Meatco to sue feedlot trustees
Meatco has decided to pursue a matter involving millions following a feedlot agreement, against the trustees of the bust business.
16 July 2019 | Justice
Yesterday, at a status hearing before Judge Herman Oosthuizen, the court heard that Meatco will continue its legal action despite Jooste being sequestrated on 18 May of this year.
The company has served its notices on the trustees of the estate, Dave Bruni and Ian McClaren. The parties are now waiting to hear from the trustees as to whether they intend to defend or settle the matter. It was agreed that the parties would give the trustees 10 days from the date of the order following the status hearing.
At the heart of the matter is an agreement which Meatco had signed with Big J Feedlot (as first defendant) and Johan Petrus Jooste (cited as second defendant).
Cattle would be procured for Meatco on a compensation basis and a profit-sharing basis.
In the case of the latter, the cattle would be raised by the feedlot until ready for slaughter. In the case of the former, the cattle were procured by Jooste for Meatco at “the maximum amount authorised by Meatco”.
According to its amended particulars of claim, filed on 18 February this year, Meatco says that in terms of its first claim against the first and second defendant, it seeks payment of N$2 095 726.47 in respect of the profit-sharing agreement for 484 cattle that had “disappeared”. In respect of the compensation basis agreement, it wants payment of N$1 757 526.21 for 580 head of cattle not returned to it.
Alternatively, Meatco says it is the owner of 1 064 cattle which it wants returned. Alternatively, it wants payment of N$6 820 423.50, being the value of these cattle.
Against Jooste, Meatco says payments were made for 413 and again 122 head of cattle, commissions were paid for 'on-the-hoof' animals and transport costs were paid, totalling N$5 247 395.23.
In the alternative, Meatco asks for payment of N$4 261 752.28 and as a second alternative to the claim, it asks for delivery of 413 cattle or payment of N$4 376 255.66, being the value of the said cattle. Meatco also lodged two further claims against Jooste for payment of N$66 335.48.
The company asked for costs and annual interest of 20%.
The agreement between Meatco and Big J Feedlot lasted from December 2013 to August 2014.
Meatco has contracted LorentzAngula Inc. as it counsel while Weder, Kauta and Hoveka act on behalf of the defendants.