Meihuizen Freight (Pty) Ltd v Transportes Maritimos de Portugal Lda and Others

Transportes Maritimos de Portugal Lda (TMP), a Portuguese shipowner, contracted with Maviga UK Limited for the carriage of maize from Durban to Lobito aboard the mv TMP Sagittarius. The vessel became unseaworthy and was wrecked, resulting in the total loss of the cargo. Maviga alleged breach of the contract of carriage under the Hague-Visby Rules and sought to institute a maritime claim in personam against TMP. To found jurisdiction in South Africa, Maviga obtained an ex parte order attaching and arresting alleged 'freight monies' paid to Meihuizen Freight (Pty) Ltd, TMP’s South African agent, and held in Meihuizen’s bank account. Nedbank, acting on the order, transferred funds from Meihuizen’s account to the sheriff. Meihuizen applied to have the attachment and arrest set aside, contending that the money in its bank account was not attachable property of TMP.

The appeal was upheld with costs. The orders of the High Court were set aside and replaced with an order attaching TMP’s personal right (the debt owed by Meihuizen to TMP) to found and confirm jurisdiction. All monies transferred from Meihuizen’s bank account pursuant to the earlier order were ordered to be restored. The attachment was not allowed to stand as security for foreign proceedings, and Maviga was ordered to pay Meihuizen’s costs relating to the improper attachment of the bank funds.

The case is a leading South African authority on the distinction between attaching money in a bank account and attaching an incorporeal right (a debt) to found admiralty jurisdiction. It clarifies that funds held by an agent and deposited into its bank account are not attachable as the property of the principal. The judgment reinforces fundamental principles of admiralty jurisdiction, attachment, and the legal nature of money in banking law.