They’ll be going alone. Makate’s legal team says the agreement they are relying on was the result of fraud. From Moneyweb.
Nkosana Kenneth Makate’s original legal funder, Black Rock Mining, has asked the Pretoria Society of Advocates to appoint an arbitrator to hear its argument that it is entitled to 40% of his multi-million-rand payout from Vodacom for the Please Call Me invention.
But it looks like Black Rock Mining will be heading into arbitration on its own.
Makate’s legal team say they will not participate in the arbitration proceedings as they claim Makate’s signature was forged on a key document, and the agreement with Black Rock Mining has been cancelled.
Makate came up with the Please Call Me concept while employed at Vodacom.
The service was launched in 2001 as a way for Vodacom customers without airtime to request a callback via SMS. It was hugely profitable for Vodacom –generating billions in revenue and building customer loyalty.
In November 2025, after nearly two decades of legal wrangling, Vodacom agreed to pay Makate an undisclosed amount for his invention.
Though the exact size of the settlement is unknown, Vodacom’s half-year results to September 2025 point to a one-off cost of anywhere between R353 million and R748 million for the invention.
Black Rock Mining’s claim is for 40% of that, anywhere between R141 million and R299 million.
Black Rocking Mining funded Makate’s early litigation to the tune of about R4.3 million.
In correspondence seen by Moneyweb, Makate’s legal advisors say the funding agreement on which Black Rock Mining relies “was induced by fraud” and was cancelled in 2021.
This rendered the agreement void, including a clause specifying that in the event of a dispute the matter would be referred to arbitration and finalised within a month thereafter.
Core of the dispute
The original 2011 funding agreement was signed between Makate and the late Christiaan Schoeman who undertook to finance “all legal costs and expenses reasonably necessary to prosecute the claim instituted by Makate against Vodacom”.
The agreement appointed Schoeman as a representative of a company still to be nominated. That company was Black Rock Mining, but this later changed to another entity, Raining Men Trade.
Makate says his signature was forged on the Raining Men Trade agreement. His legal team wrote to Schoeman in 2014 claiming he had breached the funding agreement, which they cancelled in 2015.
The matter went to arbitration where it was decided that Black Rock Mining, represented by Errol Elsdon, was the only valid entity nominated by Schoeman.
Black Rock Mining was deregistered in 2014 in the British Virgin Islands, then revived in March 2021 after Vodacom CEO Shameel Joosub was instructed by the Constitutional Court to come up with a good faith offer for the Please Call Me invention.
The sum that Joosub came up with was R47 million, an amount that was immediately rejected by Makate as too low.
Makate then approached the Pretoria High Court to have Joosub’s offer reviewed and set aside.
The November 2025 settlement put an end to the legal battles with Vodacom, but not with Black Rock Mining.
The agreement between Schoeman and Makate prohibits either Makate or his legal representatives to settle with Vodacom without Black Rock’s written consent unless the amount exceeds R650 million.
Makate’s case
Makate, represented by R Masilo Attorneys in Germiston, argues that there are insufficient reasons for a court to compel arbitration proceedings.
In correspondence to Black Rock Mining, Makate’s team lays out its position: “Any application by your client to stay legal proceedings will be meritless. Be that as it may, as soon as the new term starts [in 2026], our client will bring the necessary court application to establish jurisdiction over both Mr Elsdon and Black Rock Mining.
“Given the dispute as to whether we are obliged to arbitrate, we invite you to bring a court application to compel us to do so,” it adds.
“Your client seems confident in his position and should have no difficulty in standing by his convictions.”
Conflict of interest regarding arbitrator?
Sinen Mnguni, the attorney representing Black Rock Mining, has recommended that an arbitrator from the Johannesburg Society of Advocates be appointed to decide the matter.
The funding agreement calls for an arbitrator from Pretoria.
“We draw to your attention, with respect, that Mr Makate is represented in the underlying dispute by Advocate CE Puckrin SC and Advocate R Michau SC, both of whom are members of the Pretoria Society of Advocates.
“It has been alleged in papers before the court that Mr Makate’s legal team are beneficiaries of a portion of his settlement proceeds, although this allegation has been denied.”
To avoid any perception of partiality or conflict, Mnguni recommends three arbitrators from Joburg rather than Pretoria.
