Harare – The High Court has thrown out an attempt by Gray Homes (Pvt) Ltd to derail a civil trial by invoking an arbitration clause in a US$574,000 contractual dispute with businessman Anyway Choto.
Justice Manzunzu, sitting in the Commercial Division, ruled that the objection raised by Gray Homes challenging the court’s jurisdiction was “procedurally invalid” as it failed to comply with the rules governing special pleas.
The company had argued that Choto’s lawsuit—seeking a refund of US$122,163 paid for a botched construction deal, US$135,000 in damages, and US$317,419 in lost profits—should first be resolved through arbitration in line with their agreement.
But Choto’s lawyer, Rumbidzai Mabwe, successfully argued that Gray Homes had raised the objection improperly by embedding it within their plea on the merits, rather than filing it as a standalone special plea as required under the High Court (Commercial Division) Rules.
Justice Manzunzu agreed, saying the challenge to the court’s jurisdiction, while not a nullity, was invalid due to non-compliance with procedural rules. He noted that Gray Homes had not sought condonation for the irregularity, rendering the objection improperly before the court.
“In the premise, there is no need to deal with the second issue,” the judge ruled, striking out the objection with costs.
The matter will now proceed to trial to determine whether Gray Homes breached the contract and whether Choto is entitled to the damages he claims.
Choto is represented by Musemburi Legal Practice, while Gray Homes is being defended by Saunyama Dondo.