Bafana Bafana

SAFA wins long-running court battle with travel agency

2020-05-07 14:12
Danny Jordaan
Danny Jordaan (Gallo Images)

The Constitutional Court on Wednesday dismissed an appeal by Fli-Afrika with costs in which the travel agency was seeking R17 million against the South African Football Association (SAFA).

The Constitutional Court judgement is the final verdict in the long running battle in which Fli-Afrika Travel has been pursuing compensation from SAFA for money they claim they were deprived of during the 2010 Soccer World Cup which was hosted in South Africa.

A SAFA statement read: "On 4 March 2020, Fli-Afrika had lost a Supreme Court of Appeal judgment after SAFA had appealed against the High Court finding that had ruled in favour of the travel agency.

"Then, five Judges of Appeal in the SCA found unanimously in favour of SAFA, upholding the appeal with costs, including the costs of two counsel. Fli-Afrika then decided to take the matter to the Constitutional Court which dismissed their appeal with costs on Wednesday.

"The background to this case was that Fli-Afrika instituted an action in the Gauteng High Court for damages on the basis of what it alleged was a breach of a joint-venture agreement on the part of SAFA.

"The High Court dismissed Fli-Afrika’s claim, but it was then successful in an appeal to the full bench of the High Court.

"Fli-Afrika's claim was based on the service level agreement that SAFA was not only under an obligation to provide it with tickets to the 2010 FIFA World Cup, but also to pay for the accommodation and other travel arrangements that Fli-Afrika had already made and paid for.

"The court found that in the context of the history of the dispute between SAFA and Fli-Afrika, it was clear that the settlement agreement was in full and final settlement of all obligations that had arisen between the parties.

"Therefore, even if SAFA had the obligations in terms of the SLA which Fli-Afrika asserted (and which the SCA had already found did not exist), these had been extinguished by the settlement agreement.

"Accordingly, on that basis too, the SCA found in favour of SAFA, a judgement Fli-Afrika challenged by taking the appeal to the Constitutional Court which resulted in this week’s watershed judgment and in favour of the Association."

- Compiled by Sport24 staff

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