South African Property Owners Association NPC v Ethekwini Municipality and Others (9058/2023P) [2023] ZAKZPHC 94 (15 September 2023)
Court
Kwazulu-Natal High Court, Pietermaritzburg
Case number
9058/2023P
Judge
Mossop
The applicant failed to establish a prima facie right to the interim interdict sought. The court found that the applicant's case was tenuous and subject to an unacceptable degree of doubt, particularly as the impugned decision was part of the overall municipal budget and not isolated. The comparative analysis of rates across municipalities was deemed insufficient, as rate randage must be assessed within the context of the entire budget, which was not before the court. The applicant had made submissions prior to the decision and was aware of the proposed increase, but the first respondent was…
Waterval Islamic Institute and Others v Johannesburg City Parks and Zoo and Another (A5033/2018) [2019] ZAGPJHC 151 (15 May 2019)
Court
South Gauteng High Court, Johannesburg
Case number
A5033/2018
Judges
Sutherland, Mudau, Matsemela
The court held that the lease agreement did not require City Parks to make actual payments of rates to COJ, but rather to discharge the liability through accounting entries between City Parks and COJ. The administrative error that led to the rates being charged was eventually corrected, and the appellants were never at real risk of having to pay the rates. Therefore, the cancellation of the lease was invalid. The correspondence and conduct of City Parks and COJ officials did not amount to acceptance of the cancellation or acquiescence, but rather reflected bureaucratic incompetence. The appea…
Pareto Limited v City of Johannesburg Metropolitan Municipality (39314/2015) [2018] ZAGPJHC 523 (13 September 2018)
Court
South Gauteng High Court, Johannesburg
Case number
39314/2015
Judge
Wepener
The court held that the Supreme Court of Appeal, in the SAPOA matter, deliberately refrained from setting aside the impugned rates decision or declaring it invalid, despite finding non-compliance with statutory requirements. The SCA recognized the practical difficulties and knock-on effects of undoing municipal budgets after the fact and expressly declined to order repayment or invalidation. Applying the Oudekraal principle, the High Court found that the decision remained legally effective and extant, as it was not reviewed or set aside. The plaintiff's reliance on Danster was misplaced, as t…
Blair Athol Homeowners Association and Others v City of Tshwane Metropolitan Municipality (63280/2011) [2014] ZAGPPHC 788 (17 September 2014)
Court
North Gauteng High Court, Pretoria
Case number
63280/2011
Judge
JR Murphy
The High Court granted leave to appeal in a dispute over municipal rates, holding that another court might reach a different view on equitable treatment and the municipality’s reserved power.
Mike Sellick Trust (Pty) Ltd v Ethekwini Municipality (7651/2007) [2014] ZAKZDHC 33 (3 September 2014)
Court
Kwazulu-Natal High Court, Durban
Case number
7651/2007
Judge
M R Chetty
The court held that any agreement purporting to set-off municipal rates against hiring charges is invalid and unenforceable as a matter of public policy, following established precedent that debts owed to the State, such as rates and taxes, cannot be set-off. Regarding prescription, the court found that the plaintiff's claim for the return of equipment is based on the rei vindicatio, which is not subject to the three-year extinctive prescription period but rather the thirty-year acquisitive prescription period under section 1 of the Prescription Act. The court accepted the reasoning in Staege…
Kalil N.O. and Others v Mangaung Metropolitan Municipality and Others (210/2014) [2014] ZASCA 90; [2014] 3 All SA 291 (SCA); 2014 (5) SA 123 (SCA) (4 June 2014)
Court
Supreme Court of Appeal
Case number
210/2014
Judges
Mpati, Brand, Bosielo, Leach, Wallis
The Supreme Court of Appeal held that the Mangaung Metropolitan Municipality failed to ensure proper public participation in the budget process as required by statute. However, the regulations under the Municipal Property Rates Act do not prescribe a maximum ratio between rates on residential and business properties, nor do they prohibit levying higher rates on business properties. The historical and statutory context supports the practice of higher rates for commercial properties. The appellants' reliance on a contrary interpretation was misplaced. The appeal was dismissed except for the cos…
Jacobs & Smilowski CC v City of Tshwane Metropolitan Municipality (47730/2011) [2013] ZAGPPHC 193 (10 July 2013)
Court
North Gauteng High Court, Pretoria
Case number
47730/2011
Judge
E M Kubushi
The High Court held that Tshwane could levy “non-permitted use” rates on a residential property used for business and could disconnect services for arrears.
eThekwini Municipality v Ingonyama Trust (CCT 80/12) [2013] ZACC 7; 2013 (5) BCLR 497 (CC); 2014 (3) SA 240 (CC) (28 March 2013)
Court
Constitutional Court
Case number
CCT 80/12
Judges
Jafta, Mogoeng, Moseneke, Froneman, Khampepe, Mhlantla, Nkabinde, Skweyiya, Van der Westhuizen, Zondo
The Constitutional Court held that the applicant failed to provide a satisfactory and complete explanation for the delay in lodging the application for leave to appeal, and the explanation did not cover the entire period. The prospects of success were found to be lacking because the Ingonyama Trust is an organ of state administering land for the benefit of residents within the municipal area, satisfying the requirements of section 3(3)(a) of the Rating of State Property Act. The land is therefore exempt from municipal rates. Furthermore, the applicant failed to comply with statutory procedure…
Liebenberg NO and Others v Bergrivier Municipality (737/2011) [2012] ZASCA 153; [2012] 4 All SA 626 (SCA) (1 October 2012)
Court
Supreme Court of Appeal
Case number
737/2011
Judges
Nugent, Lewis, Bosielo, Theron, Wallis
The Supreme Court of Appeal held that s 10G(7) of the Local Government Transition Act remained operative until 2011 due to the transitional provisions in the Finance Act and the Rates Act. The Municipality was empowered to levy rates under s 10G(7) throughout the relevant period, and the procedures for levying rates were governed by the Finance Act after its commencement. The court found that the Municipality substantially complied with the statutory requirements for notice, objection, and public participation, and that any administrative shortcomings did not invalidate the rates. The rates i…
