Thompson v City Council of Municipality of Port Elizabeth (518/87) [1989] ZASCA 86; [1989] 4 All SA 865 (AD) (27 July 1989)

Thompson v City Council of Municipality of Port Elizabeth (518/87) [1989] ZASCA 86; [1989] 4 All SA 865 (AD) (27 July 1989)

The Supreme Court of Appeal held that the statutory condition imposed by the Administrator under section 14A(1) of the Townships Ordinance has the force of law and binds all subsequent owners of the affected erf, irrespective of their knowledge of the condition at the time of acquisition. The penalty provision in section 14A(2) is enforceable against the owner upon breach of the condition, and the owner's liability is not contingent upon actual knowledge of the condition. The addendum requiring disclosure in the deed of sale imposes a duty on the seller but does not limit the buyer's liability for the penalty. The appellant's ignorance of the condition does not constitute a valid defence,...

Citation
[1989] ZASCA 86
Parties
Appellant: Basil Goldie Thompson; Respondent: The City Council of the Municipality of Port Elizabeth
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
27 July 1989
Case Number
518/87
Procedural Posture
Civil Appeal / Appeal From the Magistrate's Court and the Court a Quo to the Supreme Court of Appeal
Outcome
Appeal dismissed with costs.
Judges
Hoexter, Botha, Steyn, Eksteen, Nicholas
Legal Topics
Statutory Conditions of Title, Penalty for Noncompliance, Disclosure in Property Transfer, Municipal Regulation
Land and Property Civil Procedure Statutory Conditions of Title Penalty for Noncompliance Disclosure in Property Transfer Municipal Regulation

Case Brief

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Parties

Basil Goldie Thompson

Appellant

The City Council of the Municipality of Port Elizabeth

Respondent

Procedural Posture

Civil Appeal / Appeal From the Magistrate's Court and the Court a Quo to the Supreme Court of Appeal

Legal Issues

  1. 1 Whether a subsequent purchaser of an erf is bound by a statutory condition requiring the erection of buildings of a specified value, despite lack of knowledge of the condition.
  2. 2 Whether liability for the statutory penalty under section 14A(2) of the Townships Ordinance depends on actual knowledge of the condition by the owner at the time of acquisition.
  3. 3 Whether the deed of sale complied with the disclosure requirement in the addendum to the condition imposed by the Administrator.

Ratio Decidendi

The Supreme Court of Appeal held that the statutory condition imposed by the Administrator under section 14A(1) of the Townships Ordinance has the force of law and binds all subsequent owners of the affected erf, irrespective of their knowledge of the condition at the time of acquisition. The penalty provision in section 14A(2) is enforceable against the owner upon breach of the condition, and the owner's liability is not contingent upon actual knowledge of the condition. The addendum requiring disclosure in the deed of sale imposes a duty on the seller but does not limit the buyer's liability for the penalty. The appellant's ignorance of the condition does not constitute a valid defence,...

Court Disposition

Appeal dismissed with costs.

Orders

  • The appeal is dismissed with costs.