Litigants instituting legal proceedings consider it imperative that the proceedings be concluded not just effectively, but expeditiously. The adjudication of a case on a reasonable timeline is essential, be it for a businessman wishing to conclude a commercial dispute, or a claimant towards a Road Accident Fund case. The Court rolls have become condensed and overtly causing the timelines by when matter can be brought before the Court to be extended well into the future. This has become a central consideration for any would-be litigants to rather not institute a matter, as the long wait would bring more hardship than the eventual ventilation of the matter.

The South African Courts have been seeking for solutions towards these long wait periods. One such solution has recently been introduced as a pilot directive in the Johannesburg High Court. The recent transpiration where a separate and dedicated Insolvency Motion Court, and Insolvency Trial Court has been introduced. The effect hereof being those matters relating to Insolvency, being sequestrations, liquidations, business rescue and matters alike, are diverted away from the normal motion Courts to a separate Court that specifically is seated to adjudicate over insolvency matters. The purpose hereof is described being for “establishing procedures which can afford quick turnaround lead times”. Effectively not only will insolvency matters be heard quicker through its own separate Court, but also, conversely, the normal Court rolls would be quicker as it would no longer be hearing insolvency proceedings.

The Pilot directive has been issued and has been implemented as of 14 April 2025. The aim thereof was for insolvency matters to have a rolling 4-week-cycle by when same should be heard. This cycle excluding the exchange of legal papers, but is already, relatively, a quick turn-around period. Various further directives are provided through the pilot directive, that enclose, amongst other points, the importance of expeditious adjudication of proceedings, the necessity by the respective parties to co-operate towards proper adjudication, as well as the manner in which Judges are to direct the parties through the hearing of matters.

Similar directives have been provided through other Courts, with the Pretoria High Court having introduced a separate and dedicated Family Court for the diversion and adjudication of Family proceedings, such as divorces and matters involving minor children. This has been a successful manner in sustaining quicker turn-around periods for matters under cover of these separate Courts.

The introduction of these separate Courts has allowed litigants more leisure in instituting matters with the consideration that same would be heard within a near future. It is an important focus which is being adopted by several Courts to alleviate the condensed Court rolls. The successful implementation of the Dedicated Insolvency Courts would, in all likelihood, bring to the fore further solutions in the same manner.

The key take-away points, as through the pilot directive, are:

INTRODUCTION AND OBJECTIVE

After deliberations with specialist insolvency legal practitioners the decision has been taken to pilot a DEDICATED INSOLVENCY COURT. The objective is to divert all insolvency related applications, whether unopposed or opposed, from the present general unopposed motion roll, the general opposed motion roll and the urgent motion roll to the dedicated insolvency motion court (IMC).

FUNCTIONS:

The function of this court shall be to hear all opposed and unopposed motions, including urgent applications, dealing with disputes in relation to insolvency or related disputes.

FOREWARNING FOR DILATORY ACTIONS

Efforts to protract the preparatory stage of a case, such as the dilatory exchange of affidavits incommensurate with the urgency and exigencies of the matter, or efforts to delay the allocation of a hearing date or to delay or to postpone and/or delay the hearing of the matter shall expose a litigant and the practitioners to the risk of punitive costs being ordered.

TIME-LINE PERIOD FOR ADJUDICATION

  1. During the First Week (After exchange of papers) – The Applicant’s attorneys will request for the case to be enrolled. The Attorney shall aptly categorise the matter under INSOLVENCY.
  2. The Registrar receiving the request will direct / stream the case to the Insolvency Motion Court (IMC);
  3. The Presiding Judge in the IMC shall receive the Court Roll at least 3 weeks prior to the week of hearing;
  4. The Presiding Judge will notify the parties of the allocation and hearing date of the particular matter, not later than 11 courts days before the set down date;
  5. Matters are allocated for the Monday of the Fourth Week, after request for enrolment was made. The matter could be heard either on the Monday or on any other day during the Fourth Week, as and how they are allocated.
Implementation of a dedicated insolvency motion and trial court