Case Law[2025] ZAGPJHC 751South Africa
Maree and Another v Kayinja and Others (2019/28191) [2025] ZAGPJHC 751 (31 July 2025)
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Maree and Another v Kayinja and Others (2019/28191) [2025] ZAGPJHC 751 (31 July 2025)
Maree and Another v Kayinja and Others (2019/28191) [2025] ZAGPJHC 751 (31 July 2025)
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sino date 31 July 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
Case
Number:
2019-28191
(1)
REPORTABLE: YES / NO
(2)
OF INTEREST TO OTHER JUDGES: YES/NO
(3)
REVISED: YES/NO
In
the matter between:
MAREE,
PATRICK
NO
First applicant
KHAN,
ISMAIL JAFFER NO
Second applicant
and
KAYIWA,
KAYANJA NAKIRENZI
Respondent
And
in the matter between:
KAYIWA,
KAYANJA NAKIRENZI
Applicant
and
MAREE,
PATRICK
NO
First respondent
KHAN,
ISMAIL JAFFER NO
Second respondent
And
in the matter between:
NEDBANK
LTD
Applicant
and
KAYIWA,
KAYANJA NAKIRENZI
First respondent
MAREE,
PATRICK
NO
Second respondent
KHAN,
ISMAIL JAFFER NO
Third respondent
JUDGMENT
Ha Van Der Merwe, AJ:
[1]
On 25 November 2019 Van der Walt
AJ granted an order in an application brought by Ms Kayiwa for the
voluntary surrender
of “her” estate (the reason for the
inverted commas should be apparent from what follows below).
[2]
What was not mentioned in her founding
affidavit in the voluntary surrender application is that she was
married at the time (and
still is) to Mr Kayiwa, in community of
property. As the marriage is in community of property, there is only
one joint estate.
In order to address this, the trustees appointed by
the Master following Van der Walt AJ’s order (Messrs Maree and
Khan NNO)
(“the trustees”) brought an application for an
order declaring that the result of that order is that the joint
estate
of Mr and Ms Kayiwa was, as a matter of law, sequestrated and
not only Ms Kayiwa’s estate as the order would suggest.
[3]
The application by the trustees prompted Mr
Kayiwa to bring an application for the rescission of Van der Walt
AJ’s order.
[4]
In the midst’s of the trustees’
application for a declaratory order and Mr Kayiwa’s rescission
application, Nedbank
Ltd (“Nedbank”) brought an
application for the sequestration of Mr Kayiwa’s estate. On
4 October 2023
a provisional sequestration order was
granted, that was made returnable on 5 February 2024. The
return date was extended
to 27 May 2024, but that order
lapsed for non-appearance on the extended return date, as Mr Matsiela
who appeared for
Nedbank conceded. Nedbank’s application is
therefore not before me.
[5]
What I have before me is Mr Kayiwa’s
rescission application and the trustees’ application for a
declaratory order. As
it is common cause that Mr and Ms Kayiwa’s
marriage is one in community of property, if the rescission
application fails,
it follows that the declaratory order should be
granted, otherwise the entire matter would be left in an untenable
state of uncertainty.
I return to this topic below.
[6]
Mr Kayiwa’s case in the rescission
application is framed as one in terms of rule 42. I do not perceive
rule 42 to be his appropriate
remedy. Sequestration orders, unlike
other orders, do not affect merely the immediate parties to such
orders. It also affects,
for instance, the rights of the trustees
appointed by the Master and the creditors of a debtor’s estate.
As such, Mr Kayiwa
ought to have located his case in
section 149(2)
of the
Insolvency Act 24 of 1936
. The discretion of a court to set
aside an order for the voluntary surrender of an individual’s
estate in terms of
section 149(2)
is wide enough to also include the
grounds on which a rescission may be obtained in terms of
rule 42
and
at common law, so to that extent the identification of the proper
remedy is somewhat academic. What is however important, is
to pay
attention to manner which our courts considered the interests of
parties other than the immediate parties to an order. For
that one
must look to the cases decided under
section 149(2).
[7]
Mr Mahlanga is undoubtedly correct that Van
der Walt’s AJ’s order should not have been granted. In
terms of
section 17(4)
of the
Matrimonial Property Act 88 of 1984
, an
application for the voluntary surrender of a joint estate must be
brought by both spouses. That is however not the end of the
matter.
[8]
Section 149(2)
of the
Insolvency Act is
a
matter of this Court’s discretion (
Storti
v Nugent
2001 (3) SA 783
(W);
Herbst
v Hessels NO
1978 (2) SA 105
(T);
Asmal
Wholesalers (Pty) Ltd v Dawood; Marshall Industrials ltd
1963
(1) SA 250
(N)). As pointed out above, it requires a
consideration of the interests of not only the debtor, but also of
the various
other parties that may be affected by the setting aside
of a sequestration order. As such, it seems to me that is not as
simple
as Mr Mhlanga argued that if I am satisfied that that
requirements of
rule 42
are met, then it follows that that I should
grant the rescission application.
[9]
It seems to me as if I ought to exercise my
discretion against granting the rescission application. For one,
there is nothing in
Mr Kayiwa’s affidavits to suggest that the
joint estate is not insolvent. In her founding affidavit in the
voluntary surrender
application, Ms Kayiwa sets out “her”
(a misnomer of course since it is now clear that there is only one
joint estate)
liabilities to come to R1 130 000, comprising
of an immoveable property over which a bond is registered in favour
of
Nedbank. It is improbable that the joint estate is without other
assets; however, I am bound to decide the application on the facts
presented by Mr Kayiwa. The liabilities mentioned in her founding
affidavit are a debt owed to Nedbank in the amount of R930 000
and what is referred to as “convenient creditors”, which
in context can only mean concurrent creditors, in the amount
of
R283 000. On her affidavit therefore, “her” estate
is insolvent to the extent of R83 000. In his affidavit
in the
rescission application, Mr Kayiwa does not take issue with these
figures. He does not reveal any additional assets of the
joint
estate, nor does he have anything to say about the liabilities
referred to in Ms Kayiwa’s affidavit. That being so,
on the
facts before me, the joint estate is as insolvent as was presented in
Ms Kayiwa’s affidavit.
[10]
There are other factors that to my mind
militate against granting the rescission application. Mr Kayiwa’s
version is that
he learned of Van der Walt AJ’s order only when
the trustees’ application came to his knowledge, during June
2022,
more than two and a half years later. That seems unlikely, but
while that is not impossible, what is more significant is that
nowhere
does Mr Kayiwa explain what passed between him and his wife
when he did discover that, in his words, she obtained Van der Walt
AJ’s order by fraudulent means. I cannot imagine that there
would not have been at least a discussion between Mr and Mr Kayiwa
once he came to know of her fraud, yet he makes no mention of such a
discussion. This lacuna in his version is particularly pertinent
in
that, as Mr Groenewald (who appeared for the trustees) argued, in
order for Mr Kayiwa to state that his wife’s application
was
fraudulent, requires of her to have had the intention to mislead. Mr
Kayiwa states in the affidavit, for instance that the
voluntary
surrender application was “deliberately hidden” from him,
apart from his calling that application fraudulent.
For him to be
believed therefore, requires of him to have formed an insight into
her intentions, which he could not come to without
at least
discussing the matter with her. If not, then Mr Kayiwa’s
allegations of fraud are made without foundation.
[11]
Even
if the application were to be decided solely on
rule 42
, it would
remain a matter of a discretion, as Mr Matsiela correctly pointed
out.
[1]
Under
rule 42
I would
have exercised my discretion in the same way.
[12]
As
the rescission application is to be dismissed, the declaratory order
sought by the trustees should be granted. Here it is important
to
keep in mind that it is, strictly speaking, a misnomer to speak of a
person as having been sequestrated. People are not sequestrated,
only
ever the estate of a person.
[2]
It is therefore wrong to approach the matter as if only Ms Kayiwa was
sequestrated or that an order is required for Mr Kayiwa to
be
sequestrated. The joint estate, being the only estate in issue, was
sequestrated. Thus all the declaratory order sought by the
trustees
will do, is to make the sequestration of the joint estate clear.
[13]
It
is discomforting to allow an order to stand that should not have been
granted. However, discomfort must yield to principle. As
there is
only one joint estate, in law, Van der Walt AJ’s order placed
the joint estate in sequestration. There is no question
that Van der
Walt AJ had the substantive jurisdiction to grant the order. In the
result that order stands until set aside.
[3]
For the order to be set aside, a proper case must be made out, which
Mr Kayiwa has failed to do.
[14]
As for costs, Mr Groenewald did not seek an
order as to costs against Mr Kayiwa if I am with him, because in the
circumstances of
this matter, such an order would be pointless.
[15]
I make the following order:
(a)
The rescission application brought by
Kayanja Nakireng Mark Kayiwa is dismissed;
(b)
It is declared that the joint estate of
Maureen Dimakatso Kayiwa and Kayanja Nakireng Mark Kayiwa was
sequestrated by the order
of Van der Walt AJ dated 25 November 2019,
of which estate Patrick Maree and Ismail Jaffer Khan NNO are the
trustees;
(c)
The costs shall be costs in the
sequestration of the joint estate of Maureen Dimakatso Kayiwa and
Kayanja Nakireng Mark Kayiwa.
H A VAN DER MERWE
ACTING JUDGE OF THE
HIGH COURT
Heard
on: 29 July 2025
Delivered
on: 31 July 2025
For
the applicant in the rescission application, the respondent in
application for a declaratory order and the application brought
by
Nedbank Ltd: Adv Mhlanga
instructed
by Precious Muleya Attorneys.
For
the applicants in the application for a declaratory order and the
second and third respondents in the rescission application:
Adv J H
Groenwald
instructed
by Haasbroek & Boezaart Inc.
For
Nedbank Ltd: Adv L Matsiela instructed by Van
Deventer Dlamini Inc
[1]
Zuma
v Secretary of the Judicial Commission of Inquiry into Allegations
of State Capture, Corruption and Fraud in the Public Sector
Including Organs of State
2021 (11) BCLR 1263
(CC) para [53]
[2]
Acar
v Pierce & Other Like Applications
1986 (2) SA 827
(W) at 829I
[3]
Department
of Transport and others v Tasima (Pty) Ltd
2017 (2) SA 622
(CC);
Municipal
Manager, OR Tambo Muni v Ndabeni
2023 (4) SA 421
(CC) at para [23] – [27]
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