In October 2006, the plaintiffs (husband and wife residing at Chisipite, Harare) contracted with the defendant company to refurbish their swimming pool with a marblelite finish for $7,904,235-00, which they paid in full. The written quotation included a 2-year guarantee against latent defects in construction. Shortly after refurbishment, the pool developed a leaching problem. The defendant initially acknowledged liability in a letter dated 30 April 2007, attributing the problem to their failure to apply pool plaster hardener as recommended by the manufacturer (Cemcrete South Africa). After attempts to rectify the problem failed, the defendant reversed position and blamed the plaintiffs for improper pH maintenance of the pool. The plaintiffs maintained they properly maintained the pool according to their extensive experience and were never provided with the manufacturer's Pool Start-Up Guide or proper handover instructions.
1. The defendant is ordered to rectify the defects on the plaintiffs' marblelite tiles in terms of specifications from Cemcrete South Africa (Private) Limited within 14 days of service of judgment. 2. In the alternative, the defendant is ordered to pay damages in the sum of US$7,000.00 being the cost of repairing the defects. 3. The defendant shall bear the costs of suit.
The binding legal principles established are: (1) A contractor who fails to follow mandatory manufacturer specifications in performing construction work is liable for resulting defects, regardless of subsequent attempts to shift blame to the client; (2) Where a contractor provides a written guarantee against latent defects in construction, the contractor bears the burden of proving that defects arose from causes outside their responsibility (such as improper maintenance by the owner); (3) A contractor who fails to provide proper handover procedures, guidance, and manufacturer documentation to a client may be held liable for defects even if those defects could be attributed to the client's subsequent improper maintenance; (4) Initial admissions of liability by a party, particularly when accompanied by attempts at rectification, constitute probative evidence that may be used against that party when they subsequently deny liability; (5) Where parties contract in circumstances where both understood that foreign currency would be required for replacement or rectification, damages may be awarded in foreign currency to place the innocent party in the position they would have been in had the contract been properly performed.
The court made several non-binding observations: (1) The court commented on Mr. Meilder's credibility, noting he was "a man of limited education who started work at the age of 12 years" and that "He gave his evidence badly. He was hesitant and unsure of himself in the witness stand. He was clearly shaken and sweating profusely. His evidence had no ring of truth as it went against the grain of evidence"; (2) The court observed that it is "standard practice after construction of the pool for the owner to maintain the pool under the guidance of the service provider"; (3) The court noted that the defendant's managing director's hearsay evidence regarding what the manufacturer's technical manager allegedly told him contradicted documentary evidence (the email from Jennifer Cheu) and therefore could not be relied upon; (4) The court commented that "the justice of the case demands that compensation be paid in foreign currency" given that the Zimbabwean dollar was no longer in use, though this observation supports the ratio on currency of damages.
This case is significant in Zimbabwean contract law for several reasons: (1) It establishes the importance of service providers following manufacturer specifications and providing proper handover procedures and documentation to clients; (2) It confirms that initial admissions of liability followed by subsequent denials can be used as evidence of a guilty frame of mind; (3) It demonstrates the principle that even if defects arise from improper maintenance, the service provider may still be liable if they failed to provide adequate guidance; (4) It addresses the practical issue of awarding damages in foreign currency when the local currency has collapsed, holding that parties can be deemed to have agreed to foreign currency compensation where the original transaction contemplated foreign currency for replacement/imports; (5) It reinforces consumer protection principles by holding contractors to their guarantee obligations and requiring proper workmanship according to industry standards.