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Body Corporate of Merriman Court and Others v Greeff (A212/2022) [2024] ZAWCHC 47; 2024 (3) SA 509 (WCC) (13 February 2024)
The High Court held that the respondent failed to prove the resolutions required to extend a sectional title unit onto common property and dismissed the application.
Van Neijeren N.O and Another v Vulintaba Country Estate Homeowners Association and Others (7422/2022P) [2023] ZAKZPHC 114 (17 October 2023)
The court found that the amendments to the MOI and Conduct Rules, including the prohibition on short-term letting, were lawfully passed by special resolution at the annual general meeting on 21 August 2021, with the required notice and voting thresholds met. The Trust, as a member of the homeowners association, is contractually bound by these amendments. The right to short-term letting was not vested beyond the terms of the Conduct Rules, which are subject to lawful amendment. The CSOS adjudicator failed to consider all relevant facts and evidence, but the ultimate legal conclusion reached wa…
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Derby Downs Management Association v Assegaai River Properties (Pty) Ltd and Another (AR1/2021) [2021] ZAKZPHC 91; 2022 (2) SA 71 (KZP) (12 November 2021)
The court held that the first 2017 special resolution could not retrospectively revive or validate the void 2007 resolution, as statutory voidness under the Companies Act, 1973, is absolute and not subject to ratification. The attempt to retrospectively amend the articles of association conflicted with s 16(9) of the Companies Act, 2008, which prescribes when amendments take effect. However, the second 2017 resolution, passed by special resolution, validly ratified the directors' past conduct in raising levies on the GLA basis, regularising the apportionment for the period 2007–2017 under s 2…
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Surface Preparations , Equipment & Coatings (Pty) Ltd v SwanSA (Pty) Ltd t/a Swan's Water Treatment and Others (51113/20) [2021] ZAGPPHC 132 (10 March 2021)
The High Court dismissed an urgent application challenging a company’s voluntary liquidation and seeking to halt arbitration pending liquidation procedures.
Body Corporate of Marine Sands v Extra Dimensions 121 (Pty) Ltd (1082/2018) [2019] ZASCA 161; 2020 (2) SA 61 (SCA) (28 November 2019)
The Supreme Court of Appeal held that the respondent was 'adversely affected' by the special resolution, as its levy liability more than doubled, which is both unfavourable and disadvantageous. The court rejected the appellant's argument that fairness justified the modification without consent, emphasizing that statutory interpretation must adhere to the ordinary meaning of the words used by the legislature. The requirement for written consent under s 32(4) of the Sectional Titles Act is triggered when an owner's proprietary rights are diminished, such as by an increased levy burden. The reso…
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Extra Dimensions 121 (Pty) Limited v Body Corporate of Marine Sands and Another (AR121/2017) [2018] ZAKZPHC 34 (24 August 2018)
The court held that the body corporate's special resolution, which purported to modify the liability of sectional owners for levy contributions by amending the participation quota schedule, was invalid. The Sectional Titles Act requires that any modification to the liability for contributions must be effected through a management rule, adopted by unanimous resolution, not by a conduct rule via special resolution. The resolution in question did not comply with these statutory requirements, as it was passed as a conduct rule and lacked the necessary unanimous consent. The scheme cannot have two…
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Assegaai River Properties (Pty) Ltd v Derby Downs Management Association (5986/2015) [2016] ZAKZDHC 39 (28 September 2016)
The High Court dismissed an application and counterapplication over levy apportionment because the special resolution relied on had not been lodged and registered and was void.
Extra Dimensions 121 (Pty) Ltd v Body Corporate of Marine SANDS and Another (9015/2014) [2016] ZAKZDHC 32 (26 August 2016)
The High Court dismissed an application for leave to appeal, finding the applicant used the wrong test and failed to show reasonable prospects of success.
Extra Dimensions 121 (Pty) Ltd v Body Corporate of Marine (9015/2014) [2016] ZAKZDHC 1 (5 February 2016)
The court held that the phrase 'adversely affected' in section 32(4) of the Sectional Titles Act must be interpreted in context, considering the purpose of the Act and the need for fairness among unit owners. The applicant's interpretation, equating any increase in levy with adverse effect, was rejected as it would render the provision nugatory and recreate the impractical unanimity requirement of the previous Act. The court found that the special resolution was intended to correct an inequitable levy regime and that the applicant, though paying more, was not adversely affected in the legal s…
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Hartbees Brick Works (Pty) Ltd v Szamosvari (1S256/2012) [2014] ZAGPPHC 113 (14 March 2014)
High Court judgment on a business sale and section 228 compliance under the Companies Act 1973, addressing an amendment application and a special plea.
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