Naledi Local Municipality v Reitum Investments (Pty) Ltd and Others (M259/2022) [2025] ZANWHC 120 (17 July 2025)

Naledi Local Municipality v Reitum Investments (Pty) Ltd and Others (M259/2022) [2025] ZANWHC 120 (17 July 2025)

The court found that while the Municipality did not succeed in challenging the sale itself, there are compelling reasons for an appellate court to consider whether the quantum ordered was appropriate, particularly in light of the argument that the valuation relied upon was outdated and that the present value may be...

Source-derived case information.

Citation
[2025] ZANWHC 120
Parties
Applicant: Naledi Local Municipality; Respondent: Reitum Investments (Pty) Ltd; Respondent: Kotze Louw Swannepoel; Respondent: Valuation Independent Services CC; Respondent: Registrar of Deed; Respondent: Tshepo Macdonald Bloem
Court
North West High Court, Mafikeng
Jurisdiction
South Africa
Judgment Date
17 July 2025
Case Number
M259/2022
Procedural Posture
Leave to Appeal / Application for Leave to Appeal Following Main Review Judgment
Outcome
Leave to appeal granted on the quantum issue; leave to appeal on costs dismissed.
Judges
Makoti
Legal Topics
Leave to Appeal, Quantum of Damages, Judicial Discretion, Unlawful Sale of Land
Civil Procedure Land and Property Leave to Appeal Quantum of Damages Judicial Discretion Unlawful Sale of Land

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Parties

Naledi Local Municipality

Applicant

Reitum Investments (Pty) Ltd

Respondent

Kotze Louw Swannepoel

Respondent

Valuation Independent Services CC

Respondent

Registrar of Deed

Respondent

Tshepo Macdonald Bloem

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal Following Main Review Judgment

Legal Issues

  1. 1 Whether the court exercised its discretion appropriately in ordering the respondent to pay a determined amount for the land property.
  2. 2 Whether the present valuation of the land should have been considered instead of the 2018 valuation.
  3. 3 Whether the applicant is entitled to costs after partial success.

Ratio Decidendi

The court found that while the Municipality did not succeed in challenging the sale itself, there are compelling reasons for an appellate court to consider whether the quantum ordered was appropriate, particularly in light of the argument that the valuation relied upon was outdated and that the present value may be higher due to improvements made by the respondent. The court held that this issue is sufficiently important to warrant leave to appeal on a circumscribed basis, limited to the quantum aspect. The application for leave to appeal the costs order was dismissed, as the Municipality did not achieve full success and sought indulgence late in the proceedings.

Court Disposition

Leave to appeal granted on the quantum issue; leave to appeal on costs dismissed.

Orders

  • Leave to appeal is granted to the Full Bench of the North West Division of the High Court only in respect of the question of quantum, namely whether the discretion was appropriately exercised in ordering Reitum to pay R1 850 000-00 for the land property.
  • Leave to appeal the cost order is dismissed.