Safa wins R14m supreme court appeal against Fli-Afrika

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“In the summary the SLA did not impose an obligation on Fli-Afrika to book and to pay for accommodation prior to obtaining tickets from SAFA‚ and no obligation was imposed by the SLA on SAFA to pay Fli-Afrika for the accommodation that it had booked.”

The judgment‚ delivered on Wednesday‚ ordered that a 2018 Gauteng Division of the High Court decision awarding a sum of R13‚989‚452.78 plus interest and costs to Fli-Afrika by Safa be overturned.The case relates to a joint venture agreement – called a “service level agreement” by the parties – entered into by Safa with Fli-Afrika in January 2009‚ when Raymond Hack was CEO and Molefi Oliphant president of the association.

In terms of the agreement Fli-Afrika was to source 2‚500 ticket‚ travel and accommodation packages for each week of the 2010 World Cup. Safa undertook to provide 2‚500 World Cup match tickets per week to Fli-Afrika. This plan encountered an obstacle. Safa could not provide the tickets as it was “precluded from doing so by the terms of the Organising Association Agreement‚ the agreement in terms of which FIFA and its agent‚ Match‚ were entitled to tickets”.

Fli-Afrika had in the meantime incurred costs of R28-million‚ which was later reduced to close to R14-million‚ booking accommodation for the planned World Cup packages‚ and demanded their ticket allocation from new Safa CEO Leslie Sedibe‚ who was appointed in January 2010.

 

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