Vodacom Wins ConCourt Appeal in ‘Please Call Me’ Case Against Nkosana Makate

After nearly two decades of legal battles, the Constitutional Court (ConCourt) ruled in favour of Vodacom on 31 July 2025, sending the long-standing dispute with Nkosana Makate back to the Supreme Court of Appeal (SCA). This judgment revisits the compensation awarded for the revolutionary ‘Please Call Me’ service and reshapes the legal process moving forward.

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ConCourt Overturns SCA’s Previous Ruling

The ConCourt overturned the February 2024 SCA ruling that had ordered Vodacom to pay Makate between 5% and 7.5% of total revenue from the service since 2001, plus interest. Acting Deputy Chief Justice Mbuyiseli Madlanga ruled that the SCA exceeded its jurisdiction by replacing the Gauteng High Court’s original decision without adequate explanation. Consequently, the case will return to the SCA for reconsideration by a new panel.

The Origins of ‘Please Call Me’ Service

The ‘Please Call Me’ service allowed users to send free callback messages, revolutionizing mobile communication in South Africa. Nkosana Makate, a former Vodacom employee, conceptualized this idea to help prepaid users connect affordably. The service became widely popular and generated significant revenue for Vodacom.

Legal Battle Spanning Nearly Two Decades

Makate filed for compensation shortly after the service’s launch, but Vodacom initially refused to pay. Over the years, the dispute went through several courts, including the High Court, SCA, and ultimately the Constitutional Court. Each ruling adjusted potential compensation amounts and legal interpretations of intellectual property rights.

Disputed Compensation Figures Highlighted

The SCA’s minority judgment estimated Makate’s compensation at around R186 million, while the majority estimated a staggering R29 to R63 billion payout. In contrast, Makate’s legal team recently expressed willingness to settle for R9.4 billion, revealing the high stakes and complexity of the case.

Acting Deputy Chief Justice Madlanga’s Remarks

Justice Madlanga described the 20-year legal saga as “an unending litigation” and criticized the SCA for insufficient reasoning. He underscored that the SCA disregarded important facts and legal issues, justifying the need for a retrial. This judgment reassures parties about the importance of due process in intellectual property disputes.

Vodacom’s Arguments on Jurisdiction and Compensation

Vodacom argued that the previous court rulings lacked jurisdictional authority and improperly determined compensation amounts. The company maintained that it had already offered R47 million for the invention following failed negotiations, highlighting contractual complexities and emphasizing the need for clear agreements on employee inventions.

The Importance of Clear IP Agreements in Employment

This case underscores the critical need for companies to establish transparent contracts addressing intellectual property created by employees. It highlights the risks when innovators lack formal agreements securing fair compensation and recognition for their contributions.

Public and Industry Reactions to the Verdict

The decision has sparked mixed reactions. Many sympathize with Makate’s prolonged fight for acknowledgment, while some legal experts support the ruling for reaffirming the importance of procedural fairness. The case has stimulated broader discussions about corporate ethics and inventor rights in South Africa.

What Lies Ahead for Vodacom and Makate

With the ConCourt’s ruling, the case returns to the SCA for a fresh hearing before a new panel. Vodacom and Makate must prepare for another legal chapter, while the industry watches closely. This ongoing saga may influence future legislative reforms aimed at protecting inventors’ rights in South Africa.