Offit Enterprises (Pty) Ltd and Another v Coega Development Corporation (Pty) Ltd and Others (09/09) [2010] ZASCA 1; 2010 (4) SA 242 (SCA) ; [2010] 2 All SA 545 (SCA) (15 February 2010)

Offit Enterprises (Pty) Ltd and Another v Coega Development Corporation (Pty) Ltd and Others (09/09) [2010] ZASCA 1; 2010 (4) SA 242 (SCA) ; [2010] 2 All SA 545 (SCA) (15 February 2010)

The Supreme Court of Appeal held that expropriation of the appellants' properties for the benefit of Coega Development Corporation would be lawful under the Expropriation Act, as the development of the Industrial Development Zone serves a public purpose and is in the public interest. Coega Development qualifies as a juristic person established for the promotion of a matter of public importance, and expropriation on its behalf is permissible. The operator permit issued to Coega Development was valid under the transitional provisions of the amended regulations, which cured any technical defects in previous permits. The ongoing threat of expropriation did not amount to a deprivation of...

Citation
[2010] ZASCA 1
Parties
Appellant: Offit Enterprises (Pty) Ltd; Appellant: Offit Farming Enterprises (Pty) Ltd; Respondent: Coega Development Corporation (Pty) Ltd; Respondent: Premier of the Eastern Cape Government; Respondent: Minister of Public Works; Respondent: Minister of Trade and Industry
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
15 February 2010
Case Number
09/09
Procedural Posture
Civil Appeal / Appeal From the South Eastern Cape Local Division of the High Court
Outcome
Appeal dismissed with costs, including costs of two counsel.
Judges
Harms, Lewis, Maya, Hurt, Wallis
Legal Topics
Expropriation Act, Industrial Development Zone, Public Purpose, Fair Administrative Action, Section 25 Constitution, Section 217 Constitution
Administrative Law Land and Property Constitutional Law Expropriation Act Industrial Development Zone Public Purpose Fair Administrative Action Section 25 Constitution +1 more

Case Brief

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Parties

Offit Enterprises (Pty) Ltd

Appellant

Offit Farming Enterprises (Pty) Ltd

Appellant

Coega Development Corporation (Pty) Ltd

Respondent

Premier of the Eastern Cape Government

Respondent

Minister of Public Works

Respondent

Minister of Trade and Industry

Respondent

Procedural Posture

Civil Appeal / Appeal From the South Eastern Cape Local Division of the High Court

Legal Issues

  1. 1 Whether expropriation of the appellants' properties for the benefit of Coega Development Corporation is permissible and lawful under current legislation.
  2. 2 Whether the operator permit issued to Coega Development Corporation for the Industrial Development Zone is valid.
  3. 3 Whether the ongoing threat of expropriation constitutes unfair administrative action or a deprivation of property under section 25(1) of the Constitution.

Ratio Decidendi

The Supreme Court of Appeal held that expropriation of the appellants' properties for the benefit of Coega Development Corporation would be lawful under the Expropriation Act, as the development of the Industrial Development Zone serves a public purpose and is in the public interest. Coega Development qualifies as a juristic person established for the promotion of a matter of public importance, and expropriation on its behalf is permissible. The operator permit issued to Coega Development was valid under the transitional provisions of the amended regulations, which cured any technical defects in previous permits. The ongoing threat of expropriation did not amount to a deprivation of...

Court Disposition

Appeal dismissed with costs, including costs of two counsel.

Orders

  • The appeal is dismissed with costs, such costs to include the costs of two counsel.