The uMkhonto weSizwe Party (MKP) is facing a R12.5 million legal fee claim after allegedly failing to honour an agreement to repay money owed to law firm JG and Xulu Incorporated.

The firm has approached the Johannesburg High Court seeking payment of the outstanding amount, which relates to legal work, counsel, experts, travel, and other expenses incurred while representing the party in several matters.

JG and Xulu was founded by Barnabas Xulu, who has represented Jacob Zuma (the leader of the MKP and a former president of the country) and several figures associated with him in previous legal matters. He also established the Friends of Jacob Zuma Trust in 2006 to help fundraise for Zuma’s legal troubles at the time.

According to court papers, the MKP agreed in May to pay R1 million immediately towards the debt and then settle the balance through monthly payments of R500 000.

JG and Xulu alleges that the party made the initial R1 million payment but failed to make subsequent instalments. After further demands for payment allegedly went unanswered, the firm instituted legal proceedings, claiming that the full outstanding balance had become due.

A substantial part of the claim relates to litigation concerning the 2024 national and provincial elections.

The firm says the MKP appointed it in June 2024 to bring an application before the Electoral Court in a bid to overturn the election results over purported vote rigging and other irregularities.

JG and Xulu has valued its work on that matter at R6.9 million. According to the particulars of the claim, the case required extensive analysis of election data and the involvement of three counsel and digital technology specialists.

The firm’s costs also included travel and accommodation because the litigation involved people and legal teams in Bloemfontein, Cape Town, Johannesburg, and Durban.

The agreement between the law firm and the party provided for different hourly rates depending on the seniority of the legal practitioners involved. Directors were billed at R5 000 an hour, while senior attorneys charged R3 750 an hour. The cost for intermediate attorneys was R2 750, junior attorneys R1 800, and candidate attorneys R1 250 an hour.

JG and Xulu also charged for administrative support, correspondence, telephone calls, travel, accommodation, and other disbursements.

Another significant component of the claim stems from the firm's representation of now former MKP deputy president John Hlophe. The firm has been appointed to oppose three applications brought in the Western Cape High Court by the Democratic Alliance, Freedom Under Law, and Corruption Watch. The applications sought to prevent Hlophe from participating in the Judicial Service Commission after he had been impeached as a judge.

It had also performed work drafting policy for the MKP parliamentary division.

The payment dispute had been developing for months before the court application.

In a letter dated 7 May, the firm said that former party treasurer-general Brian Molefe had statements, invoices, detailed billing schedules, and supporting documentation relating to the Electoral Court and parliamentary matters.

It added that some parliamentary work had been stalled because of the outstanding payments and claimed that fees owed to its legal team and experts had remained unpaid for more than a year.

On 14 May, according to the court papers, Molefe recorded the payment arrangement with the firm which would be an initial instalment of R1 million followed by monthly payments of R500 000, which the firm claims were not honoured apart from the initial payment.

The alleged failure to maintain the agreed payments subsequently led to demands for the debt to be settled and ultimately to the High Court application.

The latest fracas around MKP finances follows a series of administrative reconfigurations of MKP in which Zuma has assumed greater personal control over the party. This included making himself the party treasurer and accounting officer.