Business Rates for Residential Properties

By Chantelle Gladwin-Wood, Partner and Maike Gohl, Senior Associate   Introduction This article examines the instances in which the City of Johannesburg Metropolitan Municipality (“COJ”) charges residential property owners business rates, the legality thereof, and what a consumer faced with such a problem can do about it.   Legal Basis for Levying Rates The relevant
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Pacific Paramount Properties (Pty) Ltd v Michael Adrian Burchell t/a Top Wash and Another (8418/2018) [2018] ZAWCHC 124 (19 September 2018)

SUMMARY Pacific Paramount Properties (Pty) Ltd (the Applicant) applied for the eviction of the Respondents from commercial premises in Camps Bay. The Western Cape High Court (the Court) considered whether the Applicant lacked the locus standi to sue for the eviction of the Respondents by virtue of a cession contained in a mortgage bond. When
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Makah v Magic Vending (Pty) Ltd; Ngolo v Magic Vending (Pty) Ltd (A325/2016; A326/2016) [2017] ZAWCHC 142; 2018 (3) SA 241 (WCC) (16 May 2017)

SUMMARY This appeal concerned the consolidated appeals against two eviction applications. The Respondent, Magic Vending (Pty) Ltd applied for the eviction of the Appellants from their respective units. The court a quo granted the eviction of the Appellants, on the ground that they had failed to make payment of rental amounts to the Respondent. On
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Deeds Office v Municipalities: The 60 Day Rule and Rates Clearances

Introduction This article examines the legal and practical effect of Chief Registrar’s Resolutions 2 and 4 of 2018, which prescribe that a rates clearance certificate (“RCC”) is only valid for the purposes of facilitating the transfer of the property in the Deeds Office for a period of 60 days from the date of issue thereof,
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Municipal Mysteries: When “actuals” aren’t “actuals”

Introduction This article canvases what a consumer can do to protect himself[1] when a municipality is charging him according to “actual” readings for electricity or water consumption, but where the readings used by the municipality are clearly not ‘actuals’ and thus cannot be true and proper readings.   Actuals versus Estimates                                                                                                                                                            There are two types
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Muddying the waters: COJ’s confusing “zoning driven rating policy”

Introduction City of Johannesburg Metropolitan Municipality (“COJ”) has taken the view that rating categorisations and tariffs are distinct legal concepts, and that this entitles it to change a consumer’s tariff without following the procedure prescribed in the Local Government: Municipal Property Rates Act (“the Act”), that applies to the change of a consumer’s rating categorisation.
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Municipal terminations of supply – is a court order necessary?

Introduction This article considers the legal question of whether it is necessary for a municipality to obtain a court order before terminating the supply of electricity and/or water to a consumer’s property for non-payment of municipal charges. Principles of spoliation It is trite (accepted) law that if any person or entity (including a state entity
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Levy Clearance Certificates

Written by: Chantelle Gladwin-Wood, Partner and Dr Jan Harm Swanepoel, Candidate Attorney   Introduction This article examines the law in relation to Levy Clearance Certificates, which must ordinarily be obtained before transfer can be passed of a unit in a Sectional Title Scheme.   What is a Levy Clearance Certificate? This is a document which
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The implications of the Constitutional Court decision: Jordaan and Others v City of Tshwane Metropolitan Municipality and Others

The Constitutional Court held last week that historical municipal debt (meaning municipal debt attaching to a property which is older than two years at the date of application for a rates clearance certificate) does not “survive” transfer, meaning that the purchaser or other successor in title cannot be held liable for debt by the municipality
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The Argent Industrial case: Prescription of municipal charges for electricity and water

By Chantelle Gladwin-Wood, Partner and Maike Gohl, Partner Introduction Judgment in the matter of Argent Industrial Investments (Pty) Ltd v Ekurhuleni Metropolitan Municipality( 17808/2016) [2017] ZAGPJHC 14; 2017 (3) SA 146 (GJ)was handed down on 13 February 2017 in the Gauteng Local Division of the High Court by Judge S Yacoob.  This matter was handled
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