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ARTICLE · 23 JULY 2014

Perseverance Pays Or Pay For Perseverance?

At the beginning of this year the Supreme Court of Appeal dealt with a case involving the challenge to a municipal tender award in Limpopo Province.

South AfricaReal Estate and Construction
Alastair Hay
Alastair Hay

Introduction

At the beginning of this year the Supreme Court of Appeal ("SCA")1 dealt with a case involving the challenge to a municipal tender award in Limpopo Province.

The award triggered a torturous journey for EsorFranki Pipelines (Pty) Ltd ("EsorFranki"), the aggrieved tenderer who challenged the award.

Whilst EsorFranki's efforts and perseverance were eventually crowned with success, the expression "winning the battle but losing the war" springs to mind.

The Facts

In August 2010 the Mopani District Municipality ("the Municipality") invited tenders for the construction of concrete reservoirs and a welded steel pipeline between the Nandoni Dam in Thohoyandou and the Nsami Water Treatment Works in Giyani.

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