Case Law[2025] ZAGPJHC 680South Africa
Meyersdal Nature Estate Homeowners Association v Makhomisani N.O. and Another (2019/21916) [2025] ZAGPJHC 680 (14 July 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
14 July 2025
Headnotes
under Deed of Transfer T142993/2011 (“property”). The Trust failed to keep up with payments for the levies and penalties and was in arrears of R 77 000.00 in 2016. The applicant instituted proceedings against both respondents[4] and obtained judgment of R 77 000.00. Makoms Trust failed to satisfy the judgment, and the applicant launched an application for sequestration of the Trust in terms of the Insolvency Act on 21 June 2019. The applicant avers despite settlement negotiations and promises to pay made by the second respondent no payments were effected. A provisional order was granted on 19 November 2019 calling upon the Trust to appear on the return day to show cause why the
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Meyersdal Nature Estate Homeowners Association v Makhomisani N.O. and Another (2019/21916) [2025] ZAGPJHC 680 (14 July 2025)
Meyersdal Nature Estate Homeowners Association v Makhomisani N.O. and Another (2019/21916) [2025] ZAGPJHC 680 (14 July 2025)
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sino date 14 July 2025
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REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG.
Case
Number: 2019-21916
(1) REPORTABLE:
YES
/ NO
(2)
OF INTEREST TO OTHER JUDGES:
YES
/NO
(3)
REVISED: NO
14
July 2025
In
the matter between:
MEYERSDAL
NATURE ESTATE HOMEOWNERS ASSOCIATION
Applicant
(
Registration
Number: 2005/00957/08)
And
FHUMULANI
MAKHOMISANI N.O.
First Respondent
(ID
No.: 7[…])
KHATHUTSHELO
MAKHOMISANI N.O.
Second Respondent
(ID
No.: 7[…])
[in their capacities as
trustees of Makhoms Family Trust 126/2010]
## JUDGMENT
JUDGMENT
NOKO
J
Introduction
[1]
This is an
application for the confirmation of the
rule
nisi
granted in terms of which Makoms Trust (IT 126/2010) (“
the
Makoms Trust/ Trust
”)
[1]
represented by the first
[2]
and
second respondents, was provisionally sequestrated. The applicant,
Meyersdal Nature Estate Homeowners Association (“Estate”)
obtained a
rule
nisi
on
27 November 2019, which was extended on several occasions over a
period of time and once lapsed, then re-instated on 22 August
2024,
returnable on 3 February 2025, the date on which the application
served before me. The second respondent opposes the application.
[2]
The
applicant further instituted an application seeking an order
dispensing with service of the application personally on the
respondents
in terms of section 9(4A) (a)(iv) of the Insolvency
Act
[3]
(“
the
Act
”)
as personal service could not be effected.
Background.
[3]
Makoms
Trust purchased a stand in the estate,
to
wit
,
Erf 749 Meyersdal Nature Estate Ext 14, held under Deed of Transfer
T142993/2011 (“
property
”).
The Trust failed to keep up with payments for the levies and
penalties and was in arrears of R 77 000.00 in 2016.
The
applicant instituted proceedings against both respondents
[4]
and obtained judgment of R 77 000.00. Makoms Trust failed to
satisfy the judgment, and the applicant launched an application
for
sequestration of the Trust in terms of the Insolvency Act on 21 June
2019. The applicant avers despite settlement negotiations
and
promises to pay made by the second respondent no payments were
effected. A provisional order was granted on 19 November 2019
calling
upon the Trust to appear on the return day to show cause why the
order should not be made final. The return date was on
4 February
2020 which was extended to 20 May 2020.
[4]
The Trust
had meanwhile paid an amount of R 413 838.30 on 20 January 2020,
which was the total amount due to the applicant
as at that date. The
applicant’s statement
[5]
indicated a zero balance after that payment. Notwithstanding payment
of the total balance, the Trust fell into arrears and was
owing the
amount of R 495 696.68, which included a penalty of R 5000.00
per month for failing to complete its building construction
on the
property within the prescribed time.
[5]
The second respondent delivered his answering affidavit dated 24
October 2023, disputing liability on the basis that the
amount
underlying the judgment was settled, and further that the applicant
is abusing the sequestration regulatory regime. The
applicant, in
turn, delivered the replying affidavit on 8 November 2023.
[6]
The second respondent subsequently served notice in terms of Rule
6(5)(b)(iii) of the Uniform Rules of Court on 23 April
2024, setting
out a point of law. The second respondent states in the notice that
the application is bound be dismissed as the
applicant cited and
obtained judgment against the incorrect parties since the trustees as
at date of the order included Iyonda
Maphuthi Makhomisani and
Liebenberg Malan Consulting (Pty) Ltd represented by Linel Malan who
were appointed on 16 November 2018
and not the first respondent. The
Letters of Authority was attached to this effect.
[7]
The applicant, in turn and with the object of remedying the above
defect and having established from the Office of the
Master of the
High Court as per letters of Authority issued on 16 June 2023 that
the only trustees were second respondent and Iyonda
Maphuthi
Makhomisani served notice of substitution on 4 July 2024 in terms of
rule 15(2) of the Uniform Rules of Court seeking
to substitute
Fhumulani Makhomisani with Iyonda Maphuthi Makhomisani.
Submissions
by the parties.
Point
of law.
[8]
Counsel for the second respondent contended that the
rule nisi
should not be confirmed since the applicant cited a wrong party as a
representative of the Trust. To this end, counsel contended
that the
application should be construed as a nullity.
[9]
The applicant, on the other hand, contended that the second
respondent was not co-operative and had failed even to provide
the
address of the first applicant. Further that, out of its efforts, it
established from the office of the Master of the High
Court that the
Fhumulani Makhomisani is no longer a trustee. Having established this
fact, the applicant invoked the provisions
of rule 15(2) and
accordingly joined Iyonda Makhomisani as a substitute for Fhumulani
Makhomisani. The said Iyonda Makhomisani,
counsel, argued, then
substituted Fhumulani once the said notice was served on the latter.
Issues
[10]
The issues for determination are whether the second respondent’s
point of law is sustained and if not, whether
the applicant has made
out a case to confirm the
rule nisi
.
Legal
principles and analysis
[11]
Rule 15 of the Uniform Rules of Court prescribes the process to be
followed if a party seeks to substitute one party
with the other. The
applicant
in casu
sought to substitute Fhumulani with Iyanda
through service of the Rule 15(2) notice. Rule 15(2) provides that:
“
Whenever by reason
of an event referred to in subrule (1) it becomes necessary or proper
to introduce a further person as a party
in such proceedings (whether
in addition to or in substitution for the party to whom such
proceedings relate) any party thereto
may forthwith by notice to such
further person, to every other party and to the registrar, add or
substitute such further person
as a party thereto, and subject to any
order made under subrule (4) hereof, such proceedings shall thereupon
continue in respect
of the person thus added or substituted as if he
had been a party from the commencement thereof and all steps validly
taken before
such addition or substitution shall continue of full
force and effect:
Provided that save with the leave of court
granted on such terms (as to adjournment or otherwise) as it may seem
meet, no such notice
shall be given after the commencement of the
hearing of any opposed;
and provided further,
that the copy of the notice served on any person joined thereby as a
party to the proceedings shall (unless
such party is represented by
an attorney who is already in possession thereof), be accompanied in
application proceedings by copies
of all notices, affidavits and
material documents previously delivered, and trial matters by copies
of all pleadings and the documents
already filed of record, such
notice, rather than a notice to the Registrar, shall be served by the
Sheriff
.” (underlining added).
[12]
On a closer
scrutiny of the applicant’s notice, it is beset by a few
insurmountable hurdles. First, the return of service
submitted as
evidence to prove that Iyonda Makhomisani was served instead refers
to service on Fhumulani Makhomisani, and not Iyonda
Makhomisani, who
is identified as a third party on the return of service. The said
notice was not personally served and instead
was affixed at the main
gate of the chosen
domicilium
citandi et executandi
of Fhumulani Makhomisani. The sheriff remarked on the return that “…
the property is half building premises vacant”.
(sic).
[6]
[13]
Secondly,
substitution after the commencement of the hearing should be preceded
by leave being obtained from the court. The applicant
should have
launched an application to court for an order to join Iyonda
Makhomisani. It is stated in Erasmus
[7]
in the commentary under rule 15(2) of the Uniform Rules of Court that
“… in view of the proviso to the subrule, application
to
court will be necessary where it is desired to substitute a party
after judgment has been given.” This was also confirmed
by the
SCA in
Cilliers
[8]
that the first proviso to Rule 15(2) requires a party to obtain leave
of court where the proceedings had commencement. Further,
that “…
absent an application to court for the substitution … the
purported substitution is irregular …”.
[9]
The application to confirm the
rule
nisi
is
not preceded by a court order substituting Fhumulani Makhomisani with
Iyonda Makhomisani.
[14]
It is noted
in passing that the applicant also brought into question the
authority of the first respondent to act on behalf of the
Trust. This
also extended to the attorneys who purported to act for the
respondents who were served with notice in terms of Rule
7 by the
applicant. The applicant referred to
Rossiter
NO
[10]
where the court held that one Trustee would not have authority or
standing to act on behalf of the Trust unless the Trust Deed
authorises the same alternatively, if there is a resolution to that
effect by other trustees.
[11]
Conclusion
[15]
Having failed to comply with the regulatory framework foreshadowed
above, ergo
cadit questio
. Furthermore, any other issues
raised by the applicant pale into insignificance and the
rule nisi
is therefore bound to be discharged.
Costs
[16]
The respondent contended that the costs awarded should be on Scale C,
including costs reserved on the basis that the
applicant who
weaponised “…a provisional sequestration order obtained
where the Trust has not been properly joined
to these
proceedings...”. I am not persuaded that the applicant was
unreasonable in bringing the application, and or that
the
lis
is complex to warrant costs at a higher scale.
Order
[17]
In the premises I make the following order
1. The
rule nisi
is discharged.
2. The applicant is
ordered to pay the costs on scale B including costs of counsel.
M
V NOKO
Judge
of the High Court.
DISCLAMER:
This judgment was handed down electronically by circulation to the
Parties /their legal representatives by email and
by uploading it to
the electronic file on Case Lines. The date for hand-down is deemed
to be 14 July 2025.
Dates:
Hearing:
4 February 2025.
Judgment:
14 July 2025
Appearances:
For
the Applicant:
Snijders JP, instructed by Mills &
Groenewald Attorneys.
For
the Second Respondent:
Ayayee AE,
instructed by Bonisisle Majavu
Inc.
[1]
Noting that Trust has no independent legal standing
he
word Trust in this judgment is used loosely instead of referring to
specific trustees.
[2]
As
it would appear elsewhere in the judgment, the first respondent was
not a trustee at the time when the judgment was granted.
[3]
24
of 1936.
[4]
The
applicant attached Letters of Authority dated 22 January 2010 which
reflects both first and second Respondents as the Trustees.
[5]
CL014-15
[6]
See
sheriff’s return attached to Applicant’s Notice of
substitution in terms of Rule 15(2) at CL015-11.
[7]
HJ “
Superior
Court Practice
”
at B1-119
[8]
Cilliers
NO and Others v Ellis and Another
(200/2016)
[2017] ZASCA 13
(17 March 2017).
[9]
Id
at
para 25. See also
The
Public Protector of South Africa v The Chairperson of the Section
194(1) Committee and Others
(627/2023)
[2024] ZASCA 131
(1 October 2024 at para 22.
[10]
Rossiter
NO v Nedbank Limited
(AR
94/2019) [2020] ZAKZPHC 7(14 February 2020).
[11]
Such
authority may also impact on the settlement negotiations which were
entered into on behalf of the Trust.
sino noindex
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