Case Law[2022] ZAGPPHC 794South Africa
President of The Republic of South Africa and Others v Uniqon Developers (Pty) Ltd and Others (29940/22) [2022] ZAGPPHC 794 (24 October 2022)
High Court of South Africa (Gauteng Division, Pretoria)
24 October 2022
Judgment
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# South Africa: North Gauteng High Court, Pretoria
South Africa: North Gauteng High Court, Pretoria
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## President of The Republic of South Africa and Others v Uniqon Developers (Pty) Ltd and Others (29940/22) [2022] ZAGPPHC 794 (24 October 2022)
President of The Republic of South Africa and Others v Uniqon Developers (Pty) Ltd and Others (29940/22) [2022] ZAGPPHC 794 (24 October 2022)
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sino date 24 October 2022
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
CASE
NO: 29940/22
In
the matter between:
THE
PRESIDENT OF THE REPUBLIC
OF
SOUTH AFRICA
FIRST
APPLICANT
THE
MINISTER OF THE DEPARTMENT
OF
AGRICULTURE, LAND REFORM
AND
RURAL DEVELOPMENT
SECOND
APPLICANT
THE
MINISTER OF PUBLIC WORKS THIRD
APPLICANT
and
UNIQON
DEVELOPERS (PTY) LTD FIRST
RESPONDENT
THE
EXECUTOR OF THE ESTATE
OF
THE LATE W J LOUW
SECOND
RESPONDENT
THE
SHERIFF PRETORIA EAST
THIRD
RESPONDENT
ORDER
The
following order is granted:
1.
The application is dismissed with costs.
REASONS
[1]
The applicant seeks an order staying the
execution of an order granted on 16 September 2022 in the unopposed
motion court, pending
the determination of a rescission application
filed and issued on 21 September 2022.
[2]
It is apparent from the papers filed of
record that the order was granted in the unopposed motion court. The
applicants’ (then
respondents) failed to file an answering
affidavit timeously, but their counsel made submissions to the court
seeking a postponement.
The court refused to accept the answering
affidavit, or postpone the matter, delivered an
ex
tempore
judgment, and granted the
order sought.
[3]
The applicants ostensibly rely on rule
42 in their rescission application. It cannot be said that the order
granted on 16 September
2022 was granted erroneously in circumstances
where the applicants’ counsel argued for a postponement and the
application
was dismissed. In these circumstances, an application for
rescission in terms of Rule 31 is, in my view, the correct approach
to
contest the order granted.
[4]
The factual context of this application,
however, belies the claimed urgency and does not substantiate a
finding that the applicants
will suffer irreparable harm if the order
is not granted. I am dealing with the merits of the application, for
the facts of the
matter refute the applicants’ contention that
they will suffer irreparable harm if the order granted on 16
September 2022
is not stayed.
[5]
The property in question is registered
in the name of the late W. J. Louw. The title deed reflects that the
property was purchased
from the Republic of South Africa by the said
Mr. Louw for an amount of R121 000.00. The title deed and a mortgage
bond in favour
of the seller in the amount of R108900,00 were
registered in the Deed’s Office in 1991.
[6]
Clause 6 of the bond determines that if
any question arises regarding any amount that may be outstanding, the
head of the Department
of Local Government, Housing and Works (Hoof:
Departement van Plaaslike Bestuur, Behuising en Werke) will finally
determine the
outstanding amount. The bond also contains the payment
arrangements. The parties agreed that the debt would be repaid in 60
monthly
instalments.
[7]
Neither party has, to date, been able to
locate any records regarding the transaction other than the title
deed and the bond. The
Deputy Director: Acquisitions and Disposals
from the Department of Infrastructure and Development, however,
confirmed that the
property is not listed on the ‘immovable
asset register’. He informs that the Department of
Infrastructure and Development
was only established in 2009. The
respondents made numerous futile attempts to enquire which department
would be seized with the
matter.
[8]
The applicants maintain that they have
not been able to determine which department must consent to the
cancelation of the bond over
the property. From the founding
affidavit, it seems as if they now question the validity of the
transaction, and require the respondents
to prove that the bond was
settled.
[9]
The order granted on 16 September 2022
provides for the payment of security equal to double the bond amount
in the trust account
of an attorney firm, and orders the applicants
to sign the bond cancelation papers within 7 days of the order. If
they fail to
do so, the Sheriff is to sign on their behalf. The
security is to remain in place until 15 November 2022 on which date
the applicants
are called upon to provide proof of any outstanding
amount in terms of the bond, failing which the rule
nisi
shall lapse.
[10]
The applicants submit that the payment
of security does not resolve the dispute ‘as one cannot pay for
something without knowing
the value thereof.’ The applicants
also submit that they need time to investigate the circumstances
surrounding the sale.
They allege that:
‘
as
long as it cannot be proved that ownership of the property has indeed
passed to the deceased, a fact which is still under investigation
as
already alluded to elsewhere above, the ownership has not passed to
the Second Respondent and consequently the offer to purchase
in the
relation to the property is null and void.’
This
submission does not account for the fact that registration of title
occurred and that a mortgage bond was registered over the
property
containing the payment arrangements.
[11]
It
is trite, that the effect of the registration of the transfer of
ownership is that it creates a real right and protects such
real
right by providing
prima
facie
evidence of its existence.
[1]
The best evidence of ownership of immovable property is the title
deed to it.
[2]
The applicants
are thus wrong when they submit that the ownership of the property
has not been proven since, despite having been
aware since at least
August 2021 of the request for the bond to be cancelled, they did not
rebut the evidence.
[12]
The
discretion to suspend court orders provided in rule 45A of the
Uniform Rules of Court was succinctly captured by Binns-Ward
J in
Stoffberg
N.O. and Another v Capital Harvest (Pty) Ltd
:
[3]
‘
The
broad and unrestricting wording of rule 45A suggests that it was
intended to be a restatement of the courts’ common law
discretionary power. The particular power is an instance of the
courts’ authority to regulate its own process. Being
a
judicial power, it falls to be exercised judicially. Its
exercise will therefore be fact specific and the guiding principle
will be that execution will be suspended where real and substantial
justice requires that. ‘Real and substantial justice’
is a concept that defies precise definition, rather like ‘good
cause’ or ‘substantial reason’. It
is for the
court to decide on the facts of each given case whether
considerations of real and substantial justice are sufficiently
engaged to warrant suspending the execution of a judgment; and, if
they are, on what terms any suspension it might be persuaded
to allow
should be granted.’
[13]
The
fact that the bond provided for the repayment of the debt over 60
months, whilst the bond was not foreclosed, substantiates
an
inference that the debt was settled in full. The fact that the bond
was not cancelled does not lead to the converse inference
that the
debt was not settled. In the circumstances where the applicants have
not been able to determine whether they have any
claim under the bond
for the past 15 months, where the applicants do not indicate what
steps they purport to take – or took-
to remedy the
impasse
,
[4]
where the property is registered in the name of the late Mr. Louw,
and where s 31 of the Administration of Estate’s Act 66
of 1965
provides for the late lodgement of claims against deceased estates,
the applicants failed to satisfy the court that irreparable
harm will
result if the execution of the order is not stayed.
[14]
The respondents submit that a costs
order
de bonis propriis
must be awarded against the applicants. The applicants in turn sought
the same order against the respondent. The urgent court is
not a
battleground for offended legal representatives. All parties’
legal representatives moved their respective clients’
cases. No
reason exists for departing from the principle that costs follow
success.
E
van der Schyff
Judge
of the High Court
For
the applicants:
Adv. A
Masombuka
Instructed
by:
The State Attorney,
Pretoria
For
the respondents: Adv.
L van Gass
Instructed
by:
Van der Merwe
Attorneys
Date
heard:
18
October
2022
Date
of order and reasons: 24
October 2022
[1]
Frye’s
(Pty) Ltd v Ries
1957
(3) SA 574
(A) at 584. See also Muller G
et
al., Silberberg and Schoeman’s The Law of Property,
6
th
ed, LexisNexis at 323 fn 133, and the authorities referred to
therein.
[2]
Muller
G
et
al., Silberberg and Schoeman’s The Law of Property,
6
th
ed, LexisNexis at 270.
[3]
(2130/2021)
[2021] ZAWCHC 37
(2 March 2021) at par [26].
[4]
The
applicants merely state that an investigation is ongoing without
providing sufficient detail about what has been done to date
and
what steps are planned for future investigations.
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