The metro has dismissed claims that the contentious R1.7-billion Tshwane fleet deal could be cancelled based on a contractual and performance related clause.
Corporate and shared services MMC Cilliers Brink told Rekord it would not only be idiotic to cancel the fleet contract without seeking judicial relief but it would also grind service delivery to a halt.
This after former DA councillor Lex Middelberg contended that the contract could have been cancelled.
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“In terms of the Municipal Finance Management Act all long terms contracts are reviewable at three-year intervals and must have a performance related exit clause. [They] could have cancelled a month ago if you had done the groundwork ahead of time,” said Middelberg.
Brink said there were more than 1 000 leased vehicles in use by the city and the service provider “has persistently tried to stop us from buying our own vehicles”.
“If the leases are withdrawn overnight, service delivery will grind to a halt.”
He said the solution was for the court to set the contract aside, and impose a just and equitable remedy.
“Besides arguing that the contract is bad value, we also contend that it was never lawfully concluded.
“And so, our relief will not come from the contract itself, or any of its provisions, but from the Court.”
The ANC had previously lamented the merits of the contract, stating that it was “horrible and corrupt activity”.
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Tshwane ANC spokesperson Bafuze Yabo had also denied claims that the contract was entered into by the previous administration and asked why, if that was the case, the current administration did not annul it.
Metro spokesperson Lindela Mashigo told Rekord that the contract was in fact entered into by the previous administration, leading to the ANC pointing a finger back saying that the party was no longer in power.
The deal will cost the metro R1.7-billion over its five-year fixed term.
Brink said cancelling the contract on review a clause would not work.
“Such a clause is of little help if your argument is that the entire contract is unlawful, as is the case with the current contract,” he said.
“We do not want to enforce the contract or any of its provisions.
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“We want to set it aside, and do so in a way that does not compromise service delivery.
“The provisions of the contract are not written to allow for a seamless exit, and our contention is that the entire contract is in any event unlawful.”
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