Whenever parties conclude a contract, it is common practice for a “domicilium” clause to be included in the agreement. In terms of this clause, the contracting parties choose the physical addresses and the e-mail addresses where they want notices and/or legal documents (i.e. Letters of Demand, Summonses or Applications etc.) to be served (delivered) according to that contract. This address is called a domicilium citandi et executandi (or “domicilium address”).
Contracting parties may change their respective domicilium addresses at any time during the contract period by notifying the other party thereof in writing.
When a contracting party vacates their chosen domicilium address without notifying the other party in writing, the party vacating the address runs the risk of not obtaining knowledge of a notice or legal document being served at the address, as well as any judgments by default being granted against them.
The judgment by default being granted against the party will have a negative impact on their credit record and this would require the arduous process of an Application for the Rescission of the Judgment to be lodged.
In terms of the Court Rules, it will be sufficient service of a legal document if a Sheriff affixes or leaves a legal document at the domicilium address of a party, even if the address has been vacated. The Court in Loryan (Pty) Ltd v Solarsh Tea and Coffee (Pty) Ltd reiterated that it is well-established practice that if a party has a chosen domicilium address, the service of the legal document at such address will be sufficient, even if the address is a vacant piece of ground, or the party is known to be resident abroad, or has abandoned the address, or cannot be found.
Therefore, it is extremely important that a contracting party notifies the other party in writing when they relocate from a domicilium address to avoid any unnecessary legal costs.
