Case Law[2024] ZAGPPHC 1259South Africa
N.M.M v Chabalala N.O and Others (2022-021286) [2024] ZAGPPHC 1259 (2 December 2024)
High Court of South Africa (Gauteng Division, Pretoria)
2 December 2024
Judgment
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# South Africa: North Gauteng High Court, Pretoria
South Africa: North Gauteng High Court, Pretoria
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## N.M.M v Chabalala N.O and Others (2022-021286) [2024] ZAGPPHC 1259 (2 December 2024)
N.M.M v Chabalala N.O and Others (2022-021286) [2024] ZAGPPHC 1259 (2 December 2024)
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sino date 2 December 2024
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REPUBLIC OF SOUTH
AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
CASE NO.: 2022-021286
(1)
REPORTABLE: NO
(2) OF
INTEREST TO OTHER JUDGES: NO
(3)
REVISED: NO
Date: 2 December
2024
E van der Schyff
In
the matter between:
N[...]
M[...] M[...]
Applicant
And
Millicent
Nchu Muthi Chabalala
N.O.
First Respondent
(
Executrix
of Late Estate B[...] P[...] M[...])
Millicent
Nchu Muthi Chabalala
Second Respondent
W[...]
M[...]
Third Respondent
Elizabeth
Baloyi
Fourth Respondent
Master
of the High Court,
Pretoria
Fifth Respondent
Registrar
of Deeds,
Pretoria
Sixth Respondent
JUDGMENT
Van
der Schyff J
Introduction
[1]
The applicant approached the court for an
order declaring the sale of the immovable property described as ERF
2[...] M[...] V[...]
EXTENSION […] TOWNSHIP, REGISTRATION
DIVISION JR, PROVINCE OF GAUTENG, MEASURING 292 square meters, dated
22 January 2022,
null and void, setting it aside and canceling the
subsequent transfer and registration of the property in the name the
fourth respondent.
[2]
The applicant additionally seeks the sale
of the property by way of public auction to the highest bidder
subject to a reserve price
of R340 000.00 and after payment of the
amount owing for municipal charges, sheriff’s costs, or
commission being deducted
the remaining proceeds of the sale to be
divided as follows: R10 000 to the applicant and the remaining
balance divided equally
between the Late Estate P[...] B[...] M[...]
and N[...] M[...] M[...] (the applicant), alternatively payment in
the amount of R170
000.00.
Factual context
[3]
The applicant, Ms. N[...] M[...], and Mr.
B[...] M[...] were married in community of property on 2 July 1973.
During their marriage,
they acquired the immovable property that
forms the subject matter of this application. The marriage broke
down, and the parties
divorced in September 2011. A settlement
agreement providing for the division of the joint estate was
concluded and allegedly made
an order of court. I pause to note that
the decree of divorce was not annexed to the founding papers.
[4]
Mr. M[...] passed away on 16 October 2020.
The applicant, Ms. N[...] M[...], avers that the division of the
joint estate was not
finalised when he passed away. She avers that
the parties could not come to an agreement regarding the value of the
immovable property.
The property was subsequently not sold, neither
was her half-share purchased by her late husband as provided for in
the settlement
agreement.
[5]
Ms. N[...] M[...] avers that she only
became aware thereof that the property was ostensibly sold to the
fourth respondent, the executrix
of the estate’s mother, and
registered in the fourth respondent’s name when she obtained a
copy of the master’s
file of the late Mr. M[...]’s
estate. Ms. N[...] M[...] denies ever having signed any deed of sale
or power of attorney to
transfer the property. She denies ever
receiving any money for her undivided half-share of the property.
[6]
Ms. N[...] M[...] claims that the transfer
of the property was done fraudulently, as a result of which the court
can declare the
transfer of the property null and void.
[7]
In a belatedly filed answering affidavit,
the fourth respondent, Ms. Baloyi, confirms that she is the niece of
the deceased and
the mother of the executrix of the deceased estate.
The respondents take issue with the fact that the conveyancer who
tended to
the transfer and registration of the property was not
joined as a party to the application. I pause to note that the
conveyancer’s
evidence might be valuable, the conveyancer has
no direct and substantial interest in the litigation between the
parties.
[8]
Ms. Baloyi avers that the deceased informed
her in 2016 that R130 000.00 needed to be paid to the applicant for
her half-share in
the property. Since he did not have the money, he
requested her and her daughter, the second respondent, to assist him.
They raised
the money and gave it to him.
[9]
Ms. Baloyi claims that Ms. N[...] M[...]
attended to Mr. Greiventsyn’s office to sign documents before
the deceased’s
passing, although she does not know what
documents were signed. She avers that the only reason the property
could not be transferred
in 2016 was because Standard Bank informed
them that the property could not be transferred until the money due
to them had been
paid off. I pause to note that based on the
documents filed, the bond was already canceled in 2007.
[10]
In reply, the applicant reiterated that she
launched the application to seek to recover the proceeds from the
sale of the property,
which was facilitated by the respondents behind
her back to the extent that her signature was forged in the transfer
documents.
Discussion
[11]
In considering the relief sought regarding
the cancellation of the transfer and registration of the property
into the name of the
fourth respondent, it is not the background to
the matter, the divorce, the settlement agreement, nor the question
of whether the
deceased paid over an amount of R 130 000.00 to Ms.
N[...] M[...] buying out her undivided half-share in the property
that is decisive,
but the events that unfolded after Mr. M[...]’s
passing.
[12]
It is evident from the Letter of Authority
issued in terms of
section 18(3)
of the
Administration of Estates Act
66 of 1965
that the sole asset in Mr. M[...]’s estate was his
undivided half-share in the impugned property. Ms. N[...] M[...]’s
half-share has not yet been transferred to him by the time of his
passing. I pause to note that no documents filed by the respondents
indicate that Mr. M[...] was on the verge of registering such a
transfer when he passed away.
[13]
Ms. Baloyi’s offer to purchase
the immovable property is directed to the Estate of Late B[…]
P[...] M[...], W[…]
M[...], and N[...] M[...] M[...]. This
indicates that the late Mr. M[...] and his new wife were co-owners of
one half-share, and
Mr. N[...] M[...] was the co-owner of the other
half-share in the property. The sellers ostensibly signed the offer
to purchase
on 24 January 2022. The purchaser apparently signed the
document on 24 January 2024 (
sic
.).
I accept that it is a typographical error and must read 24 January
2022.
[14]
The power of attorney to pass transfer was
ostensibly signed by the executor on behalf of the estate, by the
third respondent, the
deceased's widow, and by Ms. N[...] M[...].
This document is dated 22 February 2022.
[15]
The applicant, Ms. N[...] M[...], claims
never to have signed the documents. She claims that her signature on
the transfer documents
has been forged.
[16]
Neither the executor of the estate nor Ms.
Baloyi refers to any instance where Ms. N[...] M[...] was approached
or required to sign
any documentation to effect registration of
transfer after the deceased passed away. The sale and registration of
transfer would
have occurred at the instance of the executrix of the
estate, and neither the executrix nor purchaser of the property
provides
any information or evidence dispelling the applicant’s
contention.
[17]
The respondents don’t deal
pertinently with the applicant’s averments that her signature
on the documentation was forged.
They don’t specifically deny
the allegation that her signature was forged on the offer to purchase
and the power of attorney
to pass transfer but claim that she
received payment for her half-share already in 2016. Whether she
received any payment is irrelevant
in light of the uncontested
averment that she did not sign the offer to purchase or a power of
attorney to pass transfer and that
her signature was forged.
[18]
The respondents, particularly the executrix
of the late estate, could easily have allayed any uncertainty by
submitting evidence
by the transferring attorneys indicating that Ms.
N[...] M[...] was approached to sign the transfer documentation or by
presenting
evidence of conversations or meetings they had with the
applicant regarding the sale and the transfer of the property to the
fourth
respondent, Ms. Baloyi.
[19]
The abovementioned is even more relevant in
the context that the property was sold to the executor of the
deceased estate’s
mother, while the executor stated in the
Application for Endorsement that the purchaser of the property is not
one of the persons
mentioned in
section 49(1)
of the Administration
of Estate’s Act 66 of 1965. The Master’s endorsement was
obtained on the wrong premise.
[20]
More is required by a respondent to place
contentions made by an applicant in dispute before the application of
the Plascon-Evans
principle applies.
In
casu,
the question of whether Mr.
N[...] M[...] received any money from her late husband as the
purchase price for her half-share in
the undivided property is not
the dispute that needs to be adjudicated by the court. The dispute
revolves around the question of
whether she consented to and signed
the documentation necessary to transfer the property, as reflected by
the documents. In this
regard, the respondents’ answers did not
give rise to any materially conflicting version.
[21]
I initially opined that the matter needs to
be referred to evidence. However, after having heard counsel and
carefully scrutinising
the papers filed of record, it is evident that
the respondents did not present a case in which the applicant agreed
to transfer
her half-share of the property to the fourth respondent
after the deceased passed away. She did indicate her willingness to
engage
with the executor regarding her half-share in the property,
but no case is presented that she signed the power of attorney to
pass
transfer to the fourth respondent. In addition, the Master’s
endorsement of the sale was acquired based on an erroneous statement
that the purchaser of the property was not a person mentioned in
section 49(2) of the Administration of Estates Act 65 of 1966.
[22]
Counsel
for the respondents submitted that even if the court finds that there
was fraud on the part of the respondents, the alleged
fraud cannot
affect the validity of the sale. I disagree. The Supreme Court of
Appeal recently reaffirmed in
Bonaficio
and Another v Lombard Insurance Company Ltd
[1]
that
fraud unravels all.
[23]
As a result, the relief sought by the
applicant relating to the transfer and registration of the property
stands to be granted.
[24]
The applicant also seeks an order that the
property be sold by the Sheriff-Cullinan by way of public auction to
the highest bidder
subject to a reserve price of R340 000,
alternatively that the respondents be directed to pay the applicant
the amount of R170
000.00 being the value of her undivided half-share
in the property.
[25]
I am of the view that the relief sought in
this regard cannot be granted on the papers as they stand. A dispute
exists regarding
whether the applicant was indeed paid for her shares
by her late husband, and evidence needs to be led on this aspect.
The
valuations obtained at that time can also not be said to reflect
the property's current value accurately, and evidence needs to
be
presented in this regard.
[26]
The general principle is that costs follow
success. Since a portion of the relief sought is referred to trial,
the applicant is
awarded 70% of the costs of the application on scale
B. The first to fourth respondents are jointly and severally liable
for the
costs, the one to pay and the other to be absolved.
ORDER
In
the result, the following order is granted:
1.
The purported deed of sale dated 24 January 2022 for the sale
of the immovable property described as ERF 2[...] M[...] V[...]
EXTENSION
[…] TOWNSHIP, REGISTRATION DIVISION JR, PROVINCE OF
GAUTENT, MEASURING 292 square meters (the Property) held in terms of
Deed of Transfer No. T[...] is hereby declared null and void and set
aside;
2.
The Registrar of Deeds, Pretoria, is hereby directed to cancel
the registration of transfer and title deed No. T[...] in respect
of
the Property and to cancel all the rights accorded to Elizabeth
Baloyi by virtue of said Title Deed;
3.
The Registrar of Deeds is hereby directed to transfer and
register the Property in the names of the late estate of P[...]
B[...]
M[...] and N[...] M[...] M[...] and to restore Deed of
Transfer T[...] in respect of the Property;
4.
The issue of whether the applicant received payment for her
undivided half-share in the immovable property and the division of
the
co-ownership of the immovable property is referred to trial.
5.
The notice of motion shall stand as a simple summons.
6.
The notice of intention to oppose shall stand as a notice of
intention to defend.
7.
The applicant shall deliver a declaration before 31 January
2025.
8.
Thereafter the rules of court relating to actions shall apply.
9.
The respondents are to pay 70% of the applicant’s costs
on scale B jointly and severally, with the one who pays the others
absolved.
E van der Schyff
Judge of the High Court
Delivered:
This judgment is handed down electronically by uploading it to the
electronic file of this matter on CaseLines. As a
courtesy gesture,
it will be emailed to the parties/their legal representatives.
For the applicant:
Adv. M. Motsusi
Instructed by:
Maphoso Mokoene
Inc.
For the respondent:
Adv. B.
Kubeka-Manyelo
Instructed by:
Mtombeni Cecila
Attorneys
Date of the
hearing:
18 November 2024
Date of judgment:
2 December 2024
[1]
(247/2023)
[2024] ZASCA 86
(4 June 2024) at para [19].
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