Software company SAP ordered to repay more than R400m after Special Tribunal sets aside contracts

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Multinational software company Systems Applications Products (SAP) has been ordered to repay the department of water and sanitation (DWS) more than R400m.

This follows two software licence and support agreement contracts concluded between the department and SAP, to the value of more than R1bn, being declared constitutionally invalid and set aside by the Special Tribunal.

“The SIU confronted DWS and SAP with evidence of wrongdoing and by agreement, the SIU together with DWS and SAP, declared the contracts invalid and unlawful. The agreement was made the order of the Special Tribunal.” “The R413m represents the total amount paid by DWS to SAP pursuant to the 2015 and 2016 software licence and support contracts.

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