Shoprite Checkers (Pty) Ltd v Member of the Executive Council for Economic Development, Tourism and Environmental Affairs, KwaZulu-Natal and Others

Shoprite Checkers (Pty) Ltd held numerous liquor licences in KwaZulu-Natal, most of which were granted under the repealed national Liquor Act 27 of 1989. Twelve of these licences related to premises situated within approximately 80 metres (500-metre circumference) of religious or learning institutions. The KwaZulu-Natal Liquor Licensing Act 6 of 2010 introduced a prohibition on granting new liquor licences for premises within such proximity. The Act also provided transitional arrangements (s 101) for converting valid pre-existing licences issued under the 1989 Act. When Shoprite applied for licence certificates under the conversion provisions, the KwaZulu-Natal Liquor Authority refused, contending that the proximity prohibition applied equally to pre-existing licences. The Authority required Shoprite instead to apply for temporary amnesty under regulation 47 of the 2014 Regulations. Shoprite challenged this refusal and the validity of regulation 47, seeking declaratory relief. The High Court dismissed the application, holding that the prohibition applied to all licences, including pre-existing ones. Shoprite appealed to the Supreme Court of Appeal.

The appeal was upheld with costs. The High Court’s order was set aside and replaced with an order declaring that the KwaZulu-Natal Liquor Licensing Act does not per se prohibit the continued sale of liquor by holders of valid pre-existing licences located within 500 metres of religious or learning institutions. Regulation 47 of the KwaZulu-Natal Liquor Licensing Regulations, 2014 was reviewed and set aside. The delay under PAJA was condoned, and the respondents were ordered to pay the costs jointly and severally, including the costs of two counsel.

The case is significant for clarifying the treatment of pre-existing liquor licences under transitional provisions in provincial liquor legislation. It affirms the protection of vested rights during legislative transition, limits the retrospective application of regulatory prohibitions, and reinforces the principle that subordinate legislation cannot render unlawful conduct that the empowering statute permits. The judgment is an important authority on statutory interpretation, transitional arrangements, and the limits of regulatory power in South African administrative law.