Relief For Please Call Me Inventor as Court Orders 5-7% Payment of 18-Year Revenue
South Africa’s Court of Appeal has ordered a mobile telecommunications company to offer ‘Please Call Me’ inventor Nkosana Makate a new compensatory offer in a ruling that offered a new twist to the suit spanning two decades.
In a court statement released on February 6, 2024, the SCA dismissed the petition filed by the company, directing it to make a new compensatory offer, considering Makate worked at the company for over 18 years.
In the new orders, the court noted that Makate was entitled to compensation between 5 and 7.5 percent of the total revenue of the “Please Call Me” (PCM) product for 18 years from 2001 to 2019.
“The applicant is entitled to be paid 5 percent to 7.5 percent of the total revenue of the PCM product from March 2001 to date of judgment by the Second Respondent, together with the more interest thereon, alternatively interest in terms of Section 2A(5) of the Prescribed Rate of Interest Act, 55 of 1975 as amended,” the court ruled.
The court further faulted the company for the two-decade delay witnessed in the case and for not offering Makate necessary information until ordered to do so.
“It behooves this court to show its displeasure in how this protracted litigation has been conducted over close to two decades. This delay can safely be laid at the doorstep of the company,” the court ordered the company to bear the costs of the case.
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The telco vowed to fight the Supreme Court’s ruling in favor of Makate, vowing to appeal the matter at the Constitutional Court of South Africa.
“We are surprised and disappointed with the judgment and will bring an application for leave to appeal before the Constitutional Court of South Africa,” the mobile operator stated.
In 2016, the South African Constitutional Court ordered the company to negotiate a compensation fee with the inventor, settling for Ksh401.2 million ($2.5 million).
Makate, however, rejected the offer, moving to the High Court, where he demanded Ksh75 billion, equating it to 15 percent of the revenue generated through the PCM service since 2001.
High Court Justice Wendy Hughes, in 2019, ruled that Makate be compensated 5 percent of the total revenue generated from the ‘Please Call Me’ product, for his contract spanning close to two decades.
The Please Call Me mobile service is linked to over 32 countries including Kenya, enabling callers to send uncharged messages to recipients for a callback.
Relief For Please Call Me Inventor as Court Orders 5-7% Payment of 18-Year Revenue