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Debt Collection re: Collection Commission and the Simultaneous Claim of Collection Commission & Punitive Costs of Suit

HH29-12 : CHIEDZA CHIKOMO vs YISRAEL YEHUDAH
Ruled By: MAVANGIRA J

The following is also stated on the acknowledgment of debt: “…,. Legal action will be taken if the money plus interest is not paid within 24 hours from the above agreed date of payment. I hereby undertake and agree to pay the 25% interest, collection charges as well as costs of suit for the legal practitioner and ...
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HH18-10 : CENTRAL AFRICA BUILDING SOCIETY vs EPHISON NDAHWI
Ruled By: MAKARAU JP

The plaintiff issued summons against the defendant on 10 September 2009 claiming the following: 1….,. 2. Costs of suit on the scale between legal practitioner and client together with collection charges.
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HH149-10 : FOOLPROOF ENTERPRISES (PRIVATE) LIMITED vs SURFACE INVESTMENTS (PRIVATE) LIMITED
Ruled By: KUDYA J

Counsel for the plaintiff, correctly abandoned the claim for collection commission in view of the principle laid down in Scotfin Ltd v Ngomahuru (Pvt) Ltd 1997 (2) ZLR 567 (H).
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HH14-14 : CONTINENTAL OUTDOOR MEDIA (PVT) LIMITED vs WESTVILLE INVESTMENTS (PVT) LIMITED T/A OMNI AFRICA
Ruled By: TAKUVA J

In its declaration, the plaintiff pleaded the cause of action between the parties as breach of written Billboard Advertising Rental Agreements. In respect of the first agreement, the defendant rented two of the plaintiff's billboards in order to display the defendant's advertisements. The material terms and conditions of the first agreement were as follows: (i) The agreement ...
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HH190-14 : AFRICAN BANKING CORPORATION OF ZIMBABWE LIMITED vs SUNJET DEVELOPMENT HOLDINGS (PRIVATE) LIMITED
Ruled By: MAKONI J

a) …,. b) Costs of suit, for this application and the main matter, on a scale of legal practitioner client scale and collection commission calculated in terms of the Law Society of Zimbabwe By-Laws.
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HB169-11 : M.B.C.A. BANK LIMITED vs MERSPIN (PRIVATE) LIMITED and DELMA LUPEPE and GRACE LUPEPE and EDGE INVESTMENTS (PRIVATE) LIMITED
Ruled By: MATHONSI J

(a) …,. (b) The respondents shall pay to the applicant the costs of suit on a legal practitioner and client scale together with collection commission on the abovementioned.
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HB170-11 : INTERFIN MERCHANT BANK OF ZIMBABWE LIMITED vs MERSPIN ZIMBABWE LIMITED and BERNARD CONSTRUCTION AND PROPERTY DEVELOPERS PL and COPPER TRADING PL and DELMA LUPEPE and GRACE LUPEPE
Ruled By: MATHONSI J

It is further averred that the agreement between the parties provided for costs on a legal practitioner and client scale and collection charges….,. The respondents have said nothing about the provisions of the facility document which set the interest at the prevailing daily rate in the money market. Counsel for the respondents has only said that ...
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HH568-14 : FBC BANK LIMITED vs DUNLETH ENTERPRISES (PRIVATE) LIMITED and DUNCAN MUKONDIWA and SINIKIWE MUKONDIWA and MARIAN SMEMELWANI MAPANDA and EVA MUZUVA
Ruled By: ZHOU J

The plaintiff claims both attorney-client costs and collection commission. It is important for the principle to be reiterated; that collection commission is a charge that is levied by an attorney or agent when payment of a debt has been recovered through his services prior to judgment. See Scotfin Ltd v Ngomahuru (Pvt) Ltd 1997 (2) ...
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HB32-14 : ZUVA PETROLEUM ONE (PVT) LTD vs TAWANDA RUZIVE
Ruled By: KAMOCHA J

In clause 10 of the acknowledgement of debt, the defendant undertook to pay all legal expenses that the creditor may incur, including attorney and client costs, collection commission and even tracing fees. That is clear and needs no explanation.
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HB36-14 : PLAUDIT CHEMICALS CC vs AFRICAN ASSOCIATED MINES and SMM HOLDINGS (PRIVATE) LIMITED
Ruled By: MAKONESE J

PAYMENT OF COLLECTION COMMISSION It is necessary for me for the purpose of the completeness of this judgment to comment on the plaintiff's claims for collection commission. The plaintiff has sought to rely on the provisions of an unsigned credit agreement. The defendant cannot be contractually bound by an unsigned agreement in the particular circumstances of this case. The plaintiff's ...
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HB38-14 : KUMBIRAI RUGUVA vs STAR LOTTO ZIMBABWE (PVT) LTD
Ruled By: MOYO J

Counsel for the applicant conceded that the issue of collection commission could not be justified and he abandoned that claim.
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HH12-15 : FIDELITY PRINTERS AND REFINERS (PVT) LTD vs LAZARUS S.C. MWALE
Ruled By: NDEWERE J

1….,. 2….,. 3. Defendant shall pay collection commission in terms of the Law Society Bye–Laws plus costs on a legal practitioners and client scale.
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HH711-15 : GOLDSEARCH TECHNICAL SERVICES (PRIVATE) LIMITED vs TAONGA MUKONOWESHURO and SHERRIFF OF ZIMBAWE
Ruled By: TSANGA J

The first respondent is in agreement with the applicant that collection commission and legal costs cannot be claimed at once. However, he cites the case of Sedco v Guvheya 1994 (2) ZLR 311…, to argue that where a party is unable to satisfy a judgment debt and wishes to pay instalments from agreeing or insisting that the defendant pays such instalments ...
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HH203-14 : CALEB DENGU and WILSON TENDAI NYABANDA vs ZIMBABWE ALLIED BANKING GROUP LIMITED
Ruled By: MATANDA-MOYO J

The plaintiff sought interest, collection commission and costs on a higher scale against the defendants.
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HH43-06 : ZIMBABWE DEVELOPMENT BANK vs NAGA SALONS and NYARAI CHIWAURA and BETTY CHIWAURA
Ruled By: KUDYA J

WHETHER OR NOT THE DEFENDANTS ARE LIABLE TO PAY COSTS ON AN ATTORNEY/CLIENT SCALE AND COLLECTION COMMISSION Clause 2 of Part 1 of the General condition of the Invoice Discounting Agreement reads:- “Unless stated otherwise, this Invoice Discounting Agreement provides for a maximum amount of confirmed orders, advance payment amount, and discount rate together with additional interest levied on ...
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HH466-18 : NMB BANK LTD vs THE TRUSTEES FOR THE TIME BEING OF CORNERSTONE TRUST and JULIUS MAKONI and THE TRUSTEES FOR THE TIME BEING OF RYVONNE TRUST
Ruled By: ZHOU J

In terms of clause 5.7 of the facility agreement, the plaintiff is entitled to recover collection charges and its legal fees on the attorney-client scale.In any event, such costs would still have been justified by the vexatiousness of the defence to the claim in the instant case.In the result, IT ...
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