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South Africa Judgment

North Gauteng High Court, Pretoria

Kabylia Mini Market CC v City of Tshwane Metropolitan Municipality (45823/2019) [2020] ZAGPPHC 406 (4 August 2020)

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Professional case brief

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Source document

01

Holding and result

The court found that the respondent disconnected the applicant's electricity supply without following due process or providing evidence of compliance with its own credit control and debt collection policy. The respondent failed to file its answering affidavit timeously and did not seek condonation for the delay. The respondent's defence was presented in heads of argument rather than in affidavits, which is procedurally improper. The applicant was in undisturbed possession of the electricity supply, and the respondent's conduct was unjustified and unacceptable. The rule nisi was confirmed, and a punitive costs order was granted against the respondent.

Court disposition

Rule nisi confirmed; respondent ordered to pay costs on attorney and client scale.

Orders

  • The rule nisi granted on 1 July 2020 and as extended to 3 August 2020 is confirmed.
  • Respondent is to pay the costs of the application on the attorney and client scale.

02

Material facts

Parties

Kabylia Mini Market CC

Applicant Counsel: Adv Z Schoeman

City of Tshwane Metropolitan Municipality

Respondent Counsel: Adv J Hlongwane

03

Procedural history

  1. Posture

    Urgent Application / Confirmation of Rule Nisi and Costs Order

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the electricity supply to its premises was disconnected by the respondent without any lawful process or adherence to the respondent's own policies. The applicant maintained that disputes regarding the accuracy of municipal accounts had been lodged since 2016 and remained unresolved. The applicant sought confirmation of the rule nisi and a costs order on the attorney and client scale, asserting its undisturbed possession of the electricity supply and the respondent's failure to provide a valid explanation or policy documentation.
Respondent
The respondent contended that it acted lawfully in disconnecting the electricity supply in terms of its credit control and debt collection policy, specifically referencing clause 6. However, the respondent failed to annex the relevant policy documents to its answering affidavit and did not provide a substantive explanation for its actions. The respondent also raised arguments regarding the applicant's locus standi and denied the existence of unresolved disputes, but these were not supported by evidence in the affidavits.

05

Court’s reasoning

  1. 01

    Van Wyk v Unitas Hospital [2007] ZACC 24; 2008 (2) SA 472 (CC)

    Heads of argument cannot substitute for evidence required in affidavits; parties must set out the evidence they rely on in affidavits.

  2. 02

    Local Government: Municipal Systems Act 32 of 2000

    The Local Government: Municipal Systems Act 32 of 2000 governs municipal services and dispute resolution, requiring proper process before disconnection.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the respondent disconnected the applicant's electricity supply without following due process or providing evidence of compliance with its own credit control and debt collection policy. The respondent failed to file its answering affidavit timeously and did not seek condonation for the delay. The respondent's defence was presented in heads of argument rather than in affidavits, which is procedurally improper. The applicant was in undisturbed possession of the electricity supply, and the respondent's conduct was unjustified and unacceptable. The rule nisi was confirmed, and a punitive costs order was granted against the respondent.

Obiter and limits

  • The respondent's failure to annex policy documents left the court without evidence of lawful considerations.
  • Heads of argument cannot replace affidavits as the proper vehicle for presenting evidence.
  • The respondent's conduct in these proceedings warranted a punitive costs order due to procedural non-compliance.

Court disposition

Rule nisi confirmed; respondent ordered to pay costs on attorney and client scale.

  • The rule nisi granted on 1 July 2020 and as extended to 3 August 2020 is confirmed.
  • Respondent is to pay the costs of the application on the attorney and client scale.

Source and reliance status

North Gauteng High Court, Pretoria

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Judgment text

The complete available source text.

Source document

North Gauteng High Court, Pretoria

Judgment

[2020] ZAGPPHC 406

IN

THE HIGH COURT OF SOUTH AFRICA

(GAUTENG DIVISION, PRETORIA)

CASE NO: 45823/2019

IN THE MATTER BETWEEN:

KABYLIA

MINI MARKET

CC

APPLICANT

AND

CITY

OF TSHWANE METROPOLITAN MUNICIPALITY

RESPONDENT

JUDGMENT

FABRICIUS J

[1] On 1 July 2019 the Respondent was ordered, by way of a rule nisi, to restore the power supply to certain units of Applicant’s property. The Respondent was ordered to file an answering affidavit within 20 days, but failed to do so. The answering affidavit now before me is dated 9 October 2019. No application for condonation was filed. An explanation was tendered in Respondent’s heads of argument, but this is obviously not what is required by law.

See: Van Wyk v Unitas Hospital [2007] ZACC 24; 2008 (2) SA 472 (CC)

[2] The rule nisi was extended on 27 February 2020, and again to 3 August 2020 by way of an order dated 14 April 2020.

[3] Applicant now seeks confirmation of the rule together with a costs order on the attorney and client scale.

[4] Having regard to the affidavits as a whole and the written arguments, no oral hearing is necessary in the present circumstances existing under the “lock-down” situation under the Disaster Management Act.

[5] The electricity to the applicant’s premises was disconnected without any process during June 2019. Disputes have been lodged

regarding the accuracy of accounts already in 2016. Respondent was aware of those unresolved disputes.

[6] Respondent’s main defence was that it acted lawfully in terms of a policy that applied to disputes of this nature. Such policy documents were not annexed to the answering affidavits and accordingly one is left in the dark as to what Respondent’s lawful considerations were. The replying affidavit pointed this out, but respondent failed to take note thereof, or place such policy before this court.

[7] There is therefore nothing before me to show that this particular policy was lawfully in place and/or that Respondent properly complied with it. On the papers, it simply took the law in its own hands. Respondent’s counsel stated in his heads of argument that respondent acted “in terms of clause 6 of the Credit Control and Debt Collection Policy” but I have said this is not before me. Heads of argument can obviously not take the place of affidavits in which the parties set out the evidence they rely on in any particular matter.

[8] The Local Government: Municipal Systems Act 32 of 2000 provides for the relevant topic at hand and also for the resolution of disputes. Much of respondent’s counsel’s argument in this context ought to have been addressed fully in a timeous answering affidavit.

[9] Although the answering affidavit admits that certain disputes were raised by Applicant, this is denied in Respondent’s heads of argument. No explanation is given for the apparent conflict.

[10] There is no merit in Respondent’s argument regarding the locus standi of applicant.

[11] There is no explanation why the disputes raised by the Applicant’s have not yet been resolved.

[12] It is common cause that applicant was in undisturbed possession of the electricity supply. This was disconnected. No acceptable explanation appears from the answering affidavit in the absence of the “policy” that I have referred to.

[13] Respondent’s conduct in these proceedings is unacceptable. The answering affidavit was filed late. No condonation was sought. Respondent’s defence is set out in its heads of argument rather than in the answering affidavit as I pointed out. A punitive costs order is therefore justified in the exercise of my discretion.

THE FOLLOWING ORDER IS MADE:

1. The rule nisi granted on 1 July 2020 and as extended to 3 August 2020 is confirmed. Respondent is to pay the costs of the application on the attorney and client scale.

H

FABRICIUS

JUDGE

OF THE HIGH COURT OF SOUTH AFRICA

GAUTENG DIVISION, PRETORIA

DATE OF HEARING: NO

ORAL HEARING

DATE OF JUDGMENT: 4 AUGUST 2020

APPEARANCES:

FOR THE APPLICANT: ADV Z SCHOEMAN

INSTRUCTED BY: TINTINGERS INC

FOR THE RESPONDENT: ADV J HLONGWANE

INSTRUCTED BY: B CEYLON ATTORNEYS

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Van Wyk v Unitas Hospital [2007] ZACC 24; 2008 (2) SA 472 (CC)

Case cited

Local Government: Municipal Systems Act 32 of 2000

Legislation

Legislation referenced in the available case record.

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