows:
“The
general principle, now well established in our law, is that, once a
court has duly pronounced a final judgment or order, it has itself no
authority to correct, alter, or supplement it. The reason is that it
thereupon becomes functus
officio,
its jurisdiction in the case having been fully and finally exercised,
its authority over the subject matter has ceased. See West
Rand Estates Ltd v New Zealand Insurance Co Ltd, 1926 AD 173 @ p176,
178,186-7 and 192; Estate Garlick v Commissioner of Inland Revenue
1934 AD 499 @ p502…There
are however a few exceptions to the rule which are mentioned in the
old authorities and have been authoritatively accepted by this
court…provided the court is approached within a reasonable time of
its pronouncing the judgment or order, it may correct, alter or
supplement it in one or more of the following cases:
(i)
the
principal judgment or order may be supplemented in respect of
accessory or consequential matters for example costs or interest
on the judgment debt, which the court overlooked or inadvertently
omitted to grant…
(ii)
the court may clarify its judgment or order if on a proper
interpretation, the meaning thereof
remains
obscure, ambiguous or otherwise uncertain, so as to give effect to
its true intention,
provided
it does not thereby alter “the sense and substance” of the
judgment or order…
(iii)
the court may correct a clerical, arithmetical or other error in its
judgment in order to give
effect
to its true intention…
(iv)
where counsel has argued the merits and not the costs of a case…but
the court makes an order granting costs…it may thereafter correct,
supplement or alter the order…”
The
submission that none of these exceptions apply to the applicant was
accepted by the court, as well as reference that the principle of
finality in litigation (interest
reipublicae ut sit finis litium)
is a part of our law.
See
Matanhire
v
BP
Shell Marketing Services (Pvt) Ltd,
Maheya
v
Independent Africa Church.
This
court also accepted as correct, the submission made on behalf of the
respondent, that the present application is not intended to
supplement, clarify or correct the judgment of January 2008, but to
alter its substance. The alterations are not incidental or
consequential corrections, but go to the very heart of the orders
made.
In
respect of towing charges and medical expenses already incurred, the
purpose of the application is to change the very basis of the
currency in which those special damages were incurred. In respect of
the three headings of general damages, the application intends to
change the basis on which those damages were sought, when those
damages were suffered in Zimbabwe, in the currency of payment then
prevailing.
It
is common cause that there was a considerable delay by the applicant,
in bringing this application, the original judgment having been
handed down in January 2008 and the use of the United States dollar
having been authorized by January 2009. The appeal was heard in
October 2010 and the Supreme Court judgment handed down in February
2012. Nearly 15 years have passed since the accident in question and
four and half years since dollarization. No explanation was given by
the applicant for the inordinate delay in making this application.
Any application to correct or supplement an order, whether in terms
of the common law or under Rule 449 of the High
Court Rules 1971,
must be brought as soon as possible, or at the very least within a
reasonable period. See West
rand Estates Ltd
v
New
Zealand Insurance Co Ltd..
The
leading cases on currency nominalism in this court merit discussion.
In
Shava
v
Bergus
Investments (Pvt) Ltd
,
a
full bench of this court, through my brother Mutema J and Chiweshe JP
concurring, held that a party cannot revalue a judgment debt for
purposes of execution. Citing Mukorera
v
Ocean
Breeze Engine and Cooling Systems
the court held it to be trite that the principle of currency
nominalism was part of the law of Zimbabwe. The court held that, to
allow a party to change the currency of the judgment was 'not only
incompetent for arbitrariness but offended against the time honored
principle of currency nominalism'. The court said the following, at
343E:
“That
principle holds that a debt sounding in money has to be paid in terms
of its nominal value irrespective of any fluctuations in the
purchasing power of the currency.”
The
court also said at page 344:
“It
is beyond argument that the first respondent's debt sounded in
money and the judgment was given in March 2008 with the specific
directive that the values of whatever was damaged by the appellant
were to be as at the time of judgment. The values were in Zimbabwe
dollars and not in US dollars. The principle of currency nominalism
was therefore still applicable. It was accordingly idle for the first
respondent to revalorize its claim on execution. It
ought to have made a court application for the conversion of the
currency”.
(my underlining for emphasis)
Counsel
for the respondent, Mr Debourbon,
submitted that, before this court came to above underlined
conclusion, it ought to have examined in greater detail, the impact
of the 'once and for all rule' and of the submission that the
court cannot 'convert' the currency on application because it
will be functus
officio.
I
found this view persuasive.
It
was submitted, further, that reliance on the Mukorera
case
should not have led the court to the conclusion that it came to,
because in that case, the court was emphatic in its view that:
“…the
distortions caused by inflation in the economy should not lead to the
wholesale distortion of legal principles that have withstood the test
of time in a bid to find legal solutions to a problem that is not
legal in nature and origin and may prove to be transient. I am yet to
be persuaded that revalorization is part of our law of debt
collection.”
In
conclusion, this court's opinion on the issue of currency
nominalism, in the circumstances of this case, is that, while on the
whole this court has inherent jurisdiction to ensure that the process
of execution is neither abused nor unfair, it does not have
jurisdiction to rewrite an order in the manner sought by the
applicant. I hold the considered that, this court cannot revalue an
order for the purpose of execution, let alone completely rewrite an
order granted nearly seven years ago. Any such power would have to be
the consequence of legislation, which currently does not exist in
Zimbabwe.
Under
the common law, and as a protection against loss of value of a
judgment, where a litigant has suffered a loss that can properly be
expressed in foreign currency the court can enter judgment in foreign
currency, but payment must be made in local currency converted as at
the date of payment. See Makwindi
Oil Procurement (Pvt) Ltd
v
National
Oil Company of
Zimbabwe,
where
the court said that:
“Fluctuations
in world currencies justify the acceptance of the rule not only that
a court order may be expressed in units of foreign currency, but also
that the amount of the foreign currency is to be converted into local
currency at the date when leave is given to enforce the judgment.
Justice requires that a plaintiff should not suffer by reason of
devaluation in the value of the currency between the date on which
the defendant should have met his obligation and the date of actual
payment or the date of enforcement of the judgment. Since execution
cannot be levied in foreign currency, there must be a conversion into
local currency for this limited purpose and the rate to be applied is
that obtaining at the date of enforcement”.
See
also Standard
Chartered Bank of Canada
v
Nedperm
Bank Ltd,
where
it was stated that;
“…the
damages to be awarded in this case should be expressed in US dollars.
It is implicit in any order to this effect that the judgment debt may
be satisfied in South Africa by payment in the foreign currency or by
payment of its equivalent in Rand when paid”.
This
court is persuaded by the contention, which is supported by various
decisions by the Supreme Court and the High Court, that, had the
judgment in this matter been sought and made after January 2009, even
in respect of an accident that occurred before that date, judgment
could be granted in foreign currency as being the effective currency
to redress the loss. As further authority for this proposition, see
Kwindima
v
Mvundura.
However,
in this case judgment was sought prior to January 2009, specifically
in Zimbabwe dollars, and quite clearly Zimbabwe dollars is the
currency in which the losses were sustained. Section 41 of the
Reserve
Bank of Zimbabwe Act [Chapter
22;15]
reads:
“41
Legal tender of banknotes
(1)
A tender of a banknote which has been issued by the Bank and which
has not been demonetised in terms of subsection (2) shall be legal
tender in payment within Zimbabwe of the amount expressed in the
note.
(2)
The President may, by statutory instrument, call in and demonetise
any banknotes issued by
the
Bank, and shall likewise determine the manner in which and the period
within which payment for such banknotes shall be made to the holders
thereof”.
It
is common cause that the President has not demonetized the Zimbabwe
currency in terms of the Presidential
Powers (Temporary Measures) (Currency Revaluation and Issue of New
Currency) Regulations 2009, as confirmed by the Finance Act 2009, and
that, he had not done so at the time that this application was filed,
on 8 May 2013.
Section
44 of the
Reserve Bank of Zimbabwe Act
provides that:
“44A
Legal tender of foreign currencies
The
Minister may, in regulations made under section 64, prescribe that,
subject to such conditions as may be specified in the regulations, a
tender of payment in any currency other than Zimbabwean currency
shall be legal tender in all transactions or in such transactions as
may be specified in the regulations.”
It
is submitted on behalf of the respondent, quite correctly in my view,
that this provision does not render the Zimbabwe currency to be
moribund, but that, it allows foreign currencies to be treated as
legal tender, in addition to the Zimbabwe currency. It was correctly
submitted in my view, that there is no statute or other legal
instrument that has abolished or suspended the existence of the
Zimbabwe currency. Accordingly, as a matter of law, if not practice,
the Zimbabwe currency still exists.
See
Stuart
v
National Railways of Zimbabwe.
If
any conversion is to take place for the purposes of allowing the
enforcement of a judgment granted before February 2009 in Zimbabwe
currency, it must be done at the rate prevailing on the date
of payment, not
the date of judgment. (My underlining for emphasis).
The
Legislature in its wisdom only enacted section 44A of the Reserve
Bank Act,
and did see fit to provide a further framework to guide us on how to
dispose of these matters.
If
the applicant's judgment has been rendered incapable of being
satisfied through lack of a Legislative framework that regulates its
execution, then applicant's remedies must lie with the Legislature.
The
applicant seeks to use the date of judgment as the date on which
conversion into US dollars is to be made, and seeks to use the rate
of exchange allegedly applicable on that date. However, it is
pertinent to note that, at the date of the judgment, January 2008,
the use of United States dollars in Zimbabwe was not permitted, and
any judgment given in United States dollars as being the currency in
which the loss was sustained could only be satisfied by the payment
of Zimbabwe currency as at that date.
This
court lacks that jurisdictional basis to make any conversion as at
the date of judgment because such conversion would at that time have
been contrary to exchange control legislation. Any attempt to do a
conversion as at the date of the judgment would in effect be to
render a completely new judgment, in breach of the once and for all
rule.
The
'once and for all rule' is a common law rule that stipulates that
a plaintiff must claim in a single action compensation for the damage
he has already suffered and the prospective loss which he reasonably
expects to suffer in future. See Oslo
Land Co Ltd v
Union
Government,
and
Custom Credit Corporation (Pty) Ltd v
Shembe.
In
his book The
Law of Delict Professor Boberg
sums
up the common law position as follows:
“A
single wrongful act gives rise to a cause of action for all damage -
past and future - that it causes. This means that a plaintiff cannot
claim compensation piecemeal for his various losses as they occur: he
must sue “once and for all” for the whole of his damage, seeking
redress not only for the harm he has already suffered (actual or
accrued loss) but also for the harm he expects to suffer in the
future (prospective loss). And if he succeeds he will generally be
awarded damages in a lump sum, payable immediately, in respect of
both past and future losses”.
See
also Elvins
v
Shield Insurance Co Ltd
where the court said:
“The
'once and for all' rule applies especially to common law actions
for damages in delict, though it has also been applied to claims for
damages for breach of contract…Expressed in relation to delictual
claims, the rule is to the effect that in general a plaintiff must
claim in one action all damages…This rule appears to have been
introduced into our practice from English law. Its introduction and
the manner of its application by our courts have been subject to
criticism…but it is a well entrenched rule. Its purpose is to
prevent a multiplicity of actions based upon a single cause of action
to ensure that there is an end to litigation”.
In
Dube
v
Banana
the
law in Zimbabwe was stated in the following terms:
“Our
law recognizes the 'once and for all rule' which states that a
plaintiff, when suing for damages, must sue for all his damages in a
single action, both for loss suffered and for prospective loss…In
my opinion the once and for all rule should be modified. I consider
this can best be done by an Act of Parliament rather than by 'judge
made law', which is, by its very nature haphazard and piecemeal.
The Law Development Commission of Zimbabwe issued a report entitled
Report No. 43: 'Once and for all rule in claims for damages', in
which, as the title suggests, it examined the rule and in which it
made recommendations for its reform”.
Parliament
has not intervened to change the law.
This
court accepts as a correct application of the law to the
circumstances of this case that the applicant has had his once and
for all right to claim damages for the injuries which he sustained in
the accident. He elected to litigate for those damages in 2008. He
claimed those damages partly in Zimbabwe currency and partly in
Botswana Pula. He received the awards he sought. He had a further
opportunity to recast his case before the Supreme Court in October
2010 when the appeal was heard, which was after dollarization. He
chose not to do so, or to seek the leave of the Supreme Court, to
have the Zimbabwe dollar component of the judgment 'converted' to
a currency that he could use. The Supreme Court, on application for
its leave, would have had an opportunity for 'judge made law' to
decide whether to remit the matter back to this court for evidence to
be adduced, on the question of the 'conversion' of the Zimbabwe
dollar component of the judgment, to a currency of the applicant's
choice. The applicant cannot now come back to this court seeking to
change the judgment given to him. The applicant has already had his
day in court he cannot now come for a second judgment arising out of
the same circumstances as the first.
Res
judicata
is a rule that matters which have already been adjudicated upon
between the same parties cannot be adjudicated again. It is a
consequence of the 'once and for all rule'.
In
Union
Wine Ltd
v
Snell
and Co Ltd
the Judge said:
“Although
it is not clear from the cases whether the 'once and for all'
rule is just a manifestation of the exception
rei judicatae
or whether it has a wider range than the latter, it is settled
practice in South Africa that where a cause of action gives rise to
more than one remedy a plaintiff who pursues one of those remedies
and has obtained a judgment thereupon can be met with a plea of res
judicata
if he should institute a second action to pursue one of the other
remedies”.
It
is common cause that the parties before this court are the same as
those before the court in 2008. It is common cause that the cause of
action is the same, and that damages are being sought pursuant to
that cause of action. In the January 2008 judgment this court decided
that the applicant had suffered damages which required to be
redressed by the payment of Zimbabwe currency. This court accepts
that all those issues are now res
judicata and
cannot be re-opened.
In
the result, this court finds that it has no jurisdiction to grant the
relief sought by the applicant, and that, no factual basis has been
laid in the founding affidavit to justify granting the relief sought.
The court is functus
officio, the
damages which the applicant seeks to be 'converted' to another
currency now, were assessed and awarded in 2008. Any attempt to
re-assess the award made in 2008 now, even if such assessment
involves the calculation of the value of the damages in a different
currency, would amount to changing the nature of the judgment given
in 2008, a power which is only available to a superior court, on
appeal.
The
matter cannot properly be determined by the improper use of this
court's inherent jurisdiction.
This
court's inherent jurisdiction does not cloak it with power to
re-determine issues between the same parties, which have already been
conclusively determined. It may only do so on limited grounds, where
it is directed to do so by a higher court, the Supreme Court, and on
very specific directions. There being no such direction from the
Supreme Court, to this court, it is trite that the issues between the
parties are res
judicata.
This
court has no jurisdiction to exercise the same principles of social
justice and equity as the Labour Court, and any attempt to rely on
labour matters, as the basis for inviting this court to exercise
powers that are specific to and pertinent to the Labour Court, will
find no truck with this court.
In
the circumstances of this case, where 'accident damages' were
assessed and awarded as special damages and general damages, under
the law of delict, it is my view that, there is no factual or legal
basis in the papers filed of record, on which this court can
'convert' a 2008 judgment made in Zimbabwe currency, to United
States dollars. Despite this finding, this court respectfully
declines to exercise its discretion and grant punitive costs against
the applicant, as advocated for by counsel for the respondent.
Accordingly,
the application is dismissed with costs on an ordinary scale.
Mbidzo,
Muchadehama & Makoni,
applicant's legal practitioners
Atherstone
& Cook,
respondent's legal practitioners
1.
SC 21-2014
2.
HH 108-11 HC5710-09
3.
SC 51-14
4.
SC 137-11
5.
1980 (1) SA 313 (D)
6.
1979 (1) SA 626 (A) @ 635 H-636B
7.
1998 (2) ZLR 235 (SC) @ p257
8.
2000 (2) ZLR 489 (SC) @ 429
9.
1977 (4) SA 298 (A) @ 306-307
10.
2005 (1) ZLR 140 (SC) @ 146-147
11.
2007 (2) ZLR 319 (SC) @ 324H-325B
12.
1926 AD 173 @ 179
13.
2011 (2) ZLR 340 (HC)
14.
HH 13-08 (Unreported)
15.
1988 (2) ZLR 482 (SC) @ 492
16.
1994 (4) SA 747 (A) @ 777
17.
2009 (1) ZLR 168 (H)
18.
HB 7-2012 – Unreported
19.
1938 AD 584 @ 589
20.
1972 (3) SA 462 (A) @ 472
21.
1980 (2) SA 814 (A) @ 835A-E
22.
1998 (2) ZLR 92 (HC) @ 94, @ 105
23.
1990 (2) SA 189 (C) @ 196