Monaphathi v Monaphathi (C of A (CIV) 16 of 1981) [1990] LSCA 22 (26 January 1990)

C of A (Civ) 16 of 1981 IN T HE L E S O T HO C O U RT OF A P P E AL In the matter between: S E K H E FU M O N A P H A T HI A p p e l l a nt a nd ' M A M A T H E A L I RA M O N A P H A T HI R e s p o n d e nt H e ld at M a s e ru C o r a m: S c h u tz A a r on P l e w m an P. J . A. J . A. J U D G M E NT S c h u t z, P. T he i s s ue t h at w as a r g u ed in t h is a p p e al w as w h e t h er t he m a n n er in w h i ch K h e o l a 'J g a ve e f f e ct to an o r d er f or f o r f e i t u re of b e n e f i t s, w h i ch o r d er he h ad g i v en c o n s e q u e nt u p on d i v o r c i ng t he p a r t i es w ho h ad b e en m a r r i ed in c o m m u n i ty of p r o p e r t y, w as c o r r e c t. T he o r d er w as m a de a g a i n st t he a p p e l l a nt ( t he h u s b a n d ). W h at K h e o la J d id is r e f l e c t ed in t he f o l l o w i ng p a s s a ge in h is j u d g m e n t: / " In t he ... - - " In t he p r e s e nt c a se t he j o i nt e s t a te c o n s i s ts of a f i v e - r o o m ed h o u se w i th f u r n i t u re and t h r ee m o t or v e h i c l e s. I h a ve not d e t e r m i n ed t he v a l ue of t he j o i nt e s t a te so as to d e f i ne t he p o r t i on w h i ch d e f e n d a nt w i ll f o r f e i t. H o w e v e r, t he p r o p e r ty has b e en d e s c r i b ed in in such d e t a il t h at I am of t he o p i n i on t h at I can d e f i ne w h at p o r t i on t he d e f e n d a nt s h a ll f o r f e i t. I t h i nk t he d e f e n d a nt m u st f o r f e it t he h o u s e, all f u r n i t u re and t he m o t or v e h i c le w h i ch t he p l a i n t i ff b o u g ht w i th h er own m o n e y ." The l e a r n ed j u d ge a q uo d o es not a p p e ar to h a ve m a de a ny e x p r e ss f i n d i n gs on c r e d i b i l i ty a l t h o u gh t h e re w e re d i s p u t es as to w ho p a id f or w h a t, and as to t he m a n n er in w h i ch t he f u n ds of t he p a r t i es w e re or w e re not c o m m i n g l e d. I w o u ld p o i nt o ut t h at it can be m i s l e a d i ng to s p e ak of " h i s" or " h e r" m o n ey in a m a r r i a ge in c o m m u n i t y, w h e re by o p e r a t i on of law a u n i v e r s al p a r t n e r s h ip is c o n s t i t u t e d. H o w e v er t h at m ay b e, t he n o t i on of " h i s" or " h e r " m o n ey can be i m p o r t a nt in d e t e r m i n i ng w h at e a ch p a r ty c o n t r i b u t ed to t he p a r t n e r s h i p, a m a t t er t h at is r e l e v a nt to t he i m p l e m e n t a t i on of a f o r f e i t u re o r d e r. In G a t es v G a t es 1 9 40 N PD 361 at 3 6 4 -5 S e l ke J. s a i d: /"In o r d er ,., - - " In o r d er to d e c i d e, t h e r e f o r e, in a ny g i v en c a se w h e t h er t he d e c r ee of f o r f e i t u re o p e r a t es a n d, if s o, h o w, it is n e c e s s a ry to k n ow in t he f i r st p l a ce t he v a l ue of t he j o i nt e s t a te as it e x i s ts at t he d a te of t he o r d er f or d i v o r c e. It is t h en n e c e s s a ry to a s c e r t a in t he e x i s t i ng v a l ue to t he j o i nt e s t a te of t he c o n t r i b u t i o ns r e s p e c t i v e ly m a de b y, or on b e h a lf of e a ch of t he s p o u s es If, a f t er s u ch p r o of h as b e en g i v e n, it a p p e a rs t h at t he e x i s t i ng v a l ue of t he d e f e n d a n t 's c o n t r i b u t i o ns is e q u a l, or g r e a t er t h a n, t h at of t he p l a i n t i f f 's t h en t h e re is no f o r f e i t u re in f a c t, a nd t he e x i s t i ng e s t a te is d i v i d ed b e t w e en t h em in e q u al s h a r e s, e x a c t ly as if no f o r f e i t u re h ad b e en d e c r e e d. If, on t he o t h er h a n d, t he v a l ue of t he c o n t r i b u t i o ns p r o v ed to h a ve b e en m a de b y, or on b e h a lf of t he p l a i n t i f f, e x c e e ds t h at p r o v ed to h a ve b e en m a de b y, or on b e h a lf of t he d e f e n d a n t, t h en t he f o r f e i t u re c o n s i s ts of h a lf of d i f f e r e n ce b e t w e en t he v a l u es t h us e s t a b l i s h e d ." / S e l ke J. ... - - S e l ke J. p r o c e e d ed (at 3 6 5) to d e al w i th t he c a se b e f o re h i m, w h e re at t he t i me of t he d i v o r ce t he v a l ue of t he j o i nt e s t a te w as w o r th less t h an t he sum of t he v a l ue of t he c o n t r i b u t i o n s. S u ch a s i t u a t i on c an a r i se b e c a u se of t he d e p r e c i a t i on of a s s e t s, or b e c a u se of t he e x p e n s es i n c u r r ed by t he s p o u s e s. In s u ch a c a s e, S e l ke J h e l d, t he e x i s t i ng e s t a te w as to be d i v i d ed in t he m a n n er s t a t ed a b o v e, a c c o r d i ng to . c o n t r i b u t i o n s. He t h en r a i s ed t he q u e s t i on w h at w o u ld h a p p e n, if, b e c a u se of a p p r e c i a t i on of a s s e t s, t he v a l ue of t he e s t a te w as w o r th m o re t h an t he sum of t he v a l u es of t he c o n t r i b u t i o n s. He s u g g e s t ed t h at t he v a l ue of t he a p p r e c i a t i on s h o u ld be d i v i d ed e q u a l l y. I can s ee no l o g ic in t h is v i ew and a d o pt t he v i ew of H a h lo T he SA Law of H u s b a nd and W i f e. 4 ed 4 3 6 -7 t h at in s u ch a c a se a l so t he w h o le e s t a te r e m a i n i ng s h o u ld be d i v i d ed in a c c o r d a n ce w i th t he r e s p e c t i ve c o n t r i b u t i o ns of t he p a r t i e s, p r o v i d ed t h at t he i n n o c e nt p a r t y 's c o n t r i b u t i on w as g r e a t e r .. A p p l y i ng t he p r i n c i p l es s et o ut in G a t es and H a h l o, it is c l e ar t h at o n ly in t he s i m p l e st of c a s es c o u ld t he a p p r o a ch l e a ve o ut t he t h r ee v a l u a t i o ns e n v i s a g ed in G a t e s' c a s e, a n d, a p p a r e n t ly a s s u m i ng t h at t he r e s p o n d e n t 's (the w i f e ' s) c o n t r i b u t i on w as g r e a t e r, a l l o ws h er t he a s s e ts b o u g ht w i th " h e r" m o n e y. T he v e ry s i m p le e x a m p le is t h i s: t he p a r t i es m a r ry on d ay o n e. T he w i fe (the i n n o c e nt p a r ty to b e) / c o n t r i b u t es - 5 - c o n t r i b u t es a new R o l ls R o y c e. The h u s b a nd c o n t r i b u t es an old B e e t l e. T h at is a l l. On day t wo t h ey a re d i v o r c ed and a f o r f e i t u re o r d er is d e c r e e d. So bad h as b e en t he o ne day of m a r r i a ge t h at t he s p o u s es h a ve i n c u r r ed no e x p e n s e s. Nor h a ve t he t wo c a rs had a c h a n ce to a p p r e c i a te or d e p r e c i a t e. In such a c a se o ne can s ee at o n ce t h at t he w i fe c o n t r i b u t ed a g r e a t er s h a r e, and it is c l e ar t h at t he f o r f e i t u re r u le will be s e r v ed by a w a r d i ng her t he Rolls and him t he B e e t l e. But t he m o m e nt t he e x a m p le is c o m p l i c a t e d, as m u st o c c ur a f t er t he p a s s a ge of s o me y e a r s, such a s i m p le s o l u t i on is not p o s s i b l e. S o me a s s e ts will h a ve d e p r e c i a t e d, s o me may h a ve a p p r e c i a t e d, e x p e n s es will h a ve been i n c u r r e d, and so o n. The u ps and d o w ns of t he j o i nt e s t a te and t he r e a s o ns t h e r e f or a re u s u a l ly i r r e l e v a n t. W h at m a t t e rs is t he v a l ue of w h at is left at t he t i me of t he d i v o r c e. Any a t t e m pt to t r a ce " h i s" or " h e r" a s s e ts as e m a n a t i ng from " h i s" or " h e r" c o n t i r u b i o ns runs c o u n t er to t he n o t i on of c o m m u n i t y. For e x a m p l e, if t he w i fe r e c e i v es a s a l a ry s he r e c e i v es it on b e h a lf of t he j o i nt e s t a t e, and it f a l ls into t h at e s t a te at o n ce by v i r t u re of o p e r a t i on of law. It d o es not m a t t er w h at bank a c c o u nt s he p a ys it i n t o, or w h e t h er s he pays it into a bank a c c o u nt at a l l. The s a me g o es for t he h u s b a n d. It f o l l o ws t h at o r d er (a) m a de by t he t r i al c o u rt m u st be set a s i d e. /It w o u ld ... - - It w o u ld be h e l p f ul and w o u ld r e d u ce c o s ts if t he p a r t i es o b t a i n ed or e s t a b l i s h ed t he t h r ee v a l u a t i o ns a l r e a dy r e f e r r ed t o, a n d, if p o s s i b l e, a g r e ed on s o me or all of t h e m, b e f o re c o m i ng b e f o re t he t r i al C o u rt a g a i n , to w h i ch C o u rt t h is m a t t er w i ll h a ve to be r e m i t t e d. At t he end of t he h e a r i ng of t he a p p e al M r. P h e k o, f or t he s u c c e s s f ul a p p e l l a n t, f a i r ly c o n c e d ed t h at e a ch p a r ty s h o u ld p ay his or h er o wn c o s ts of a p p e a l. In t he r e s u lt t he a p p e al s u c c e e ds and o r d er ( a) m a de by t he t r i al c o u rt is s et a s i d e. E a ch p a r ty is to p ay h is or h er o wn c o s ts of a p p e a l. T he m a t t er is r e m i t t ed b a ck to t he t r i al c o u rt w h e re t he l e a r n ed j u d ge is t o: ( a) D e t e r m i ne t he v a l u es o f: ( i) T he j o i nt e s t a te at t he d a te of t he d i v o r c e; ( i i) The p l a i n t i f f 's c o n t r i b u t i o ns to t he j o i nt e s t a te s t a n te m a t r i m o n i o; ( i i i) The d e f e n d a n t 's c o n t r i b u t i o ns to t he j o i nt e s t a te s t a n te m a t r i m o n i o; ( b) In t he e v e nt of t he p l a i n t i f f 's c o n t r i b u t i on to t he j o i nt e s t a te a m o u n t i ng to less t h an h a lf of t he s a m e, to a w a rd h a lf of t he s a me to h e r; ( c) In t he e v e nt of t he p l a i n t i f f 's c o n t r i b u t i on to t he j o i nt e s t a te a m o u n t i ng to m o re / t h an ... - - t h an h a lf of t he s a m e, to d i s t r i b u te t he s a me in p r o p o r t i on to t he c o n t r i b u t i o ns of t he p a r t i e s. ( d) In g i v i ng e f f e ct to (b) and (c) a b o ve t he l e a r n ed j u d ge is to u t i l i ze such p r o c e d u r es and m e t h o ds of d i s t r i b u t i on as may be f i t t i ng and such as t he law a l l o w s. I a g r ee I a g r ee ( S i g n e d) W. P. S c h u tz P r e s i d e nt ( S i g n e d) S. A a r on J u d ge of A p p e al ( S i g n e d) C. P i e m an J u d ge of Appeal D e l i v e r ed at M a s e ru t h is 2 6 th day of J a n u a ry 1 9 9 0. For t he A p p e l l a n t: M r. M. M a t s au For t he R e s p o n d e n t : M r. S. M a f i sa