in

Constitutional Court Blocks Vodafone from Joining Please Call Me Case

Constitutional Court Blocks Vodafone from Joining Please Call Me Case

The Constitutional Court has rejected Vodafone’s attempt to intervene in the long-running Please Call Me case between Vodacom and Kenneth Makate. This follows a prior decision last week, where Vodafone’s bid to join the case was dismissed.

The Constitutional Court reviewed Vodafone’s application to participate as amicus curiae—a “friend of the court,” or a non-party offering information or expertise—and ruled against it. The court stated that Vodafone had not presented sufficient grounds to be admitted in this capacity.

The Origins of the Please Call Me Dispute

The dispute has its roots in a concept developed by Kenneth Makate, who was a trainee at Vodacom in 2000 when he came up with the idea for the Please Call Me service. His idea became the foundation for a significant feature in mobile communication, but he was soon drawn into a legal battle over rightful ownership.

The conflict escalated when Vodacom’s former CEO, Alan Knott-Craig, falsely claimed in his autobiography that he had invented the concept. Makate initiated legal proceedings against Vodacom in 2008, seeking rightful compensation for his intellectual property.

After years of legal wrangling, the Constitutional Court ruled in Makate’s favour, ordering Vodacom to negotiate fair compensation. This landmark ruling was a significant milestone in South Africa’s corporate legal landscape, as it underscored the rights of inventors and innovators within large corporations.

R20 Billion Demand vs R10 Million Offer

Makate’s legal team initially demanded R20 billion in compensation, arguing that the Please Call Me service had generated over R200 billion since its launch. This figure was based on the widespread use and financial success of the service.

However, Vodacom did not agree with this valuation. After being ordered to compensate Makate, Vodacom offered him R10 million, which he promptly rejected. The company’s CEO, Shameel Joosub, and his team developed four financial models to estimate a fair amount for Makate. The model with the highest value suggested R47 million, which Vodacom then offered, but Makate rejected this offer as well.

“Makate called the rejection of Vodafone from court proceedings a ‘massive victory,’”

Vodacom’s Appeal and Supreme Court Involvement

In February 2024, Makate brought the matter back to the High Court, and it ruled in his favour once again. Unsatisfied with the outcome, Vodacom lodged an appeal, seeking to overturn the ruling. However, the Supreme Court of Appeal stepped in and made a notable judgment in Makate’s favour, ordering Vodacom to compensate him with a percentage of the revenue generated from the Please Call Me service over an 18-year period.

The court decided that Makate should receive between 5% and 7.5% of the revenue generated during this time, a sum that could range between R28.9 billion and R55.3 billion. This decision underscored the massive financial impact of the service and the potential compensation Makate could rightfully claim.

Vodafone’s Exclusion and Further Legal Proceedings

As the legal battle continues, Vodafone, the UK-based parent company of Vodacom, sought to join the case, potentially to provide further expertise or influence the proceedings. However, Makate’s legal team opposed this move, and in June, they succeeded in preventing Vodafone from joining the case. The Constitutional Court has now confirmed this exclusion.

Makate is still pursuing compensation based on a 2020 claim amounting to R9.7 billion. This claim is central to the ongoing negotiations and legal arguments as he continues to seek what he believes is a fair settlement for his creation of the Please Call Me concept.

What do you think?

Contributor

Written by Siphiwe Dlamini

Name: Siphiwe Dlamini
Location: Johannesburg, South Africa
Occupation: Journalist and Political Analyst

Profile:
Siphiwe Dlamini is a dynamic and passionate journalist and political analyst based in Johannesburg, South Africa. With a unique blend of academic expertise and practical experience, Siphiwe has established himself as a trusted voice in the field of journalism, particularly in political reporting and analysis.

Education:
Siphiwe holds a Bachelor's degree in Journalism, where he honed his skills in investigative reporting, news writing, and multimedia storytelling. Additionally, he pursued a degree in Political Science, deepening his understanding of political systems, international relations, and policy analysis. This interdisciplinary educational background equips him with a comprehensive understanding of the socio-political landscape, enabling him to provide insightful commentary on current affairs.

Career:
Throughout his career, Siphiwe has demonstrated a commitment to journalistic integrity and a relentless pursuit of truth. He has worked for several prominent media outlets, including leading newspapers, television networks, and online platforms. His reporting has covered a wide range of topics, from domestic politics and social issues to international affairs and human rights.

Siphiwe's journalistic endeavors have taken him to the frontlines of major events, where he has provided on-the-ground coverage and in-depth analysis. His ability to contextualize complex political developments and communicate them effectively to diverse audiences has earned him recognition and respect within the industry.

Beyond his work in traditional media, Siphiwe is also actively engaged in public discourse, participating in panel discussions, debates, and academic conferences. He is committed to promoting transparency, accountability, and democratic values through his journalism.

Expertise:
As a political analyst, Siphiwe possesses a keen analytical mind and a nuanced understanding of political dynamics. He is adept at dissecting political rhetoric, evaluating policy proposals, and forecasting future trends. His insightful commentary helps citizens navigate the complexities of governance and make informed decisions about their collective future.

Siphiwe's expertise extends beyond mere reporting; he is also deeply involved in advocacy efforts aimed at promoting press freedom, defending human rights, and fostering democratic governance. Through his work, he strives to amplify marginalized voices, hold power to account, and contribute to the advancement of a more just and equitable society.

In his pursuit of excellence, Siphiwe remains dedicated to upholding the highest standards of journalism and serving as a catalyst for positive change in his community and beyond. With his unwavering commitment to truth, integrity, and social justice, he continues to inspire and empower others to engage critically with the world around them.

Comments

Leave a Reply

20000 ZAR to YER

Donald Trump Escapes Second Attempted Assassination at Florida Golf Course

Donald Trump Escapes Second Attempted Assassination at Florida Golf Course