The Gauteng Provincial Government, mistakenly believing it owned certain immovable property (Remaining Extent of Erf 137 Dunkeld West), sold it at auction to Yellow Star Properties 1020 (Pty) Ltd in June 2000. After the purchaser complied with its obligations, transfer could not be effected because the property in fact vested in the National Government, not the province. National Government refused to transfer the property to the province, particularly after discovering that the property had been sold far below market value. Multiple applications followed: first to compel issuance of a constitutional Item 28(1) certificate and transfer, and later to compel transfer directly and prevent subdivision. In the latter proceedings, Smit J held that the provincial government lacked statutory authority to sell national state land, rendering the sale ultra vires and void ab initio. Yellow Star did not appeal that finding, but later sued the province for contractual damages alternatively delictual damages. The respondent raised special pleas of res judicata/issue estoppel and prescription, which were upheld in the High Court. Yellow Star sought leave to appeal to the Supreme Court of Appeal.