Johannesburg - The Constitutional Court has dismissed Please Call Me creator Nkosana Makate’s application in which he claimed Vodacom could determine the revenue generated by the service.
“The Constitutional Court has considered this application. It has concluded that the application should be dismissed as it bears no prospects of success,” court documents responding to Makate’s application stated on Friday.
Byron Kennedy, Vodacom spokesperson, said that the company notes and is pleased with the decision handed down by the Constitutional Court on Friday regarding the ‘Please Call Me’ matter.
“Vodacom’s position has been consistent that the Constitutional Court order, which was handed down in April 2016, is clear and unambiguous and directs the parties to negotiate in good faith to determine reasonable compensation,” he said.
Kennedy previously told Fin24 that the Please Call Me service was never treated as revenue generative.
But Makate dismissed Vodacom’s claims that the company faced difficulty in determining the revenue generated by the service in court papers filed at the Constitutional Court earlier last week.
Makate's papers included a supporting affidavit by former employee Andrew Hendricks, who said that company was indeed able to determine the revenue generated by the service and that Vodacom has financial records that determine the revenue generated.
Vodacom hit back at the assertion and told Fin24 that it took issue with Hendricks' unsubstantiated claim that Vodacom has mechanisms to determine the revenue generated by Please Call Me.
“The true position, as stated in our responding affidavit to the Constitutional Court dated 24 January 2017, is that the PCM (Please Call Me) product was never treated in our income statement as revenue generative,” said Kennedy.
In December, negotiations between Makate and Vodacom hit a brick-wall with the matter going back to court.
Makate applied for an order at the Constitutional Court seeking clarification on the import and meaning of a judgment handed down last year.
It was previously reported that Vodacom was considering compensation methodologies in which the company mulled whether it should take the form of profit or share of revenue.
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