South Africa Case Law

Majiedt NO and Another v Mangaung Metropolitan Municipality and Others (6418/2024)

Majiedt NO and Another v Mangaung Metropolitan Municipality and Others (6418/2024) [2025] ZAFSHC 219 (18 July 2025)

Court

Free State High Court, Bloemfontein

Case number

6418/2024

Judge

Daniso

The court found that the municipality unlawfully included arrears older than two years in the clearance figures, contrary to section 118(1)(b) of the Municipal Systems Act. The municipality failed to provide a transparent, itemised breakdown of the amounts due and included charges from a different account number without explanation. The court held that only debts accrued in the two years preceding the application may be demanded for clearance purposes, and that the municipality must provide full particulars limited to this period. The municipality's counter-application for payment of outstand…

Source excerpt

• Municipal Clearance Certificate
• Liquidation Procedure
• Rates And Taxes
• Creditors Meeting
• Section 118 Municipal Systems Act
• Proof Of Claim

DBM Property Investments (Pty) Ltd v City of Johannesburg Metropolitan Municipality (2022/047685)

DBM Property Investments (Pty) Ltd v City of Johannesburg Metropolitan Municipality (2022/047685) [2024] ZAGPPHC 268 (14 March 2024)

Court

North Gauteng High Court, Pretoria

Case number

2022/047685

Judge

SST Kholong

The High Court held that DBM Property Investments could recover an excess municipal payment made in error under condictio indebiti.

• Condictio Indebiti
• Municipal Rates And Taxes
• Ultra Vires Payment
• Mistaken Payment
• Municipal Clearance Certificate
• Condictio-indebiti

SA AD Investments (Pty) Ltd and Others v Mogale City Local Municipality (2023/022072)

SA AD Investments (Pty) Ltd and Others v Mogale City Local Municipality (2023/022072) [2023] ZAGPJHC 293 (27 March 2023)

Court

South Gauteng High Court, Johannesburg

Case number

2023/022072

Judge

Moorcroft

The High Court ordered Mogale City to provide itemised municipal clearance figures limited to the statutory two-year period, and to issue a clearance certificate on payment.

• Municipal Clearance Certificate
• Section 118 Local Government Municipal Systems Act
• Property Transfer
• Prescribed Debt
• Liquidation Procedure
• Municipal-clearance-certificate

Green and Another v Free State Development Corporation and Others (2103/2022)

Green and Another v Free State Development Corporation and Others (2103/2022) [2022] ZAFSHC 211 (24 August 2022)

Court

Free State High Court, Bloemfontein

Case number

2103/2022

Judge

Africa

The High Court ordered transfer of immovable property to the applicants after finding they had complied with the sale agreement and municipal clearance obligations.

• Specific Performance
• Transfer Of Immovable Property
• Municipal Clearance Certificate
• Contractual Compliance
• Specific-performance
• Transfer-of-immovable-property

Baladkis N.O and Others v Jenzen and Another (8334/2021)

Baladkis N.O and Others v Jenzen and Another (8334/2021) [2022] ZAGPJHC 453 (4 July 2022)

Court

South Gauteng High Court, Johannesburg

Case number

8334/2021

Judge

M A Makume

The court found that the applicants, as innocent purchasers, cannot be held liable for historical municipal debts incurred by the seller. The municipality's reliance on the fraudulent clearance certificate to refuse opening a municipal account is misplaced, as the applicants complied with the sale agreement and the transfer was effected. The municipality failed to take action against the seller or investigate the fraud, and its attempt to recover the debt from the applicants is contrary to constitutional principles. The transfer of ownership stands, and the municipality is ordered to open a m…

Source excerpt

• Municipal Clearance Certificate
• Fraudulent Documentation
• Specific Performance
• Rates And Taxes
• Transfer Of Property
• Innocent Third Party Rights

Sheriff of Vereeniging v Awe and Another (40609/2012)

Sheriff of Vereeniging v Awe and Another (40609/2012) [2016] ZAGPPHC 1013 (30 October 2016)

Court

North Gauteng High Court, Pretoria

Case number

40609/2012

Judge

MBONGWE

The court found that the conditions of sale in execution were invalid and unenforceable because the amounts due for municipal rates and charges were not disclosed prior to the signing of the agreement. The respondents only became aware of these amounts months later, making compliance impossible. The relief sought by the applicant was based on non-compliance with invalid contractual terms, and therefore, the application for cancellation was untenable. The sale in execution was declared invalid and cancelled, and the applicant was ordered to refund all monies paid by the respondents and to pay…

Source excerpt

• Sale In Execution
• Municipal Clearance Certificate
• Invalid Contractual Terms
• Sectional Titles Act
• Refund Of Purchase Price

Stuart NO v City of Tshwane Metropolitan Municipality (55891/2015)

Stuart NO v City of Tshwane Metropolitan Municipality (55891/2015) [2016] ZAGPPHC 1145 (27 October 2016)

Court

North Gauteng High Court, Pretoria

Case number

55891/2015

Judge

S P Mothle

The court ordered Tshwane to issue a clearance certificate for estate property, finding the municipality had not proved the alleged outstanding levies.

• Municipal Clearance Certificate
• Section 118 Municipal Systems Act
• Property Transfer
• Municipal Rates And Taxes
• Executor Estate Administration
• Municipal-clearance-certificate

Sheriff of the High Court Roodepoort v Nazlee; InRe: First Rand Bank Limited v Majeke and Another (2009/31887)

Sheriff of the High Court Roodepoort v Nazlee; InRe: First Rand Bank Limited v Majeke and Another (2009/31887) [2015] ZAGPJHC 12 (5 February 2015)

Court

South Gauteng High Court, Johannesburg

Case number

2009/31887

Judge

D S S Moshidi

The High Court cancelled a sale in execution after the purchaser failed to meet conditions of sale, and dismissed a counter-claim for specific performance.

• Sale In Execution
• Breach Of Contract
• Specific Performance
• Exceptio Non Adimpleti Contractus
• Municipal Clearance Certificate
• Sale-in-execution

Mohlobuli and Another v Mogale City Municipality (13167/2013)

Mohlobuli and Another v Mogale City Municipality (13167/2013) [2014] ZAGPPHC 612 (15 August 2014)

Court

North Gauteng High Court, Pretoria

Case number

13167/2013

Judge

Bredenkamp IM

The court held that the municipality is only entitled to demand payment of municipal debts incurred during the two years preceding the application for a clearance certificate, as provided by section 118(1)(b) of the Local Government: Municipal Systems Act. The additional amount claimed by the respondent as historical debt falls outside the statutory period and cannot be enforced as a precondition for issuing the certificate. The applicants, having paid the required amount, are entitled to the clearance certificate. The court further noted that section 89 of the Insolvency Act limits the munic…

Source excerpt

• Municipal Clearance Certificate
• Historical Debt
• Insolvent Estate Transfer

Sheriff of the High Court, Johannesburg East v Chetty and Others; InRe: Firstrand Bank Limited T/A FNB Home Loans (Formerly First National Bank of Southern Africa Limited v Chetty and Another (2009/3673)

Sheriff of the High Court, Johannesburg East v Chetty and Others; InRe: Firstrand Bank Limited T/A FNB Home Loans (Formerly First National Bank of Southern Africa Limited v Chetty and Another (2009/3673) [2014] ZAGPJHC 352 (27 March 2014)

Court

South Gauteng High Court, Johannesburg

Case number

2009/3673

Judge

Mbongwe

High Court application under Rule 46(11) to cancel a sale in execution was dismissed for non-compliance with procedural requirements and invalid municipal debt estimates.

• Sale In Execution
• Rule 46 Application
• Municipal Clearance Certificate
• Deposit Retention
• Cancellation Of Sale
• Sale-in-execution