Advertise with fastmoving.co.za
 
 

Cold comfort for Shoprite in top court’s ruling on wine licence
Cold comfort for Shoprite in top court’s ruling on wine licence

Cold comfort for Shoprite in top court’s ruling on wine licence

RETAILER NEWS

bdlive.co.za - Jul 1st 2015, 10:42

By a narrow majority, the Constitutional Court decided on Tuesday that a licence to sell wine alongside other groceries was "property" in terms of the Constitution. 

The finding was cold comfort for Shoprite Checkers, which lost the case and will not be able to sell wine on its shelves in the Eastern Cape. However, the judgment breaks new ground on the Constitution’s property rights — an emotive and highly contested subject.

The 2003 Eastern Cape Liquor Act did away with licences entitling retail grocers to sell wine on their shelves next to food.

They had to apply for a new type of licence, to sell all alcohol on separate premises. They were given 10 years to make the transition.

Shoprite Checkers predicted the closure of 27 of its table wine sections would lead to a loss of about R40m in sales a year, and would negatively affect its business and marketing strategy.

The grocer lost its case because the court decided it had not been "arbitrarily deprived" of the property — a further requirement for constitutional protection.

In the main judgment, Justice Johan Froneman said SA’s constitutional property rights had to be determined "within the normative framework of the fundamental values and individual rights in the Constitution". The property clause should not "become an obstacle to the transformation of our society, but central to its achievement".

Shoprite Checkers may have a harder time persuading a court a grocer’s wine licence was essential to a dignified life, but it was not "too difficult to imagine" that an individual grocer might find it difficult to run her business without being able to sell wine on her shelves.

Deputy Chief Justice Dikgang Moseneke, with four colleagues concurring, disagreed that the grocer’s wine licence was property.

Justice Mbuyiseli Madlanga wrote a dissenting judgment, with Acting Justice Zukisa Tshiqi concurring, saying the licence was property and Shoprite Checkers had been arbitrarily deprived of it.From DFM Publishers (Pty) Ltd 

Read more about: shoprite | liquor | eastern cape | checkers

Related News

Checkers brings world-class retail to Constantia with new flagship store
27/11/2019 - 13:01
Checkers has opened the doors to its state-of-the-art 2 330 m² flagship supermarket at the Constantia Emporium as the retailer continues to take innovation to new heights.

Exclusive leases must fall: Commission cracks whip on Shoprite, Pick n pay, Spar, Woolies
26/11/2019 - 09:57
The Competition Commission Inquiry into Grocery Retail, published on Monday, called for an end to the exclusive leases negotiated by national retail chains in all shopping malls across the country in a bid to open up access to markets for smaller players.

Checkers pioneers new 60-minute grocery delivery service
25/11/2019 - 09:53
Checkers has launched its exclusive on-demand one-hour grocery delivery service named Sixty60. It is South Africa’s first 60-minute grocery delivery service from a supermarket chain, as Checkers relentlessly innovates to respond to customers’ demands for hyper-convenience.

Checkers launches exclusive Gourmade frozen meals range
22/11/2019 - 10:18
Quality frozen meals are growing in popularity in today’s fast-paced world as consumers are increasingly hard-pressed for time to prepare meals from scratch. Locally Checkers is leading the freezer revolution with Gourmade: it’s exclusive new range of wholesome premium frozen meals.

Rare Springbank whisky joins exclusive Private Barrel Co. range
12/11/2019 - 15:01
The House of Fine Whisky at Checkers LiquorShop unveiled the latest addition to its exclusive Private Barrel Co. range of whiskies - an eagerly awaited rare 23-year-old Springbank single malt Scotch whisky - at the Mesh Club in the Keyes Art Mile in Rosebank.