Case Law[2023] ZAGPPHC 583South Africa
Passano v Erasmus (82775/2015) [2023] ZAGPPHC 583 (16 January 2023)
High Court of South Africa (Gauteng Division, Pretoria)
16 January 2023
Headnotes
against the new owner (even though he or she has not been enriched) until the lien holder has been duly compensated. In Pheiffer v Van Wyk and Others [10] the SCA held: ‘[12] A real lien (an enrichment lien) is afforded a person who has expended money or labour on another's property without any prior
Judgment
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# South Africa: North Gauteng High Court, Pretoria
South Africa: North Gauteng High Court, Pretoria
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## Passano v Erasmus (82775/2015) [2023] ZAGPPHC 583 (16 January 2023)
Passano v Erasmus (82775/2015) [2023] ZAGPPHC 583 (16 January 2023)
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sino date 16 January 2023
SAFLII
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IN THE HIGH COURT
OF SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
CASE NO: 82775/2015
REPORTABLE: NO
OF INTEREST TO OTHERS
JUDGES: NO
REVISED
DATE: 16 January 2023
In the matter between:
CAREL
PASSANO
Plaintiff
and
BELINDA
ERASMUS
Defendant
JUDGMENT
# JANSE VAN NIEUWENHUIZEN J
JANSE VAN NIEUWENHUIZEN J
1.
The plaintiff seeks an order for the
eviction of the defendant from Plot 1[...] B[...],
Meyerton (“the property”). The
plaintiff, furthermore, claims an amount of R 528 000, 00 on the
basis that the defendant
has been enriched by her occupation of the
property.
2.
The defendant opposes the relief
claimed by the Plaintiff and alleges that she has a lien over the
property in respect of certain
improvements she effected on the
property. The defendant also instituted a counter-claim in terms of
which she seeks compensation
for the improvements she effected on the
property.
## Background
Background
3.
The facts pertaining to the relief
claimed by both parties are largely common cause.
4.
The defendant’s erstwhile
husband, Theuns Erasmus (“Erasmus”), purchased the
property from his father for an amount
of R 30 000, 00. The defendant
testified that, when she and Erasmus took possession of the property
in 2004, the property was a
vacant plot. During the period 2004 until
November 2006 she improved the property by supplying building
materials and overseeing
the building of a house on the property. The
defendant testified that she effected the improvements in the
bona
fide
belief that she and Erasmus were
the joint owners of the property. The defendant’s believe
proved to be incorrect as Erasmus
registered the property in his
name.
5.
The defendant retained the receipts of
the expenses she incurred and testified that the expenses amount to R
528 064, 22.
6.
The marriage relationship between the
defendant and Erasmus broke down and Erasmus vacated the property
during 2015. The defendant and the
minor children, however, remained on the
property. A divorce action followed, and a divorce order was granted
during 2017. The defendant
testified that she did not receive any
compensation from Erasmus for the improvements she effected on the
property.
7.
Prior to the finalisation of the
divorce and on 3 June 2015 the plaintiff purchased the property from
Erasmus for an amount of R
300 000, 00. The defendant became aware of
the sale and testified that her previous attorneys obtained an
interdict in the Magistrate’s
court to prevent transfer of the
property until she had been compensated for the improvements she
effected on the property. She
was, however, informed by her previous
attorneys that the Magistrate’s court was the incorrect forum
and that the interdict
was set aside.
8.
As a result, the property was
registered in the plaintiff’s name on 21 August 2015.
9.
Subsequent to the registration of the
property in the name of the plaintiff, the plaintiff endeavoured to
enter into a rental agreement
with the defendant, without any
success. The defendant testified that she did not have the necessary
financial means to pay any
rent to the plaintiff and that she was
under the impression that she may remain on the property until she
had been compensated
for the improvements she had effected on the
property.
10.
Being unable to generate an income from
the property whilst the defendant occupied the property, the
plaintiff lodged an application
for the eviction of the defendant on
18 September 2015.
11.
The defendant opposed the application
on the basis that she has an improvement lien for the improvements
she effected on the property
and that she is entitled to remain in
occupation of the property until she has been compensated for the
improvements.
12.
The application was heard by Raulinga J
on 25 April 2017 and in view of the issues in dispute, Raulinga
J referred the matter to trial. The terms
of the order relevant to the present dispute, were delineated in the
order as follows:
“
3.
1
If the Respondent (Defendant in the
future action) has effected necessary and/or useful improvements to
the immovable property situated
at Plot 1[...], B[...], Meyerton, and
herein after referred to as “the immovable property”,
on/or before the 3
rd
of June 2015, and if so:
3.1.1
Against whom such claim, if any
vests;
3.1.2
The extent and nature of such
improvements;
3.1.3
The quantification of such
improvements in accordance with the common law principles;
3.1.4
The determination of enrichment of
the Applicant (Plaintiff in the future action) if any.
3.2
If the Respondent holds an
improvement lien over the property.
3.3
If the Respondent was and is
entitled to remain in occupation of the immovable property since 8
th
September 2015, and if not, the reasonable compensation payable to
the Applicant by the Respondent for such occupation.”
13.
At the inception of the trial, I was
informed by the parties that it was agreed that the issue pertaining
to the quantum of the
defendant’s claim be separated from the
remainder of the issues contained in the order of Raulinga J. An
order in the aforesaid
terms was accordingly, in terms of the
provisions of rule 33(4), granted.
14.
I pause to mention that it is common
cause between the parties that the defendant vacated the property
during April 2022.
## Plaintiff’s
eviction claim: lawfulness of defendant’s occupation of the
property
Plaintiff’s
eviction claim: lawfulness of defendant’s occupation of the
property
15.
In view of the fact that the defendant
vacated the property in April 2022, it is no longer necessary to
issue an eviction order.
16.
The question that remains is whether
the defendant’s occupation of the property was lawful.
17.
The applicable legal principle
pertaining to the lawfulness of the defendant’s occupation of
the property was succinctly summarised
in
Beukes
and Another
(CA&R 60/2018) [2020]
ZANCHC (23 March 2020) as follows:
“
[57]
It is trite that a bona fide possessor who has preserved or made
improvements to another’s property at his or her expense
has a
right of retention against the property to secure compensation for
his or her necessary and useful expenses.
This is a real right and an absolute
defence against eviction by the owner or any future owners of the
property.
The
exceptions being where ownership is acquired through a sale in
execution where the purchaser was unaware of the right of retention
and the retentor, with full knowledge of the sale fails to inform the
purchaser of this right and sales in insolvency.
[9]
[58]
Where it is the previous owner of
property who has been enriched (as in this case the Visagies) at the
expense of the lien holder
it is to him that the lien holder should
seek redress for purposes of a possible enrichment claim, but the
right of retention can
be held against the new owner (even though he
or she has not been enriched) until the lien holder has been duly
compensated. In
Pheiffer v Van Wyk and Others
[10]
the SCA held:
‘
[12]
A real lien (an enrichment lien) is afforded a person who has
expended money or labour on another's property without any prior
contractual relationship between the parties. The lien holder is
entitled to
retain
possession
until
his
enrichment
claim
has
been
met.
It
is an established principle of our
law that the owner of the property subject to a right of retention
may defeat the lien by furnishing
adequate security for the payment
of the debt.’”
18.
It is
clear
from the
facts
that
the
building
of
a
house
and
outbuildings
on
the
property improved the property’s value and enriched Erasmus. It
is, furthermore, clear from para [33] in
Boshoga
and Another v Mmakolo and Others
(82446/2016)
[2018] ZAGPPHC 656 (7 March 2018) that the defendant was a
bona
fide
occupier at the time the
improvements were effected:
“
[32]
In Wille's Principles
of South African Law[10]
reference is made to De
Vos
Verrykingsaanspreeklikheid 245-7 who defines (for the purposes of the
law of enrichment) a bona fide possessor as someone who
possesses
(either directly or indirectly) property of which he believes he is
the owner; a mala fide possessor, on the other hand,
acts as if he
were the owner, while knowing that he is not. An occupier is someone
who does not have the animus domini but nevertheless
occupies the
property because it is in his interest to do so. Occupiers are
divided into lawful occupiers (i.e. those who have
the right to
occupy the property), bona fide occupiers (i.e. those who believe
themselves to be lawful occupiers, but are not)
and mala fide
occupiers
(i.e.
those who occupy property as if they are
lawful occupiers, but know that they are not).”
19.
The defendant, therefore, had a
retention lien in respect of the property and was entitled to occupy
the property until she was
compensated for the improvements she
effected to the property. In the result, the defendant’s
occupation of the property
was
ex lege
lawful.
## Plaintiff’s
enrichment claim:
Plaintiff’s
enrichment claim:
20.
The basis
for
the plaintiff’s
claim
for enrichment
is
pleaded
as
follows
in the
particulars of claim:
“
Throughout
the duration of her occupation of the property
7.1
her occupation of it has been
unlawful;
7.2
she has failed, refused and/or
neglected to enter into a lease agreement with the applicant;
7.3
she has been enriched by the value
of her occupation, because her estate has enjoyed the saving of not
having paid any rental or
other related amounts (such as the costs of
water and electricity consumed on the property) in respect of her
occupation.”
21.
In view of the finding that the
defendant’s occupation of the property was lawful, the
plaintiff’s claim as pleaded
aforesaid, stands to be dismissed.
## Defendant’s claim
for compensation for the improvements she effected on the property
Defendant’s claim
for compensation for the improvements she effected on the property
22.
It is clear from
Beukes
and Another,
referred to
supra
that the defendant’s enrichment
claim in respect of the improvements
she
effected on the property lies against Erasmus. The defendant’s
claim in this regard, therefore, stands to be
dismissed.
## Costs
Costs
23.
Neither of the parties were successful
and neither is entitled to costs.
# ORDER
ORDER
1.
The plaintiff’s claim is dismissed.
2.
The defendant’s counterclaim is
dismissed.
N. JANSE VAN
NIEUWENHUIZEN
JUDGE OF THE HIGH
COURT OF SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
# DATE HEARD:
DATE HEARD:
17 November 2022
# DATE DELIVERED:
DATE DELIVERED:
16 January 2023
# APPEARANCES
APPEARANCES
COUNSEL FOR THE
PLAINTIFF:
Adv A Du Plooy
ATTORNEYS FOR THE
PLAINTIFF:
Richards Attorneys
COUNSEL FOR THE
DEFENDANT:
Ms Mc Muller
ATTORNEYS FOR THE
DEFENDANT:
Legal Aid South Africa
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