Road Accident Fund Loses Millions in Court Due to Chaotic Litigation – June 2025 Update

Road Accident Fund Loses Millions in Court Due to Chaotic Litigation – June 2025 Update

Date: 22 June 2025

Source: GroundUp, by Tania Broughton (10 June 2025)

The Road Accident Fund (RAF) in South Africa is under renewed scrutiny after a recent judgment by Judge Jan Swanepoel of the Gauteng High Court in Pretoria. The judge has sharply criticized the RAF for its ‘chaotic approach to litigation,’ which has resulted in the loss of millions of rands in public funds.

Key Issues Highlighted

• Default Judgments: The RAF is frequently losing court cases by default because it fails to send lawyers to court or provide them with proper instructions. This has led to a surge in default judgments against the fund, costing millions.
• Chaotic Litigation: Judge Swanepoel noted that the RAF’s mismanagement and lack of legal representation have overwhelmed the courts with cases, many of which involve over-inflated or unmerited claims.
• False Submissions: The RAF has been found submitting false information to the courts, further undermining its credibility and leading to punitive cost orders.
• Systemic Mismanagement: Despite repeated warnings and special legal allowances, the RAF’s system remains in disarray, with many cases going unopposed or unrepresented. In one week alone, the judge noted 41 unopposed matters on the default roll.
• Constitutional Duties: The judge emphasized that the RAF is failing in its constitutional duties to manage public funds responsibly and ensure fair compensation for road accident victims.

Why This Matters

The ongoing mismanagement of the RAF not only wastes public money but also undermines trust in South Africa’s legal and compensation systems. The fund’s inability to properly defend claims or scrutinize inflated demands puts additional strain on the country’s finances and leaves accident victims in legal limbo.

For more details, read the full article on GroundUp. Credit: Tania Broughton, GroundUp News.

This post is part of our daily coverage of the Road Accident Fund in South Africa. Stay tuned for more updates and analysis.