Case Law[2023] ZASCA 114South Africa
Estate late Hafiz and Others v Hafiz and Others (804/2022) [2023] ZASCA 114; 2024 (2) SA 374 (SCA) (27 July 2023)
Supreme Court of Appeal of South Africa
27 July 2023
Headnotes
Summary: Trust – validity of deed of trust – requirements for valid trust established – ambiguity in clause relating to succession of trustees – interpretation of trust deed – appeal dismissed.
Judgment
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## Estate late Hafiz and Others v Hafiz and Others (804/2022) [2023] ZASCA 114; 2024 (2) SA 374 (SCA) (27 July 2023)
Estate late Hafiz and Others v Hafiz and Others (804/2022) [2023] ZASCA 114; 2024 (2) SA 374 (SCA) (27 July 2023)
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sino date 27 July 2023
SAFLII
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THE SUPREME COURT OF
APPEAL OF SOUTH AFRICA
### JUDGMENT
JUDGMENT
Reportable
Case no: 804/2022
In the matter between:
ESTATE LATE GOOLAM
MURTUZA HAFIZ First
Appellant
MOHAMED IQBAL ESSOP
Second Appellant
SAYED HOOSEN AHMED
Third Appellant
And
AHMED ZAKIR
HAFIZ
First
Respondent
AKHMED RAZA
WAHAB
Second
Respondent
SAYED MUKTHAR
MOHAMMED
Third
Respondent
SHAKEEEL AHMED
HAFIZ
Fourth Respondent
ANEEZ AHMED
HAFIZ
Fifth Respondent
MASTER OF THE HIGH
COURT,
PIETERMARITZBURG
Sixth Respondent
REGISTRAR OF DEEDS,
KWAZULU-NATAL
Seventh Respondent
eTHEKWINI METROPOLITAN
MUNICIPALITY Eighth Respondent
Neutral
citation:
Estate late Hafiz
and Others
v Hafiz and Others
(804/2022)
[2023] ZASCA 114
(27 July
2023)
Coram:
DAMBUZA ADP and GOOSEN JA and MALI, SIWENDU and
UNTERHALTER AJJA
Heard:
Appeal disposed of without the hearing of oral
argument in terms of
s 19
(a)
of
the
Superior Courts Act 10 of 2013
.
Delivered
:
This judgment was handed down electronically by circulation to the
parties’ representatives via email, publication
on the Supreme
Court of Appeal website and release to SAFLII. The date and time for
hand-down is deemed to be 11h00 on 27 July
2023.
Summary:
Trust – validity of deed of trust
– requirements for valid trust established – ambiguity in
clause relating to
succession of trustees – interpretation of
trust deed – appeal dismissed.
ORDER
On
appeal from:
KwaZulu-Natal Division of the High Court,
Pietermaritzburg (Madondo AJP, Seegobin J and Ntshulana AJ, sitting
as court of appeal):
1
Save to the extent set out in paragraph 2 below, the appeal is
dismissed.
2
Paragraph 2 of the order of the full court is varied so that the
order reads as follows:
‘
1.
The appeal is upheld.
2. The order of the court
a quo is set aside and is substituted by the following:
2.1 It is declared that
the Goolam Murtuza Hafiz Trust is valid and the said Trust shall be
administered in accordance with the
terms of the Memorandum of Trust
Agreement dated 6 September 1994.
2.2 It is declared that
the Trustee for the time being of the Goolam Murtuza Hafiz Trust
shall be Ahmed Zakir Hafiz (Identity no.
6[…]).
3. The first respondent,
the fifth respondent and the sixth respondent together with the
Goolam Murtuza Hafiz Trust, are directed
to pay the first and second
applicants’ costs in respect of the application and counter
application in the court a quo and
the appeal costs, jointly and
severally the one paying the other to be absolved.’
3
The appellants are ordered to pay the first and second respondents’
costs of appeal.
JUDGMENT
Goosen JA (Dambuza ADP
and Mali and Siwendu and Unterhalter AJJA concuring):
[1]
This appeal concerns the validity of the Goolam Murtuza Hafiz Trust
(the Hafiz Trust) created in 1994.
The order challenged on appeal is
that of the full court of the KwaZulu-Natal Division of the High
Court, Pietermaritzburg (the
full court). It upheld an appeal against
an order of the KwaZulu-Natal Division of the High Court,
Pietermaritzburg (the high court).
Special leave to appeal was
granted by this Court on 3 December 2020.
[1]
The
parties
[2]
The first appellant is the executor of the estate of the late Goolam
Murtuza Hafiz, who was the settlor
and founder of the Hafiz Trust.
The second and third appellants, Mohamed Iqbal Essop and Sayed Hoosen
Ahmed respectively, were
declared to be trustees of the Hafiz Trust
by the high court.
[3]
The first, second and third respondents were declared to be trustees
by the full court. Only the first
and second respondents participated
in the appeal. The first, fourth and fifth respondents are the sons
of Goolam Hafiz.
[2]
The sixth
respondent is the Master of the High Court, Pietermaritzburg (the
Master). The seventh and eighth respondents, namely
the Registrar of
Deeds and the eThekwini Municipality, took no part in the
proceedings.
Background
[4]
Goolam Hafiz was a prominent member of a Suni Islamic community in
Sherwood, Durban. In 1904, his grandfather,
Hajee Shah Goolam
Mohammed (Hajee Mohammed), took ownership, in trust, of a property on
which was erected the Sherwood Mosque.
The deed of transfer provided
that, on the death of Hajee Mohammed, trusteeship would pass to his
eldest male descendant and thereafter
to the eldest male descendant,
in turn.
[3]
[5]
Hajee Mohammed handed over control of the mosque to his son, Goolam
Hafiz Soofi (Goolam Soofi), who
held office until his death in 1953.
Goolam Soofi’s eldest son, Goolam Hafiz, then took up office as
trustee of the Sherwood
mosque (the Mosque Trust).
[4]
[6]
In 1983, Goolam Hafiz’s eldest son, Ahmed Hafiz (the first
respondent), took up the running of
the affairs of the mosque on a
full-time basis. In 1991, Goolam Hafiz purchased Sub 174 (of
136) of the Farm Riding 15152
(Property 1), situated alongside the
mosque. Ahmed Hafiz raised a loan to purchase the property. The loan
was settled from donations
by members of the Suni community. On 6
September 1994, Goolam Hafiz (as settlor) and Ahmed Hafiz (as First
Trustee) entered into
a written agreement (the 1994 deed of trust),
in which Goolam Hafiz undertook to donate Property 1 in trust to the
Hafiz Trust.
Ahmed Hafiz was named as First Trustee and undertook to
administer the trust for the purposes set out in the agreement.
[7]
The Hafiz Trust was registered and the Master issued letters of
authority to Ahmed Hafiz on 21 September
1994. Property 1 was donated
to the Hafiz Trust on 30 September 1995 and was transferred to the
trust on 16 February 1996. During
1996, a second property, Portion
177 (of 135) of the Farm Riding 15152 (Property 2), also alongside
the mosque, was acquired. Goolam
Hafiz transferred it to the Hafiz
Trust in May 2000.
[8]
In August 2004, Property 1 and Property 2 were linked by a notarial
tie agreement concluded between
the Mosque Trust and the Hafiz Trust,
represented by Goolam Hafiz and Ahmed Hafiz respectively. This was to
enable the properties
to be developed by the construction of a hall,
residential buildings and an office complex. The Hafiz Trust
was advised to
register as a public benefit organisation in terms of
the
Nonprofit Organisations Act 71 of 1997
. This required an
amendment of the 1994 deed of trust.
[9]
Goolam Hafiz and his three sons met on 14 December 2004 to amend the
deed of trust. The 2004 deed
of amendment was approved by
resolution and signed by each of the participants. At a subsequent
meeting held on 3 January 2005,
the assumption of two further
trustees was approved, namely Akhmed Wahab and Sayed Mohamed.
[10]
On 31 January 2005, the 2004 deed of amendment and resolution
approving the assumption of additional trustees,
was lodged with the
Master. On 4 February 2005, the Master advised that Shakeel and Aneez
Hafiz had not been appointed as trustees
of the Hafiz Trust. The
Master was nevertheless requested to proceed with the appointment of
Akhmed Wahab and Sayed Mohamed as
trustees. The Master issued letters
of authority to them on 26 August 2005.
[11]
The Hafiz Trust was registered as a non profit organisation and
managed by the three appointed trustees, without
demure, for a period
of six years. In 2011, Goolam Hafiz decided that his two younger
sons, Shakeel and Aneez Hafiz, should also
be appointed as trustees.
The Master was requested to appoint them and did so. In June 2011,
Goolam Hafiz convened a meeting where
it was decided to appoint two
further trustees, namely the Mohamed Essop and Sayed Ahmed.
[12]
In response to the request for appointment of these additional
trustees, the Master convened a meeting of the trustees
of the Hafiz
Trust. The Master informed the trustees that she had formed the view
that all of the trustee appointments ought to
be withdrawn and that
the deed of trust required amendment. Pending the amendment of the
deed the Hafiz Trust was to be administered
by Ahmed Hafiz and Goolam
Hafiz.
[13]
Ahmed Hafiz and Akhmed Wahab indicated that they intended to
challenge the Master’s decision to withdraw
the letters of
authority issued in 2005. In the meantime, an agreement of trust was
concluded between Goolam Hafiz and Sayed Mohamed,
Shakeel Hafiz,
Aneez Hafiz, Mohamed Essop and Sayed Ahmed (the 2011 deed of trust),
on 14 December 2011 which purported to amend
the 1994 trust deed.
Ahmed Hafiz and Akhmed Wakab were not involved. On 22 December 2011,
the Master issued letters of authority
appointing the five persons
involved as trustees of the Hafiz Trust. Following objections and
representations the Master issued
a ruling, on 27 July 2012, which:
(a) withdrew all letters of authority issued after 21 September
1994;(b) withdrew acceptance
of any amendments to the trust deed
effected after that date; and (c) expressed the opinion that the 1994
deed of trust only provided
for the appointment of the first trustee
upon the death of the settlor.
The
litigation
[14]
Goolam Hafiz brought an application before the high court to declare
that the Hafiz Trust was not a valid trust
(the main application). He
sought the transfer of the donated property, Property 1, back into
his name.
[5]
Ahmed Hafiz and
Akhmed Wahab launched a counter-application, in which they sought a
declaration that the Hafiz Trust was validly
founded and that it be
administered in terms of the 2004 deed of amendment. They also sought
confirmation that they, together with
Sayed Mohamed, were the
trustees of the Hafiz Trust. During the course of the litigation
Goolam Hafiz was substituted by the executor
of his estate.
[15]
The high court found that a valid trust was not established. It held
that the 1994 deed of trust was amended
by the 2011 deed of
trust, and that this latter deed established a valid trust. It
ordered that the parties to the 2011 agreement,
together with Ahmed
Hafiz and Akhmed Wahab, were the trustees of the Hafiz Trust.
[6]
[16]
The full court set aside the high court’s order. It declared
that the Hafiz Trust was validly created and
that it was to be
administered in accordance with the 1994 deed as amended by the 2004
deed of amendment. It declared that Ahmed
Hafiz, Akmed Wahab and
Sayed Mohamed were the trustees of the Hafiz Trust. In addition, it
varied clause 4.1 of the 1994 deed of
trust to read that the First
Trustee was Ahmed Hafiz and upon his death, the office of trustee
would descend to his eldest male
issue.
The
issues
[17]
Three issues arise for decision. The first is whether the Hafiz Trust
was validly created in 1994. The second is
whether the 1994 trust
deed was amended, and if so, by what instrument. The third concerns
the identity of the trustees of the
Hafiz Trust.
Was
a trust validly established?
[18]
The validity of the Hafiz Trust depends upon whether:
(a) Goolam Hafiz intended
to create a trust in his life time;
(b) his intention was
expressed in a manner that created an obligation upon the trustee or
trustees and whether such obligation
was accepted;
(c) whether the trust
property was defined with reasonable certainty;
(d)
whether the objects of the trust were set out with reasonable
certainty and whether they are lawful.
[7]
[19] The
lawfulness of the objects of the Hafiz Trust and the definition of
the trust property were not in issue. The
controversy centered on the
expressed intention of the settlor and whether the 1994 trust deed
envisaged the appointment of a trustee
in the life time of the
settlor.
[20]
Whether a trust was validly established depends on the evidence. An
inter
vivos
trust
is created by a bilateral agreement between its founder and the
prospective trustee or trustees.
[8]
The agreement may be oral or in written form. The document alleged to
be the trust deed serves as evidence of the creation of the
trust
along with other relevant evidence.
[9]
This may concern the declared intention of the settlor determined at
the time that a trust instrument is executed
[10]
;
the assumption of the obligations of trusteeship by an intended
trustee; the formal appointment of such trustee; and the transfer
of
ownership and control of the trust property into the hands of the
person said to be the trustee.
[21]
To the extent that a document alleged to be a trust instrument or
clause thereof is equivocal, it will be read
in the context of the
evidence to determine whether it supports the conclusion that a valid
trust was created thereby. Interpretation
to determine the meaning
and effect of the instrument, found to create a valid trust,
would
involve the unitary exercise
of
considering of the text, context, and purpose of the instrument.
[11]
[22]
The 1994 trust deed states that it is an agreement entered into
between Goolam Hafiz, as settlor, and Ahmed Hafiz
as First Trustee.
It was signed by them in their respective capacities. The preamble
reads:
‘
Whereas it has
been agreed between the parties that it is the intention and desire
of the SETTLOR that he shall donate sub 174 of
136 of the Farm Riding
No 15152 in extent of One thousand and eighty square metres (1080),
to be administered by the Trustee or
Trustees to operate a Trust for
the objects set out more fully hereunder and whereas the First
Trustee has agreed to accept ownership
of the Trust and to undertake
the obligations of the Trust according to the terms set out in this
agreement.’
[23]
The expressed purpose was to transfer ownership of
Property 1 into a trust. Ahmed Hafiz was appointed as trustee upon
registration
of the Hafiz Trust. Thereafter Property 1 was donated to
the Hafiz Trust and was transferred into the name of the Hafiz Trust.
The evidence establishes that a second property was donated to the
Hafiz Trust; that a notarial tie agreement was concluded with
the
Mosque Trust; and that the properties were extensively developed.
[24] The only
question is whether clause 4 of the 1994 deed of trust was intended
to mean that the First Trustee would
only be appointed upon the death
of the settlor. If that is so, then the control of the trust property
would remain in the hands
of the settlor until his death and could
only then pass to the First Trustee. The envisaged trust would
therefore be constituted
on the death of the settlor.
[25]
Clause 4 reads as follows:
‘
There shall be
perpetual succession as follows:
4.1
On the death of the settlor the office of Trustee shall descend to
the First Trustee and
thereafter to the eldest male issue of the
first Trustee, if any.
4.2
Failing succession as envisaged in Clause 4.1 the office of the
Trustee shall descend to
the second trustee and thereafter to the
eldest male of the second trustee, if any.
4.3
Failing succession as envisaged in Clause 4.1 and 4.2 above the
office of Trustee shall
descend to the third trustee and thereafter
to the eldest male issue of the third trustee, if any.
4.4
Failing succession as envisaged in clause 4.1, 4.2 and 4.3 the office
of Trustee shall pass
to the male descendants from the female issue
of the settlor in the same manner as envisaged in clause 4.1 and 4.2
and 4.3 above.
[12]
[26]
The
phrase ‘office of trustee’ ordinarily refers to the
position of trusteeship and the rights and obligations conferred
by
law on the occupant of that office.
[13]
In its ordinary meaning, it refers to a specific office occupied in
relation to a specified trust.
[14]
At
face value the clause suggests that the office of trusteeship
would ‘descend’ or pass to the First Trustee
upon the
death of the settlor. There is, however, no other text in the 1994
deed which confers upon the settlor any responsibilities
or duties as
trustee. The settlor was not appointed as trustee. There is no
evidence that he, at any stage, regarded himself as
a trustee of the
Hafiz Trust. The evidence is to the contrary, as demonstrated by the
notarial tie agreement. The 1994 deed of
trust instead points to
Ahmed Hafiz as First Trustee of the Hafiz Trust, his acceptance of
the office and the Master’s acceptance
of his appointment. It
was not intended that the settlor should hold the‘office of
trustee’ in the Hafiz Trust.
[27] The
expressed purpose of clause 4 was to provide for perpetual succession
of the Hafiz Trust. It is with this in
mind that it must be
interpreted. The clause deals with the continued existence of the
trust upon the occurrence of the death of
the settlor. The First
Trustee was named as trustee elsewhere in the deed of trust and was
appointed on that basis. Clause 4 therefore
provides for the
continued existence of the office of trusteeship after the death of
the settlor. Read in the context of the deed
of trust as a whole, it
does not mean that the First Trustee would only be appointed once the
settlor had died. Upon the occurrence
of the death of the settlor the
office of trusteeship would continue to be held by the First Trustee
as incumbent and thereafter
be occupied as envisaged by clause 4.
Seen in this light, clause 4 merely reflects an expression of
an intention on the part
of the settlor to ensure that control of the
Hafiz Trust would remain with his descendants. It can thus be read in
a manner that
is consistent with the overriding intention expressed
in the deed of trust.
[28] The
evidence as a whole, overwhelmingly establishes that a trust was in
fact constituted by the deed of trust and
that ownership and control
of the trust property passed into the hands of the nominated First
Trustee during the lifetime of the
settlor. The full court
therefore correctly found that the trust was validly established.
[29] The full
court varied clause 4.1 to read that upon the death of the first
trustee, the office of trustee shall
descend to his male descendant.
It left clauses 4.2 and 4.3 in their original form. In doing so, it
brought clause 4.1 in line
with what had already occurred. It
exercised the discretion conferred upon it by s 13 of the Trust
Property Control Act, 57 of
1988 (the TPCA).
[30]
There was, however, no application made to vary clause 4.1 of the
1994 deed of trust. No case was made out to suggest
that the clause
served to hamper the achievement of the objects of the founder, or
was prejudicial to the interests of beneficiaries,
or was in conflict
with the public interest. Section 13 does not confer upon a court a
general power to vary a deed of trust. A
court’s power is
confined to the circumstances which are set out in the section.
[15]
Once the full court had determined that the Hafiz Trust was validly
established, any obstacle that clause 4.1 might have posed
to the
achievement of the objects of the trust was negated. It was not open
to the court,
mero
motu
,
to vary clause 4.1. The full court’s order of variation cannot
stand.
The amendment of the
deed of trust
[31]
The second question is whether the 1994 trust deed was amended by the
2004 deed of amendment as sought in the counter-application.
The
facts giving rise to the 2004 deed of amendment were common ground.
Shakeel and Aneez Hafiz were not trustees of the Hafiz
Trust when
they agreed to the amendment of the 1994 deed of trust at the meeting
held in December 2004. Goolam Hafiz had contended
that it was always
his intention that his two younger sons also be appointed as trustees
of the trust. Ahmed Hafiz disputed this
version.
[16]
He stated that it was always known that they were not trustees. They
were not required to agree to an amendment of the trust deed
in their
capacity as trustees. All that was required was that they agree, as
‘potential’ trustees, who may succeed
to trusteeship as
provided by clause 4 of the deed of trust.
[32] Clause
7.1 provides that the trust deed may be varied by agreement in
writing between the first, second and third
trustees. Clause 7.2
states that any such agreement shall be binding ‘on any person
appointed as Trustee and on any beneficiaries
of [the] Trust, whether
majors or minors, born or unborn, at the date at which such agreement
is concluded’.
[33] The
question that arises is whether clause 7.1 means that an amendment
can only be effected by the named trustees
acting in their capacity
as trustees. If that is so, then the amendment of the trust deed in
2004 (as also in 2011), was not validly
effected. Counsel for the
first respondent argued that the clause does not require that the
second and third trustees act as trustees.
All that was required was
that the persons named as trustees should agree to the variation of
the deed of trust. The original trust
deed did not envisage that the
second and third trustees be appointed as trustees from the outset.
They agreed as a matter of fact
to the amendment of the trust deed.
[34] Such
construction would give rise to absurdity. It would mean that a
trustee could enter into an agreement with
other persons who were not
required to act in a fiduciary capacity to amend a deed of trust. It
would offend the essential principles
upon which a trustee assumes
the obligations imposed by the trust. The language of clause 7.1 is
clear. It means that a variation
of the trust deed may only be
effected by the named trustees acting in their capacity as trustees.
Accordingly, the agreement to
vary the original deed by the deed of
amendment of 2004, could not and did not validly vary the original
deed of trust. Therefore,
the 1994 trust deed remains extant.
The appointed trustees
[35] The
final question concerns the order declaring Ahmed Hafiz, Akhmed Wahab
and Sayed Mohamed to be the trustees
for the time being of the Hafiz
Trust. There was no controversy concerning the appointment of Ahmed
Hafiz, who was designated by
the trust deed to be the First Trustee.
Letters of authority were issued to him on 21 September 1994.
[36]
The 1994 trust deed is, apart from clause 4, silent about the
appointment of other trustees. It says nothing about
the number of
trustees to be appointed. The language employed in clauses 5, 6 and 7
of the deed suggests that more than one trustee
may be appointed.
Where a trust deed is silent as to the appointment of additional
trustees, the Master may appoint any person
to act as trustee of the
trust.
[17]
[37] The
affidavits say very little about the appointment of additional
trustees in 2005. The affidavits merely
state that they were
asked to serve as trustees in order to ensure that ‘un-related’
persons were appointed to secure
registration as a non-profit
organistion. The request emanated from a ‘meeting of trustees’
involving Shakeel and Aneez
Hafiz, and took the form of a resolution
adopted by the ‘trustees’. They had no authority to act
in that capacity.
Nothing is known about the basis upon which the
Master then exercised the discretion to appoint the additional
trustees. The counter
application did not seek an order setting aside
the decision of the Master to withdraw the letters of authority. It
sought their
appointment by order of court. For such order to be made
the court would have to be placed in the same position as the Master
would
be to enable it to exercise the discretion. There is, however,
no factual basis upon which the court could do so. In these
circumstances,
the full court erred in its declaration since there
was insufficient basis in the evidence to support the order.
[38]
The position of Ahmed Hafiz is different. He was nominated as a
trustee by the settlor. He accepted his nomination
and was duly
appointed by the Master on 21 September 1994. The Master’s
subsequent concerns relating to the appointment of
trustees did not
relate to the appointment of Ahmed Hafiz as trustee.
[18]
[39] In
relation to costs, it was submitted that the full court ought to have
ordered that the costs be borne by the
Hafiz Trust. This was premised
on the contention that the litigation arose because of the actions of
the settlor and the disputed
appointment of trustees by the Master.
The litigation was said to have been conducted in the interest of the
Hafiz Trust. However,
what is plain from the record is that the real
dispute relates to the position of trusteeship of the Hafiz Trust.
There is, therefore,
no basis to interfere with the full court’s
costs order. As regards the costs on appeal, the appellants
unsuccessfully persisted
in supporting the high court order. The fact
that the full court’s order must be varied does not warrant a
departure from
the ordinary rule regarding costs. There is also no
reason why the costs should be borne by the Hafiz Trust.
[40] In the
result, the following order will issue:
1
Save to the extent set out in paragraph 2 below, the appeal is
dismissed.
2
Paragraph 2 of the order of the full court is varied so that the
order reads as follows:
‘
1.
The appeal is upheld.
2. The order of the court
a quo is set aside and is substituted by the following:
2.1 It is declared that
the Goolam Murtuza Hafiz Trust is valid and the said Trust shall be
administered in accordance with the
terms of the Memorandum of Trust
Agreement dated 6 September 1994.
2.2 It is declared that
the Trustee for the time being of the Goolam Murtuza Hafiz Trust
shall be Ahmed Zakir Hafiz (Identity no.
6[…]).
3. The first respondent,
the fifth respondent and the sixth respondent together with the
Goolam Murtuza Hafiz Trust, are directed
to pay the first and second
applicants’ costs in respect of the application and counter
application in the court a quo and
the appeal costs, jointly and
severally the one paying the other to be absolved.’
3
The appellants are ordered to pay the first and second respondents’
costs of appeal.
_________________
G G GOOSEN
JUDGE OF APPEAL
Appearances
For
the appellants:
V
I Gajoo SC
Instructed
by:
Harkoo
Brijlal & Reddy Inc, Durban
H
Bekker Attorneys Inc, Bloemfontein
For
the first and second respondents:
F
M Moola SC
Instructed
by:
Larson
Falconer Hassan Parsee Inc, Umhlanga Rocks
Phatshoane
Henney Inc, Bloemfontein.
[1]
The application was commenced before the high court in 2013. It was
heard in February 2018 and judgment was delivered on 23 August
2018.
The appeal was heard by the full court on 27 January 2020 and
judgment was delivered on 12 May 2020.
[2]
I shall refer to these parties by name.
[3]
In the event of a failure of progeniture trusteeship would vest in a
person elected by the Suni community.
[4]
The 1904 deed of transfer of the property on which the Sherwood
mosque is situated does not name the trust. In the papers reference
was made to the Suni Mohamedan Faith Trust.
[5]
The notice of motion made no reference to Property 2 which was also
donated to the Hafiz Trust.
[6]
These orders were not sought in the notice of motion. They were
raised in answer to the counter-application.
[7]
Administrator,
Estate Richards v Nichol and Another
1996 (4) SA 253
(C) at 258D-F; Cameron et al
Honorés
South African Law of Trusts
6 ed (2018) at 136-137.
[8]
Crookes
NO v Watson
1956 (1) SA 277
(A) at 298B-C.
[9]
The intention to create a trust must be expressed in a form that is
apt for the creation of an obligation. Where it is expressed
in
written form by way of testament, transfer, treaty or contract such
formalities as are prescribed for the written form apply.
A trust
may also be constituted orally. The written form, where it exists,
is evidence of the requirements for constitution of
the trust. See
Cameron et al
Honorés
South African Law of Trusts
6 ed (2018) at 160 -162.
[10]
Moosa
and Another v Jhavery
1958
(4) SA 165
(N) at 169D-F;
Mohamed
NO and Others v
Ally
[1998] ZASCA 113
;
1999
(2) SA 42
(SCA);
[1999] 1 All SA 419
(A) at 424.
[11]
Natal
Joint Municipal Pension Fund v Endumeni Municipality
[2012]
ZASCA 13
;
[2012] 2 All SA 262
(SCA);
2012 (4) SA 593
(SCA) para 18.
Chisuse
v Director-General, Department of Home Affairs
[2020] ZACC 20
;
2020 (10) BCLR 1173
(CC);
2020 (6) SA 14
(CC) para
52
;
University of Johannesburg v Auckland Park Theological Seminary and
Another
[2021] ZACC 13
;
2021 (8) BCLR 807
(CC);
2021 (6) SA 1
(CC) para 65.
Capitec
Bank Holdings Limited and Another v Coral Lagoon Investments 194
(Pty) Ltd and Others
[2021]
ZASCA 99
;
[2021] 3 All SA 647
(SCA);
2022 (1) SA 100
(SCA) para 25.
[12]
Clause 1 states that the ‘second trustee’ shall refer to
Shakeel Hafiz and the ‘third trustee’ shall
refer to
Aneez Hafiz.
[13]
See the explanation on Trusteeship as a public office in Cameron et
al
Honorés
South African Law of Trusts
6 ed (2018) at 69 and the trustee’s acceptance of office at
247.
[14]
Ibid at 248.
[15]
Gowar
and Another v Gowar and Others
[2016] ZASCA 101
;
[2016] 3 All SA 382
(SCA);
2016 (5) SA 225
(SCA)
para 34.
[16]
No finding was made by the full court on this aspect, and it is not
necessary that such finding be made.
The
1994 deed of trust does not appoint them as trustees. If clause 4 is
taken to relate to the appointment of trustees to the
‘office
of trustee’ created by the 1994 deed, then on the plain
meaning of the language used, they would only be
appointed as
trustees in the event of the failure of appointment of a trustee in
terms of clause 4.1. It is therefore difficult
to reconcile this
with the donor’s assertion that it was always intended that
they should be appointed as trustees. The
only indication that they
were required to be appointed as trustees appears from clause 7,
which deals with the variation of
the trust.
[17]
Section 7 of the Trust Property Control Act 57 of 1988 provides
that:
‘
(1) If
the office of trustee cannot be filled or becomes vacant, the Master
shall, in the absence of any provision
in the trust instrument,
after consultation with so many interested parties as he may deem
necessary, appoint any person as trustee.
(2) When
the Master considers it desirable, he may, notwithstanding the
provisions of the trust instrument, appoint
as co-trustee of any
serving trustee any person whom he deems fit.’
[18]
The Master’s ruling related to appointments made after 21
September 1994. See para 17 above.
sino noindex
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