The respondent, Hendrik Petrus Strydom, was a senior magistrate and a member of the Government Employees’ Pension Fund (GEPF). In June 1997 he gave notice of resignation as a magistrate, effective 30 September 1997, shortly after he turned 55. He elected to have his actuarial pension interest transferred to an approved retirement annuity fund in terms of rule 14.4.1 of the GEPF rules. The GEPF transferred an amount to the retirement fund but later contended that the amount was incorrectly calculated. It argued, first, that a deduction provided for in rule 14.3.3(b) should have been applied, and alternatively, that Strydom had not validly resigned because a magistrate could not resign unilaterally without the Minister of Justice’s approval under section 13(5) of the Magistrates Act 90 of 1993. The Transvaal Provincial Division rejected both defences and ordered the GEPF to pay the shortfall to the retirement fund. The GEPF appealed to the Supreme Court of Appeal.