South Africa Case Law

Uys N O and Others v National Credit Regulator and Another (869/2023)

Uys N O and Others v National Credit Regulator and Another (869/2023) [2025] ZASCA 34; [2025] 3 All SA 71 (SCA) (1 April 2025)

Court

Supreme Court of Appeal

Case number

869/2023

Judges

Mokgohloa, Weiner, Kathree-Setiloane, Musi, Windell

The Supreme Court of Appeal found that the impugned transactions did not constitute credit agreements as defined by section 8(1)(b) read with section 8(4)(f) of the National Credit Act. The agreements were genuine sale and leaseback transactions, with the properties transferred to the Trust and the sellers retaining an option to repurchase. There was no evidence of a legal obligation to repay the purchase price, nor any disguised intention to simulate a loan agreement. The Regulator failed to provide confirmatory evidence or oral testimony to support its allegations of simulation. The Trust's…

Source excerpt

• National Credit Act
• Simulated Transactions
• Credit Agreements Definition
• Sale And Leaseback
• Reckless Credit
• Registration Of Credit Providers

George and Another v Dirk and Others (56949/21)

George and Another v Dirk and Others (56949/21) [2023] ZAGPJHC 1255 (27 October 2023)

Court

South Gauteng High Court, Johannesburg

Case number

56949/21

Judge

Strydom

The High Court referred a property dispute to trial after finding factual issues on whether a sale and lease-back was a simulated loan arrangement.

• Simulated Transaction
• Sale And Leaseback
• National Credit Act
• Ownership Transfer
• Unjustified Enrichment
• Abstract Theory Of Transfer

Rock Foundation Properties CC and Another v Dosvelt Properties (Pty) Limited and Another (20/28515)

Rock Foundation Properties CC and Another v Dosvelt Properties (Pty) Limited and Another (20/28515) [2023] ZAGPJHC 408 (2 May 2023)

Court

South Gauteng High Court, Johannesburg

Case number

20/28515

Judge

I Opperman

The High Court dismissed an application for leave to appeal, holding the applicants had not shown reasonable prospects of success and ordering costs against them.

• Leave To Appeal
• Nature Of Agreement
• National Credit Act
• Sale And Leaseback
• Costs Order
• Leave-to-appeal

Burger and Another v Edenglo Holdings (Pty) Ltd and Others (6534/18)

Burger and Another v Edenglo Holdings (Pty) Ltd and Others (6534/18) [2018] ZAWCHC 141 (4 October 2018)

Court

Western Cape High Court, Cape Town

Case number

6534/18

Judge

Ndita

The court found that while the applicants did not establish fraud or misrepresentation in the sale and leaseback scheme, the agreements were unconscionable and contrary to public policy due to the exploitation of the applicants' financial vulnerability, lack of transparency in the disbursement of sale proceeds, and oppressive terms. The applicants' intention was not to permanently alienate their property but to save it from foreclosure and retain occupation. The court held that the scheme and subsequent agreements were void ab initio, and the subsequent transfers and registrations must be set…

Source excerpt

• Public Policy In Contract
• Deeds Registries Act
• Fraudulent Transfer
• Sale And Leaseback
• Eviction Proceedings

Imperial Bank v Lanseria International Airport (Pty) Ltd (A154/2014)

Imperial Bank v Lanseria International Airport (Pty) Ltd (A154/2014) [2016] ZAGPPHC 119; [2016] 2 All SA 812 (GP) (30 March 2016)

Court

North Gauteng High Court, Pretoria

Case number

A154/2014

Judges

W R C Prinsloo, V V Tlhapi, T Vilakazi

The Full Court found that the respondent had locus standi to cancel the lease and seek eviction of the appellant. The evidence established, on a balance of probabilities, that a tacit cession of the lease agreement occurred between Southern and the respondent, and that all parties acted for over a decade on the basis that the respondent was the sub-lessor. The Avfin lease, although not listed in the annexure to the head-lease, was treated by all parties as subject to cession and the respondent was recognised as entitled to enforce its terms. The purported suspensive condition in the head-leas…

Source excerpt

• Tacit Cession
• Privity Of Contract
• Locus Standi
• Lease Cancellation
• Attorney And Client Costs
• Sale And Leaseback

W Ferguson Investments CC and Another v Filapro (Pty) Ltd and Others (30779/2014 , 32271/2014)

W Ferguson Investments CC and Another v Filapro (Pty) Ltd and Others (30779/2014 , 32271/2014) [2014] ZAGPPHC 506 (1 July 2014)

Court

North Gauteng High Court, Pretoria

Case number

30779/2014 , 32271/2014

Judge

TLHAPI V.V

The court set aside Filapro’s business rescue resolution, placed the company in liquidation, and dismissed an ex parte request to extend the rescue plan.

• Business Rescue
• Liquidation
• Sale And Leaseback
• Financial Distress
• Creditor Rights
• Business-rescue

Commissioner for Inland Revenue v Conhage (Pty) Ltd (formerly Tycon (Pty) Ltd) (606/97)

Commissioner for Inland Revenue v Conhage (Pty) Ltd (formerly Tycon (Pty) Ltd) (606/97) [1999] ZASCA 64 (17 September 1999)

Court

Supreme Court of Appeal

Case number

606/97

Judges

Mahomed, Hefer, Olivier, Farlam, Madlanga

The court held that Tycon’s sale-and-leaseback transactions were genuine and that section 103 of the Income Tax Act did not apply, so the appeal failed.

• Income Tax Act 58 Of 1962
• Tax Avoidance
• Sale And Leaseback
• Simulated Transactions
• Section 103
• Deductibility Of Rentals