Case Law[2022] ZAWCHC 134South Africa
Smith and Others v Stellenbosch Municipality and Others (18381/2022) [2022] ZAWCHC 134 (11 July 2022)
High Court of South Africa (Western Cape Division)
11 July 2022
Judgment
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## Smith and Others v Stellenbosch Municipality and Others (18381/2022) [2022] ZAWCHC 134 (11 July 2022)
Smith and Others v Stellenbosch Municipality and Others (18381/2022) [2022] ZAWCHC 134 (11 July 2022)
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sino date 11 July 2022
FLYNOTES:
DONATION
OF LAND TO MUNICIPALITY
Administrative
law – Challenge to decision of municipality to accept
donation of land from trust – Whether administrative
action
– Distinction between executive and administrative action –
Principle of legality –
Promotion of Administrative Justice
Act 3 of 2000
,
s 6(2)
– Constitution, s 25, s 26.
.
####
#### Republic of South Africa
Republic of South Africa
IN THE HIGH COURT OF
SOUTH AFRICA
(WESTERN CAPE
DIVISION, CAPE TOWN)
Before: The Hon. Mr
Justice Binns-Ward
Hearing: 2-3 March
2022
Judgment: 11 July
2022
Case No. 18381/2022
In the matter between:
THAPELO
MBASA
SMITH
First Applicant
THE
LANQUEDOC HOUSING ASSOCIATION
Second Applicant
KAREL
JOHANNES PIETERSEN N.O.
Third Applicant
DOROTHEA
FRANCISKA FIEGELAND N.O.
Fourth Applicant
EZRA
MAPISA
Fifth Applicant
KHAYALETHU
NYAKOMBI
Sixth Applicant
TANDOKAZI
KONCO
Seventh Applicant
and
STELLENBOSCH
MUNICIPALITY
First Respondent
ELDRED
CEDRIC KLEINSCHMIDT N.O.
Second Respondent
ARTHUR
MALISZO XOLA
N.O.
Third Respondent
MICHAEL
FRASER
N.O.
Fourth Respondent
FREDEICK
MARK PETERSEN N.O.
Fifth Respondent
WILLIAM
CORNELIUS KEET N.O.
Sixth Respondent
DESMOND
ADOLF ADAMS N.O.
Seventh Respondent
THE
KYLEMORE COMMUNITY DEVELOPMENT FORUM
Eighth Respondent
THE
PNIEL COMMUNITY DEVELOPMENT FORUM
Ninth Respondent
THE
LANQUEDOC COMMUNITY DEVELOPMENT FORUM
Tenth Respondent
THE
MEERLUST BOSBOU COMMUNITY DEVT. FORUM
Eleventh Respondent
EVA
JOHANNA
WILLIAMS
Twelfth Respondent
LILBURNE
FREDERICK CYSTER
Thirteenth Respondent
NIGEL
LOUIE SAMUELS
Fourteenth Respondent
AUBREY
JOHN
JACOBS
Fifteenth Respondent
CONSTANCE
STUURMAN
Sixteenth Respondent
GREGORY
BRENDON VILJOEN
Seventeenth Respondent
BRIAN
CARLO
SMITH
Eighteenth Respondent
MERLIN
WINSTON
ROSE
Nineteenth Respondent
THE
REGISTRAR OF DEEDS, CAPE TOWN
Twentieth Respondent
THE
MASTER OF THE HIGH COURT, CAPE TOWN
Twenty-first Respondent
JUDGMENT
BINNS-WARD J:
[1]
This matter is not without its ironies. For
the most part, it concerns an application by or on behalf of a group
of persons who,
having taken the law into their own hands, seek
various heads of relief premised on the alleged breach by their
adversaries in
the litigation of their legal obligations.
[2]
The
applicants represent a part of the community living in the Dwars
River Valley in the Groot Drakenstein area north of Stellenbosch
that
is impoverished and lacks access to adequate housing and related
basic amenities. In the current matter they represent a segment
of
that community that, in the circumstances described later in this
judgment, has unlawfully occupied a piece of undeveloped land,
Erf
10, Lanquedoc, approximately 10 hectares in extent, near the
settlement of Lanquedoc.
[1]
[3]
The land is registered in the name of the
Dwars River Valley Community Development Trust (formerly called the
Boschendal Treasury
Trust). Several of the trustees have been joined
as some of the total of 21 respondents cited in the application.
However, two
of the trustees, in their respective capacities as such,
number amongst the seven applicants. They both reside at Meerlust
Bosbou
and are cited as the third and fourth applicants.
[4]
The other applicants are –
(i)
the first applicant, who is the chairperson
of a body of persons formerly called the Lanquedoc Backyarders
Committee, now called
the Lanquedoc Housing Association;
(ii)
the Lanquedoc Housing Association, an
unincorporated association, as the second applicant;
(iii)
Ezra Mapisa, the fifth applicant, who is a
homeowner and businessman in Lanquedoc;
(iv)
Khayalethu Nyakombi, the sixth applicant,
who is a 40-year old man, currently residing at the fifth applicant’s
address -
allegedly since the demolition (in circumstances to be
described) of the structure he had erected on the contested land in
which
to live; and
(v)
Tandokazi Konco, the seventh applicant, who
is a 38-year old woman, currently living in accommodation provided
for her by the fifth
applicant at an unidentified address after the
demolition (in circumstances to be described) of the structure in
which she allegedly
lived with the sixth applicant on the contested
land.
All of the persons
currently living in informal structures on the contested land are
alleged to be members of the Lanquedoc Housing
Association.
[5]
The founding papers assert that the
applicants brought the application in their own interest and also, in
terms of s 38(b)
and (c) of the Constitution ‘
on
behalf of previously disadvantaged people who do not have access to
formal housing and who have been ordinarily resident
[in]
the Dwars River Valley for five
years or more (and who accordingly qualify as Beneficiaries of the
Trust
’. The first applicant added
that the applicants were also proceeding, in terms of s 38(d) of
the Constitution, in the
public interest. In that respect he averred,
without providing any substantiating particularity, that there was
‘
considerable public interest in
ensuring that the First Respondent
(“the
Municipality”
) and the
Trust comply with their constitutional and legal obligations in
circumstances where their failure to do so will adversely
affect the
socio-economic, and other, rights of a large number of vulnerable
people
’.
[6]
The parties cited as respondents also
included the community organisations nominated in the trust deed to
represent the interests
of the Trust beneficiaries in each of the
five established settlements named in the deed as well as the local
municipality in which
the contested land is situate, the Stellenbosch
Municipality. The Municipality, which was cited as the first
respondent, was the
only party to oppose the application. None of the
other respondents played an active role in the litigation. The Master
of the
High Court, Cape Town (the 21
st
respondent) filed a notice to abide the decision of the court, and
the Registrar of Deeds (the 20th respondent) filed a report
for the
court’s information.
[7]
The notice of motion was divided into two
parts: Part A (interim relief, pending the determination of final
relief) and part B (final
relief). The hearing before me was
concerned with the final relief sought in terms of part B. In part B
of the notice of motion
(as amended) the applicants sought orders:
‘
5.
Declaring the First Respondent’s decision, taken on 13 November
2020, to acquire, or accept
the donation of the Property [Erf 10,
Lanquedoc] from the Trust, to be unlawful and invalid;
6.
Reviewing and setting aside the First Respondent’s decision
taken on 13 November 2020,
to acquire, or accept the donation of, the
Property from the Trust;
7.
Declaring that the First Respondent's conduct in demolishing the
Sixth and Seventh Applicants’
dwelling on Erf 10 Lanquedoc and
evicting them without a court order, on or about 18 November 2020, to
be unlawful;
8.
Directing the First Respondent to design and implement clear and
objective rules and policies
so as to ensure that its officials and
agents do not demolish, or evict any residents from, any informal
dwellings which are occupied,
unless such demolition or eviction is
authorised by a court order;
9.
Directing the First Respondent to return the building materials
belonging to the Sixth and
Seventh Applicants and reconstruct their
dwelling on Erf 10, Lanquedoc, to the condition in which it was prior
to its demolition
on or about 18 November 2020;
10.
Interdicting the First Respondent from demolishing any occupied
structure, or from evicting anyone from a
dwelling occupied by them,
on Erf 10, Lanquedoc, unless authorised to do so in terms of a court
order;
11.
Declaring the Trust’s 29 October 2020 decision to donate, or
dispose of, the Property to the First Respondent,
to be unlawful and
invalid;
12.
Reviewing and setting aside the Trust's 29 October 2020 decision to
donate, or dispose of, the Property to
the First Respondent;
13.
Declaring that the Fourth Respondent [Mr Michael Fraser, the
chairperson of the board of trustees] has:
13.1 breached his
fiduciary obligations as a trustee of the Trust;
13.2 failed to
exercise his powers with the care, diligence and skill reasonably
expected of a person who manages the affairs
of others; and
13.3 failed to
properly perform the duties imposed on him as a trustee;
14.
Directing the Fourth Respondent to comply with his duties and
obligations as declared by this Court;
15.
Directing the Twenty First Respondent to consider the evidence before
this court in order to determine whether
an investigation into the
Fourth Respondent’s conduct in terms of section 16 of the Trust
Property Control Act 57 of 1988
is warranted, or whether any other
steps should be taken against him;
16.
Directing that the First Respondent, together with any other party
who opposes the relief sought, pay the
costs of this application,
including the costs of two counsel, jointly and severally, on the
attorney and client scale;
17.
Granting further and/or alternative relief.’
[8]
The heads of relief are illogically ordered
in the notice of motion, for if the Trust’s decision to donate
the property to
the Municipality were set aside, as sought in
paragraphs 11 and 12, then there would be nothing for the
Municipality to have accepted,
and the relief sought in paragraphs 5
and 6, setting aside the decision of the local authority to accept
the donation would be
redundant. However, as both aspects of the case
were fully argued, and as it is evident that the process of donating
the land might
very well be continued even if the trustees’
decision in terms of which it was initiated is set aside, I shall
deal in this
judgment with both issues, and broadly in the order in
which they were raised in the notice of motion.
[9]
The Dwars River Valley Community
Development Trust was established in 2006 as an incident of the
disposal by Anglo American Farms
Ltd (Amfarms) of its farming
interests in the area and, in particular, the attendant plans by
Boschendal Ltd (which, judged by
its company registration number,
would appear to have been registered in 2002) for the subdivision and
further development of the
land surrounding the historic Boschendal
manor house. The information in the trust deed suggests that the
disposal was to be achieved
by the sale of the land to two
‘developers’, Kovacs 554 (Pty) Ltd and its trading
subsidiary, Two Rivers Development
Company (Pty) Ltd, and Boschendal
Ltd. The founders of the Trust were Boschendal Ltd, Two Rivers
Development Company (Pty) Ltd
and Anglo American Farms Ltd (formerly
called Rhodes Fruit Farms) in association with Amfarms Realisation
Company Ltd.
[10]
The land was vested in the Trust for the
benefit of the communities of the Dwars River Valley previously
disadvantaged by the racially
discriminatory laws and practices of
the pre-Constitutional era. According to the deeds registry
information, it was donated to
the Trust in 2009 by a company in the
Anglo American Farms Group.
[11]
The trust deed records (in cl. 2.1.11) that
‘(i)
n pursuit of the “development
rights”
[to be sought by the
acquiring developers]
..., and in
accordance with advice received from the Stellenbosch Municipality,
the Developers together with Amfarms jointly prepared
a framework to
provide a guideline for the development of the lands in total
’.
The framework document was called the ‘Boschendal Sustainable
Development Initiative’ (‘SDI’).
[12]
According to cl. 2.1.13 of the
(amended) trust deed ‘(t)
he
Developers and Amfarms agreed that a key component of the SDI was the
creation of a Trust that would ensure that the initiatives
proposed
in the report were wisely managed, coordinated and implemented with
the benefits flowing to the various beneficiaries
in a transparent
manner and in a spirit of partnership with all concerned
’.
Clause 2.1.14 proceeds: ‘
The
Boschendal Treasury Trust ..., the former name of this Trust, was
such a Trust. Its inception was the product of a common vision
between the Founders and the communities of Lanquedoc, Kylemore,
Pniel, Johannesdal and Groot Drakenstein/Meerlust. The Trust was
set
up to work towards a prosperous future to give to poor, to young and
to old, without reservation, favour or prejudice, consistent
with the
dictates of this Trust Deed, the “birth-certificate” of a
united and prosperous Dwars River Valley –
a microcosm of South
Africa
’.
[13]
The object of the Trust, broadly stated, is
the social and economic upliftment of the beneficiary communities and
the creation and
maintenance of a salubrious environment for them to
live in. It is unnecessary to quote the objects set out in the trust
deed in
full, it is sufficient to point out that they include the
‘general objects’ set forth in clause 2.1.19 of the trust
deed, which are –
·
the sustainable economic upliftment of the
Previously Disadvantaged Communities of the Dwars River Valley;
·
supporting the sustainability of
agricultural resources; and
·
the rehabilitation and conservation of the
natural and cultural environment for the catchment of the Dwars River
Valley.
None of the more detailed
‘objectives’ stipulated in cl. 2.1.20 is expressly stated
to be housing development. The types
of development specifically
mentioned are ‘land development’ (a vague expression that
arguably might include the provision
of housing), ‘agricultural
development’, social development (another vague expression that
might include the provision
of improved housing) and ‘economic
and entrepreneurial development’. Clause 11.2.4 does, however,
include township
development on the Trust Property, provided that
where such development exceeds R2 million in value it must be
undertaken
in consultation with the beneficiary organisations that at
any given time had appointed the trustees.
[14]
It is obvious that the attainment of the
Trust’s stated objects would require access to significant
financial capital and
high-level managerial and professional
expertise. The donation of land to the Trust would also impose upon
it the obligation to
fund the related rates and taxes. The only
indication of where the Trust was to obtain the required finance is
the statement in
clause 2.1.18 of the trust deed that it was recorded
in the SDI that the Trust would benefit from:
·
Funds donated by all first and subsequent
property owners from a levy on all sales and resales of properties
achieved on both the
Boschendal and the Berg River Lands on
registration of transfer.
·
Donations of land from the Developers and
Amfarms on receipt of the requisite approvals for both phases 1 and 2
of the proposed
development of the Boschendal Lands, and that
proposed by Two Rivers for the Berg River Lands broadly as outlined
in the SDI.
Clause 5 of the trust
deed records confirmation by Amfarms, Boschendal and Two Rivers of
their intention to make certain donations
to the Trust ‘
upon
the grant and acceptance of development rights
’ and the
irrevocable undertaking by Boschendal Ltd to donate ‘
certain
moneys to the Trust in terms of Annexure “B”, the
contents whereof shall be read as if specifically incorporated
in
[the Trust Deed]. (The copy of the amended trust deed attached to the
founding affidavit lacked an annexure “B”.) The
evidence
did not afford any insight into the Trust’s financial
situation, except that it is materially in arrears in respect
of the
rates on the contested land.
[15]
The beneficiary communities were identified
in the trust deed with reference to five established settlements,
viz. Pniel, Johannesdal,
Kylemore, Lanquedoc and Meerlust Bosbou.
According to Part 2 of the trust deed, s.v. ‘History’,
Pniel was founded in
1843. It grew up around a mission station
operated on donated land on which some of the then recently
emancipated slave population,
which continued to supply labour to the
nearby farms, congregated. Johannesdal and Kylemore were established
in the very early
20
th
century when Pniel began to outgrow its capacity. Lanquedoc was
established in 1902, when housing was built there for workers
employed by Rhodes Fruit Farms - a company established by Cecil
Rhodes, who had then recently acquired the Boschendal estate as
well
as a number of other farms in the vicinity. The settlement at
Meerlust Bosbou originated from accommodation built for migrant
workers from the Eastern Cape after the Union Government acquired the
surrounding land in 1944 to establish a forestry station.
The
forestry station, by that stage owned by SAFCOL, was closed in 2002,
and the workers then living there were permitted to remain
on the
property rent-free on the understanding that they would eventually
acquire ownership of their houses.
[16]
The trust deed contains the following
defined meanings for the words ‘beneficiaries’ and
‘beneficiary organisations’
used in its text:
“
Beneficiaries”
means the previously disadvantaged residents of the Dwars River
Valley including the villages of Kylemore,
Johannesdal, Pniël,
Lanquedoc and Meerlust Bosbou, and the communities of which they form
part; and includes the Benficiary
Organisations; and “beneficiary”
shall have a corresponding meaning.
“
Beneficiary
Organisations” means registered legal entities which represent
residents of the villages of the Dwars River Valley
including the
villages of Kylemore, Johannesdal, Pniël, Lanquedoc and Meerlust
Bosbou, which entities will be duly accredited
in such manner as
decided by the Trustees according to the requirements of this Trust
Deed and referred to in Clause 9.2.
Pniel and Johannesdal are
referred to in places in the trust deed in combination with one
another, as in ‘Pniël/Johannesdal’.
In terms of
clause 9.2 of the trust deed, there are to be eight trustees to be
appointed for 48-month terms as follows:
Two by the Kylemore
Community Development Forum or similar subsequent structure approved
by the community of Kylemore;
Two by the Pniël
Community Development Forum or similar subsequent structure approved
by the community of Pniël;
Two by the Lanquedoc
Community Development Forum or similar subsequent structure approved
by the community of Lanquedoc; and
Two by the Meeerlust
Bosbou Community Development Forum or similar subsequent structure
approved by the community of Meerlust Bosbou.
Clause 9.3 of the trust
deed provides: ‘
Any vacancy shall be filled by the
Beneficiary Organisation entitled to nominate such Trustee is it out
above as soon as reasonably
practicable after the occurrence of such
vacancy
’. Clause 10.2 provides that the trustees are to be
appointed ‘
by the relevant Beneficiary Organisations at
their AGMs
’.
There
are a number of indications in the trust deed that the trustees’
powers to make what might be termed ‘large decisions’,
such as decisions having financial implications greater than
R2 million, may be exercised only ‘
in
consultation with the Beneficiary Organisations that had appointed
the Trustees at any given time
’.
[2]
[17]
It is clear therefore that the second
applicant is not a ‘beneficiary organisation’ within the
meaning of the trust
deed, and that the beneficiary-interests of the
applicants and the other individual beneficiaries they say they
represent fall
to be represented through the offices of ‘
the
relevant beneficiary organisations
’
charged with the election of the Trust’s trustees. Clause
2.2.1.2 of the trust deed, which is quoted in the applicants’
founding affidavit, confirms as much in terms: ‘
The
beneficiaries are afforded a fair opportunity to participate in the
decision-making processes of the Trust through the organisations
established in each of the villages of the Valley
’.
Qua beneficiaries, the applicants have no right or legitimate
expectation to representation by the Municipality in respect
of
matters falling for decision by the trustees in respect of the
Trust’s property.
[18]
The close proximity of the Dwars River
Valley to the burgeoning Cape Town metropole has contributed to a
rapid growth of the population
there. According to the evidence
adduced by the applicants, the predominantly Afrikaans-speaking
Coloured population of the communities
established in the settlements
named in the trust deed has in recent years been augmented by a
significant number of isiXhosa-speaking
people from outside the
Valley. The already established communities were to a great part
already accommodated in formal housing.
The new arrivals, however,
lacked access to such accommodation, and most of them are reported to
live in ‘backyard’
accommodation or in informal
structures put up on hitherto unoccupied land. The evidence in this
regard painted a scene that would
be familiar to any observer of this
country’s rapid urbanisation over the last 40 to 50 years.
[19]
The first applicant estimates that ‘
about
half of all the people working in the Dwars River Valley live in
informal dwellings and in backyards – predominantly
in
Lanquedoc
’.
[20]
On a literal construction of the trust
deed, any member of the previously disadvantaged community who has
resided in the Dwars River
Valley for longer than five years
qualifies as a beneficiary, irrespective of the date of their arrival
and that the place where
they might live might not be in one of the
five identified established settlements. Whether the parties to the
establishment of
the Trust foresaw the rapidly changing social
circumstances in the Valley is not apparent on the papers. No-one,
whether it be
the representatives of the founders, or the initial
trustees, or anyone from the Stellenbosch Municipality, has given
evidence
on the point. That some degree of housing development by the
Trust was foreseen is suggested by the provisions of clause 11.2.4
of
the trust deed mentioned earlier and the fact that the 10 ha
piece of land owned by it that is in contention in these proceedings
had been zoned as a subdivisional area for the creation of 240
residential erven. However, the provisions in the trust deed for
the
election and composition of the board of trustees, discussed earlier,
imply that it was contemplated that the control of the
trust would
vest in the five long established communities. They contain no
indication of any appreciation that an increasing population
in the
area might give rise to new or substantially altered communities and
a concomitant significantly increased demand on available
resources.
[21]
According
to the first applicant, the influx of significant numbers of new
arrivals has given rise to tensions, characterised by
racial
undertones, between the Backyarders and the established communities.
He averred that access to land and housing is ‘a
burning
issue’. The applicants aver that the Trust is controlled by
older persons from the established communities and that
apart from
one trustee, who left the area to live in the Eastern Cape
immediately after his appointment as a trustee and has never
played a
role in its management, they are all from the Coloured community.
[3]
[22]
The Backyarders’ Committee, which, as
mentioned, was to change its name to the Lanquedoc Housing
Association, is described
in the founding affidavit as ‘
a
movement consisting of ordinary workers and community activists, home
owners and backyard renters
[comprised
of]
approximately 60% to 75% Black
people and the rest being Coloured persons
’.
The first applicant alleged that the Association had made several
fruitless attempts to engage with the Trust, represented
by its
chairperson, the fourth respondent, to discuss access to housing in
the Lanquedoc area. He described Erf 10, as well as
the adjoining 3,5
ha piece of land zoned for environmental preservation (Erf 1), as
‘
the obvious location for such
housing
’. Somewhat inconsistently
with his claim that the Trust had ignored approaches to discuss the
issue, the first applicant
also averred that discussions about the
use of the land for housing had been ongoing between the Backyarders,
the residents of
Lanquedoc and the Trust for as long as he has been
resident in the area, which is since 2011.
[23]
The first applicant also pointed out that
the Municipality had ‘
longstanding
plans to develop housing in the area
’
but that it had not acted on such plans. He had engaged personally on
the matter with the current executive mayor of Stellenbosch
after the
Covid-related hard lockdown in early 2020. The mayor had appealed to
him to discourage his constituency from moving onto
the land and
erecting shacks there. He said that he had complied with this request
because it had always been his aspiration that
the Backyarders should
gain access to formal housing. This seems to imply that the first
applicant appreciated that the unlawful
occupation of the land for
the erection of informal dwellings would prejudice the local
authority’s ability to use it for
the development of formal
housing. It also implies an appreciation on his part that the
Municipality could provide housing on the
land only if it acquired it
from the Trust. He said that there were, however, already at that
stage people who had been living
on the land in informal structures
for several years. He alleged, without providing any substantiating
particularity, that these
persons were ‘
clearly
Beneficiaries as defined in the Trust Deed
’.
[24]
The
deponent to the founding affidavit explained that the application,
which was instituted on 8 December 2020, had been ‘
prompted
largely by an urgent meeting of the Council of the Municipality that
took place on 13 November 2013
’.
He described the ‘
primary
relief
’
being sought as the setting aside of the decision of the council to
acquire two properties owned by the Trust and the prior
decision of
the Trust to donate the properties to the Municipality. The
properties concerned were the aforementioned Erf 10 and
the adjoining
Erf 1, Lanquedoc, which, as mentioned, is a wetland area zoned
for environmental preservation.
[4]
Quite how the setting aside of the decisions would serve the
legitimate interests of the Backyarders in obtaining access to
housing
is not explained in the applicants’ founding papers.
One is consequently left with the impression that the ultimate object
is to try to extricate a more favourable position for those who have
chosen to unlawfully occupy the land over those of the
trust-beneficiaries
who are ahead of them on the local authority’s
housing list. The application does not identify any legal right upon
which
obtaining such advantage might be founded.
[25]
The first applicant described the
‘immediate context’ of the institution of the current
litigation with reference to
the following chronology:
16 August
2020
A request by law enforcement officers of the Stellenbosch
Municipality to the persons settled on Erf 10 to dismantle the
structures
in which they had been living
17 August
2020
Certain property of people living on Erf 10 taken without consent by
municipal officials and loaded into Law Enforcement and other
municipal vehicles
Probably later in August
2020 on date not
specified in founding
affidavit
Spoliation
application launched in Stellenbosch Magistrate’s
Court, which was opposed by the local authority
12 October
2020
The first applicant is informed by the Municipality’s Manager:
New Housing, Lester van Stawel, that Erf 10 and adjoining
Erf 1 were
valued at R44 million and that the Trust had wanted to sell the
land to the Municipality, which was unable to afford
it at that
price.
19 October
2020
Spoliation application by occupiers of Erf 10 dismissed ‘
on
a technical jurisdictional point raised by the Municipality
’.
The dismissal resulted in the Backyarders’ patience ‘
snapping
’.
23 October 2020 and
following weeks Backyarders decided that the need for housing was too
pressing to await the outcome of negotiations
between the Trust and
the Municipality and started occupying Erf 10. ‘
Approximately
between 100 and 110 structures were erected in this time
’.
Some of the land invaders were arrested upon a complaint by Trust,
but released without charge after a court appearance
on 26 October
2020.
29 October
2020
Meeting of trustees to donate the land to the Municipality. (The
circumstances attending the adoption of the resolution is described
later in this judgment.)
13
November 2020
An ‘in-committee’ meeting
[5]
of the council of the Stellenbosch Municipality resolved to accept
the donation of the land by the Trust. (The applicants did not
have
knowledge of the council meeting at the time.)
15 November 2020
(Evidence adduced by the
Municipality,
including the production
of a copy of the
attendance register
suggests that the
correct date is in fact
16 November
2020
.)
Meeting by the first applicant and other representatives of the
Backyarders who had moved onto Erf 10 with the aforementioned Mr van
Stawel of the Municipality, at which an assurance was allegedly given
that no actions were planned to demolish structures on the
site and
that the local authority would negotiate ‘
a
resolution to the issue
’. No
mention was made at this meeting of the council meeting held on
13 November 2020.
15 November 2020 (later
in the day)
(See note above that
suggests that this
meeting must also
actually have taken
place on
16 November
2020
.)
Backyarders’ meeting held at which the
community were informed
of the council meeting of 13 November. The meeting adopted a
resolution ‘
that we should put a stop to this as we could
not allow history to repeat itself
’. Attempts to engage
with the Mayor and local councillor on the issue were unproductive,
as they were unwilling to give out
any information.
16 November 2020
(Or later; see notes
above re 15
November.)
A further meeting of Backyarders was held at which it was noted that:
·
The Municipality cannot make housing
available on private land as the land belongs to the community and
should not be transferred
to the Municipality.
·
The arrear rates outstanding on the
properties in the amount of approximately R640 000 was a matter
of concern.
·
That there was a need to engage with the
Municipality about the provision of water for the people on Erf 10.
·
That was a ‘
need
to prevent outsiders from coming in and erecting structures on the
land
’.
18 November
2020
Municipal law enforcement officers, assisted by the Red Ants and the
SAPS public order policing unit, demolished structures on
Erf 10 that
were believed to be unoccupied. According to the applicants, the
demolished structures included the structure of the
sixth and seventh
applicants that was occupied.
19 November
2020
The applicants’ attorneys addressed a letter to the
Municipality objecting to the manner in which the council decision of
13 November 2020 had been taken and demanding an undertaking
that the Municipality would refrain from proceeding further with
the
transaction.
20 November
2020
The Municipality’s attorneys responded to the applicants’
attorneys stating (i) the properties had been earmarked
for
housing for ‘
pre-determined beneficiaries living in the
Dwars River community
’ and (ii) the Trust was in talks
with the Municipality in connection with the donation of the land.
20 November
2020
Stellenbosch Municipality obtains an order in
ex parte
proceedings in the High Court interdicting the erection by any
unauthorised persons of structures on the properties and authorising
the demolition of unoccupied structures on the land. The order
operated as an interim interdict pending a return date of 11 December
2020.
[26]
According to the minutes of the meeting of
trustees of the Trust ostensibly held on the evening of 29 October
2020, the item on
the agenda was ‘The Transfer of the Dwars
River Valley Community Trust’s Housing Land to the Stellenbosch
Municipality’.
The minutes are in Afrikaans. They do not make
sense in all respects if construed literally, but their essential
import is clear
enough. What follows is my translation of them into
English:
‘
Mr.
Fraser [the fourth respondent] explained the purpose of this special
meeting and the urgency of it. The matter of the transfer
of the land
to the municipality for protection against unlawful occupation was
then discussed in depth. The following resolutions
were adopted
unanimously:
1.
At the proposal of Mr Nigel Samuels [the
14
th
respondent], chairperson of the Lanquedoc Community Development Forum
[the 10
th
respondent], and seconded by Mr Lilburne Cyster [the 13
th
respondent], chairperson of the Pniel Community Development Forum
[the 9
th
respondent], it was determined that Mr Mike Fraser will be the person
with authority to negotiate on behalf of the Trust and Community
and
to sign all documents.
2.
At the proposal of Ms Constance Stuurman
[the 16
th
respondent], member of the Lanquedoc Community Development Forum [the
10
th
respondent], seconded by Mr Brian Smith [the 18
th
respondent], chairperson of the Dwars River Valley Community
Development Forum, it was determined that the Trust may transfer the
Dwars River Valley Community Trust’s housing land to the
Stellenbosch Municipality for immediate protection and for use for
housing purposes on behalf of the Community of the Dwars River
Valley. It was also decided that each Community Development Forum
must attach written confirmation in support of this decision.
3.
The transfer of 13.5 ha of Dwars River
Valley Community Trust housing land to the Stellenbosch Municipality
shall be subject to
the following conditions:
a.
That it will be used exclusively to provide
houses to the “Beneficiaries of the Dwars River Valley
Community Trust as provided
for in the “AMENDED TRUST DEED IN
RESPECT OF THE DWARS RIVER VALLEY COMMUNITY DEVELOPMENT TRUST
(formerly known as the Boschendal
Treasury Trust)”.
b.
The Dwars River Valley Community also holds
69 ha. of agricultural land, which must be developed to provide
employment opportunities,
food security and sound human dignity to
our community. Stellenbosch Municipality, in cooperation our Trust,
must provide social
development services and local economic
development including, amongst other things, a skills development
programme.
c.
Stellenbosch Municipality, in cooperation
with our Trust, will recruit partners for [? the promotion of]
local economic empowerment
in our Valley.
d.
The Dwars River Valley Community Trust has
a spacious office in respect of which monthly service charges have to
be paid to the
Stellenbosch Municipality. Our Trust has been served
with a summons from the Stellenbosch Municipality for outstanding
arrears.
There are also the other usual running accounts to be
serviced to maintain the Trust’s operational activities.
We trust that we can
hereby reach a meaningful agreement with the Stellenbosch
Municipality for the benefit of the future existence
and advancement
of our community.’
[27]
It follows clearly from the terms of the
resolution that the decision to donate the land to the Municipality
was subject to confirmation
by all of the community development
forums accredited to appoint the trustees of the Trust. There seems
to be no basis to question
that it was within the powers of the
trustees, subject to obtaining the agreement of the relevant
beneficiary organisations, to
donate the land on the proposed
conditions. The conditions that limit the use of the donated land for
housing purposes for the
benefit of the Trust’s beneficiaries
reflect that the donation is intended to achieve an object consistent
with the provisions
of the trust deed, and making a donation is
something that ‘
a natural person
having full capacity would be entitled to do’
.
The donation of the land by the Trust is accordingly something that
would fall within the powers of the trustees in terms of clause
11.2.20 of the trust deed.
[28]
The applicants’ founding affidavit
relates that in the affidavit filed by the Municipality in support of
its abovementioned
application brought on 20 November 2020 for an
interdict against the persons invading Erf 10, the acting municipal
manager made
the following averments:
‘
33.
The engagements between the Trust and the Municipality culminated in
a meeting of the Trust on 29 October 2020 to
formulate and pass a
resolution to conclude a donation agreement between the Trust and the
Municipality in respect of the properties.
The Trust's meeting was
held, and a resolution was passed approving the donation of the
properties to the Trust (
sic
)
[? the Municipality].
34. The
Municipality was presented with a resolution and a donation agreement
was then drafted and presented to
the Municipal Council. A copy of
the draft donation agreement is attached and marked “SM 06”.
35.
However, subsequent to the Trust's meeting and the draft donation
agreement certain members of the Trust has
(sic) contested the
validity of the resolution and in turn the draft donation agreement.
The Municipality will continue to engage
with the Trust to resolve
this administrative hurdle ... .’
[29]
The
founding affidavit set forth the following grounds of review (some of
them stated repetitively) in support of the relief sought
in
paragraphs 5, 6, 11 and 12 of the notice of motion:
[6]
1.
That the municipal council’s decision
to accept the donation of land from the Trust was procedurally unfair
in that the council
had been obligated by
ss 3
and
4
of the
Promotion of Administrative Justice Act 3 of 2000
[‘PAJA’]
and ss 4(2)(e), 5(1)(a)(i) and 16(1)(a) of the Local Government:
Municipal Systems Act to precede any
such decision by (i) a public
enquiry or (ii) a notice and comment procedure or (iii) another
‘fair or
appropriate procedure’, and the council had
failed to comply with such obligation. In this connection it was
alleged that
the council’s decision ‘materially and
adversely affected the rights and legitimate expectations of the
Applicants
and those represented by them’. (The alleged rights
and legitimate expectations in question were not specifically
identified.)
2.
That the decision infringed the applicants’
rights and those of the persons represented by them to ‘(i) access
to land and housing and security of tenure in terms of ss 25(5),
25(6) and 26 of the Constitution, together with the [unspecified]
legislation enacted to give effect to these rights, (ii) be
consulted in a meaningful fashion in relation to housing developments
which affect them; (iii) have the needs of the poor prioritised
in housing development, and (iv) procedural fairness
in
administrative decisions which affect their rights and legitimate
expectations’.
3.
That, having regard to the Municipality’s
evident intention to develop the land to provide 240 housing units in
accordance
with a zoning and subdivision plan approved in October
2002 (annexure TMS 17 to the founding affidavit), the decision would
result
in it not being possible to accommodate the 10 000
+
trust beneficiaries on the donated land. (In this
regard, it was averred by the first applicant that very few of the
beneficiaries
who are represented by the applicants are on the
Municipality’s housing waiting list as ‘(t)
hose
we represent generally have come to live in the area more recently
than most of the beneficiaries, and those of us who are
on the list
are not very high up on it
.’ The
first applicant submitted that ‘(i)
t
is in the interest of the Applicants, and those they represent, for
housing opportunities to be developed on the land in terms
of the
broad, equitable principles in the trust deed, which was established
in order to work towards “a prosperous future
to give to poor,
to young and to old ... the “birth certificate” of a
united and prosperous Dwars River Valley”
and to promote the
“socio-economic advancement, upliftment and development”
of Beneficiaries. If housing opportunities
are allocated in terms of
the Municipality’s housing policies, priority on the
Municipality’s waiting list will play
a large, if not
exclusive, role in determining who obtains housing on the land. This
would be to the detriment of those Beneficiaries
who do not live
informal housing who would be prioritised if housing were to be
allocated to those in greatest need in terms of
the Trust Deed.
’)
[30]
The applicants contend that the
Municipality’s 13 November 2020 decision is reviewable in terms
of s 6(2) of PAJA on
one or more of the following grounds (I
quote from para 149 of the founding affidavit):
1.
Non-compliance with a mandatory and
material procedure prescribed by an empowering provision;
2.
The action was procedurally unfair;
3.
The action was materially influenced by an
error of law;
4.
Relevant considerations were not taken into
account;
5.
The action contravenes a law or is not
authorised by an empowering provision;
6.
The action is not rationally connected to
the purpose for which it was taken or the purpose of an empowering
provision; and
7.
The action is so unreasonable that no
reasonable decision maker would have taken it particularly having
regard to the municipalities
obligation to act reasonably in
implementing socio-economic rights.
The contentions were
advanced baldly, without identification of the ‘empowering
provision(s)’ or the prescribed procedure(s)
relied upon.
Ground 5 is contradictory of the preceding grounds, for it appears to
suggest the absence of any provision ‘empowering’
the
decision, and instead alleges that taking it contravened an
(unidentified) law.
[31]
The affidavit does not explain how the
acquisition by the local authority of land for housing purposes might
be unreasonable in
the sense alleged, or not rationally connected to
the obligation on the state, in terms of s 26(2) of the
Constitution, to
take measures within its available resources to
achieve the progressive realisation of the right of everyone to have
access to
adequate housing. This is one of the paradoxical features
of this case remarked on at the outset of this judgment.
[32]
The import and significant historical
context of s 25 of the Constitution and its interrelationship
with s 26 have been
described in a number of authoritative
decisions. The judgment of the Constitutional Court in
Port
Elizabeth Municipality v Various Occupiers
2005 (1) SA 217 (CC) is amongst the more prominent. Sachs J
there identified three salient features of the way the Constitution
approaches the interrelationship between land hunger, homelessness
and respect for property rights. The first of them bears on
the
applicants’ attack on the Municipality’s decision to
accept the donation of the land, the other two bear on the
approach
to the difficult question of evictions.
[33]
As
to the first feature, Sachs J expressed the position as follows: ‘
In
the first place, the rights of the dispossessed in relation to land
are not generally delineated in unqualified terms as rights
intended
to be immediately self-enforcing. For the main part they presuppose
the adoption of legislative and other measures to
strengthen existing
rights of tenure, open up access to land and progressively provide
adequate housing. Thus, the Constitution
is strongly supportive of
orderly land reform, but does not purport to effect transfer of title
by constitutional fiat. Nor does
it sanction arbitrary seizure of
land, whether by the State or by landless people
.’
[7]
[34]
As
much as one empathises with the frustration experienced by the
significant part of the country’s population which does
not yet
enjoy them at the slow pace of delivery of the basic amenities and
services that the Constitution promises,
[8]
the hard realities are that, on the one hand, the unilateral seizure
of land by landless people like the applicants and those they
represent undermines orderly land reform and thereby thwarts the
realisation of the Constitution’s social project, whilst
on the
other hand, the State cannot fulfil its obligations in respect of
land reform and providing access to housing without acquiring
land,
as the Municipality, by its willingness to accept the contemplated
donation, was endeavouring to do in the current matter.
The
applicants’ invocation of sections 25 and 26 of the
Constitution therefore seems to me to be misconceived in the
circumstances.
[35]
Inasmuch
as the applicants seek the review and setting aside of the council’s
decision in terms of s 6 of PAJA, the Municipality
argued that
the decision of the municipal council to accept the Trust’s
offer to donate the land does not fall to be characterised
as
‘administrative action’ within the meaning of that
statute. Implicit in the argument was that the decision fell
rather
to be characterised as ‘executive action’. The executive
powers or functions of a municipal council are expressly
excluded
from the ambit of the defined meaning of ‘administrative
action’ in s 1 of PAJA. Consequently, if the
Municipality’s contention is well founded, the council’s
decision is not amenable to what the Constitutional Court,
in
Minister
of Defence and Military Veterans v Motau and Others
,
[9]
described as ‘a higher level of scrutiny in terms of PAJA’,
[10]
whilst nevertheless, of course, still being ‘
subject
to the less exacting constraints imposed by the principle of
legality
’.
[11]
If the council’s decision was not ‘administrative action’
as defined, the applicant’s reliance on sections
3, 4 and 6 of
PAJA would be misplaced. As the Constitutional Court noted in
Motau
,
‘(t)
he
concept of
“
administrative
action”, as defined in section 1(i) of PAJA, is the threshold
for engaging in administrative-law review
’.
[12]
[36]
It
is well recognised that drawing the distinction between executive
action and administrative action ‘
is
often not easily made. The determination needs to be made on a
case-by-case basis; there is no ready-made panacea or solve-all
formula
’.
[13]
Conduct of an administrative nature that involves the implementation
of legislation is generally characterised as ‘administrative
action’, whereas conduct that entails the formulation of policy
or is closely related to the formulation of policy is treated
as the
exercise of executive power.
[14]
[37]
In
the current matter, the applicants have sought to bring the council’s
decision within the ambit of ‘administrative
action’ by
characterising it as a procurement matter of the sort contemplated in
the overarching provisions of s 217
of the Constitution. Such
matters, which in respect of local authorities, are regulated in
detail under the
Local Government: Municipal Finance Management Act
56 of 2003
,
[15]
are concerned
with the disposal of by a local authority of capital assets and the
procurement of goods and services. They are of
a typically
bureaucratic character that is quite distinguishable, in my view,
from the nature of the council decision in issue
in the current case,
which was whether or not to accept the offer of a donation of land to
be used for a particular purpose.
[38]
The decision in issue in the current case
involved a number of higher-order policy issues. The most obvious one
was whether the
Municipality should accept the land for housing
purposes subject to the conditions attached to the proposed donation.
Those entailed,
amongst others, the writing off of a considerable sum
in arrear rates. They also entailed assuming the burden of addressing
the
problem arising from the fast-increasing unlawful occupation of
the land. Those incidents of the decision required decision making
that was beyond the powers of the local authority’s
functionaries charged with administering legislation. This much was
demonstrated by the fact that it was necessary to convene a council
meeting for the purpose of making the decision; it was not within
the
competence of any functionary of the Municipality to make it. This is
not surprising.
[39]
The matter of the acquisition of land to
provide free or subsidised housing in furtherance of the discharge by
the local authority
of its obligations in terms of s 26(2) of
the Constitution is a question that would ordinarily fall to be
addressed within
the parameters of a municipality’s integrated
development plan. Integrated development plans are unmistakeably
policy framework
documents. Housing is recognised in the preamble to
the
Housing Act 107 of 1997
, with reference to the state’s
obligations in terms of s 26 of the Constitution, as ‘
a
vital part of integrated developmental planning
’.
[40]
In terms of
s 9
of the
Housing Act,
‘(e
)
very municipality must, as
part of the municipality’s process of integrated development
planning ...
’ amongst other
matters ‘
identify and designate
land for housing development
’.
‘
Housing development’
is specially defined in s 1 of the Act to mean ‘
the
establishment and maintenance of habitable, stable and sustainable
public and private residential environments to ensure viable
households and communities in areas allowing convenient access to
economic opportunities, and to health, educational and social
amenities in which all citizens and permanent residents of the
Republic will, on a progressive basis, have access to – (a)
permanent residential structures with secure tenure, ensuring
internal and external privacy and providing adequate protection
against the elements; and (b) potable water, adequate sanitary
facilities and domestic energy supply’
.
[41]
There
is no direct evidence on the point, but the circumstances, including
the terms of the trustees’ resolution of 29 October
2020,
suggest that the offer of the donation of the land in this case was
precipitated by circumstances related to the invasion
of the land in
October 2020, and that its acquisition by the Municipality would not
have been provided for in the integrated development
plan. The
acquisition of the land was accordingly an issue that fell to be
considered as, in effect, an ad hoc adjunct to the plan
that was in
place.
[16]
[42]
I
was not referred by counsel to any legislation that regulates the
acceptance by local authorities of donations of land. I am satisfied,
however, that such donations do not fall within the aegis of s 217
of the Constitution or the provisions of Municipal Finance
Management
Act. That a municipality has the power to accept such donations to
assist in the furtherance of the achievement of its
constitutional
objects seems to me to flow from the provisions of s 156 of the
Constitution.
[17]
In my
judgment, the municipal council’s decision was an instance of
the exercise of its executive power in respect of development
planning and housing policy. It was not administrative action.
[43]
That leaves for consideration whether the
impugned decision by the municipal council offended against the
principle of legality.
I have already found that the decision was one
that fell within the ambit of the council’s powers. The
applicants’
attack is directed, however, at its alleged
procedural shortcomings.
[44]
As
mentioned above in the chronology given in paragraph [25], the
council meeting at which the decision was taken was held
‘in
committee’.
[18]
Section 20
of the
Local Government: Municipal Systems Act 32 of
2000
provides that meetings of a municipal council are open to the
public and that the council may not exclude the public except when
it
is reasonable to do so having regard to the business being
transacted, or when a by-law or resolution compliant with the general
requirements as to openness authorises the council to close the
meeting to the public. The Municipality’s standing rules
and
orders for the conduct of council meetings provide, in
rule 3.2.3
,
that the council will meet in committee when discussing ‘the
Municipality’s intention to purchase or acquire land
or
buildings’. It follows that the closed meeting was held in
accordance with the standing rules. There was no attack on
the rules
in the application and, understandably in the circumstances, the
applicants’ counsel did not in their oral submissions
press the
complaint articulated in applicants’ papers against the closed
meeting. The complaint would appear to have been
made ignorant of the
relevant provisions of the standing rules.
[45]
The applicants’ counsel did, however,
persist with the argument that the decision was unlawful on the
grounds that it had
not been preceded by public consultation.
[46]
There is no doubting the duty of municipal
councils to provide open, democratic and accountable local
government. Section 152
of the Constitution provides, in
subsection (1), that the objects of local government include
providing democratic and accountable
local government for local
communities and encouraging the involvement of communities and
community organisations in matters of
local government. Subsection
152(2) provides that a ‘municipality must strive within its
financial and administrative capacity
to achieve the objects set out
in subsection (1)’. These provisions are echoed in
sections 4
,
5
and
16
of the
Local Government: Municipal Systems Act 32 of 2000
,
on which the applicants relied in support of the contention that they
and the others they represent should have been consulted
before the
municipal council took its decision to accept the Trust’s
proposal concerning the donation of some of the Trust’s
land.
[47]
The effective and efficient government of
municipalities would be well-nigh impossible, however, if municipal
councils were required
to precede every matter requiring decision by
a process of public consultation. It is no doubt because the framers
of the Constitution
were cognisant of that reality that the objects
of local government in s 152 are not expressed in terms that
would require
such a process. Similarly, the provision in s 4(2)
of the Systems Act concerning the duty of municipal councils to
encourage
the involvement of the local community is made subject to
‘practical considerations’. It is only in respect of the
delivery of municipal services and the available options therefor
that there is express provision (again subject to financial and
administrative capacity constraints and practical considerations) for
the council to consult the local community.
[48]
Encouraging the involvement of the local
community is not a concept that requires the Municipality to consult
the community in respect
of each and every decision that needs to be
made by the council. A municipal council is elected to govern. There
are many decisions
that fall to made by representative government in
respect of which its accountability is political. If the community
does not approve
of them, its remedy is to vote for a change of
government at the next election. The role of public participation in
the law-making
process (discussed in judgments such as
Doctors
for Life International v Speaker of the National Assembly and Others
[2006] ZACC 11
;
2006 (6) SA 416
(CC) at para 204-207) is quite distinguishable from
that involved in decisions in the exercise of executive power of the
nature
involved in the current case. Law-making involves decisions
that impose obligations on the community or regulates the exercise by
people of their rights.
[49]
The applicants’ counsel did not refer
in their submissions to any statutory provision that imposed a
mandatory requirement
that the municipal council conduct a process of
public consultation in this matter – the concept referred to in
s 27(1)
of the Municipal Finance Management Act as ‘
compulsory
consultation processes
’.
Accordingly, whether the decision can be stigmatised as unlawful
depends on whether, in the given circumstances, the council’s
adoption of the impugned resolution was constitutionally
incompatible. In my view, constitutional incompatibility in the
posited
sense would be shown if it was demonstrably unreasonable for
the council not to have conducted a public consultation process
before
it took the decision.
[50]
The applicants have failed to show that the
council’s decision was unlawful by reason of it not having been
preceded by a
public consultation process. The decision to accept the
proposed donation did not adversely affect anyone’s rights in a
material
way. It seems to me that the only potentially adverse effect
on the local community’s rights or legitimate expectations that
has been demonstrated is that attendant on the writing off of the
Trust’s rates liability in respect of the donated land.
But the
amount involved, although significant, is in all probability
immaterial in the context of the Municipality’s total
budget,
especially when considered against the expenses that would probably
be involved in expropriating the land in question or
other land in
the area for the purpose of providing the housing that is obviously
needed there. On the contrary, there is no evidence
to suggest that
the acquisition of the land by the Municipality on the terms
suggested could do anything other than to assist in
its ability to
discharge its constitutional responsibilities under s 26 of the
Constitution.
[51]
It
is relevant in this regard to have regard to the fact that the terms
of the proposed donation (which are set out in the Trust’s
resolution, quoted in paragraph [26]
above)
provide that the land shall be used for the provision of housing to
the persons who are beneficiaries of the Trust and also
that its
implementation is dependent on the written confirmation by each
community development forum in support of the decision.
As explained
earlier, it is evident from the structural provisions in the trust
deed that the beneficiaries’ interests vis-à-vis
the
Trust were to be represented through the community development forums
established in respect of the five established settlements
that the
founders of the Trust had in mind when conceiving of the Dwars River
Valley communities to be benefitted by the establishment
of the
Trust. There is no detail in the papers as to the constitution of the
community development forums in question, but it is
probable that
they are the type of representative organisation referred to in the
regulations made under the Systems Act for the
provision of
guidelines for the establishment and operation of municipal ward
committees.
[19]
It follows
that the municipal council could accept that a process of internal
consultation within the beneficiary communities would
precede the
execution of the contemplated deed of donation.
[52]
The applicants’ counsel sought to
buttress their argument that the Municipality’s decision should
have been preceded
by a process of consultation by reliance on
s 2(1)
of the
Housing Act, which
provides, amongst other things, that all
spheres of government must ‘
consult
meaningfully with individuals and communities affected by housing
development
’. I agree with
the submission by the Municipality’s counsel that this duty to
consult goes to consultation concerning
matters such as the nature of
the housing to be provided, the character of the environment to be
created in the provision of the
housing and the allocation of the
housing, and that it does not apply to a decision whether the
Municipality should accept a donation
of land that is suitable for
use for housing development. The requirement of meaningful
consultation in
s 2(1)(b)
of the
Housing Act is
comparable to
the requirement in s 4(2)(e) of the Systems Act in respect of
the provision of services.
[53]
The matter of
Mazibuko
and Others v City of Johannesburg and Others
[2009] ZACC 28
(8 October
2009); 2010 (3) BCLR 239
(CC);
2010 (4) SA
1
(CC) provides analogous support for the conclusion I have reached
in respect of s 2(1) of the
Housing Act. In
Mazibuko
,
the local authority’s decision to provide water to residents in
Soweto by means of either a metered system of indoor supply,
alternatively, if the householder elected not to accept such means,
by way of an outdoor standing tap, was characterised as having
been
made in the exercise of executive power, and not therefore not
subject to the duty of consultation provided for in
ss 3
and
4
of PAJA. The
implementation
of the decision, however, was held to be subject to the consultation
provisions in s 4(2)(e) of the Systems Act. So, in the
circumstances of the current case, the duty of consultation provided
in
s 2(1)
of the
Housing Act goes
to the manner in which housing
development is implemented (i.e. the administrative aspect of the
undertaking), not to a decision
whether to acquire land so that the
local authority can discharge its obligation to undertake housing
development on a progressive
basis (i.e. the policy aspect of the
undertaking).
[54]
The inappropriateness of the current
litigation by the applicants on the applicable facts is in any event
highlighted by its intervention
in the process before the
consultative process embodied in the Trust’s resolution could
be undertaken. The interim interdict
obtained by the applicants,
without opposition, in terms of Part A of the notice of motion, has
stalled the consultative processes
built in by the terms of the
Trust’s resolution from being undertaken. Therein lies a
further paradox in the course the applicants
embarked upon and the
grounds upon which it was pursued.
[55]
The first applicant gave a number of
grounds upon which the decision of the Trust to donate the land to
the Municipality was invalid.
It is unnecessary to set them out, for,
on the uncontroverted evidence, it is manifest that the decision to
donate the land to
the Municipality was taken in an irregular manner.
The irregularities might to some extent be explained because the
decision was
taken in exigent circumstances. The trustees who were
party to it appear to have been concerned, under the pressure
occasioned
by the large-scale October land occupation by the persons
represented by the applicants, to take measures for the protection
and
development of the resource for the purpose for which it was
held. All the signs point to the decision having been taken because
the trustees felt that it was beyond their capacity to deal with the
lawlessness themselves.
[56]
The irony of the applicants’
complaint that the trustees’ conduct was inconsistent with the
trustees’ obligation
to ‘
ensure
... that the initiatives the Trust embarks on are wisely managed,
coordinated and implemented so that the resultant benefits
devolve to
beneficiaries and stakeholders “in a transparent manner and in
a spirit of partnership of partnership with all
concerned”
’
in the face of a land incursion by a small section of the community,
some of whom were confessedly not even beneficiaries
of the Trust,
appears to have been lost on them. It is another of the paradoxical
features of the case that persons who are beneficiaries
or potential
future beneficiaries of the Trust should complain about the trustees’
failure to comply faithfully with the
decision-making formalities
prescribed in the trust deed when they themselves have unilaterally
and unlawfully appropriated the
Trust’s property, thereby
frustrating the trustees’ ability to be able to discharge their
functions in the manner contemplated
by the trust deed.
[57]
The applicants’ allegation that the
trustees’ decision of 29 October 2020 was irregularly taken is
founded on the evidence
of two of the trustees, who are the third and
fourth applicants, respectively. They are the trustees elected to the
board of trustees
by the Meerlust-Bosbou Community Development Forum.
Both of them aver that they were given no notice of the meeting of
trustees.
[58]
The third applicant averred that on 29
October 2020 he received a telephone call from the chairperson of the
trustees (the fourth
respondent), who asked to meet with him. They
met at the side of the road outside the community hall at Meerlust,
where the chairperson
informed him that he and the other trustees had
reached an agreement with the Municipality ‘to build houses for
people’.
The chairperson held out a piece of paper and, without
explaining the content, asked the third applicant to sign it. The
third
applicant saw that the document reflected the names of the
trustees and signed it without knowing that there was to be a
trustees’
meeting later that evening. The third applicant has
not denied that the signature against his name on the attendance
register for
the trustees’ meeting on 29 October was his, so
one must infer that the attendance register, included as part of
annexure
TMS4 to the applicants’ principal founding affidavit,
was the document he admits to having signed. It is difficult to
credit,
if, as he claims, he noted that it listed the trustees’
names, that he did not also see the document’s heading in bold
typescript: ‘MEETING ATTENDANCE REGISTER’.
[59]
The first applicant, whose averments in
this regard were confirmed in a confirmatory affidavit by the third
applicant, stated that
had the third applicant been aware of the fact
that it was intended to donate the land to the Municipality he would
have attended
the trustees’ meeting and opposed the proposal as
he was of the opinion that it was not in the best interest of the
community
to give away valuable property. On the applicants’
version, the chairperson must have given the third applicant some
indication
of the purpose for obtaining his signature because the
first applicant described that the third applicant’s
‘
understanding was simply that the
Trust was contemplating an agreement and negotiations with the
Municipality pertaining to the
development of housing
’.
[60]
The fourth applicant averred that she was
advised by the third applicant on 29 October 2020 that the
chairperson of the board of
trustees was looking for her. She said
that she had lost her cellphone and was consequently not readily
contactable. She told the
third applicant to tell the chairperson
that she worked at Leeu Estate in Franschhoek and that she arrived
home every day at 17h00
should the chairperson wish to speak to her.
The fourth applicant did not explain how the third applicant was able
to speak with
her during the day if she was not contactable. She did
not hear from the chairperson and, it would appear, made no attempt
to contact
him. She said that it was only ‘on or about 23
November 2020’ that (in circumstances she did not describe) she
learned
that the attendance register in respect of the trustees’
meeting held on 29 October 2020 reflected that she had tendered
her apologies. She stated that she would never have agreed to the
donation of the trust’s property to the Municipality.
[61]
The trust deed provides (in clause 11.6.2)
that ‘
sufficient notice (depending
on how urgently the meeting must be held)
’
of any meeting of trustees must be given to every trustee. Notice
falls to be given at the ‘
business
address
’ of the trustee ‘
as
recorded in the records of the Trust
’.
The deed further provides (id.) ‘(t)
he
temporary absence of a Trustee from such address when the notice is
given shall not render the notice ineffective’
.
[62]
In the context of their allegation that
they were not given notice of the meeting it would, in my view, have
been expected of the
third and fourth applicants to testify in their
affidavits as to the particulars of their recorded addresses for the
purposes of
receiving notice of trustees’ meetings and to aver
expressly that notice of the meeting had not been given at that
address.
It is plain that the provisions of the trust deed expressly
catered for the situation that a trustee might not be available to
receive actual notice. They provided for the sort of situation
described by the fourth applicant, in which she was effectively
non-contactable and on learning that the chairperson was trying to
contact her did nothing to find out why. They provided that that
should not be fetter the trustees’ ability to discharge their
functions in the absence of a trustee who did not have actual
notice
of a meeting, provided, of course, notice had been given to their
recorded address.
[63]
I am constrained to record, in the face of
the application that the court should direct the Master to
investigate the suitability
of the chairperson to serve as a trustee,
that I have not found the evidence of the third and fourth applicants
to be satisfactory
in material respects. That the third applicant
should sign a document, which on his own evidence concerned the
business of the
trust, without bothering to apprise himself properly
of its content and import does not speak well to his own fitness to
discharge
his fiduciary responsibilities. The fact that the third
applicant’s signature appears on an attendance register for the
29
October 2020 trustees’ meeting supports the probability that
the fourth respondent saw him that day to give him notice of
the
urgently convened meeting. It is inherently improbable in the
circumstances that the fourth respondent would not have informed
the
third applicant of the purpose of the meeting.
[64]
There are also improbabilities in the
fourth applicant’s evidence. If she was as difficult to contact
as her evidence concerning
the consequences of the loss of her
cellphone would imply, it follows that the third applicant must have
had to go out of his way
to get hold of her. It is improbable he
would done so if he did not regard it as important to do so. The only
matter of importance
suggested by the evidence was the convening at
short notice that evening of an urgent meeting of trustees. I find it
improbable,
if the third applicant told the fourth applicant that the
chairperson was trying to track her down, that he would not also have
told her what it concerned. On the fourth applicant’s version,
she does not even appear to have enquired what it was about,
or
thereafter to have shown any interest in finding out. All of this I
hold to be inherently improbable.
[65]
Had the question of the validity of the
trustees’ decision turned only on the question of effective
notice of the meeting
to the third and fourth applicants I would have
had earnest reservations about whether a proper and persuasive case
had been made
out on the founding papers. As it happens, however, it
is clear on those papers that the trustees’ meeting was not
quorate.
It appears that the process of replacing redundant trustees
with newly elected ones had not been formalised and that the existing
letters of authority from the Master, dated 26 January 2018, are
outdated. The persons attending the meeting may or may not
have been
fairly representative of the beneficiary organisations, but even if
they were effective representatives of three of the
four established
communities with the right to elect trustees, they could not validly
transact the Trust’s business without
authorisation in writing
from the Master, as provided for in s 6 of the Trust Property
Control Act 57 of 1988; cf. e.g.
Lupacchini
NO and Another v Minister of Safety and Security
2010 (6) SA 457
(SCA) at para 3. The provisions of clause 9.4 of the
trust deed echo the statutory requirement.
[66]
It follows that the application for the
setting aside of the resolution must be upheld, and that the relief
sought by the applicants
in terms of paragraphs 11 and 12 of the
notice of motion will be granted substantially in the terms prayed.
(That an invalid resolution
of the character in issue purportedly
adopted by the trustees of a trust is amenable to judicial review
under the common law has
recently been confirmed by the appeal court
in
Trustees for the time being of the
Legacy Body Corporate v Bae Estates and Escapes (Pty) Ltd and Another
[2021] ZASCA 157
(5 November 2021);
[2022] 1 All SA 138
(SCA);
2022
(1) SA 424
(SCA) from para 33.) I should make it clear,
however, that the setting aside of the purported resolution does not
imply
that a meeting properly constituted for the purpose could not
lawfully decide to make the donation to the Municipality contemplated
in the vacated 29 October 2020 resolution.
[67]
The
invalidity of the purported decision of 29 October 2020 means that
the matter considered by the municipal council on 13 November
2020
was a chimera. The concept that the council determined in principle
to approve did not cognisably exist. There was no need
for the
applicants to apply for the setting aside of the council’s
decision if they succeeded, as they have done, in impugning
the
trustees’ resolution that informed it. The Municipality,
understandably, has refrained from taking a position as to the
validity of the trustees’ decision. The first respondent has at
no stage suggested that the council’s resolution could
have
substantive effect if, as a consequence of the setting aside of the
trustees’ decision, there was no donation to accept.
In the
circumstances, the relief sought in terms of paragraphs 5 and 6 of
the notice of motion is redundant. As explained at the
outset of this
judgment,
[20]
I have dealt
with the issue of the council’s decision only because it was
addressed at some length in the argument of the
case and for the
assistance of the parties should the trustees subsequently reaffirm
the idea of donating the land to the Municipality
in a legally
effective manner.
[68]
I am not willing to make the orders sought
by the applicants in terms of paragraphs 13-15 of the notice of
motion. In my view,
a clear case of misconduct on the part of the
fourth respondent has not been made out on the papers. On the
contrary, it is evident
that he acted in what he considered to be the
best interest of the Trust and its beneficiaries in what he
reasonably believed to
be an emergency. There are indications that
his actions and those of the other persons who participated in the 29
October 2020
meeting may enjoy majority support amongst the
beneficiary organisations. An order by the court directing the Master
to investigate
the fourth respondent’s conduct would carry the
implication that the court considered that a prima facie case for his
removal
had been made out. If the applicants consider that there is a
basis for the fourth respondent’s removal, they are at liberty
to institute the processes necessary to attain that without the
assistance of the court. They do not require the imprimatur of
a
court order to ask the Master to undertake an investigation.
[69]
There is also nothing to stop the third and
fourth applicants, if they are able to recruit the support of their
fellow trustees,
themselves achieving the removal of the fourth
respondent using the procedure provided in clause 9.7.6 of the trust
deed. Any trustee
is entitled to have a meeting of trustees convened
for any purpose. Furthermore, any of the beneficiary organisations is
entitled
to require the trustees to call a special meeting of the
Trust for any purpose.
[70]
The applicants have not explained why they
could not have effective resort to any of the forementioned
extra-curial or domestic
remedies if they have good reason to
question the fourth respondent’s fitness for office. For
similar reasons, there would
be no point in making an order as sought
in paragraph 14 of the notice of motion directing the fourth
respondent ‘to comply
with his duties and obligations as
declared by this Court’. The fourth respondent’s duties
and obligations are set
out in the trust deed and the Trust Property
Control Act. In the absence of any dispute about them, there is no
need for a court
to declare what they are. Any material transgression
by the fourth respondent (or any other trustee for that matter) can
be addressed
by any of mechanisms described in the immediately
preceding paragraphs. A court should be approached only if those
mechanisms are
demonstrably inadequate.
[71]
Turning now to address the application by
the sixth and seventh applicants for the relief sought in terms of
paragraphs 7 and 9
of the notice of motion. The applicants allege
that the structure in which they had been living on Erf 10 was
demolished in an
exercise carried out by the Municipality on
18 November 2020.
[72]
The
evidence adduced by the Municipality in answer was that an exercise
to demolish
unoccupied
structures erected on the land was carried out on the instructions of
the acting municipal manager. The deputy chief law enforcement
officer mandated to carry out the exercise was instructed to take
video footage ‘to protect us against claims that [the
demolished structures were] occupied’. The instruction was to
‘remove all unoccupied structures and store the material
somewhere safe’. A preliminary inspection was conducted at the
site on 17 November. According to the law enforcement
officer’s
report to the Municipality’s Chief: Law Enforcement and Senior
Manager: Protection Service, dated 18 November
2020, a drone flight
done during the inspection identified that ‘there were
approximately 105 completed illegal structures
and approximately 30
unoccupied/incomplete illegal structures’.
[21]
The report stated, apparently in relation to the preliminary
inspection, ‘(t)here were a number of completed structures of
which cannot be determined if they are occupied or not’. The
report contained no explanation for the reported difficulty
in
determining whether certain of the structures were occupied or not.
[73]
The law enforcement officer’s report
proceeded as follows in respect of the demolition exercise undertaken
on the day following
the preliminary site inspection: ‘On
arrival, the structures were checked to see if it is unoccupied (sic)
and then marked
with a number to indicate which material belong to
the structure. At 09:36 the first unoccupied structure was
demolished, see below
pictures’. Twelve miniature photographs
(being the forementioned pictures below), each approximately 30mm x
25mm in size,
depicted various structures made of wood and corrugated
iron sheeting that appeared to be unoccupied or in the course of
being
demolished. If the photographs are studied under a magnifying
glass one can make out that some of the depicted structures had
numbers
boldly painted in red on their outside walls.
[74]
The law enforcement officer’s report
continued ‘A drone flight took place before the demolishing
commence, during and
after the demolishing operation (
sic
).
In total, there were 26 illegal unoccupied structures demolished by
the Red Ants of which 13 of them were complete but unoccupied
and 13
structures were incomplete. All the material of the demolished
structures was loaded onto a truck and stored at Beltana
Working
Depot for safe keeping.’ The report summed up the manner in
which the exercise had been carried out as follows: ‘The
operation was concluded at 11:54 with no injuries to the officers, no
damage to vehicles and no shots fired. The community was
peaceful and
operation was a success and the officers left the area.’ The
law enforcement officer added, however, that he
had received a
telephone call at 12:00 from a municipal councillor informing him
‘that the owners of the structures that
were demolished and a
number of the residents of Lanquedoc who assisted during the
operation to load the material on the trucks
were riotous towards
each other. A vehicle collecting scrap metal entered Lanquedoc.
A number of residents tried to sell the
demolished material left
behind to the people collecting scrap metal. This angered the illegal
occupants and they turned the vehicle
over on its roof and attempted
to set the vehicle alight. SAPS and POPS intervened and stopped the
people’. The evidence
adduced in support of the abovementioned
application instituted by the Municipality on 20 November 2020 for
interdictory relief
against the further invasion of the land supports
the applicants’ evidence that a few days of unrest ensued after
the demolitions,
and some municipal employees even had their houses
burned down.
[75]
The sixth and seventh applicants averred
that they had erected their structure on 27 October 2020 and had
stayed there since
that date. According to their evidence, the only
contents in the structure during the subsequent three weeks had been
a matrass
and two blankets. They had arranged for additional
household furniture to be brought from the address at which they had
previously
been living in Lanquedoc. Those possessions were standing
outside the structure waiting to be brought inside at the time the
Municipality’s
officials conducted the demolition exercise. The
sixth applicant, who was present at the time, averred that the
persons who demolished
the structure threw the matrass and blankets
that were in it outside before they tore the structure down.
[76]
The Municipality’s deputy chief law
enforcement officer made an affidavit in support of the first
respondent’s opposition
to the sixth and seventh applicants’
application. The affidavit was little more than a confirmation of his
report, described
above. He described the Municipality’s
‘approach’ in the exercise as follows:
‘
11.1
At the start all unoccupied structures were checked and confirmed to
be unoccupied.
11.2 Each structure
was then allocated a number to allocate the material to a structure
in case a claim is laid to the material
at a later stage.
11.3 The materials
of each demolished structure was (
sic
) then loaded onto a
truck and stored at Beltana Working Depot for safe keeping until
claimed by the owner.’
The witness did not give
any explanation of the statement in his report concerning a
difficulty when the site inspection was carried
out on the day before
the demolitions in determining whether some structures were occupied
or not. He also did not explain the
apparent contradiction in his
report concerning the removal and storage of
all
the material
that had been used to construct the demolished structures and the
fracas that reportedly broke out after the completion
of the exercise
caused by the attempt by some of the community to sell some of the
material that had been left behind to a scrap
metal dealer.
[77]
There is clear dispute of fact concerning
whether the sixth and seventh applicant were in occupation of one of
the demolished structures
at the time of demolition. The evidence on
both sides is unsatisfactory.
[78]
On the applicants’ side, there was no
evidence to identify precisely which of the demolished structures
they were occupying.
It is evident from the photographic evidence
forming part of the law enforcement officer’s report that each
of the structures
identified for demolition depicted in the report
was identified by a number painted on the exterior in large red
numerals. I would
have thought that it would have been evident to
anyone present that the structures on which the numbers were being
painted had
been identified for demolition. It is odd that the sixth
applicant said nothing about the identification of her structure for
demolition,
nor as to what she did to point out to the demolition
team that she and her partner were in occupation of it,
alternatively, to
explain why she did nothing at the time to protest
the identification of her structure as one of those to be demolished.
[79]
It could be that the circumstances were
such that the sixth applicant was too frightened to do or say
anything, but if that were
the case, I would have expected her to say
so. It is evident from the first applicant’s evidence that
there were Lanquedoc
Housing Association representatives on site at
the time. It is not explained what they did during the demolitions,
but the probability
is that they were there to lend moral support to
the unlawful occupiers. There is likewise no evidence that any of
them attempted
to engage with the persons carrying out the
demolitions to stop the tearing down of a structure that was
occupied.
[80]
It is also odd, and unexplained, that the
sixth and seventh applicants should have lived in the structure for
three weeks with their
one-year old infant with nothing but a matrass
and two blankets. There is not even mention in their affidavits of
any clothing
and cooking and eating utensils in the structure. I find
it strange that they would have lived there in such extremely austere
circumstances when it is admitted that they came from accommodation
at an address in Lanquedoc where their furniture remained. Their
evidence is tainted with inherent improbability in the circumstances.
A different impression might have been given had the evidence
concerning their alleged occupation of the structure not been so
bald. That greater detail was called for is illustrated by the
discussion in
Barnett and Others v
Minister of Land Affairs and Others
[2007] ZASCA 95
(6 September
2007); 2007 (6) SA 313
(SCA);
2007 (11)
BCLR 1214
(SCA) at para 38 on the import of the term ‘home’
for the purposes of s 26(3) of the Constitution and PIE, which
was referred to in
Fischer and Another v
Ramahlele and Others
[2014] ZASCA 88
(4
June
2014); 2014 (4) SA 614
(SCA);
[2014] 3 All SA 395
(SCA) at para
22 as the appeal court’s judgment ‘
on
the meaning of occupation for the purposes of PIE
’.
It seems to me doubtful, on the test posited in
Barnett
loc. cit., that a person could be said to be in occupation merely
through keeping a facility to sleep at the place in issue whilst
maintaining and availing of all their other utilities for daily
living at another address.
[81]
I
have already identified one of the unsatisfactory features in the
Municipality’s evidence; that concerning the enigmatic
reference in the law enforcement officer’s report to a
difficulty at the preliminary site inspection in ascertaining whether
some of the structures were occupied or unoccupied. It was also
unsatisfactory, in the context of the reported videotaping of the
demolition exercise for the purpose of retaining proof that the
structures that were demolished were unoccupied, that the first
respondent failed to produce the tape in support of its answer to the
sixth and seventh applicants’ claim, alternatively,
explain its
omission to do so. The applicants’ reliance on this omission as
support for their evidence was somewhat neutralised,
however, by the
effect of their failure to require the production of the videotape in
terms of rule 35(12). The position of the
Municipality, as I
understood its counsel’s argument, was that the Municipality
had been under no obligation to produce the
filmed evidence as it did
not bear the onus. In my view, however, that is a regrettable
attitude for an organ of state to adopt
in litigation in which it is
alleged that it has been guilty of a breach of a person’s
fundamental human rights. It is an
attitude that is inconsistent with
the culture of openness and accountability that is an integral aspect
of the state’s duty
to respect, protect, promote and fulfil the
rights in the Bill of Rights.
[22]
[82]
The
applicants’ counsel argued that the dispute whether the sixth
and seventh applicants had been in occupation of one of
the
structures that was demolished should not be characterised as a real
one for the purposes of the
Plascon-Evans
rule. They cited the appeal court’s judgment in
Wightman
t/a J W Construction v Headfour (Pty) Ltd and Another
[2008] ZASCA 6
(10 March 2008)
[2008] ZASCA 6
; ;
[2008] 2 All SA 512
(SCA);
2008 (3)
SA 371
(SCA) at para 13
[23]
in
support of the submission. The difficulty that I have with the
argument is that the application of the principle identified
in
Headfour
is very much dependant on a contextualised assessment of all the
evidence. It is not easily applied where, as in the current case,
the
evidence of the applicant seeking to rely on it is equally amenable
to criticism as unaccountably sketchy, and, as the first
respondent’s
counsel justifiably emphasised, where the dispute in issue was
eminently foreseeable when the application was
instituted. The
principle in
Headfour
does not operate in a vacuum; it co-exists, as an integral feature of
the
Plascon-Evans
rule, with the principle articulated in
National
Scrap Metal v Murray & Roberts
[2012] ZASCA 47
(29 March
2012); 2012 (5) SA 300
(SCA) in para 21-22
(after referencing
Headfour
in
para 17), viz. that the test for rejecting a respondent’s
evidence on the papers, without the benefit of oral evidence,
is
‘a stringent one not easily satisfied’.
[24]
[83]
For the reasons set out below, I have
concluded that it is not necessary to determine the dispute of fact
for the purposes of deciding
on the declaration of illegality sought
by the applicants in paragraph 7 of the notice of motion. I do need
to record, however,
albeit not without hesitance, that I could not
have determined the issue whether the structure was occupied in the
applicants’
favour on the papers alone and without oral
testimony. As I shall discuss presently, that finding affects the
extent of the remedy
that the court is able to afford in respect of
paragraph 9 of the notice of motion, in which an order is sought
directing
the Municipality to reconstruct the structure on the land.
[84]
Both sides in the current matter proceeded
on the assumption that the demolition by the Municipality of the
structures erected by
the unlawful occupiers on Erf 10 that were not
yet inhabited was permissible without a court order. When I
questioned whether this
was really so, counsel were unable to cite
any authority in support of the assumption. I am understandably
reluctant to decide
any aspect of the case on a basis different from
that on which it was advanced, but it cannot be expected of a court
to determine
a matter accepting a misdirected understanding of the
applicable law by the litigants on both sides.
[85]
It seems to me that the misunderstanding
that a municipality may demolish unoccupied structures put up by land
invaders has to do
with the concept of counter-spoliation and its
application in some comparable cases. It is trite that the right to
counter-spoliate
is recognised as a legitimate form of self-help and
that consequently resort may be had to it without the authority of a
court
order.
[86]
Counter-spoliation was held to justify the
demolition of unlawfully erected structures in comparable
circumstances in
Mbangi and Others v
Dobsonville City Council
1991 (2) SA
331
(W). The judgment falls to be read mindful, of course, that it
was decided before the advent of the current constitutional
dispensation
and at time when the Prevention of Illegal Squatting
Act, 1952, which permitted the owner of land without an order of
court to
demolish any structure erected on his land without his
consent - irrespective of whether it was occupied or not - was in
force.
The basis for distinguishing unoccupied structures from
occupied ones in the post-Constitutional era is that unoccupied
structures
do not implicate s 26 of the Constitution, whereas
occupied informal structures almost invariably do.
[87]
The
continued application of the doctrine of counter-spoliation in the
context of land invasions was recently acknowledged, but
its
constitutionality left open for later determination, in
South
African Human Rights Commission and Others v City of Cape Town and
Others
[2020] ZAWCHC 84
(25 August 2020); 2021 (2) SA 565 (WCC).
[25]
In
Residents
of Setjwetla Informal Settlement v Johannesburg City
2017 (2) SA 516
(GJ), on the other hand, the finding by the court
that the local authority was not entitled to demolish structures put
up only
hours beforehand without a court order appears inconsistent
with an acceptance that a right of counter-spoliation was available.
[88]
The judgment in
Setjwetla
Informal Settlement
has been the
subject of trenchant academic criticism; see Johan Scott,
The
precarious position of a land owner vis à vis unlawful
occupiers: Common-law remedies to the rescue?
2018 TSAR 158.
It is also irreconcilable in the relevant respect with
the dicta in the appeal court’s judgment in
Fischer
supra, at para 22-23, that appear to recognise the availability of
counter-spoliation in land incursion cases.
[89]
Whether counter-spoliation is an available
remedy is a fact-specific question. On the undisputed facts in the
current case there
were fundamental problems in the way of the
Municipality’s ability to rely on counter-spoliation, even
assuming in its favour
that it could be regarded as the owners’
agent for the purpose of resisting the land intruders’ acts of
spoliation.
[90]
The
applicants’ evidence that they had erected the structure on 27
October 2020 was uncontroverted. Their evidence in that
respect was
also consistent with the other indications in the evidence assessed
as a whole that it was at the end of October that
a significant
number of additional structures were erected on the land in the
course of the incursion that prompted the urgent
meeting of trustees
on 29 October described earlier in this judgment. There is no
suggestion in the evidence that the structure
could have been erected
by the sixth and seventh applicants with any other intention than to
possess it (
animus
possidendi
).
The undisputed evidence that they had transported their furniture
there to be installed three weeks after erecting the structure
is
consistent with their having exercised a measure of control over the
structure since its erection even if they did not inhabit
it in the
sense discussed in
Barnett
supra, loc.cit. The physical requirement for possession (
detentio
)
‘does not require continual physical occupation; a person has
detention even if he leaves the property but is capable of
assuming
occupation at any time. What is required is that the person in
question should manifest the power at his will to deal
with the
property as he likes and to exclude others’.
[26]
[91]
The
inexorable conclusion to be drawn from the forementioned factors is
that the sixth and seventh applicants were in peaceful and
undisturbed possession of the structure at the time it was
demolished, and had been for three weeks. The remedy of
counter-spoliation
is not available in such circumstances. The
requirement that a counter-spoliator must act
instanter
(‘there and then’ following immediately upon the
spoliation and forming part of the
res
gestae
of that occasion
[27]
) was not
satisfied. I make that finding conscious that there is some
disagreement in the authorities about the stringency of the
requirement.
[92]
It follows that on the peculiar facts of
the current case there was no lawful basis for the Municipality to
demolish the structure
without a court order, even if its officials
were reasonably of the opinion that it was unoccupied at the time.
The understanding
by the acting municipal manager that the
Municipality was invested with the power - without the need to obtain
a court order -
to demolish the structures erected by the persons who
intruded onto the land, provided only that they were not occupied,
was misconceived.
[93]
The sixth and seventh applicants are
entitled to the return of the materials with which their demolished
structure was constructed.
The Municipality has tendered that. The
same does not apply to their application for an order that the
structure be reconstructed.
The applicants’ counsel relied on
Tswelopele Non-Profit Organisation and
Others v City of Tshwane Metropolitan Municipality
[2007] ZASCA 70
(30 May
2007); 2007 (6) SA 511
(SCA) in support of
their contention that such relief was justified and appropriate.
[94]
Tswelopele
is
distinguishable, however, because in that case it was proven that the
persons whose structures were demolished had been living
in them at
the time. For the reasons given earlier, I have not been able to make
a finding on the papers to that effect in favour
of the applicants in
the current case. Notwithstanding the recognition in
Tswelopele
that the demolition of the dwellings in
that case infringed not only the occupiers’ constitutional
warranty against summary
eviction from their homes but also their
rights to personal security, to privacy and their property rights in
their materials and
belongings, it is evident that the fundamental
reason for considering that the reconstruction of the structures was
necessary if
an effective remedy were to be granted was that anything
less would not meaningfully redress the painful and humiliating
indignity
of being hounded unheralded from the privacy and shelter of
their homes.
[95]
In the current matter, in which, in the
absence of oral evidence, the court is obliged to accept that the
structure in question
was not inhabited, the rights of the sixth and
seventh applicants that were primarily impacted were their property
rights in the
materials of which the structure had been constructed
and their right not to have their established possession of the
structure
usurped without due process. I consider that an adequate
and effective remedy is the return of the materials and a declaration
that the unauthorised demolition of the structure was unlawful. A
direction that the municipality re-erect a structure for the
applicants on the Trust’s land would not be appropriate in the
circumstances.
[96]
Such a direction would implicitly afford
the sixth and seventh applicants the facility to take up unauthorised
residence on the
land, which they have no lawful entitlement to do.
It would burden the Trust, or the Municipality should it hereafter
become the
owner of the land, with the task of legally evicting the
applicants, who are confessedly not beneficiaries of the Trust at
this
stage, so that the land can be used or kept available for
orderly settlement by beneficiaries who are in need of access to
adequate
housing. Orderly settlement, in a situation in which the
number of beneficiaries in need of housing exceeds the capacity of
the
resources available to provide it, necessitates some system of
regulated preference. Any remedy that could be seen as providing
an
advantage to unlawful land occupiers over those in line to be
provided access to the land in an orderly development of it is
contraindicated. The situation is quite distinguishable from that
which sometimes presents when the eviction of a relatively settled
community of unlawful occupiers falls to be considered in order to
free up the land on which they have been living for some time
for
orderly settlement by others on the waiting lists for housing.
[97]
Turning now to the relief sought in terms
of paragraph 8 of the notice of motion, viz. an order directing
the Municipality
to design and implement clear and objective rules
and policies so as to ensure that its officials and agents do not
demolish, or
evict any residents from any informal dwellings which
are occupied, unless such demolition or eviction is authorised by a
court
order. The difficulty in this regard is that it has not been in
issue between the parties that the Municipality does not have the
power to evict any person from their dwelling, irrespective of
whether it is conventional building or an informal structure, without
a court order. The applicability of s 26(3) of the Constitution
and, where applicable, PIE, was not in issue. I have made
it clear
earlier in this judgment that the Municipality also does not have the
power to demolish even unoccupied structures save
under the authority
of a court order unless, arguably, it is able to justify its conduct
in doing so as an act of counter-spoliation.
[98]
The question then is what is it precisely
that the rules and policies contemplated by the applicants would
regulate and address?
It seems to me that the only issue identified
on the papers is one that does not concern questions of authority or
policy, but
rather one of fact. Whether a structure was occupied or
not when the Municipality’s law enforcement teams demolished it
is
the contentious matter in this regard. That is a factual question.
I fail to see how whether a particular factual situation obtains
could be amenable to regulation or policy. Facts are facts. They
speak for themselves. It would, of course, be possible to specially
define the term ‘unoccupied’ to have a meaning different
to that given in the dictionaries, but the choice of the Municipality
whether to do so is not a matter in which a court could appropriately
intervene.
[99]
The applicants sought to bolster their case
that the Stellenbosch Municipality has been a serial offender in the
demolition of informal
structures that are occupied dwellings by
filing a number of so-called ‘supplementary affidavits’.
They did so at the
stage that they would have been entitled, in terms
of rule 53(4), to supplement their founding papers in the review
applications
after considering the record of impugned decisions
provided by the respondents. They acknowledged, however, that the
affidavits
they sought to introduce did not qualify for admission
under the sub-rule. The Municipality raised an objection against the
admission
of the supplementary affidavits and did not respond to
them. It was only at the conclusion of two days of oral argument at
the
hearing that the applicants’ counsel applied from the bar
for the admission of the affidavits. The Municipality persisted
in
its opposition to that and indicated that if they were admitted it
would expect to be given the opportunity to answer them.
[100]
In view of the conclusion that I have
reached on the application for the order sought in terms of paragraph
8 of the notice of motion,
no point would be served by the admission
of the affidavits. They would not affect the result. However, quite
apart from that consideration,
the lateness of the application for
their admission and the fact that they concern matter likely to give
rise to disputes of fact
that could not be resolved on the papers
also militate against admitting the affidavits. To the extent
necessary, the application
for their admission will be refused. The
costs attendant on the application for the admission of the
affidavits must be inconsequential,
and there will no order
thereanent.
[101]
If there is a case to be made out that the
Municipality has been acting in repeated disregard of its
constitutional and legal obligations
(as to which the court has made
no finding), the appropriate remedy would be a prohibitory interdict,
perhaps accompanied with
appropriate directions. However, on the
disputed evidence in the current matter, a case has not been made for
the final interdict
sought in paragraph 10 of the notice of motion.
[102]
The applicants did not seek an adverse
costs order against the trustees. The interim order made on 15
December 2020, in respect
of which costs were reserved, bore
principally on the relief that will be granted concerning the invalid
decision by the Trust
on 29 October 2020. It is appropriate therefore
that there should be no order as to the costs of those proceedings
The applicants
will be awarded their costs in respect of the
postponement on 16 November 2021, which was due to the
non-availability of the
first respondent’s counsel. As to the
remainder of the relief sought, the sixth and seventh applicants have
achieved substantial
success and are entitled to their costs of suit.
For the benefit of the taxing master, I would estimate that about one
third of
the hearing was taken up by argument on the issues on which
the sixth and seventh applicants have succeeded. There is no
justification
on the proven facts for costs to be awarded on a
punitive scale.
[103]
In the result, an order will issue in the
following terms:
1.
The application for the admission of the supplementary supporting
affidavits is refused,
with no order as to costs.
2.
It is declared that the first respondent's conduct in demolishing the
structure erected by
the sixth and seventh applicants on Erf 10
Lanquedoc without a court order was unlawful.
3.
The first respondent is directed to return the building materials of
the forementioned demolished
structure to the sixth and seventh
applicants at the address where they currently reside in the Dwars
River Valley.
4.
It is declared that the purported decision by some of the trustees of
the Dwars River Valley
Community Development Trust (formerly called
the Boschendal Treasury Trust) on 29 October 2020 to donate immovable
property owned
by the Trust to the first respondent was invalid, and
of no force or effect.
5.
The said decision is accordingly reviewed and set aside.
6.
Save that there shall be no order as to costs in respect of the
taking of the interim order
before Slingers J on 15 December
2020, the first respondent shall pay the applicants’ wasted
costs incurred in respect
of the postponement on 16 November
2021 and the sixth and seventh applicants’ costs of suit.
7.
Save as provided in the preceding paragraphs, the application is
dismissed.
A.G. BINNS-WARD
Judge of the High
Court
APPEARANCES
Applicants’
counsel:
P. Hathorn SC
G.J. Gagiano
Applicants’
Attorneys:
Chennels Albertyn
Stellenbosch
First respondent’s
counsel:
A. Montzinger
First respondent’s
attorneys:
CSM Attorneys
Stellenbosch
[1]
‘
Lanquedoc’
appears to be a locally entrenched misspelling of ‘Languedoc’,
a name probably derived from the time
when many French Huguenot
refugees settled in the valley in the late 17
th
century. The Languedoc is an area in the south of France, so named
after the Occitan language (‘Langue d’Oc’)
that
was spoken by its Provencal inhabitants before French became
predominant.
[2]
The
applicants allege that the contested land has a market value of
R44 million. The allegation is founded on hearsay evidence.
There is no expert evidence in support of the allegation. It is
unnecessary for the purposes of this judgment to make any finding
on
the point, but it seems to me prima facie that, were it so minded,
the Municipality would be able, having regard to s 25(3)
and
(4) of the Constitution, to expropriate the property to accommodate
persons currently without adequate housing against payment
of little
or no compensation.
[3]
According
to the first applicant, a resolution to remove the absent trustee
from office has been taken by the trustees but ‘the
process
has not been finalised’.
[4]
‘
Natural
Environmental Zone’.
[5]
In
terms of the Municipality’s standing rules and order for the
meeting of the municipal council (published in Provincial
Gazette
Extraordinary 8135 dated 2 August 2019) ‘
in
committee
’
is defined to mean ‘
the
part of a meeting of the Municipal Council during which the meeting
is closed to members of the public and press, and to such
municipal
officials as determined by the speaker – excluding the
Municipal Manager – because of the nature of the
business
being transacted
’.
[6]
Quoted
in paragraph [7]
above.
[7]
Port
Elizabeth Municipality
supra, in para 20.
[8]
Cf.
President
of the Republic of South Africa v Modderklip Boerdery (Pty) Ltd
[2005] ZACC 5
;
2005 (5) SA 3
(CC);
2005 (8) BCLR 786
(CC) in para 36
and
Thubakgale
and Others v Ekurhuleni Metropolitan Municipality and Others
[2021] ZACC 45
(7 December 2021) in para 6.
[9]
[2014]
ZACC 18
(10 June 2014); 2014 (8) BCLR 930 (CC); 2014 (5) SA 69 (CC).
[10]
In
para 27.
[11]
Id.
[12]
In
para 33.
[13]
Id,
para 36.
[14]
Id,
para 44.
[15]
See
especially s 14 and Part 1 of Chapter 11.
[16]
There
is nothing objectionable, and indeed much that is commendable, in
acknowledging and upholding a municipality’s ability
to adjust
its planning provisions to deal with and optimise on changed
circumstances or unexpected opportunities; cf.
Modderklip
supra, at para 49.
[17]
I
refer in particular to s 156(1)(b), which provides that ‘
a
municipality has executive power in respect of, and has the right to
administer – (b) any ... matter assigned to it by
national or
provincial legislation
’
and s 156 (6), which provides: ‘
A
municipality has the right to exercise any power concerning a matter
reasonably necessary for, or incidental to, the effective
performance of its functions
’.
[18]
See
note 5 above for the defined meaning of ‘
in
committee
’.
[19]
See
GN965 of 2005 published in GG 27699 of 24 June 2005. Reg 5(3)
provides for the delegation by municipalities to ward committees
of
the powers and duties, amongst other matters, to ‘(e)
nsure
constructive and harmonious interaction between the municipality and
community through the use and co-ordination of ward
residents’
meetings and other community development forums
’.
[20]
In
paragraph [8].
[21]
The
copy of the report attached to the applicants’ founding papers
was of poor quality, especially in respect of its reproduction
of
the pictorial content. An original printout was handed up from the
bar during argument for the assistance of the court.
[22]
Sections
1 and 7 of the Constitution.
[23]
Applied
by the Constitutional Court in
Malan
v City of Cape Town
[2014]
ZACC 25
(18 September
2014); 2014 (6) SA 315
(CC);
2014 (11) BCLR
1265
(CC) at para 73, fn. 38.
[24]
Quoting
from
Mathewson
and another v Van Niekerk and others
[2012] ZASCA 12
(16 March 2012) para 7. See also
Media
24 Books (Pty) Ltd v Oxford University Press Southern Africa (Pty)
Ltd
(886/2015)
[2016] ZASCA 119
(16 September 2016);
[2016] 4 All SA 311
(SCA);
2017 (2) SA 1
(SCA) at para 36 and
Canton
Trading 17 (Pty) Ltd t/a Cube Architects v Fanti Bekker Hattingh N O
[2021] ZASCA 163
(1 December 2021) at para 69.
[25]
For
a discussion of whether counter-spoliation should be acknowledged as
an available remedy in land incursion matters, see G
Muller & EJ
Marais,
Reconsidering
counter-spoliation as a common-law remedy in the eviction context in
view of the single-system-of-law principle
2020 TSAR 103.
[26]
Per
Eloff J, Viljoen and Van Reenen JJ concurring, in
Ex
parte Van der Horst: In re Estate Herold
1978 (1) SA 299
(T) at 301F-G.
[27]
Van
Loggereburg,
Erasmus,
Superior Court Practice
Vol 2, RS 17, 2021, D7-19.
sino noindex
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