Nowhere does the old saying “finish what you started” carry more weight than in the justice system. A recent judgment shows how delay and procedural failures can decide a case before it reaches trial, with a claim dismissed after more than a decade of inaction – without the merits being heard.
In Discovery Life v Karanie, the High Court in Johannesburg dismissed a long-running claim by policyholder David Karanie against Discovery Life after more than a decade of inaction.
The dispute dates to a life policy Karanie initially took out in November 2008. In September 2009, he amended the policy, completing a medical questionnaire in which he declared that his health had not changed, and he had not consulted any medical practitioners.
Shortly thereafter, he lodged a claim following an alleged armed robbery in November 2009. He said he sustained a serious head injury that led to the development of a brain tumour, diagnosed in early December 2009, which left him unable to continue working.
Discovery Life approved the claim and paid income continuation benefits from September 2010 to February 2012, amounting to about R1.36 million.
However, the insurer later terminated the benefits after concluding that Karanie had failed to disclose a prior consultation with a doctor in June 2009 for persistent headaches, during which he had been advised to seek further specialist investigation.
Discovery Life argued this non-disclosure constituted a material misrepresentation when the policy was amended and defended the claim on that basis. In its response to the action, it also instituted a counterclaim to recover the benefits already paid.
Case stalls after failed trial date
The matter was set down for trial in May 2015, with pleadings closed, discovery completed, and expert consultations conducted. Shortly before the trial, Karanie’s attorneys withdrew, and the matter was postponed indefinitely.
He was ordered to pay the wasted costs, which were finalised in 2016 at about R46 000. Those costs were never paid.
No meaningful steps were taken to advance the case. In 2023, the Court ordered that the proceedings be stayed pending payment of the outstanding costs – effectively bringing the matter to a standstill.
Over the following years, Karanie changed legal representatives multiple times but failed to progress the case or comply with the costs order.
Discovery then applied to have the claim dismissed for want of prosecution, arguing that the delay – now exceeding a decade – was excessive and unjustified.
It pointed to the prejudice it faced, including the deterioration of evidence, the potential unavailability of expert witnesses, and the inability to bring finality to a claim dating back more than 15 years.
Court rejects explanations for delay
Karanie attributed the delay to disputes over medical evidence, difficulties with legal representation, and challenges in settling the outstanding costs.
The Court rejected these explanations, noting that:
- the dispute over the medical evidence had been known since 2012;
- issues with attorneys did not explain years of inaction, including periods where he had no representation; and
- the obligation to pay the costs rested with him, regardless of any difficulties in accessing funds.
The Court found that the delay was inordinate, the explanations unsatisfactory, and the prejudice to Discovery significant.
Claim dismissed without hearing the merits
The Court exercised its discretion to dismiss Karanie’s claim in its entirety.
Importantly, the merits of the dispute – including whether Karanie in fact failed to disclose material medical information – were never tested in court.
The case was decided purely on procedural grounds.
Discovery Life’s counterclaim to recover the R1.36 million already paid remains intact and may still be pursued.
