Malewa Communal Property Association and Others v Khombindlela Trading 1 CC (7392/13) [2014] ZAGPPHC 45 (28 February 2014)

Malewa Communal Property Association and Others v Khombindlela Trading 1 CC (7392/13) [2014] ZAGPPHC 45 (28 February 2014)

The court found that the respondent was not in breach of the lease agreement as he had paid all arrears and deposited the disputed interest into his attorney's trust account, pending a breakdown and certificate of interest which the applicants failed to provide. The applicants did not follow the proper procedure for cancellation as required by the lease agreement, and the initial cancellation letter was based on reasons unrelated to breach. The court further held that the lease agreement was entered into in good faith and did not contravene Section 11(7) of the Restitution of Land Rights Act. Accordingly, there were no grounds to terminate the lease or evict the respondent.

Citation
[2014] ZAGPPHC 45
Parties
Applicant: Malewa Communal Property Association; Applicant: Minister of Rural Development & Land Reform; Applicant: Commission on Restitution of Land Rights; Respondent: Khombindlela Trading 1 CC
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
28 February 2014
Case Number
7392/13
Procedural Posture
Urgent Application / Application for Cancellation of Lease and Eviction
Outcome
Application dismissed; costs awarded against the applicants.
Judges
M F Kganyago
Legal Topics
Lease Agreement Cancellation, Eviction, Breach of Contract, Restitution of Land Rights Act, Notice and Condonation
Land and Property Civil Procedure Lease Agreement Cancellation Eviction Breach of Contract Restitution of Land Rights Act Notice and Condonation

Case Brief

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Parties

Malewa Communal Property Association

Applicant

Minister of Rural Development & Land Reform

Applicant

Commission on Restitution of Land Rights

Applicant

Khombindlela Trading 1 CC

Respondent

Procedural Posture

Urgent Application / Application for Cancellation of Lease and Eviction

Legal Issues

  1. 1 Whether the respondent breached the lease agreement entitling the applicants to cancel the lease and evict the respondent.
  2. 2 Whether the applicants complied with the procedural requirements for cancellation under the lease agreement.
  3. 3 Whether the lease agreement was concluded contrary to Section 11(7) of the Restitution of Land Rights Act and thus invalid.

Ratio Decidendi

The court found that the respondent was not in breach of the lease agreement as he had paid all arrears and deposited the disputed interest into his attorney's trust account, pending a breakdown and certificate of interest which the applicants failed to provide. The applicants did not follow the proper procedure for cancellation as required by the lease agreement, and the initial cancellation letter was based on reasons unrelated to breach. The court further held that the lease agreement was entered into in good faith and did not contravene Section 11(7) of the Restitution of Land Rights Act. Accordingly, there were no grounds to terminate the lease or evict the respondent.

Court Disposition

Application dismissed; costs awarded against the applicants.

Orders

  • The applicants' application is dismissed.
  • The applicants are ordered to pay the costs of the respondent jointly and severally, the one paying the others to be absolved.