Defining Admin Action Flashcards

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0
Q

How does Chaskalson P define admin action?

A

The definition ascribed, on the other hand, to administrative law by Cora Hoexter contrasts sharply with the manner in which Chaskalson P unashamedly defines it in Pharmaceutical Mnfts of SA: In Re Ex parte President of SA as:

[…] an incident of the separation of powers under which courts regulate and control the exercise of public power by the other branches of government.

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1
Q

How does Nugent JA refer to the definition of admin action in PAJA?

A

In Grey’s Marine Hout Bay v Minister of Public Works 2005 6 SA 313 (SCA) Nugent JA referred to the definition of administrative action in PAJA as a “palisade of qualifications”.

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2
Q

What are the constraints of the definition given to admin action?

A

It has been stated that the imposition of a definition is a mere “linguistic recommendation”. Definitions, whether written or verbal, are by their very nature restricted to words employed to describe the object in question.

The description can be plain and simplistic or smacking of the proverbial horns of a dilemma when viewed as a “palisade of qualifications”.

Depending on the facts of a particular matter, a definition can work to one’s benefit; it can also turn out to be one’s archenemy.

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3
Q

Why is it difficult to build an understanding of admin action from the definition given in PAJA?

A

The dichotomy between a definition of administrative action and a concept of a legal notion such as administrative law, unconstrained by the shackles of a definition, permits the facilitation of an understanding of an area of law not in terms of rigidly confined words arbitrarily chosen and imposed in terms of a temporal definition, but rather in terms of illuminating and creative informative concepts that facilitate and inform our understanding of the subject matter at hand.

Sustenance for such view is provided for with reference to the constitutional imperatives that call upon practitioners, citizens, academics, judges and all interested persons to recognise the Constitution as the supreme law of the Republic aimed at healing the divisions of the past and establishing a society based on democratic values, social justice and fundamental human rights.

Underscoring this is the duty imposed upon our courts, tribunals, or any fora (forums) when interpreting the Bill of Rights, legislation and when developing the common law to do so in a manner that “must promote the values that underlie an open and democratic society based on human dignity, equality and freedom.” O’Regan asserted, “The foundation of administrative justice lies in the principles and values of our constitution”.

Surely, for administrative law, and the powers of review which our courts have to ‘regulate’ the other branches of government to flourish, within the boundaries of what is legitimate, the aforesaid principles and values must be given effect to by interpreting administrative action in an ‘illuminating and creative’ manner’?

Due to administrative law being a “difficult concept to capture” the essential worthiness of Hoexter’s observation in this regard is informed by the fact that the jurisprudence of administrative law can be developed more creatively and purposefully from a concept than the rigid confines of an awkwardly worded definition.

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4
Q

When trying to understand admin action, what must we have regard to?

A

To understand what administrative action is we have regard to PAJA where s 1 sets out the definition thereof. A constitutional dispensation “requires an examination of the past in order to move forward into a constitutional future.”

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5
Q

Why was there an increase in the ambiguity of whether the exercise of a particular function constituted an administrative act, and how has admin action evolved?

A

Baxter has pointed out how trias politika was the effective vehicle of the “classificatory system” by which the different functions of government could be labeled by our courts in their attempt at defining administrative acts.

Whilst such labeling permitted the courts to decide whether the exercise of a certain power or function constituted an administrative act, the inherent problem with trying to impose a definition upon a ‘legislative’, ‘judicial’, ’administrative’, ‘quasi-judicial or ‘ministerial’ exercise of power was that such definition-imposing methods were not consistently applied by our courts given the absence of a universal definition.

Consequently, there was an increase in the ambiguity of whether the exercise of a particular function constituted an administrative act.

Recalling the definition of administrative law by Chaskalson P in the Pharmaceutical case, namely that: ‘[…] it is an incident of the separation of powers…’ the absolute, but not relative exercise of which is described by Ngcobo J’s observation that: ‘The duty of the courts in this regard, however, does not extend to telling the functionaries how to implement transformation. that must be left to the functionaries themselves’.

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6
Q

How is effect given to administrative action in terms of the Constitution?

A

Section 33(1) and (2) of the Constitution enshrines the right to just administrative action by providing everyone has the right to administrative action that is lawful, reasonable and procedurally fair inclusive of the right to be given written reasons for rights adversely affected by administrative action.

However, the non self-executing provisions of s 33 resulted in the coming into effect of PAJA in terms of s 33(3).

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7
Q

Before the implementation of PAJA, how was general admin action characterised?

A

In SARFU, decided prior to the coming into operation of PAJA on 30 November 2000, the Court stated that:

Determining whether an action should be characterised as the implementation of legislation or the formulation of policy may be difficult. It will […] depend primarily upon the nature of the power.

Earlier in the judgment, it was stated that:

What matters is not so much the functionary as the function. The question is whether the task itself is administrative or not. It may well be […] that some acts of a legislature may constitute ’administrative action’.

Similarly, judicial officers may, from time to time, carry out administrative tasks. The focus of the enquiry as to whether conduct is ‘administrative action’ is not on the arm of government to which the relevant actor belongs, but on the nature of the power he or she is exercising.

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8
Q

How was admin action characterised in Fedsure case?

A

That the nature of the power being exercised should be more determinative of whether an act is administrative action, rather than focusing upon the functionary itself is supported by the Fedsure case in which the Constitutional Court found that the power that had been exercised was legislative in nature in terms of the provisions of s 24 of the interim Constitution and therefore did not constitute administrative action.

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9
Q

What is regarded as executive action?

A

The basis upon which the court in SARFU found that the President, as head of the Executive, had exercised his discretion was such that it did not constitute administrative action. The power to appoint a commission of inquiry was a constitutional power in terms of s 84(2) that was akin to a prerogative

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10
Q

What is regarded as legislative action?

A

In the Pharmaceutical case, which had to do with legislation (the Act) that could not be implemented without the necessary schedules thereto being in place, the Constitutional Court adopted a so-called hybrid approach finding that the actions of the President in assenting to Proclamation R49 fell “between a law-making and administrative process” but was something that was “closer to the legislative process.”

The preliminary remarks made by Chaskalson P at the outset that “[t]his is one of those difficult cases” underscores the reality of the difficulty with which our courts confronted and challenged when called upon to answer complex and challenging questions relating to administrative law.

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11
Q

What is regarded as judicial action?

A

Whereas our courts have found that judicial action arising or flowing pursuant to legislation requiring the pre-trial examination of persons who may give relevant evidence to be judicial and not constituting administrative action (See Nel v Le Roux NO 1996 3 SA 562 (CC), the Constitutional Court has found that decisions by commissioners of the Commission for Conciliation, Mediation and Arbitration (CCMA) do in fact constitute administrative action as was found in the matter of Sidumo v Rustenburg Platinum Mines 2007 12 BLLR 1097 (CC).

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12
Q

Can private bodies exercise public power?

A

The AAA Investments case is clear authority for the fact that even the exercise of power by a private authority can constitute administrative action given that the exercise of such power is public in nature as opposed to private.

Moreover, the definition of “organ of state” in s 239 refers to ‘any other functionary or institution’. As was stated in SARFU, analysis of the nature of the function as opposed to the functionary is more important. As early as the 1980s, our courts were prepared to find that power exercised by private institutions was of such a nature that it impacted upon the general interests of the public, such interests were sufficiently paramount to override considerations that the institution was a ‘private’ or ‘statutory’ institution, given that the nature of power being exercised impacted so broadly on the public (See Dawnlaan Beleggings v Johannesburg Stock Exchange 1983 3 SA 344 (W)).

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13
Q

What importance does the definition of admin action in PAJA play?

A

In s1 of PAJA the legislature has taken the trouble (perhaps too much!) in setting out the complex definition of administrative action. Some may welcome such a definition since administrative law has now at its disposal a definition or label that sets out, or purports to do so, a meaning of administrative action thereby offering a degree of certainty that may serve as a useful tool in the service of administrative law.

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14
Q

What does s3 of PAJA provide?

A
Section 3(1) of PAJA provides that administrative action that materially and adversely affects the rights or legitimate expectations of any person must be procedurally fair. 
- The factors giving effect to the right to procedurally fair administrative action are listed under s 3(2)(b)(i)-(iv).

Section 5 of PAJA relates to reasons for administrative action whilst the judicial review of administrative action is set out in terms of the provisions of s 6.

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15
Q

How can we interpret s1 of PAJA?

A

In terms of s 1 of PAJA:

’administrative action’ means any decision taken, or any failure to take a decision, by –

(a) an organ of state, when –
(i) exercising a power in terms of the Constitution or a provincial constitution; or
(ii) exercising a public power or performing a public function in terms of any legislation; or
(b) a natural person or juristic person, other than an organ of state, when exercising a public power or performing a public function in terms of an empowering provision, which adversely affects the rights of any person and which has a direct, external legal effect.

In terms of sub-paragraphs (aa)-(ii) of s 1, nine specific exclusions are listed from the aforesaid definition.

Sub-paragraphs (aa)-(cc) refer to executive powers or functions of the national, provincial and municipal government. Sub-paragraph (dd) refers to the legislative function of parliament, provincial or municipal council.

Sub-paragraph (ee) refers to the judicial functions of a judicial officer of the judicial system in terms of s 166 of the Constitution.

Sub-paragraph (ff) refers to a decision to institute or continue to prosecute.

Sub-section (gg) refers to decisions regarding the workings of the Judicial Services Commission (the JSC).

Sub-paragraph (hh) refers to any decision taken, or failure to take a decision in terms of the Promotion of Access to Information Act 2 of 2000 (the PAIA) and sub-paragraph (ii) refers to any decision taken, or failure to take a decision concerning administrative action affecting the public (in terms of s 4 of PAJA).

16
Q

How have the courts dealt with the ambiguity that has arisen from the definition of admin action in PAJA?

A

The definition of ‘administrative action’ is anything but clear, crisp and succinct. Exclusion of the nine categories is in a sense redundant given the fact that Fedsure, SARFU, Pharmaceutical Manufacturers and Hugo make it clear that even where it is “one of those difficult cases” our courts and judges are equipped with the necessary judicial insight to discern whether the exercise of power is of such a nature as to constitute administrative action, and if not, the reason why the exercise of the function by the functionary in question, falls without the parameters of administrative action in particular and administrative law in general.

The once narrow grounds of judicial review our courts had been confined to in reviewing exercise of the executive powers in terms primarily of whether the power was ultra vires is now, under the constitutional dispensation, heightened awareness of the judicial review power of the courts of both legislative and executive action into the political arena holding all persons within such arena accountable within the parameters of the supreme law of the Republic, namely the Constitution.

An attempt at trying to understand the definition of ‘administrative action’ as set out in s1 requires a detailed analysis of each material aspect of the definition.

17
Q

Why is reference made to ‘a decision’ in s1 of PAJA?

A

Hoexter points out that the South African Law Reform Commission had proposed a definition of administrative action that was broader and less limited than the current definition. The proposed definition provided for:

[…] any act performed, decision taken or rule or standard made, or which should have been performed, taken or made.

Instead, the definition of administrative action in PAJA referring to ‘a decision’ is attributed to the Australian Administrative Decisions (Judicial Review) Act 1977 (the ADJR) wherein reference is made to ‘a decision’.

The importation and reliance on the noun ‘decision’ may appear to be consistent with the exhortation to take account of foreign and international law as a source of administrative law in terms of the provisions of ss 232 and 233 of the Constitution.

Chaskalson CJ, adopted a rather restrained approach in the matter of Minister of Health v New Clicks SA 2006 2 SA 311 (CC). The Cape High Court held that the making of regulations did not constitute a ‘decision’ under PAJA. Chaskalson CJ had the following to say concerning the importation of ‘a decision’ as a provision in PAJA:

In the academic writings on PAJA reference is made to the fact that certain of its provisions have been borrowed from German and Australian law.

PAJA must, however, be interpreted by our courts in the context of our law, and not in the context of the legal systems from which provisions have been borrowed. In neither of the countries is there a defined constitutional right to administrative action. Transplanting provisions from such countries into our legal and constitutional framework may produce results different from those obtained in the countries from which they have been taken.

Chaskalson CJ, regarded regulation making as falling within the scope of ‘decision’ and hence the making of a regulation was, according to Chaskalson CJ, consistent with the provisions of s 4 of PAJA.

18
Q

What does an empowering provision in terms of PAJA mean?

A

‘Empowering provision’ in terms of PAJA ‘means a law, a rule of common law, customary law, or an agreement, instrument or other document in terms of which an administrative action was purportedly taken’.

As pointed out by Hoexter, it will only qualify as administrative action in terms of PAJA if it appears in the form of a decision. The empowering provision’ definition is broad and extensive.

19
Q

Why is reference made to ‘an organ of state or natural or juristic person exercising public power’ in PAJA?

A

By an organ of state or natural or juristic person exercising public power:

The definition accorded to ‘organ of state’ in terms of PAJA bears the same meaning assigned thereto in terms of s 239 of the Constitution.

It is self-evident that the definition is sufficiently broad to encompass the exercise of powers by a natural or a juristic person subject to the power being public in nature or being performed as a ‘public function’ as was the case in AAA Investments where Langa CJ stated that:

This means that our law must be developed and interpreted in a manner that ensures that all bodies exercising public power are held accountable.

Hoexter has pointed out that a ‘conservative approach’ has been adopted by some of our courts in the interpretation of this aspect of PAJA. In the matter of Marais v Democratic Alliance 2002 2 BCLR 171 (C) disciplinary action taken by a political party against a mayor was held not to constitute public power or performance of a public function for purposes of PAJA. Similarly, in the matter of Pennington v Friedgood 2002 1 SA 251 (C) decisions taken at the AGM of a meeting of shareholders did not constitute administrative action on the basis that a medical scheme is a body corporate governed by the terms of the Medical Scheme Act 131 of 1998. The relationship that existed was between the contract it had with its members and the scheme contract. However, in the matter of Max v Independent Democrats 2006 3 SA 112 (C), Davis J had no difficulty in finding that disciplinary conduct taken by a political party was reviewable since it fell within the confines of administrative action in terms of PAJA.

20
Q

What did the CC decide in the Joseph v City of JhB case?

A

In Joseph v City of Johannesburg 2010 4 SA 55 (CC) the Constitutional Court, per Skweyiya J stated that:

I am of the view that this matter concerns the relationship between a public-service provider and consumers with whom it has no contractual relationship, and that principles of administrative and constitutional law-and not the law of contract-govern the issues that arise.

On the basis that:
- City power knew it provided electricity to the tenants in the building;

  • A municipality bears a special responsibility in respect of its citizens in terms of the Constitution governed by the principles of administrative law which supersede the law of contract;
  • The Preamble to PAJA make it clear that some of the aims are to promote efficient administration and good governance together with a culture of accountability, transparency in the public administration and exercise of public power or performance of a public function;
  • City Power deprived them of a service that they [the tenants] were already receiving as a matter of right, City Power was obliged to afford them procedural fairness before taking a decision that would adversely affect their rights;and
  • Fairness requires to be determined on a casuistic basis,
    the Court found that City Power was confined to the pre-requisites of PAJA which translated into meaning that the tenants had the right to pre-termination notice in order to protect their rights to procedural fairness.
21
Q

What question arises when dealing with powers exercised by a public entity?

A

Public-sector employment relationships

When dealing with powers exercised by a public entity the question arises to what extent, if any, is PAJA applicable. The debate has always been, and continues to ensue, as to whether the public-sector employment relationship is one that falls to be dealt with in terms of the provisions of the LRA as read with s 23 of the Constitution to the exclusion of administrative law, PAJA or rights in terms of s 33 of the Constitution.

22
Q

What importance did the Zenzile case play with regards to the exercise of power by public entities?

A

The Court in Administrator, Transvaal v Zenzile 1991 1 SA 21 (A), which had to do with the summary dismissal of four workers from the Natalspruit Hospital was confronted with an argument on behalf of the Administrator that their dismissal was an act that fell without the ambit of administrative law and was regulated entirely by the internal provisions of the Public Service Staff Code. In rejecting such contention, Hoexter JA stated the following:
Here the employer and decision maker is a public authority whose decision to dismiss involved the exercise of a public power […] it is the specific protection accorded to a member of the public service that must prevail.

Hoexter JA later stated:
When a statute empowers a public body to give a decision prejudicially affecting an individual in his liberty or property or existing rights, the individual has a right to be heard before the decision is taken unless the statute expressly or by implication indicates otherwise.

Zenzile was a pre-PAJA decision. The matter of Nxele v Chief Deputy Commissioner, Corporate Services, Dept. Correctional Services 2006 10 BLLR 960 (LC) gave due consideration to PAJA. The Department contended that the decision to transfer Nxele did not constitute “administrative action” as defined by PAJA.
The Court took account of the fact that transfer of employees by the Department was regulated by the Correctional Services Act 111 of 1998, the Public Service Act 103 of 1994, and the LRA and went on to find that the decision to transfer Nxele constituted “administrative action” as defined in PAJA.

23
Q

What decision was made in the Chirwa case?

A

In Chirwa v Transnet 2008 2 BLLR 97 (CC), Ms Chirwa (Chirwa) who had been employed as the executive human resources manager of Transnet Pension Fund was called to a disciplinary hearing on charges of incompetence.

She declined to attend the hearing on the basis that she objected to the person who chaired the hearing, The hearing proceeded in her absence pursuant to which she was dismissed.

Prior to proceeding to an arbitration hearing at the CCMA, Chirwa approached the High Court for relief which came in the form of a re-instatement order.

On appeal to the SCA, a divided bench upheld Transnet’s appeal against the High Court judgment finding that the dismissal of Chirwa did not constitute administrative action and that the High Court accordingly lacked jurisdiction.

On application before the Constitutional Court for leave to appeal, Chirwa contended her dismissal constituted administrative action for purposes of PAJA.

Skweyiya J found that Chirwa could not claim preferential treatment as a public sector employee. Like private sector employees, Chirwa was as entitled to engage all the “fine tuned” mechanisms of the LRA in order to settle her dispute against Transnet. All employees, save those expressly excluded by the LRA, are entitled to protection and cover by the LRA. Skweyiya J found further that:

Only acts of an administrative nature were subject to the administrative rights to be found in s 33 of the Constitution and emphasised that: “what matters is not so much the functionary as the function […] focus of the enquiry is not on the arm of government to which the relevant functionary belongs but on the nature of the power such functionary is exercising.

Skweyiya J’s emphasis on the focus of the nature of power being exercised is consistent with the findings in Pharmaceutical Manufacturers and SARFU.

Finally, it is noteworthy that Skweyiya J agreed with Ngcobo J that the dismissal of Chirwa did not constitute administrative action for purposes of PAJA.

Moseneke DCJ; Madala; Ngcobo; Nkabinda; Sachs; Van der Westhuizen, JJ and Navsa AJ concurred in the judgment of Skweyiya J.

24
Q

What was the separate judgment of Ngobo J in the Chirwa case?

A

Ngcobo J, in a separate judgment found that the termination of the contract of employment by Transnet did in fact constitute the exercise of public power based on the fact that Transnet is a creature of statute and a public entity created by statute.

Consequently, its decision to dismiss constituted the exercise of public power. However, so Ngcobo J reasoned, the fact that Transnet in exercising public power did not determine the question whether such power constituted administrative action since the question whether or not something constitutes administrative action must be determined with reference to s 33 and PAJA.

Ngcobo J went on to refer to SARFU which noted the importance of examining the nature of the function being performed. In casu, the source of the power being exercised was the employment contract which was contractual and concerned more with issues of labour and employment. The employment contract per se did not involve implementation of legislation that was administrative.

25
Q

What was the outcome of Chirwa’s appeal?

A

Accordingly, the upshot of the Chirwa case in which she was granted leave to appeal, but had her appeal dismissed, was that the dismissal of a public sector employee did not constitute administrative action for purposes of PAJA.

26
Q

What does the words ‘adversely affecting rights’ mean in the the s1 definition of PAJA?

A

Adversely affecting rights

Hoexter points out that this phrase did not appear in the definition proposed by the Law Commission. What are we then to make of the words “adversely affects the rights”?

In Grey’s Marine case Nugent JA stated, with reference to ‘rights’ that:
[…] I do not think a literal meaning could have been intended. [A] literal construction would be inconsonant with s 3(1), which envisages that administrative action might not affect rights adversely. […] was probably intended rather to convey that administrative action is action that has the capacity to affect legal rights.

27
Q

What do the words ‘direct, external affect’ in s1 of PAJA refer to?

A

Direct, external legal effect

Hoexter points out that this part of the section has been borrowed from German federal administrative law. In Sasol Oil v Metcalfe 2004 5 SA 161 (W) a decision to apply for a winding-up order was found to lack ‘direct effect’.

In the Nxele case, Freund AJ interpreted the words ‘direct, external legal effect’ as not to mean that they should be interpreted in their literal sense so as to exclude affected members of the public. His view, it has been suggested, is consistent with the view expressed by Nugent JA in Grey’s Marine.

28
Q

In conclusion, how does defining admin action help us?

A

Defining administrative action compels us to revisit the argument of whether there is merit, and if so, to what extent, in attaching a label to a legal value, principle or issue.

Whilst a label, in the form of a definition can certainly be helpful in identifying itself immediately for what it is, the worth gained thereby, of whatever value that may be, may be materially outweighed by the prejudice incurred of being subjected to the restrictive confines and parameters of labels or definitions.

The view of something being a “difficult concept to capture” may indeed pose a challenge for administrative law, however, when functioning within a constitutional dispensation, any such difficulties are diminished by the creativity of concepts and notions that breathe new life into values and principles which ultimately form the very foundation of administrative law.