William Darier t/a Urban Soccer v City of Tshwane Metropolitan Municipality (18085/2020) [2024] ZAGPPHC 829 (13 August 2024)

William Darier t/a Urban Soccer v City of Tshwane Metropolitan Municipality (18085/2020) [2024] ZAGPPHC 829 (13 August 2024)

The court found that the addendum to the lease agreement was concluded after the original lease had been terminated and without adherence to constitutional and statutory procurement requirements. The respondent, as an organ of state, lacked the authority to enter into such a contract outside the prescribed...

Source-derived case information.

Citation
[2024] ZAGPPHC 829
Parties
Applicant: William Darier t/a Urban Soccer; Respondent: City of Tshwane Metropolitan Municipality
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Case Number
18085/2020
Procedural Posture
Review Application / Judgment
Outcome
Application dismissed with costs; counter-application granted with costs; addendum to lease agreement declared invalid but applicant not divested of possible enrichment rights.
Judges
Nyathi
Legal Topics
Municipal Procurement, Unlawful Administrative Action, Condictio Ob Turpem Vel Iniustam Causam, Self Review, Lease Agreement Invalidity, Damages Claim
Administrative Law Land and Property Civil Procedure Municipal Procurement Unlawful Administrative Action Condictio Ob Turpem Vel Iniustam Causam Self Review Lease Agreement Invalidity +1 more

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Parties

William Darier t/a Urban Soccer

Applicant

City of Tshwane Metropolitan Municipality

Respondent

Procedural Posture

Review Application / Judgment

  1. 1 Whether the addendum to the original lease agreement dated 28 February 2013 is valid and binding as between the parties.
  2. 2 Whether the respondent is obligated to perform its obligations in terms of the lease agreement.
  3. 3 Whether the respondent is obligated to repay the applicant an amount of R7 900 000.00 for improvements and investments.

Ratio Decidendi

The court found that the addendum to the lease agreement was concluded after the original lease had been terminated and without adherence to constitutional and statutory procurement requirements. The respondent, as an organ of state, lacked the authority to enter into such a contract outside the prescribed procurement framework. The purported cession was invalid, and the addendum constituted a new agreement that flouted procurement laws. The respondent's delay in bringing the self-review application was substantial, but the interests of justice warranted a declaration of invalidity. The applicant's claims for damages and debatement of accounts were not suitable for determination in...

Court Disposition

Application dismissed with costs; counter-application granted with costs; addendum to lease agreement declared invalid but applicant not divested of possible enrichment rights.

Orders

  • The application is dismissed with costs.
  • The counter-application is granted with costs.