Case Law[2023] ZAWCHC 324South Africa
T.K v F.O and Another - Appeal (A52/2023) [2023] ZAWCHC 324 (11 December 2023)
High Court of South Africa (Western Cape Division)
11 December 2023
Headnotes
the fact that the respondent was to continue to pay for the bond instalments, amongst others, showed that the deed of sale did not present the full picture. The court a quo found that the fact that the parties did not disclose to the attorneys who drafted the deed of sale, was a deliberate withholding
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## T.K v F.O and Another - Appeal (A52/2023) [2023] ZAWCHC 324 (11 December 2023)
T.K v F.O and Another - Appeal (A52/2023) [2023] ZAWCHC 324 (11 December 2023)
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sino date 11 December 2023
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
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Policy
IN THE HIGH COURT OF
SOUTH AFRICA
(WESTERN CAPE
DIVISION, CAPE TOWN)
Case
No: A52/2023
In
the matter between:
T[…]
K[…]
Appellant
And
F[…]
O[…]
First
Respondent
CITY
OF CAPE TOWN
Second
Respondent
Judgment
handed down electronically on Monday, 11 December 2023 at 11h00
DOLAMO,
J (GAMBLE and NUKU JJ concurring):
INTRODUCTION
[1]
This is an appeal against the judgment of Thulare J in terms of which
he dismissed an application
for the eviction of the respondent from
the premises known as 1[…] R[…] drive, Pinelands, Cape
Town (“the property”)
in terms of section 4 of the
Prevention of Illegal Eviction from and Unlawful Occupation of Land
Act
[1]
, leave to appeal having
been granted by the Supreme Court of Appeal (SCA). As the second
respondent did not take part in the proceedings,
I shall henceforth
refer to the first respondent simply as the respondent.
[2]
The central issue in the matter is the co-ownership of the property.
The appellant claims sole
ownership of the property whilst the
respondent’s contention is that he is a co-owner thereof, that
there is an oral agreement
between the parties to the effect that the
appellant is merely “
holding
” his half share on
his behalf, and that, as such, he is not an unlawful occupier. The
issue of ownership of the property
resulted in a factual dispute on
the papers and, when the matter first came before Binns-Ward J, was
referred to oral evidence.
[3]
The order by Binns-Ward J, which incorporated principles set out in
Metallurgical
[2]
,
is in the following terms:
“
1.
The application is postponed to the semi-urgent roll on the 9th
November 2021
for determination after the hearing of oral
evidence on the contested question of the alleged co-ownership of Erf
2[…], Cape
Town
, situate at 1[…] R[…]
Drive, Pinelands. Cape Town. (Emphasis added).
2.
The evidence shall be that of any witness/es whom the parties, or
either of them, may eject
to call subject, however, to what is
provided in paragraph 3 hereof.
3.
Save for witnesses whose evidence is already on affidavit in this
application, neither patty
shall be entitled to call any witness
unless:
3.1
That party has served on the other party at least 14 days before the
date appointed for the hearing
(in the case of a witness to be called
by the applicant) and at least 10 days before such date (in the case
of a witness to be
called by the respondent) a statement wherein the
evidence to be given in chief by such person is set out; or
3.2
the court, at the hearing, permits such person to be called despite
the fact that no such statement
has been so served in respect of his
evidence.
4.
Either party may subpoena any person to give evidence at the hearing
whether such person
has consented to furnish a statement or not.
5.
The fact that a party has served a statement in terms of paragraph 3
hereof, or has subpoenaed
a witness, shall not oblige such party to
call the witness concerned.
6.
If a deponent or witness is not called to testify, the affidavit or
statement of such deponent
or witness shall be disregarded in the
determination of the issues referred to oral evidence.
7.
Each of the parties shall, within 20 days from the date of this
order, make discovery on
oath of all documents relating to the issue
referred to in paragraph 1 hereof, which are or have at any time been
in the possession
or under the control of such party, and the
provisions of Rule 35 with regard to the inspection and production of
documents discovered
and the making of further discovery shall be
applicable as if the discovery made in terms of this paragraph had
been made consequent
upon a notice in terms of Rule 35(1).
8.
The documents discovered in terms of paragraph 7 shall be deemed to
be what they purport
to be without further proof, subject to the
right of any party, on five days' written notice, to require the
party discovering
any specified document/s to prove such document/s.
9.
The issue of liability in respect of the costs of suit incurred to
date is stood over for determination
by the court deciding the
eviction application as contemplated in terms of paragraph, 1 of this
order.”
[4]
On 9 November 2021 the matter came before Thulare J who, after
hearing oral evidence and without
in any way determining the
contested question of co-ownership of the property, dismissed the
application with costs. The court
a
quo
stated rather that the
issue referred to oral evidence concerned the intention of the
parties when they signed the deed of sale
in terms of which the
appellant purchased the respondent’s half share in the
property, which they had purchased jointly and
was registered in both
their names.
[5]
In upholding the respondent’s version that the deed of sale was
a sham and that there was
an underlying oral agreement in terms of
which the parties agreed that they would sign the deed of sale that
provided for the transfer
of the respondent’s half share in the
property to the appellant in order to protect it from his creditors,
the court a
quo
held that the fact that the respondent was to
continue to pay for the bond instalments, amongst others, showed that
the deed of
sale did not present the full picture. The court a
quo
found that the fact that the parties did not disclose to the
attorneys who drafted the deed of sale, was a deliberate withholding
of vital information as regards the true nature of the transaction.
[6]
The court a
quo
went on to reject the appellant’s version that the deed of sale
represented an arm’s length transaction which resulted
in the
transfer to her of the respondent’s half share in the property
and held that
[3]
:
“
[28]
Mr Parker and Mr Mohamed were credible and reliable witnesses and
their versions are probable. There was prior
negotiations between the
parties, which were very material to the agreement that they reached.
These prior negotiations included
material issues which should have
formed part of the substantive agreement between the parties and
should have formed part of the
deed of sale. The applicant
specifically told an untruth about it to Mr Mohammed and both parties
did not disclose it to Mr Parker.
If this had been told to Mr
Mohammed, and disclosed to Mr Parker, the deed of sale would have
clarified, interpreted and conveyed,
in language facile enough to
record the true agreement between the parties.
[29]
I have serious doubts about the inherent credibility of the
applicant’s factual averments. It is susceptible
to being a
carefully construed afterthought. I am unable to conclude that
the allegations of the respondent were so far-fetched
or clearly
untenable. As a result I am unable to determine that the applicant is
entitled to the final relief which she sought
in this application.
For these reasons I make the following order:
The application is
dismissed with costs including the wasted costs of 5 August2021 and
26 August 2021.”
[7]
The approach and findings by the court
a
quo
constitute
a material misdirection – the court elected to approach the
matter otherwise than it was required to do.
[4]
In deciding the matter as it did, the court
a
quo
not
only disregarded the order of Binns-Ward J but determined issues to
which the parties had not been alerted, thus depriving them
of
adequately addressing the matter, both in evidence and argument. In
the circumstances this court is entitled, indeed obliged,
to
interfere and determine the matter afresh and in so doing may
disregard any findings on credibility and make its own assessment
of
the veracity and reliability of the witnesses.
[5]
[8]
Recently, in
Mtyido
[6]
the Supreme Court of Appeal (SCA) restated the approach and it is
useful, in the circumstances of the present matter, to have regard
thereto.
“
[23] A court of
appeal will generally not interfere with findings of credibility made
by a trial court, because the trial court
would have had the benefit
of observing the witnesses when testifying, unless those findings are
clearly wrong. Similarly, an appeal
court will not lightly interfere
with the factual findings made by a trial court. As was said in
Mashongwa v Passenger Rail Agency of South Africa
…
‘
It is
undesirable for this court to second-guess the well-reasoned factual
findings of the trial court. Only under certain circumstances
may an
appellate court interfere with the factual findings of a trial court.
What constitutes those circumstances are
a demonstrable and
material misdirection and a finding that is clearly
wrong
.
Otherwise trial courts are best placed to make such findings
.
(Emphasis added)
The circumstances of this
case are just that – a material misdirection and a conclusively
wrong finding.
[9]
A court of appeal approaching the matter before it along those lines
may thus disregard any findings
on credibility made by the court
a
quo
and
may make its own assessment of the veracity and reliability of the
witnesses.
[7]
The latter task is
made all the more easy when the evidence on record is readily capable
of being assessed by the court of appeal.
[8]
[8]
The appeal against the judgment is mainly on the basis that the court
a
quo
erred in failing to make a determination, after hearing
oral evidence on the contested question of the ownership of the
property;
in not finding that no agreement existed providing for the
respondent continuing to be a co-owner of the property; in holding
that
the agreement between the parties was partly oral and partly
written; erred in its credibility findings against the appellant and
in its application of the techniques used to resolve two
irreconcilable versions; and finding that the parties withheld vital
information from the attorney who drafted the deed of sale which
information could have assisted him in the clarification and
interpretation
of their intentions so as to record their true
agreement.
[9]
The following are matters of common cause between the parties, or
where they are disputed, such
disputes are not material: The
appellant is the only registered owner of the property. The parties,
who were married according
to Muslim rites, purchased the property in
November 2015 for R2.4 million and was initially registered in both
their names. The
appellant, out of the proceeds of a loan received
from her father, paid the deposit of R300 000-00, the transfer costs
in the sum
of R121 714-60, and the bond registration costs. The
parties agreed that the respondent would, at some future date, repay
the appellant
for half of this costs
[9]
.
The balance of the purchase price was financed through a loan secured
with a mortgage bond registered over the property. The mortgaged
bond
was held by Standard Bank which later ceded it to SB Guarantee
Company (RF) (Pty) Ltd. The respondent was responsible for
the bond
payments.
[10]
The parties did not immediately after the purchase the property move
in but first embarked upon its extensive
renovation and continued to
reside in their rented accommodation in Kenilworth, where the
respondent was solely liable for the
payment of rent. This was in
accordance with the Muslim principle of
nafaqah
in terms of
which the husband is solely liable for putting a roof over his wife's
head. The respondent operated a “Build
it” hardware
franchise store and contributed to the renovation costs by supplying
building material which he sourced from
this business. The
appellant’s uncle, as a gift to the parties, provided a builder
who demolished the walls, removed the
rubble from site, and supplied
the labour for the new building works. The renovation of the property
lasted from May to December
2016.
[11]
The respondent ran the Build it franchise through a company called
Buildchain (Pty) Ltd, of which he was
a director and for which he had
signed as a surety. At the beginning of 2017 the respondent started
to experience financial problems
in his business. During this period
the appellant received a distressing telephone call from an attorney
representing Standard
Bank who informed her that the respondent had
signed as surety for his company and that as a result of its
financial difficulties
Standard Bank was on the brink of taking legal
action which may result in respondent’s half share in the
property being attached
and sold in execution at an auction to third
parties to settle the amount owing to the bank.
[12]
The discovery that the investment in the property was at risk caused
anxiety to the appellant. Consequently,
the respondent sought legal
advice from his attorney, Mr Edwin Petersen (Petersen). The latter’s
advice was that the parties
should do nothing about the situation as
there was not much equity in the half-completed structure, and nobody
would be interested
in purchasing a half share in such a property.
The parties also sought legal advice from another attorney, Mr Nazir
Parker (Parker),
with whom they discussed various possibilities,
including transferring the property into a trust but the appellant
was not in favour
of such an option. They eventually settled on the
option to sell and transfer the respondent’s half share in the
property
to the appellant, resulting in her becoming the sole owner
thereof.
[13]
Having agreed on the option to sell and transfer the respondent’s
half share in the property to the
appellant the parties proceeded to
have it evaluated. On the strength of these evaluations, which perked
the value of the property
at approximately R2 400 000-00, the parties
were of the view that, because the outstanding balance of the loan
was approximately
R2 100 000-00, the equity in the property was
minimal. As a result, they agreed that the purchase price of the
respondent’s
half share would be R1 200 000-00. Parker
prepared a draft deed of sale, which the parties signed on 15
February 2017. The
deed of sale reflected in clause 1 that the
purchase price had already been paid. The agreement further provided
a non-variation
clause which stipulated that it was the whole
agreement regarding the sale and that there were no other agreements,
guarantees,
or representations, whether verbal or in writing, upon
which any party relied in concluding the agreement and that no
variation
of the agreement or other agreement between the parties
which has the effect of varying the provision of the agreement will
be
of any force or effect unless in writing and signed by the
parties.
[14]
Parker, who was also on the panel of attorneys for Standard Bank, was
in terms of the deed of sale, appointed
the conveyancer who would
attend to the transfer. After the conclusion of the agreement the
appellant paid the transfer duties
in the sum of R52 950-00, as well
as for a clearance certificate in the sum of R31 901-71 and
applied to be substituted as
the sole mortgagor. Standard Bank,
however, refused to consent to the substitution and this necessitated
that Parker hand over
the matter to Mr Esack Mohammed (Mohammed) to
avoid any conflict of interest. Mohammed managed to negotiate and
conclude an agreement
with the bank in terms of which it accepted
payment of the sum of R50,000-00, whereupon it consented to the
substitution. This
paved the way for the registration of the transfer
which occurred on 29 January 2019, after the appellant paid a further
sum of
R13 415-00 to obtain an up-to-date clearance certificate.
[15]
After the property was registered in her sole name
the appellant secured further loans of R2 500 000-00
from her father
and uncle to complete the renovations. Although the respondent made
no further substantial contributions, he, however,
testified under
cross-examination that he had made contributions in the form of tiles
and paint after the transfer of his half
share of the property into
the appellant’s name, a version which was never put to the
latter when she testified.
[16]
The marriage relationship between the parties was a tumultuous one
and progressively deteriorated until their
separation during or about
July 2019 when the appellant moved out of the common home. They were
eventually divorced on 5 March
2020. The respondent remained in
occupation of the property and continued to make the full mortgage
bond repayments and the municipality
account payments, although both
these accounts were in the name of the appellant. This continued
until November 2019 when he started
to pay half of the monthly bond
repayment amounts. The respondent however, continued to pay in full
the municipal account and went
as far as to make a payment
arrangement with the City on the arrear amounts.
[17]
Notwithstanding notice, the respondent failed, refused, and/or
neglected to vacate the property. Consequently
the appellant launched
the application for his eviction from the property on or about 8
August 2020 and the respondent countered
by instituting action
proceedings in which he claimed an order declaring that a
partnership, in equal shares, existed between the
plaintiff (the
respondent in
casu
) and the defendant (appellant herein) in
respect of the property, dissolving the said partnership,
alternatively, confirming the
dissolution thereof and appointing a
receiver or liquidator to deal with the partnerships assets. Although
pleadings have been
closed the matter had not yet been enrolled as at
the time of the hearing of the appeal.
[18]
The issue for determination in this court, as was the case in the
court a
quo
, is whether the appellant is the sole owner of the
property, which will entitle her to an order for the eviction of the
respondent
as an unlawful occupier as defined in the PIE Act, or she
is merely “
holding
” the respondent’s half
share in the property on his behalf. The appellant testified and led
the evidence of two other
witnesses, Parker and Mohammed, in support
of her version that she is the sole owner of the property whereas the
respondent was
the only witness in his case. I proceed to summarise
and analyse the evidence of these witnesses.
The
Oral Evidence
[19]
Appellant’s evidence was mostly in line with the common cause
facts. She confirmed that after receiving
the call from the Standard
Bank’s attorney she became concerned that she could lose her
investment in the property. The respondent
first went to consult with
his attorney and thereafter the parties went to consult with Parker.
After considering various options
they agreed that the respondent’s
half share in the property would be sold and transferred to the
appellant for the sum of
R1 200 000-00 but since there was no equity
in the property no amount of money would be paid to the respondent.
The agreement was
that the appellant would become the sole owner of
the property and will be substituted as the sole mortgagor. The
purchase price
was accordingly recorded in the deed of sale as having
been paid. The parties further agreed that the respondent would pay
an amount
equivalent to the bond instalments into the bank account of
the appellant each month, which he did, except for December 2019 when
he started to pay half the amount of the monthly payments into
appellant’s account and between April to June 2020 when no
payments were made. The respondent was paying the bond in line with
his obligations as a husband in a Muslim marriage that requires
him
to provide his wife with a roof over her head.
[20]
Appellant denied that there was an agreement between them that the
respondent would retain any ownership
rights in the property. She,
however, admitted that what they had discussed was that if, at some
point in the future, the first
respondent would have recovered
financially, he could buy back from her his half share in the
property at market value. She denied
that the sale of the
respondent’s half share to her was a simulated agreement or
that there was an agreement between them
that the first respondent
will continue to be a co-owner.
[21]
Parker testified that he was consulted by the parties during or about
May 2017. The consultation was about
the threat to the parties’
property posed by the respondent’s precarious financial
position. He was aware that the
appellant had received a disquieting
telephone call from Standard Bank’ attorneys. The parties
consulted him in order to
find the best way forward. His advice to
the parties, which they accepted, was that the respondent must sell
and transfer his half
share in the property to the appellant and that
she takes over the bond repayments from him. To protect her interest
in the property
he advised the appellant not to spend any further
monies in the property until the matter was resolved and the property
was registered
in her name. Consequent upon the parties accepting his
advice he prepared a deed of sale which provided for the sale of
respondent’s
half share in the property to the appellant for
the sum of R1 200 000-00 which amount was recorded as having already
been paid.
He confirmed that the reason for this was that there was
little equity in the property as against the balance of the
outstanding
debt secured by the mortgage bond. The transfer was
registered at the end of January 2018.
[22]
Parker was not aware of any agreement between the appellant and the
respondent in terms whereof the respondent
would have retained any
right, title, or interest to the property. He denied the respondent’s
version that this was a simulated
transaction and stated that it was
an arm’s length agreement between the parties and that he would
not have made himself
a party to any collusive dealings between the
parties. He was not aware of any discussions between the parties
regarding who would
be making payments of the bond instalments.
Although he did not recall it, it was possible that he was informed
that respondent
would continue to make payment of an amount
equivalent to the monthly bond instalments into the appellant’s
bank account.
This would have been according to the Muslim faith in
terms of which the respondent was responsible for
nafaqah.
According to Parker the respondent would have had no further interest
in the property after his half share had been transferred
to the
appellant.
[23]
Mohammed testified that Parker referred the matter to him in order
for him to assist in obtaining Standard
Bank’s consent to the
appellant being substituted as the sole mortgagor. He was informed by
the appellant about the telephone
call she received from Standard
Bank’s attorney. Standard Bank’s attorney informed him
that the bank will require some
form of compensation before they
would consent to the substitution of the appellant as the sole
mortgagor. After negotiations,
Standard Bank accepted payment of R50
000-00 which the appellant paid directly to the bank. Upon receipt of
Standard Bank’s
consent, he referred the matter back to Parker
to attend to the transfer.
[24]
In his correspondence with Standard Bank Mohammed made use of the
phrase “
estranged husband
” because of the
instructions he had received from the appellant at the time, but he
never inquired into the circumstances
of the appellant’s
estrangement from her husband. He had no information regarding who
was going to be liable for the monthly
bond repayments and simply
assumed that the appellant would be paying these instalments.
[25]
The respondent testified that after the purchase of the property the
appellant placed pressure on him to
do the renovations all at once
and not piecemeal, as was suggested by his father. According to the
respondent, the appellant’s
father agreed to assist with the
renovation. The respondent had supplied building material through his
business, built it, by raising
this against his loan account. He
confirmed that he started experiencing financial problems with his
business and later the
f
ranchisor, Spar,
perfected a material covering bond that was registered over the
business’ movable property. Consequently,
he spent more time at
home and had to disclose his financial position to the appellant. He
aware of the telephone call from Standard
Bank’s attorney to
the appellant and which consequently caused him to consult with his
attorney and thereafter, together
with the appellant, with Parker.
[26]
The respondent further testified that his intention when he concluded
the agreement was not to sell his half
share in the property to the
appellant but rather that he transfers his half share to her to hold
it on his behalf. He denied that
there was any agreement with the
appellant that he would buy back from her his half share of the
property at a market related price.
According to him the deed of sale
was a simulated agreement and that the transfer of his half share in
the property to the appellant
was not an attempt to hide the property
from his major creditors being Spar and Standard Bank, were aware of
the property. His
half share in the property was transferred to the
appellant for them to commence with further renovations.
[27]
The respondent confirmed that according to
nafaqah
he was
responsible for putting a roof over his wife’s head. He did
this by paying the rental in respect of the Kenilworth
apartment and
that, from January to July 2019 when he was still residing with the
appellant in the property, it would have been
his responsibility to
pay for the mortgage on the bond. He did not regard himself as having
been estranged from the appellant during
November 2017 at the time
when Mohammed mentioned estrangement in his correspondence with
Standard Banks attorneys.
Analysis
of The Evidence
[28]
The evidence presented two contradicting and irreconcilable versions
which require the court to examine the
reliability and credibility of
the witnesses on both sides. In this respect the court will be guided
by the technique enunciated
and applied by the SCA in
Stellenbosch
Farmers’ Winery
[10]
which requires that for the court to come to a conclusion on the
disputed issues it must make findings on (a) The credibility of
the
various factual witnesses; (b) Their reliability and (c) the
probabilities.
[29]
In assessing the credibility or veracity of a witness a variety of
factors must be taken into consideration.
This would include,
inter
alia
,
the general quality of the witness’ evidence as compared to
that of the conflicting witness, the witness’ consistency,
both
within the content and structure of his own evidence and with the
objective facts, the witness integrity and candour. Absent
a material
misdirection, one would ordinarily defer to the court a
quo
’s
credibility findings and be slow to interfere therewith unless one is
convinced that on a conspectus of the evidence, that
the trial court
was clearly wrong
[11]
. But
where a finding of fact does not essentially depend on the personal
impression made by a witness demeanour but predominantly
upon
inferences and other facts and upon probabilities, and armed with a
full record, an appeal court may often be in a better
position to
draw inferences.
[12]
[30]
Counsel for the respondent was critical of the appellant’s
evidence citing several instances of what
he regarded as material
contradictions and improbabilities. I deal with what I regard as the
most trenchant of these criticisms.
Counsel argued that the appellant
grudgingly acknowledged that the parties originally had a partnership
in respect of the property.
This criticism is not borne out by the
record. Without specifically using the term partnership the appellant
has always acknowledged
that, although they were not married in
community of property, she only has a half share therein. She also
acknowledged that she
would have had to buy out the respondent’s
half share of the property if she were to be the sole owner thereof.
The passage
in the record referred to by counsel, and the preceding
paragraphs thereto, do not reflect any reluctance on the part of the
appellant
to admit that she jointly owned the property with the
respondent be it in partnership of otherwise. Be that as it may it is
immaterial
whether she admitted or disputed that a partnership
existed, the objective facts point to the parties having been joint
owners
of the property until she purchase his half share therein. Her
acknowledgment that before the signing of the agreement respondent
had an interest in the property which he could protect, supports this
conclusion. After that she became the sole owner of the property
any
such partnership, if it existed, was dissolved tacitly, if not
expressly, the sale and transfer of the respondent’s half
share
to her.
[31]
Conversely, there is nothing in the record to support the contention
by counsel for the respondent that the
appellant initially disputed
that there was an oral agreement supplementing the written one but
was later forced to concede the
existence of such an agreement. That
the parties had discussed the possible return to the respondent of
his share in the property,
but in line with its market value, is not
an admission of the existence of an oral or allied agreement.
[32]
Counsel further raised the question of
khula
as a pointer
towards joint ownership. The submission that the respondent attempted
to protect his interest in the property by offering
the appellant a
khula
in terms of which appellant would have bought his half
share in the property for the sum of R1,5 million occurred in the
cause of
attempting to reach a settlement. This can hardly be
elevated to an admission that the respondent was a joint owner of the
property.
In any event the appellant rejected the proposal. Also, the
fact that the respondent refused to vacate the property and
instituted
an action after the launch of this application is no proof
that he still owns half a share in the property: that action, if it
is proceeded with, would be determined on its own merits.
[33]
The evidence of Parker corroborated the appellant’s version in
all material respects. In the first
place he confirmed that the
agreement was not a sham as contended by the respondent. Whilst there
was an acceptance that Parker
was a good, credible, and reliable
witness there was an oblique reference to the fact that he is related
to the appellant, as if
this would have compromised his professional
objectivity. Any such insinuation is not justified. A review of
Parker’s evidence
shows that he testified dispassionately
without any hint of slanting his evidence in favour of any of the
parties.
[34]
The court a
quo
doubted the inherent credibility of the
appellant’s factual averments and consequently rejected her
version based,
inter alia
, on the use of the phrase “
estranged
husband
” by Mohammed in his correspondence with the
attorney for Standard Bank, a phrase which Mohammed ascribed to the
appellant.
The court a
quo
found that the appellant lied to
Mohammed about the status of her relationship with the respondent as
at that stage she was not
estranged from her husband. The court a
quo
went further and held that the appellant was not an innocent
party who was unaware of the true position, who would be entitled to
rely on the appearance of liability created by the deed of sale and
that Parker should have been informed of the totality of the
intended
terms of the agreement, as the underlying terms to the deed could not
reasonably have been expected to be in such a contract.
It was
primarily on this basis that he rejected the appellant’s
version.
[35]
Respondent’s counsel argued that whilst the appellant accepted
Mohammed’s version that she had
informed him that she was
estranged from the respondent she admitted, under cross examination,
that, within three months of the
conclusion of the deed of sale, she
had a miscarriage, that shortly thereafter they tried for another
child and that she had shared
a bedroom and bed with the respondent.
This was said to be a contradiction which goes to the root of her
credibility.
[36]
The appellant, in my view, was a credible and reliable witness, and
aside from the court a
quo’
s obvious misdirection on the
issue for determination, I am of the view that the credibility
findings are in any event misplaced.
For example, it was argued that
the appellant had stated in her founding affidavit that she was
having to pay rent for the room
that she occupied in her parents’
home but under cross-examination admitted that the payments she was
making to her parents
were not in terms of a rental agreement but
only made from a moral obligation’s point of view. The
difference if any, in
my view, is immaterial and merely a matter of
quibbling about semantics.
[37]
Counsel mentioned other discrepancies, which in my view were given
undue prominence. These, however, do not
affect the veracity or
cogency of her evidence. The appellant’s WhatsApp messages to
the respondent that the respondent can
stay for half a month and she
can stay for the other and that she would be using the house over the
next few weeks as needed is
not a contradiction to her statement in
the founding affidavit that she has been deprived of her right to the
property. Nor is
it a material contradiction that she knew at the
time of paying the R50 000-00 that this was towards the respondent’s
debts
whereas in her evidence in chief she stated that she had just
recently discovered this fact.
[38]
The respondent’s version, on the other hand, is teeming with
contradictions and improbabilities. In
the first place, he lied to
the sheriff of the court when he came calling with a warrant of
execution against his property and
denied having any assets worth
attachment in execution of the judgment against him, yet he claims to
be the joint owner of the
immovable property. His capitulation to
admit that he had lied was not a genuine contrition but one forced by
the fact that he
was confronted with documentary proof and his
attempts to justify why he lied does not change the fact that he had
lied.
[39]
The respondent denied that the appellant received loans from family
members but admitted that in his discussions
with the appellant’s
father that the latter mentioned to him that “
if the money
can’t be paid back then leave it, it’s fine
”.
Even with this admission, his counsel insisted that the appellant has
not produced any documentary proof of these loans.
When he
unilaterally decided to pay half the amount of the monthly
repayments, his argument being that he is half owner of the
property,
he continued to pay the full amount of the municipality accounts. The
respondent never asked the appellant to pay half
of the municipality
accounts. The argument that he was paying the full amount of the
municipality accounts because he was the only
person who was
utilising the services is self-contradictory given that he had
decided to pay half of the bond repayments, though
he is the only
person in occupation of the property.
[40]
The respondent contradicted himself on the alleged oral agreement,
the foundation of his claim to co-ownership
of the property. He
alleged that Parker was aware of the retransfer agreement prior to
the parties going to consult with him and
it was only when Parker was
testifying in court that he realised that he was not aware of this
agreement. When pressed why he did
not explain to Parker that he and
the appellant had this retransfer agreement, he said that there was
no agreement as such.
[41]
He was vague as to when this agreement was allegedly concluded
stating that it was reached over a series
of discussions between the
parties. He could not provide details of the terms of this agreement
save to say that they agreed to
put the property temporarily into the
appellant’s name until he had sorted out his “
stuff
”.
Plainly, the respondent was not forthright in his assertions about
the alleged oral agreement. Ultimately, he had to concede
that there
was no such agreement.
[42]
The respondent further contradicted himself as to whether he was in a
position to contribute to the renovations
after the property was
transferred into the name of the appellant. On the one hand he
maintained that he made contributions to
the renovations post
registration of his half share in the property into the name of the
appellant by supplying tiles, paint, air
conditioner, and a stainless
steel leg, and on the other, that he was unable to make any
contributions due to his financial position.
[43]
If the oral retransfer agreement was indeed concluded, it is
improbable that the respondent would have simply
assumed that Parker
was aware of it and not bring it up in their consultation, so that
Parker can give advice on how to deal therewith.
This, after all, was
the only protection of his half share in the property. Instead, what
he did was to sign the deed of sale which
contained a non-variation
clause without bothering to find out how this agreement would be
implemented. It is no defence to allege
that he was unaware of the
non-variation clause, especially from a businessman with his
knowledge of contracts.
[44]
The appellant paid the R50 000-00 to Standard Bank, the rates
clearance costs in the sums of R31 901-71 plus
R13 415-00, and the
transfer duty in the sum R52 950-00, without a contribution from the
respondent or an agreement of how he was
going to reimburse her.
These costs are always borne by the purchaser but if it was a
simulated transaction as respondent allege,
they would have shared
these costs or at least agreed as to how the appellant was to be
reimbursed. The absence of such an agreement
is a further indicator
that the deed of sale was the only agreement between the parties.
[44]
The version of the respondent is so improbable, it has to be rejected
in favour of the appellant. The acceptance
of the version of the
appellant, founded on her credibility, the reliability of her
evidence which is objectively corroborated
and the probabilities that
the deed of sale was the only agreement between the parties, leads to
the conclusion that there was
no underlying oral agreement which
preserved his half share in the property. The court a
quo
was
clearly wrong in finding that there was a partnership between the
parties and an underlying oral agreement in terms of which
the
respondent retained his half share in the property.
[45]
It goes without saying, in the circumstances, that the question of
the co-ownership of the property is decided
in favour of the
appellant, and the appeal falls to be upheld. Consequently the
appellant has established that the respondent is
an unlawful occupier
as defined in the PIE Act and it would be just and equitable to order
his eviction. In my view it would in
the circumstances be further
just and equitable to afford the respondent two and a half months to
give up occupation of the property.
[45]
The order I propose is the following:
45.1
The appeal is upheld with costs;
45.2 The
order of the court a
quo
is set aside and substituted with the
following:
“
1. The first
respondent and all those holding occupation through or under him (the
occupants”), are to vacate the property
known as 1[…]
R[…] drive, Pinelands, Cape Town (“the property) on or
before 29 February 2024.
2. In the event that the
first respondent and/or any other occupants fail to voluntarily
vacate the property, then the Sheriff of
the Court and/or his/her
deputy is hereby authorised and directed to do all things necessary
so as to evict him and/or any other
occupants from the property on or
after 1 March 2024.
3. The first respondent
is hereby ordered to pay the costs of this application, including all
costs associated with the referral
to oral evidence.”
MJ
Dolamo
Judge
of the High Court
I
agree and it is so ordered.
PAL
Gamble
Judge
of the High Court
I
agree.
L
G Nuku
Judge
of the High Court
APPEARANCES
For
the Appellant:
Ms. E
Nel
Instructed
by Tim Du Toit Inc.
Cape
Town.
For
the Respondent:
Mr. K
Warner
Instructed
by Moosa, Waglay & Petersen Inc
Cape
Town.
[1]
Act 19 of 1998.
[2]
Metallurgical
and Commercial Consultants (Pty) Ltd v Metal Sales Company (Pty) Ltd
1971 (2) SA 388
(W) at page 396 H – 397B.
[3]
Record page 678 paragraphs [28] and [29].
[4]
Fischer
and Another v Ramahlele and Others
2014 (4) SA 614
(SCA) at para [14].
[5]
R v
Dhlumayo and another
1948 (2) SA 677
(A) at 705-6.
[6]
City of
Cape Town v Mtyido
[2023] ZASCA 163
(1 December 2023)
[7]
R v
Dhlumayo and another
1948 (2) SA 677
(A) at 705-6.
[8]
Mans v
Union Meat Co
1919 AD 268
at 271.
[9]
Record volume eight, page 595 lines 23 to 25, page 599 lines 16 to
19.
[10]
Stellenbosch
farmers Winery Group LTD and Another v Martell ET Cie and Others
2003
(1)
SA 11 (SCA) at para [5].
[11]
Pistorius
v S
2014
(2) SACR 314
(SCA) at para 30. Although the principle was applied in
a criminal matter it applies with equal force to the analysis of
evidence
in civil matters. See also Mtyido
supra.
[12]
See
Minister
of Safety and Security & Others v Craig and Others
[2010] 1 All SA 126
(SCA) at para [58].
sino noindex
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