Case Law[2022] ZAGPPHC 436South Africa
Witwatersrand Estates Limited v City of Johannesburg Metropolitan Municipality and Others (90490/2018;70603/2018) [2022] ZAGPPHC 436 (9 June 2022)
Headnotes
Summary: Practice – separation of issues – jurisdictional issue separated from remainder of issues in an administrative review.
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Witwatersrand Estates Limited v City of Johannesburg Metropolitan Municipality and Others (90490/2018;70603/2018) [2022] ZAGPPHC 436 (9 June 2022)
Witwatersrand Estates Limited v City of Johannesburg Metropolitan Municipality and Others (90490/2018;70603/2018) [2022] ZAGPPHC 436 (9 June 2022)
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sino date 9 June 2022
HIGH
COURT OF SOUTH AFRICA
(GAUTENG
DIVISION, PRETORIA)
CASE
NO: 90490/2018 & 70603/2018
REPORTABLE:
NO.
OF
INTEREST TO OTHER JUDGES: NO
REVISED.
DATE
:
9 JUNE 2022
In
the matter between:
WITWATERSRAND
ESTATES LIMITED
Applicant
and
CITY
OF JOHANNESBURG METROPOLITAN
MUNICIPALITY
First
Respondent
CENTURY
PROPERTY DEVELOPMENT
(PTY)
LTD
Second
Respondent
INVESTEC
BANK
LIMITED
Third
Respondent
VUSUMUZI
TSHAYINGWE
Fourth
Respondent
DARREN
LAWRENCE
Fifth
Respondent
KIVASHANA
VEERASAMY
Sixth
Respondent
THEODOOR
DE
BOER
Seventh
Respondent
PRECINCT
RESIDENTIAL (PTY) LTD
Eighth
Respondent
Summary:
Practice
– separation of issues – jurisdictional
issue separated from remainder of issues in an administrative review.
Administrative
Law
–
PAJA
– 180 days in terms of Section 7(1)(b) – calculation –
consequences – ouster of court’s authority.
ORDER
1.
It
is declared that the review application under case no 9049/2018 has
not been instituted within the 180-day period contemplated
in section
7(1)(b) of PAJA and this court has accordingly no authority to
entertain the application.
2.
The
review application is therefore dismissed.
3.
The
applicant is ordered to pay the costs of the respondents (which
include the joined respondents), such costs to include the costs
of
two counsel, where employed.
J
U D G M E N T
This
matter has been heard in open court and is otherwise disposed of in
terms of the Directives of the Judge President of this
Division. The
judgment and order are accordingly published and distributed
electronically.
DAVIS,
J
[1]
Introduction
Two large
property owners and developers were at all relevant times neighbours
of two substantial properties in Midrand, situated
off Allandale
Road. The two neighbours were at one stage even partners in a joint
venture and subsequent to that were parties to
the approval by the
City of Johannesburg (the CoJ) of the development of the Kayalami
Gardens Ext 27 township. This was in 2010
(the 2010 decision).
Subsequently the CoJ approved that the township be divided into 10
smaller townships (all still on the same
initial property). This was
done in 2017 (the 2017 decision). Earthworks and construction (i.e.
development) started in February
2018 and by June 2018 the
non-developing neighbour became convinced that the development was
materially different to that agreed
to in 2010 and subsequently
resorted to an administrative review application. The first date of
service of this application was
on 8 January 2019 and the various
respondents to the review application
in limine
claimed that
the review application fell foul of Section 7(1)(b) of the Promotion
of Administrative Justice Act 3 of 2000 (PAJA)
which requires
proceedings for judicial review of administrative acts to be
instituted by not later than 180 days after an applicant
might
reasonably have been expected to have become aware of such action and
the reasons therefor. After substantial argument, this
issue was
separated from the remainder of the issues, which also included an
interdict application under case no 70603/2018.
[2]
The parties
2.1
The applicant is Witwatersrand Estates
Limited (WEL). It is the owner of the Farm Waterfall 5 IR Gauteng
(Waterfall). This is a
“development property” and the
applicant is a “competing developer” vis-à-vis its
neighbour.
2.2
The properties in question fall within the
jurisdictional area of the CoJ and forms part of its spatial
development plans for the
area. All consents and approvals required
for the development of the property were granted by the CoJ and it
therefore features
as the first respondent in the review application.
2.3
The “offending property”, then
known as the “Mushroom Farm” previously belonged to a
close corporation known
as Erf 51 Melville CC (Melville). In 2008
Melville approached WEL with a view to developing Kayalami Gardens
Ext 27 on the Mushroom
Farm. For purposes of a sensible development,
convenient access to Allandale Road was required. For this purpose
WEL provided a
servitude over its land. The nature of the servitude
is not a right of way in the form of a road traversing Waterfall, but
simply
a triangular sliver of land (in extent miniscule in comparison
with the remainder of the properties), but it enabled the
construction
of a road junction with Allandale Road where the two
neighbouring properties meet and abutt upon the road. As a
quid
pro quo
WEL insisted on certain
restrictions on the extent of the development to be undertaken on the
Mushroom Farm. The conclusion of
a notarial servitude and restraint
agreement in this regard led to the approval by CoJ in 2010 of the
establishment of a township
on the Mushroom Farm, which approval
constituted the 2010 decision referred to in the papers.
2.4
On 26 July 2012 Century Property
Development (Pty) Ltd (Century) acquired the Mushroom Farm at an
auction. A Notarial Deed of Restraint
and Grant of Servitude
registered against the Farm on 15 May 2012 became part of the rights
and limitations attached to the Farm
when it was registered in
Century’s name on 5 October 2012. Century features as the
second respondent.
2.5
On 23 July 2018, 8 November 2018 and on 6
June 2019 four portions of the Mushroom Farm were registered in the
name of Precinct Residential
(Pty) Ltd (Precinct). This came about as
a result of an amendment to the establishment of Kayalami Gardens Ext
27 township by way
of 19 phases to the establishment of 10 smaller
townships (Kayalami Gardens Extensions 34 – 43) by way of 10
phases. This
amendment was approved by the CoJ on 17 November 2017
(the 2017 decision) and townships 34 to 37 were the ones acquired by
Precinct.
Subsequent to a joinder application by WEL launched on 22
June 2021, Precinct was joined as the eighth respondent in the review
application on 20 July 2021.
2.6
Investec Bank Ltd (Investec) had a bond
over the Mushroom Farm when it was still owned by Century and
subsequently also became the
mortgagee in respect of bonds over
Precinct’s properties. Pursuant to the point of non-joinder
having been raised by Century
and an order by Khumalo J on 11 March
2020, upholding that point, Investec was joined as third respondent
in the review application.
This was pursuant to an
ex
parte
application by WEL launched on 1
June 2020 and a further order by Khumalo J on 18 June 2020.
2.7
By the same process and order, the tenants
in the residential developments on Kayalami Extensions 34 and 35,
known as Precinct Luxury
Apartments, were joined in the pending
proceedings. Four of these tenants subsequently featured in their
individual capacities
as the fourth, fifth, sixth and seventh
respondents. In total, some 672 residential units have been
constructed on Kayalami Extensions
34 and 35 at a cost exceeding R500
million. Investec has also funded the development of Kayalami Gardens
Extensions 36 and 37,
which are ongoing. Investec’s total
bond/security exposure over the properties of Century and Precinct
exceeds R700 million.
[3]
The nature of the review application
3.1
The principal basis of WEL’s review
application is that the development on the neighbouring (offending)
property in terms
of the 2017 decision is “
remarkably
and substantially different
” from
the development contemplated in the Precinct Plan approved in 2010.
Based on this contention, WEL claims that it should
have been
notified of and allowed to object to the amendment application. Its
deponent put it as follows in the founding affidavit
to the review
application:
“
17.
The decision to amend the establishment of Kayalami Gardens Ext 27 by
approving 10 new townships in this fashion
(alleged to have been a
clandestine fashion) is the decision which forms the subject matter
of this review application.
18. The CoJ, in
terms of relevant legislation, was obliged to give notice of the
application to neighboring interested
and affected parties … .
20. It is on this
basis that WEL seeks to review and set aside the 2017 approval as
constituting unlawful administrative
action as contemplated in
section 6 of …… PAJA.
21. There were
additional and related decisions … WEL contends that, if the
2017 approval is set aside,
it will follow as a necessary consequence
that the latter additional decisions will fall to be set aside also …
138. The
amendment of a Precinct Plan is inherently … an issue that
requires notification to immediate neighbors of
a subject property
…
”
.
3.2
The other rights which WEL intends
asserting, emanate from the notarial deed it had concluded with
Century’s predecessor,
Melville. It concedes, however, in the
founding affidavit, that this is a personal right. As such it may be
relevant to the interdict
application, but not the review
application. I shall refer to the interdict more fully hereinlater.
3.3
Needless to say, the allegations regarding
“material” or “substantial” differences in
the amendment to the
original Precinct Plan contemplated in 2010 are
hotly disputed, in particular, by the CoJ. Some other amendments were
as a matter
of course necessary as a result of the configurations or
requirements of the surrounding roads having changed. Some of these
roads
have also been proclaimed in any event.
3.4
Should the differences pursuant to the
amendment of the development not be material, CoJ could have dealt
with the amendment application
without re-advertising or giving
notice as there would not be any adverse affecting of rights and the
CoJ By-Laws provide for the
consideration of such amendments. This
issue is denied by WEL.
3.5
It appears from a comparison of the various
Precinct Plans and the old vs the new layout plans that the principal
exterior effect
of the amendment which concerns WEL, might be that
the total occupyable area (residential, office and commercial) in
terms of the
2017 amendment, exceeds that which WEL as competing
developer preferred and sought to restrain in the notarial deed. This
again,
appears to be more in the form of a personal right. Notably,
the CoJ points out that Century has since reduced the proposed
developed
area from 695 000m² to 525 000m².
Access points to the development and building heights remained
unchanged
from that contained in the 2010 Precinct Plan.
3.6
CoJ stated that it had “
accepted
the 2017 Precinct Plan without any advertisement and what has
happened in casu was a mere change in the configuration of
buildings
hence the Municipality approved the Site Development Plan (SDP) and
in that process the Municipality did not take into
account civil
agreements which are concluded between the parties such as WEL and
Erf 51 Melville CC and, by extension, Century
”.
3.7
Apart from the above commercial and
personal interests of WEL, the range of other decisions and aspects
which may be affected, should
a review application succeed, are
briefly the following:
-
the approval of townships;
-
the layout and configuration of townships,
the boundaries which have been dictated by environmental concerns and
the need to retain
open spaces;
-
the alignment and installation of existing
roads and engineering infrastructure;
-
the accesses procured from relevant
municipal and Provincial Road authorities, including routes and
servitudes of the Gautrain and
Eskom;
-
all building plans and occupation
certificates of residential units involved and
-
all service connections of completed and
proposed units.
[4]
The 180 day period
4.1
Although the applicable 180 day period for
the institution of administrative review proceedings have already
been referred to above,
the full text of the relevant section of PAJA
is quoted for ease of reference and sake of convenience:
“
7
Procedure for judicial review
(1)
Any proceedings for judicial review
in terms of Section 6(1) must be instituted without reasonable delay
and not later than 180
days after the date –
(a)
...
(b)
…
on which the person concerned
was informed of the administrative action, became aware of the action
and the reasons for it or might
reasonably have been expected to have
become aware of the action and the reasons
.”
4.2
Should a party not be able to comply with
the 180 day requirement, such a party may apply to a court for an
extension thereof as
provided for in section 9 of PAJA, which
extension may be granted “
where
the interests of justice so require
”.
4.3
At the outset, the importance of the 180
day cut-off period needs to be emphasised. It is a statutory
codification of the “delay
rule” which has been in
existence prior to the promulgation of PAJA. See inter alia
Harnaker
v Minister of the Interior
1965 (1) SA
3
72 (C).
4.4
In
Gqwetha v
Transkei Development Corporation & Others
2006 (2) SA 603
(SCA) the court found as follows in its majority
decision at [22] – [23]:
“
It is
important for the efficient functioning of public bodies that a
challenge to the validity of their decisions by proceedings
for
judicial review should be initiated without undue delay. The
rationale of the longstanding rule – reiterated most recently
by Brand JA in Associated Institutions Pension Fund and Others v Van
Zyl and Others
2005 (2) SA 302
(SCA) at 321 – is twofold:
First, the failure to bring a review within a reasonable time may
cause prejudice to the respondent.
Secondly, and in my view more
importantly, there is a public interest element in the finality of
administrative decisions and the
exercise of administrative functions
…. Underlying the latter aspect of the rationale is the
inherent potential for prejudice,
both to the effective functioning
of the public body and to those who rely on its decisions, if the
validity of its decision remains
uncertain …
”.
4.5
The above decision was quoted with approval
in
Opposition to Urban Tolling Alliance
(OUTA) v South African National Roads Agency Limited
(SANRAL)
[2013] 4 All SA 639
(SCA). The court of appeal then went further (at
[26]): “
At common law, application
of the undue delay rule required a two-stage enquiry. First, whether
there was an undue delay and, second,
if so, whether the delay should
in all the circumstances be condoned … Up to a point, I think,
section 7(1) of PAJA requires
the same two-stage approach. The
difference lies, as I see it, in the Legislature’s
determination of a delay exceeding 180
days as per se unreasonable.
Before the effluxion of 180 days, the first enquiry in applying
section 7(1) is still whether the
delay (if any) was unreasonable.
But after the 180-day period the issue of unreasonableness is
predetermined by the Legislature:
it is unreasonable per se
”.
4.6
What then is the remedy for an applicant if
it exceeded the 180 day period? The answer, already given above, lies
in an application
for the extension of time. In
OUTA
v SANRAL
(above) the Supreme Court of
Appeal has dealt with what the position would be in a case such as
the present where no such application
had been made (also at [26]):
“
It follows that the court is only
empowered to entertain the review application if the interests of
justice dictates an extension
in terms of section 9. Absent such an
extension the court has no authority to entertain the review
application at all. Whether
or not the decision was unlawful no
longer matters
”.
4.7
The possible disposal of the review by way
of a decision regarding the abovementioned jurisdictional aspect was
the consideration
which resulted in the separation of this issue, in
similar fashion as in
Passenger Rail
Agency of South Africa (PRASA) v Siyangena Technologies (Pty) Ltd
(7839/2016) ZAGPPHC (3 May 2017) per Sutherland J (as he then was).
4.8
In
PRASA v
Siyangena
Sutherland J further found
that, for purposes of considering the section 9 of PAJA
considerations, a “
focused
application is required
”.
4.9
In the
PRASA v
Siyangena
judgment, reference is also
made to
Asla Construction (Pty) Ltd v
Buffalo City Metropolitan Municipality
2017
(6) SA 360
(SCA) and
City of Cape Town v
Aurecon SA (Pty) Ltd
2017 (4) SA 223
(CC) wherein it has been confirmed that knowledge of improprieties
(if any) is irrelevant for purposes of calculating the starting
date
for the section 7(1)(b) 180-day period. The starting date is when
knowledge of the decision and the reasons for it is acquired
or
“
ought reasonably to have become
known
” to the applicant.
4.10
The starting of the “ticking clock”
has also been described as such in
Camps
Bay Ratepayers’ and Residents’ Association v Harrison
2011 (4) SA 42
(CC) at [57] as follows: “
In
terms of the section, the 180-day period starts to run when the
person concerned … became aware of the action and the
reasons
for it. Before the action nothing happens. In the final analysis it
is awareness of ‘the action’ that sets
the clock
ticking
”.
[5]
The
res
iudicata
issue
5.1
WEL, the CoJ and Century all agreed that
when the review application first came before Khumalo J on 11 March
2020, two points in
limine were raised. The first point was that of
non-joinder of Investec and the tenants. This point was upheld, which
led to a
postponement of the matter and to WEL’s subsequent
ex
parte
application which in turn led to
the order granted by Khumalo J on 18 June 2020 whereby these two sets
of parties were joined as
respondents.
5.2
The second point
in
limine
related to an alleged undue
delay in the institution of the review application. Apparently, so
counsel who then appeared in the
matter all agreed, this point did
not succeed. None of the counsel could however shed further light on
the issue. The consensus
was that the issue of an undue delay was
raised “in general terms” but there was no specific
argument or finding in
respect of the 180-day period in the fashion
in which it has presently been raised as a separated issue. There is
also no record
of Khumalo J’s judgment, findings or order in
this regard.
5.3
The requirements for a defence of
res
iudicata
are trite. They are that there
must be an order which is a final and definitive one on a cause of
action which is the same as the
issue raised again and which order
was given in litigation to which the present parties or their privies
were parties. See Harms,
Amlers
Technique in litigation
, 8
th
Edition on this topic as well as
AON
south Africa (Pty) Ltd v Van den Heever NO and Others
2018 (6) SA 38
(SCA).
5.4
At the time when Khumalo J made a finding
in respect of the delay issue, all the parties to the review
application had not yet been
joined. Applying the
res
iudicata
requirements, my learned
sister’s finding could therefore not operate against Investec,
the tenants or Precinct.
5.5
Furthermore, our courts have repeatedly
found that the application of the
res
iudicata
rule or defence can or should
be relaxed in appropriate circumstances. In
Prinsloo
NO and Others v Goldex 15 (Pty) Ltd and Another
2014 (5) SA 297
(SCA), after a long exposition of the definition and
requirements for a defence of
res
iudicata
and the concept of “issue
estoppel”, the learned judges of appeal pointed out at [26]
that “
our courts have been at
pains to point out the potential inequity of the application of issue
estoppel in particular circumstances.
But the circumstances in which
issue estoppel may conceivably arise are so varied that its
application cannot be governed by fixed
principles on even
guidelines. All this court could therefore do was to repeatedly sound
the warning that the application of issue
estoppel should be
considered on a case-by-case basis and that deviation from the
threefold requirements of res iudicata should
not be allowed when it
is likely to give rise to potentially unfair consequences in
subsequent proceedings …. That, I believe,
is also consistent
with the guarantee of a fair hearing in section 34 of our
Constitution
”.
5.6
In the present matter, it would be
manifestly unfair to estop parties who had not yet been joined in the
review application at the
time that Khumalo J had made the purported
finding of an absence of delay, (at one stage also referred to by
counsel as “a
ruling”) from raising the issue.
5.7
Furthermore, both in the interests of
justice and in view of the apparent generality of the finding of
Khumalo J, I find that it
would be equally manifestly unfair to estop
the CoJ and Century from raising specifically the jurisdictional
issue contemplated
in section 7(1)(b) pertaining to the 180-day
period.
5.8
Insofar as necessary and insofar as it has
been raised as an objection to the respondents arguing that WEL had
not overcome the
section 7(1)(b) jurisdictional hurdle, any reliance
by WEL on the
res iudicata
principle, is dismissed.
[6]
The relevant chronology of events and
the evaluation thereof
6.1
The “original” approval for the
development of the Mushroom Farm was granted on 20 October 2010 (the
2010-decision).
This was after notice to WEL and the general public.
Certain of the consents which formed part of that approval would
lapse if
not renewed or extended. WEL was at all relevant times aware
of the approval and its terms as well as the Precinct Plan that it
encompassed.
6.2
On 20 November 2017 the CoJ advised Century
as follows:
“
I have to
advise that the Deputy Director: Legal Administration considered the
application to divide Kyalami Garden extension 27
and resolved under
sub-delegated powers as follows: That the application to divide the
proposed township Kyalami Gardens extension
27 into Kyalami Gardens
Extension 34, 35, 36, 37, 38, 39, 40, 41, 42 and 43 as indicated on
the attached division plan, be approved
subject to the following:
1.
All conditions to which Kyalami Gardens
extension 27 was initially approved, shall apply mutatis mutandis.
2.
The Conditions of Establishment of
Kyalami Gardens extension 34, 35, 36, 37, 38, 39, 40, 41, 42, and 43
shall be drafted to the
satisfaction of the Deputy Director, Legal
Administration.
Resultant from
the approval of the division the period contemplated in Section 72
(1) has commenced on 17 November 2017 and will
expire on 18 November
2018
”
.
6.3
Under the heading “EVENTS CONSEQUENT
UPON THE DECISION” in the founding affidavit deposed to on
behalf of WEL in the
review application, the deponent described the
next relevant event as follows: “…
Century
commenced construction activities on the subject property on or about
February 2018. At some stage thereafter, such construction
activities
became apparent to passers-by and WEL also became aware of such
construction activities. Initially WEL believed that
the construction
activities were taking place in accordance with the 2010 approval
”.
6.4
Apart from the vagueness of the abovequoted
paragraph (being paragraph 116 of the founding affidavit) one must
consider the position
of WEL. It is not a lay person in the
construction and development industry. Its whole case is premised on
vested interests in
the manner and fashion in which its competing
property development neighbour conducts the development of the
Mushroom Farm. These
aspects have been set out in paragraph 3 above.
It must also have been aware of the consent requirements or the
lapsing thereof
after the effluction of more than seven years after
the 2010 – decision. Its “belief” must therefore be
subject
to some doubt.
6.5
According to the founding affidavit,
nothing was done by WEL in relation to the subject matter of the
current dispute during the
ensuing months of March, April and May
2018. In the meantime, construction continued unabated. Adv Putter SC
argued that WEL could
not be criticized for this due to the fact that
it allegedly had no access to the neighbouring property. There is,
however, no
evidence to indicate that it had made any effort to
establish the nature or extent of the construction activities.
6.6
The next event on which Adv Putter SC on
behalf of WEL relied is contained in paragraph 117 of the founding
affidavit: “
In June 2018 WEL came
into possession of a marketing brochure published by Century in
relation to the subject property, entitled
“The Precinct””
.
According to WEL the brochure included a Site Development Plan (SDP)
and portrayed a development that is materially different
to the one
depicted in the 2010 Precinct Plan. The indications are that the
“possession” of the brochure must have
occurred in the
week preceding 18 June 2018, for that is when the next event
occurred. The brochure was also available on Century’s
website.
6.7
The event which occured 18 June 2018, was a
letter by WEL’s attorneys to Century, demanding an explanation.
It contained references
to the acquisition of the Mushroom Farm by
Century from its predecessor Melville as well as references to the
“Notarial Deed
of Restraint and Grant of Servitude” and a
2010 “Kayalami Centro Master Plan”. It also referred to a
cancellation
of a school lease. This was due to the fact that in the
architect’s depiction of the development in the brochure a
school
was included, but this was in error and neither Century or
Precinct intended erecting a school, so nothing much turns on this.
The letter also refers to bulk earthworks being conducted in the
following manner (in paragraph 15 of the rather lengthy letter):
“
In
relation to the bulk earthworks and other construction activities
that you have commenced on the property, our client must conclude
that you are in the process of developing the property in accordance
with the SDP, notwithstanding the fact that the development,
as
contemplated in the SDP is in breach of the restraints and
notwithstanding, further, that the development, as contemplated by
the SDP,
has not been approved by
the CoJ
”.
6.8
The underlined portion of the quoted
portion of the letter was at that stage WEL’s prime concern. It
based its contention
on the contents of paragraph 13 of the letter
which reads as follows: “
No
permission has been sought from our clients to deviate from the
Master Plan and no such permission has been granted by our clients.
In addition, our clients are unaware of any processes embarked upon
(by) you to obtain the requisite permission from the CoJ to
substitute the SDP for the Master Plan
”.
6.9
I interrupt the narrative to reiterate that
the “Master Plan” relied on by WEL contemplated one
township (Kayalami Gardens
Ext 27) with a development in 19 phases
while the SDP contemplated multiple smaller townships (on the same
property) with a development
in ten phases (one for each township).
6.10
The next event was a reply to the letter
from WEL’s attorneys by Century’s attorneys on 27 June
2018. In this letter
the following was inter alia stated:
“
5.1
It is denied that any current construction activities embarked upon
by our clients, as integral part of the phased
Township Kylami
Gardens Ext 27 development, are, or can, on any basis be unlawful as
alleged. Your clients’ averments in
that regard obviously stem
from the lack of information conceded in your letter under reference.
5.2
As you have correctly recorded, our client acquired the land
involved, i.e. the remaining extent of portions
2 and 88 of the Farm
Bothasfontein, ± 67 hectares in extent, from its predecessor
i.e Erf 51 Melville CC, on which land
the abovementioned Township has
been established. Such Township has in the interim however been
subdivided and phased in not less
than 10 (ten) separate Townships,
now knowns as Kylami Gardens Extensions 34 up to 43
”
.
6.11
In the letter further, Century’s
attorneys contended that, despite the amendment of the development
from one township to ten
smaller townships, the ultimate development,
when finalised would “essentially be in accordance with (the)
original plan”.
The intention not to construct a school was
reiterated and particulars were sought from WEL (including copies) of
the “Kayalami
Centro Master Plan” referred to in the
letter of 18 June 2018.
6.12
All the respondents argue that by this time
and by way of this letter, WEL had been informed of and “gained
knowledge”
of an approval by the CoJ of an amendment to the
original terms of the 2010-approval for township development on the
Mushroom Farm.
As a developer who had itself, even in respect of the
adjacent property, undergone the same process, WEL could not have
been in
any doubt that a decision had been taken and that an
amendment had been approved. This is exactly what the subdivision
referred
to in paragraph 5.2 of the replying affidavit states.
6.13
That the above is also how WEL itself
understood the position, is evinced by its’ attorneys’
letter to the CoJ on 28
June 2018. In that letter, apart from once
again referring to WEL’s personal and contractual rights
previously agreed with
Melville, the attorneys record that WEL is “
in
the process of assessing their rights in relation to the development
taking place on the properties
”
and has instructed town planning consultants to “…
ascertain, precisely, what rights have
been afforded to Century in relation to the properties
”.
6.14
It appears elsewhere in the papers that
certain further correspondence passed between the attorneys of WEL
and Century, wherein
the latter referred expressly to the fact that
the amendments had been considered by the CoJ in terms of Sections 99
and 100 of
the Town Planning and Townships Ordinance of 1986 read
with Section 31 of the City of Johannesburg Municipal Planning
By-laws of
2016.
6.15
WEL, however did not refer to this
correspondence in its founding affidavit, claiming that it is “
not
relevant to the issue in these proceedings
”
and the next event relied on, is a further letter to the CoJ dated 7
August 2018. In this letter, WEL again claims that
Century had
breached or was busy breaching the agreement reached with its
predecessor. The letter also states: “
In
addition, our client believes that the approvals granted by the City
of Johannesburg in relation to the development of the property,
in
these approvals’ current form, are in all likelihood
problematic and our client had reason to believe that such approvals
may well be defective and even subject to Judicial Review by the High
Court
”.
6.16
The event which WEL contends was the
starting date for the running of the proverbial clock, was when its
attorney obtained five
lever-arch files from the CoJ, constituting
its version of the record. Adv Putter SC argued that this constituted
the furnishing
of the reasons for the decision and that is why it
constitutes the “starting date”. The difficulty with this
submission
is that no reasons had been requested by WEL (and
consequently no reasons have been supplied by the CoJ). The five
ringbinders
merely contained the particulars of Century’s
applications and the attendant input from the various other internal
departments
from the CoJ and other role players. Insofar as it may
have afforded WEL further grounds to claim impropriety, those
particulars
(or knowledge) fall within the category of particulars
referred to in paragraph 4.9 above and which are irrelevant to the
determination
of the starting date. These documents also would have
formed the contents of the record which would have had to be produced
by
the CoJ, had a review application been launched in terms of Rule
53 of the Uniform Rules of this Court.
6.17
Had the calculation of the 180-day time
period commenced on 27 June 2018 when Century had informed WEL that
it had obtained approval
of an amendment of the
2010-decision/approval, the time period ran out on 24 December 2018.
This is what the respondents contend
happened.
6.18
It appears that WEL was also aware of this
running out of the time period as it had issued the review
application on 20 December
2018, that is 4 days before the expiry of
the time period.
6.19
It was however only after the effluxion of
the 180-days period that WEL’s review application was served on
the CoJ on 8 January
2019.
6.20
It is not from the papers clear when the
application was served on Century as the return from the Sheriff
purporting to refer to
Century, read in its contents the same as the
return of service on the CoJ. Century’s notice of intention to
oppose also
does not shed light on the subject and was served on 22
January 2019.
6.21
What is further certain, is that the other
parties who had been found to be necessary parties, that is Investec
and the tenants
and Precinct, have only been joined on 18 June 2020
and 20 July 2021 respectively.
6.22
The parties were
ad
idem
that service of a review
application was necessary to interrupt the running of the time period
contemplated in section 7(1)(b)
of PAJA. See also
Finishing
Touch 163 (Pty) Ltd v BHP Billiton Energy Coal South Africa Ltd and
Other
s
2013 (3) SA 204
(SCA) and
Tladi
v Guardian National Insurance Co Ltd
1992 (1) SA 76
(T). In respect of the joined parties, they only
become parties to a pending matter upon the granting of an order to
that effect
and not upon service of a joinder application. See
Peter
Taylor Associates v Bell Estates & another
(558/12)
[2013] ZASCA 94
(04 July 2013).
[7]
Conclusion
7.1
In the present matter, should it be found
that the 180-day period had expired prior to service of the review
application on (at
least) the CoJ and the other party in favour of
whom the decision sought to be impugned had been granted (Century),
then WEL is
in the same position as PRASA in the
PRASA
v SANRAL
matter (above). In the words
of Sutherland J with reference to the requirements for an application
for extension of time contemplated
in Section 9 of PAJA, the position
is as follows:
“
In short,
Prasa needed to put up an application that meets these requirements.
It has not done so. The reason why it has not done
so is that the
premise of its application was that it was unnecessary. Having been
found to have erred in that regard, it has been
left without a
pleaded case to substantiate it
”.
7.2
Having regard to the chorology set out in
paragraph 6 above, I am of the view that WEL could reasonably have
been expected to do
more than remain supine in the time period
between February and June 2018. Even if it is given the benefit of
the doubt for that
period, I find that, when one has regard to the
contents of paragraphs 6.10 – 6.13 above, WEL should be found
to have acquired
knowledge of the fact Century had obtained approval
from the CoJ for the amendment of the township development on the
Mushroom
Farm, by no later than 27 June 2018. That is when the clock
in respect of the 180-day period contemplated in Section 7(1)(b) of
PAJA started ticking for it.
7.3
Having reached the above conclusion, the
consequential finding is that the prescribed time period had run out
prior to service even
on the decisionmaker, the CoJ. In view hereof,
I need not consider the aspect regarding the crossing of the
jurisdictional hurdle
in respect of the joined parties. Despite the
date of their joinder, they are entitled to claim that the hurdle had
not been crossed
in respect of the “principal parties” as
I have already explained above during the consideration of the
res
iudicata
issue.
7.4
In the absence of any application as
contemplated in Section 9 of PAJA, the review application is
time-barred and this court has
no authority to entertain it. I use
the word “authority” by following the wording used in the
decisions in
OUTA v SANRAL
and
PRASA v Siyangena
(above).
7.5
As indicated by Adv Putter SC during
argument, should the above be the finding of this court, it will
impact on the interdict application.
This application was launched
separately under case number 70603/2018 prior to the review
application. It was partially premised
on the merits of the review
application but was also premised on the alleged breaches of the
agreements already referred to above
between WEL and Melville. It
might be that the interdict application would be subject to all kinds
of permutations which may or
may not include amendments or references
to appeal procedures, if any. For that purpose a further case
management meeting had been
arranged for the day following the
delivery of this judgment (being the Thursday of the week in which
the separated issue had been
heard), for those parties remaining part
of the interdict proceedings.
7.6
In respect of costs, I find no cogent
reason why costs should not follow the event, and this includes the
costs of the joined respondents.
[8]
Order
1.
It
is declared that the review application under case no 9049/2018 has
not been instituted within the 180-day period contemplated
in section
7(1)(b) of PAJA and this court has accordingly no authority to
entertain the application.
2.
The
review application is therefore dismissed.
3.
The
applicant is ordered to pay the costs of the respondents (which
include the joined respondents), such costs to include the costs
of
two counsel, where employed.
N
DAVIS
Judge
of the High Court
Gauteng
Division, Pretoria
Date
of Hearing: 6 June 2022
Judgment
delivered: 9 June 2022
APPEARANCES:
For
Applicant:
Adv L Putter SC together with
Adv H Voster
Attorney
for Applicant:
Faber Coertz Ellis Austen Inc.,
Bryanston
c/o Fried Hart Solomon &
Nicolson
Attorneys, Pretoria
For
the 1
st
Respondent:
Adv E Mokutu SC together with
Adv X Stemela & Adv N
Makaye
Attorneys
for the 1
st
Respondent:
Malebye Motaung Mtembu Inc.,
Pretoria
For
the 2
nd
Respondent:
Adv M C Maritz SC together with
Adv J A Venter
Attorneys
for the 2
nd
Respondent:
Adriaan Venter Attorneys, Pretoria
For
the 3
rd
Respondent:
Adv F H Terblanche SC together
with Adv J E Smit
Attorneys
for the 3
rd
Respondents:
Webber Wentzel Attorneys,
Sandton
c/o Hills Incorporated,
Pretoria
For
the 4
th
– 7
th
Respondents:
Adv K
Tswatsawane SC together
with Adv G Egan
Attorneys
for the 4
th
– 8
th
Respondents:
Diale Mogashoa Attorneys,
Pretoria
For
the 8
th
Respondent:
Adv M C Erasmus SC together with
Adv D J van Heerden
Attorneys
for the 8
th
Respondent:
Weavind & Weavind Attorneys,
Pretoria
sino noindex
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