ARTICLE · 18 JUNE 2026

Validity Of Contracts With The State Being Extended Without A Competitive Tender Process

ENS

Explore more from ENS

The KwaZulu-Natal High Court examined whether public transport contracts that had been extended repeatedly without competitive bidding violated constitutional procurement requirements.

South AfricaGovernment, Public Sector

Author LinkedIn connections

In Sizanani Mazulu Transport (Pty) Ltd and Others v Member for the Executive Council for Transport, KwaZulu-Natal and Others, the KwaZulu-Natal Division of the High Court was called upon to determine the validity of public transport contracts that had been extended repeatedly without a competitive bidding process.

Background

The dispute has its origins in the period between 1997 and 2001, when the KZN Department of Transport (“the Department”) concluded contracts with various bus operators, referred to as the "old order contracts", following a tender process for public transport services. These contracts expired between 2005 and 2007 and were thereafter extended on a month-to-month basis. In 2017, the parties concluded addendums extending the contracts for an interim period of one year, with a view to transitioning to new negotiated contracts or the implementation of the Integrated Public Transport Network.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Related Articles

Known Poor Performance Is Not Always An Automatic Bar: High Court Sets Aside Municipal Tender Appeal Decision

South AfricaGovernment, Public Sector

Reflections On The Constitutional Court’s Public Procurement Act Judgment

South AfricaGovernment, Public Sector

Cliffe Dekker Hofmeyr

There’s No Smoke Without Combustibles

South AfricaGovernment, Public Sector

Beyond The Leaky Tap: Contracting Strategies For Non-revenue Water In South Africa (Part 2)

South AfricaGovernment, Public Sector

Effective Whistleblower Protection – A Fundamental Step In Effective Corruption Combatting

South AfricaGovernment, Public Sector

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

See more popular content from

Government, Public Sector

What The New Expropriation Act Means For Landowners And Reform In South Africa

The expropriation of property is a significant legal and political issue in South Africa, particularly in the context of land reform and redressing historical injustices.

South AfricaGovernment, Public Sector

New Public Procurement Act Ushers In An Era Of Transparency And Efficiency In South Africa

On 23 July 2024, President Cyril Ramaphosa signed the Public Procurement Act 28 of 2024 ("the Act") into law, fulfilling the constitutional mandates of sections 195, 216, and 217.

South AfricaGovernment, Public Sector

Effective Whistleblower Protection – A Fundamental Step In Effective Corruption Combatting

South Africa's whistleblower protection framework is undergoing significant reform through the proposed Protected Disclosures Bill, 2026, which aims to address critical gaps exposed by high-profile assassinations and the Zondo Commission findings. The new legislation promises expanded protections, criminal sanctions for retaliation, and financial rewards for whistleblowers, but will the reforms be sufficient to encourage individuals to come forward in a climate where speaking up can cost lives?

South AfricaGovernment, Public Sector

When Does Freedom Of Expression Go One Step Too Far?

Freedom of expression and hate speech must be considered against the background and the diversity of the population of a specific country, culture, historical background and history in general.

South AfricaGovernment, Public Sector

Cliffe Dekker Hofmeyr

No Profit, No Loss? When Service Providers May Benefit From Invalid Government Contracts

South Africa's legal landscape is undergoing significant transformation across multiple domains, from direct marketing compliance and government contract validity to artificial intelligence policy development...

South AfricaGovernment, Public Sector

Beyond The Leaky Tap: Contracting Strategies For Non-revenue Water In South Africa (Part 2)

South Africa loses nearly half its treated water to leaks, faulty meters, and unbilled connections - a crisis costing municipalities billions annually. Performance-based contracts offer a solution by tying contractor payment to measurable water loss reduction, but implementing them requires navigating complex procurement regulations and choosing the right contracting model.

South AfricaGovernment, Public Sector

The Financial Intelligence Centre Act 38 Of 2001

The Financial Intelligence Centre Act 38 of 2001 (‘FICA') was instituted to combat and prevent the commission of financial crimes within South Africa.

South AfricaGovernment, Public Sector

No More BITs And Pieces

The legal framework governing foreign investments in South Africa

South AfricaGovernment, Public Sector

Routledge Modise

Full Steam Ahead For South Africa’s Rail Legal Architecture

South Africa's rail reform has reached a critical juncture as the Transnet Rail Infrastructure Manager concludes binding Rail Access Agreements with all 11 newly allocated Train Operating Companies, marking the transition...

South AfricaGovernment, Public Sector

Unpacking Section 417 Read With Section 418: From Inquiry To Recovery

When it comes to corporate insolvency, few provisions have sparked as much legal and constitutional debate as Section 417 read with Section 418 of the Companies Act 61 of 1973.

South AfricaGovernment, Public Sector