Case Law[2025] ZAGPJHC 1338South Africa
SA Retail Properties (Pty) Limited v Golden Tee Investments (Pty) Limited (2025/189819) [2025] ZAGPJHC 1338 (17 December 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
17 November 2025
Judgment
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## SA Retail Properties (Pty) Limited v Golden Tee Investments (Pty) Limited (2025/189819) [2025] ZAGPJHC 1338 (17 December 2025)
SA Retail Properties (Pty) Limited v Golden Tee Investments (Pty) Limited (2025/189819) [2025] ZAGPJHC 1338 (17 December 2025)
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# IN THE HIGH COURT OF
SOUTH AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
# GAUTENG DIVISION,
JOHANNESBURG
GAUTENG DIVISION,
JOHANNESBURG
CASE
NO
: 2025/189819
(1)
REPORTABLE:
NO
(2)
OF INTEREST TO OTHER JUDGES:
NO
(3)
REVISED:
Date 17 November 2025
In the matter between:
SA
RETAIL PROPERTIES (PTY) LIMITED
Applicant
And
GOLDEN
TEE INVESTMENTS (PTY) LIMITED (IN BUSINESS
RESCUE)
(REGISTRATION
NO. 2021/477912/07)
First
Respondent
THOMAS
HENDRICK SAMONS N.O.
Second
Respondent
Coram:
M Van Nieuwenhuizen, AJ
Heard
on
:
11 November 2025
## Delivered:17
November 2025
Delivered:
17
November 2025
JUDGMENT
# M VAN
NIEUWENHUIZEN, AJ:
M VAN
NIEUWENHUIZEN, AJ:
[1]
This
is an urgent application launched by the applicant in which it seeks
leave to immediately execute against the Order of Nthambeleni
AJ
dated the 28th
of
October 2025 (“
the
Order”
)
in terms of section 18(3).
[1]
[2]
In terms of the Order, Nthambeleni AJ
ordered the ejectment of the first respondent from the commercial
premises situated at Shop
No. 75A and outside area, Morning Glen
Shopping Centre, corner Kelvin Drive and Bowling Avenue, Sandton
(“
the leased premises”
)
by no later than 31 October 2025, failing which the Sheriff was
authorised to evict the first respondent.
[3]
The ejectment was sought by the applicant
and obtained because the applicant had secured a replacement tenant
for the leased premises
who required beneficial occupation of the
leased premises from the 1st
of
November 2025.
The
first respondent had previously occupied the leased premises pursuant
to a lease agreement concluded between the applicant and
the first
respondent.
[4]
In the afternoon of the 31st of October
2025, the respondents delivered an application for leave to appeal.
# THE APPLICANT’S
CONTENTIONS
THE APPLICANT’S
CONTENTIONS
[5]
The applicant contends that the application
is urgent.
The
applicant further contends that the respondents’ leave to
appeal is manifestly
mala fide
.
In this regard it is common cause between
the parties that the first respondent has no right to continue
occupying the leased premises:
[5.1] The applicant
pleads that the agreement was cancelled on the 25th of August 2025 by
the applicant as a result of the
first respondent repeatedly failing
to pay its rental timeously.
[5.2] The first
respondent pleads that the lease agreement is illegal, unenforceable
and void
ab initio
.
[5.3] The second
respondent aligns himself with the first respondent contending that
“As the BRP in the matter and in
light of the obligations
bestowed upon me in law, I cannot participate in, or attempt to
enforce, an illegal contract, which is
unenforceable and void”.
[6]
The respondents unequivocally alleged that
they could not trade from the leased premises (contending that to do
so was unlawful
and illegal) and that they would vacate the immovable
property.
However,
notwithstanding the above, the first respondent in fact “
continued
and continues”
to trade from the
leased premises.
The
applicant adduced evidence (photographic evidence and Instagram
posts) revealing the first respondent’s continued trade.
In confirmation thereof the applicant
attaches as Annexure “
SO4”
Instagram posts from the first
respondent’s Instagram account advertising events for the
weekend of 1st
and
2nd November 2025 for example the rugby match between the Springboks
and Japan.
The
applicant avers that these advertisements were all posted after the
issuing of the Order, but prior to delivery of the application
for
leave to appeal – revealing that the first respondent had no
intention of honouring the Court Order, but simply wanted
to wait
until the proverbial last second before delivering its application
for leave to appeal.
[7]
The applicant’s contention is that
the first respondent’s basis for the leave to appeal was not to
pursue the matter
in a
bona fide
manner,
but rather to continue trading from the premises without paying
rental and to frustrate the applicant from evicting them
from the
leased premises.
[8]
The applicant contends that if the
applicant cannot obtain an eviction of the first respondent from the
leased premises as a matter
of urgency, the new tenant has advised it
will look elsewhere for premises to lease.
The applicant contends that this will cause
significant damage to the applicant insofar as the new lease will
generate over R5 million
in rental income for the applicant and also
mitigate the more than R4 million in unpaid rental that the first
respondent is indebted
to the applicant.
[9]
The applicant contends that it will not be
able to obtain substantial redress at a hearing in due course as the
respondent is undoubtedly
financially distressed (it is in business
rescue) and it will be unable to satisfy any damages claim brought
against it.
[10]
The applicant avers that it will suffer
irreparable harm if leave to execute is not granted.
On the other hand, the applicant argues
that the first respondent will suffer no harm.
In this regard:
[10.1] the respondents
concede that they have no right to continue occupying and trading
from the leased premises;
[10.2] the
purported reason that the respondents seek leave to appeal is that
they want to bring an application to set aside
the attachment of
certain assets by the applicant, on the basis that such attachment
was void;
[10.3] the
applicant has tendered (and continues to tender) to keep the assets
in storage pending the rescission application
and thus there can be
no harm to the respondents if leave to execute is granted.
[11]
The
applicant avers that there are exceptional circumstances warranting
the immediate execution as contemplated by section 18(1)
and
18(3).
[2]
# URGENCY
URGENCY
[12]
The
applicant
submits
the
matter
is
urgent
for
inter
alia
the
following
reasons:
[12.1]
The
applicant concluded a new lease agreement with a new tenant
[3]
in
order to mitigate the damages caused by the first respondent’s
failure to pay rental;
[12.2] The new tenant
required vacant occupation of the leased premises which it was
required to do by 30 October 2025;
[12.3] If vacant
occupation is not granted the new tenant will terminate the lease
agreement and seek damages as against the
applicant;
[12.4] Not only will this
frustrate the applicant’s ability to mitigate its damages
caused by the first respondent’s
non-payment of rental, it will
exacerbate the damage suffered by the applicant;
[12.5] The new
lease agreement is worth approximately R5 million over the next five
years, and if the application is not heard
on an urgent basis the
applicant will lose this income;
[12.6] If the
application is not heard urgently, the first respondent will continue
to unlawfully occupy the leased premises
indefinitely and without
paying any rental to the applicant;
[12.7]
The respondents’
mala
fides
have been revealed.
# THE RESPONDENTS’
CONTENTIONS
THE RESPONDENTS’
CONTENTIONS
[13]
The first respondent denies that the matter
is urgent.
The
first respondent argues that the applicant’s assertions as to
the alleged urgency of the matter come down to an assertion
that this
application is urgent because the main application was deemed urgent
by Nthambeleni AJ.
The
first respondent avers that the applicant cannot however simply rely
on the fact that Nthambeleni AJ found the matter before
him urgent
and because this matter is related to that matter, then this matter
is urgent as well.
The
first respondent argues that apart from the period of time that has
lapsed from the granting of the order of 28 October 2025
and the
hearing of this application, there are other factors which ought to
be considered in respect of whether this matter is
urgent, factors
specific to this matter, such as the possible consequences of this
application not being heard on an urgent basis.
[14]
The
first respondent argues that what the applicant says regarding a new
tenant possibly seeking damages against the applicant for
the
non-fulfilment/non-compliance by the applicant with the new tenant’s
lease agreement, purportedly a result of the first
respondent’s
conduct in remaining in the leased premises, is disproven by the
relevant terms of the new tenant’s lease
agreement.
[4]
In
this regard the respondents refer to clause 3 of Annexure “
A”
to
the new tenant’s lease agreement,
[5]
which
stipulates that:
“
3.1
Unless
postponed
by
the
Landlord
as
provided
for
herein,
in writing, the commencement date of
the lease shall be the date stipulated in the schedule.
3.2 In the
event of a postponement of the beneficial occupation date as
contemplated in clause 2.3, the commencement
date shall likewise be
postponed to the first day of the month following the expiry of the
beneficial occupation period. In the
event of the postponement of the
commencement date, the period of the lease shall be extended by the
number of days by which the
commencement date was postponed (“the
additional days”) and the lease shall endure for the full
period of the lease
and the additional days. The Tenant shall have no
claim against the Landlord to cancel this Agreement or for any loss
or damage
whatsoever, either actual or consequential, which it may
incur due to the postponement of the beneficial occupation date.
Please
refer to Annexure “G” – Additional Terms.”
[15]
Annexure
“
G”
to
the
new
tenant’s
lease
agreement
[6]
provides
the
following special conditions/additional terms,
inter
alia
:
“
3.
If the premises is not ready for occupation
between 1 November 2025 and 31
st
January
2026 the Landlord will assist the Tenant in installing any fixtures,
fittings or dry stock in one of the onsite vacant premises
at no
additional cost. If the BO is delayed within this period the trading
date will be adjusted accordingly.
4.
If the Landlord fails to provide BO by 1
February 2026 both parties will have the right to cancel the Lease
Agreement without any
claims or damages.
The deposit will be paid only after
the Landlord confirms that the premises can be delivered on agreed
beneficial occupation date.”
[16]
The first respondent argues that the
applicant’s fears of the new tenant cancelling the new tenant’s
lease agreement
and/or claiming damages from the applicant on the
basis of the applicant not being able to give the new tenant
beneficial occupation
on the exact date specified in the schedule, or
the new tenant’s lease agreement not commencing on the exact
date specified
in the schedule, are unfounded.
The first respondent argues that they are
proven to be a non-issue by virtue of the aforementioned clauses of
the new tenant’s
lease agreement, a binding agreement/contract
entered into by the applicant and the new tenant.
[17]
The first respondent contends that the
applicant can also pursue what it needs to against the first
respondent and that there is
no time bar on or exigency in relation
to such action or application.
[18]
Another
contention raised by the first respondent in respect of urgency is
that the applicant does not have a certificate of occupancy
in
respect of the Remaining Extent of Erf 488 Morningside Extension 3
whereupon it alleges the property is situated.
This
is in contravention of section 14 of the National Building
Regulations and Building Standards Act
[7]
(“
the
National Buildings Act”
).
[19]
The first respondent argues that the new
tenant’s lease agreement therefore cannot be complied with by
the applicant in any
event since the new tenant cannot lawfully take
occupation.
The
first respondent states that the issue is not the first respondent’s
continued occupancy of the property without the applicant
having an
occupancy certificate in respect of the property, but that the
applicant is pushing to have the new tenant occupy
the
property
on
an
urgent
basis
whilst
there
is
no
occupancy certificate.
[20]
The first respondent avers that the
applicant thus will be able to obtain substantial redress in the
ordinary course and furthermore
the first respondent argues that
there is no concern of the irreparable harm the applicant claims it
will suffer in relation to
the new tenant.
[21]
The first respondent furthermore argues
that the applicant cannot contest the respondents’ point
concerning the legality of
the lease agreement whilst relying on that
same point to state that it is common cause that the lease agreement
between the parties
no longer exists/is non-existent, in order to
further its cause in this application.
[22]
The first respondent furthermore argues
that the applicant claims that the matter is an “
open
and shut case”
because the first
respondent has accepted and stated on more than occasion that it
consents to vacating the property and recognises
that it should not
occupy the property or trade from the property.
In this regard the first respondent states
with reference to paragraph 56 of the founding affidavit that the
deponent to the founding
affidavit asserts that there are no
prospects of success on appeal as, purportedly even on the first
respondent’s version,
it must vacate the leased premises.
[23]
In
this regard the first respondent refers to the well-known authority
of
UFS
v Afriforum and Another
[8]
where the Supreme Court of Appeal
inter
alia
held
as follows:
[9]
“
I
am in agreement with the approach of Binns-Ward J. In fact, Justice
Alliance serves as a prime example why the prospects of success
in
the appeal
are
relevant
in
deciding
whether
or
not
to
grant
the
exceptional relief. Binns-Ward J
concluded that the prospects of success on appeal were so poor that
they ought to have precluded
a finding of a sufficient degree of
exceptionality to justify an order in terms of s 18 of the Act. This
conclusion was subsequently
proven to be justified when this court
upheld the main appeal in Justice Alliance. However, in the present
appeal, the appeal record
in the review application was not before
us. The prospects of success shall therefore not feature in our
consideration of whether
or not the order of the Full Court should be
upheld.”
[24]
Similarly, in this matter, this Court does
not have the benefit of the record of the main application.
[25]
The first respondent argues that the
applicant in
casu
is
not considering the entirety of the grounds of appeal in the
application for leave to appeal and/or is not considering them in
detail.
The first
respondent argues that the grounds of appeal do not simply refer to
whether the first respondent should occupy the property
or not, but
whether Nthambeleni AJ dealt correctly with issues of fact and law in
relation to the eviction relief and all the issues
surrounding and
pertaining to it in the papers before him.
[26]
The first respondent further argues that
the applicant has not shown exceptional circumstances for the
granting of relief in terms
of section 18(3) of the Act, and the
applicant will not suffer irreparable harm if this application is not
granted.
The
first respondent avers that the applicant has not set out anything in
the way of alleged irreparable harm that it will suffer
that
justifies the granting of this application.
In this respect the applicants speak of,
amongst other things, reputational harm that it will suffer as being
a landlord that cannot
fulfil its promise to tenants, and that the
“
entire”
appeal
process will take some time to resolve, envisaging this matter going
right to the Constitutional Court.
[27]
The first respondent submits that the
applicant can advise the new tenant of the legal proceedings that are
happening and what they
entail, and that the applicant is being
speculative as regards the time that it would take to finalise the
appeal process.
[28]
The first respondent argues that the
applicant states very little, and even less of substance concerning
the fact that the applicant
will not suffer irreparable harm, or any
harm if the order sought in the application is granted.
The applicant simply states, without
justification, according to the respondents, that if it keeps the
first respondent’s
assets in storage pending the application to
set aside the attachment of the first respondent’s assets under
case number
2025/189430, that any prejudice that the first respondent
contends that it will suffer if the eviction is effected will then be
ameliorated.
[29]
The first respondent avers that the
irreparable harm that the respondents, and more specifically the
first respondent, stands to
suffer if an order is granted in the
terms sought in this application, far outweighs any harm that the
applicant alleges it may
suffer if an order in the terms sought in
this application is not granted.
[30]
At
paragraph 49 of the answering affidavit
[10]
the
first respondent states that the applicant must release the
attachment of the movable assets for the first respondent to vacate
the property.
[31]
The first respondent avers that they are in
the process of finalising the application to set aside the attachment
of the movable
assets in light of the situation at the property
regarding there being no occupancy certificate, and will claim a
refund of all
monies paid by the first respondent to the applicant,
and damages.
The
first respondent states that:
“
Granting
the eviction of the first respondent pending the leave to appeal will
be severely prejudicial for the first respondent.
The first respondent
runs
a business from the premises
.
The applicant’s application is based on the premise that the
new tenant needs to take occupation of the property.
The applicant states that the new
tenant has to begin with considerable remodelling of the leased
premises before it can commence
trading from it.
The
applicant loses sight of the fact that if the respondents are
successful on appeal, this would mean that the respondents would
be
entitled to move back into the leased premises, premises which would
be remodelled to suit a different business, and further
one that
would have a new tenant, making it impossible for the respondent to
regain possession and for the status quo to be restored.
Essentially
the appeal if order
(sic)
in
favour of the respondent would then in essence result in an order
which would be impossible to execute on.”
[11]
(Emphasis
added)
[32]
The respondents argue that on the one hand
there is the applicant, a company with an agreement, the new tenant’s
lease agreement,
which protects its rights, no urgency in respect of
this application, and no harm which it may suffer which is serious
enough to
weigh more
than the irreparable harm that the respondents, particularly the
first respondent, will suffer, and which harm, if any, the applicant
has avenues and ways to address in due course. It is submitted by the
respondents that the process in respect of the application
for leave
to appeal “
should not take long”
and “
the
parties’ fates should soon be decided”
.
It is submitted on behalf of the
respondents that on the other hand, the
first
respondent conducts its
business
and therefore earns monies from the business activities that are
done on the property
.
The respondents’ counsel argued that
this conduct of the first respondent may be called unethical or
opportunistic but the
conduct of the first respondent does not
constitute
mala fides.
The
first respondent avers that since the operation of Nthambeleni AJ’s
Order the first respondent is not doing “
anything
wrong in that respect”
.
[33]
The first respondent argues that it also
has a right to be heard,
audi alteram
partem
, and a right to access to Courts
in terms of section 34 of the Constitution.
The first respondent argues that
considering that the first respondent will suffer irreparable harm if
this application is granted
whilst
the
applicant will not
, this application
should not be granted and the applicant should wait for the
application for leave to appeal to take place before
acting as it
requires and sees as appropriate thereafter.
[34]
To unnecessarily have both the new tenant
and the first respondent waste time, monies, and admin on moving out
whilst the position
in respect of the property may change shortly is
not feasible nor fair to either of them. The new tenant in any case
is only to
start trading and earn an income from February 2026, which
commencement date can be moved and the movement of such date, if it
does occur, can be dealt with in due course by both the new tenant
and the applicant, so the first respondent argues.
[35]
The first respondent argues that the first
respondent however cannot simply leave the premises
and
so cease trading
, whilst its assets
that it uses for trading remain under attachment at the property or
at another place controlled by the applicant.
The financial loss and inconvenience
that the first respondent will suffer is
what underlies its irreparable harm
.
The respondents argue that such harm to
the first respondent
and the
consequences thereof can be avoided if the position as it is,
continues. The applicant will have the opportunity to have
its case
heard in full at the hearing of the application for leave to appeal
and thus in this regard is not prejudiced either.
[36]
The first respondent denies that its
conduct is
mala fides
.
Rather its conduct may be opportunistic but
not
mala fide
.
It is merely utilising the Rules of this
Court as it is entitled to do.
# DELIBERATION
DELIBERATION
[37]
The
first respondent, in opposing the matter, submitted that it had no
right to occupy the leased premises.
The
first respondent does not deny that it is in arrears with rental. It
contends that the lease agreement was illegal, unenforceable
and void
ab
initio
because
the applicant did not have the requisite occupancy certificate in
place or in leasing the premises to the first respondent.
The
second respondent (the BRP) also opposed the matter and aligns in
this regard with the first respondent.
[12]
[38]
The first respondent readily states that it
cannot trade from, and must vacate, the leased premises.
In fact, it was and remains the
respondents’ position that the leased premises “
cannot
be used for the purpose for which it was let”
.
[39]
The applicant contends that the respondents
simply refuse to vacate the leased premises.
Instead, in the eviction application the
first respondent sought an order staying any eviction pending the
outcome of an application
to rescind the order attaching the first
respondent’s movable assets.
[40]
The applicant tendered to store the assets
in a safe environment to allow the respondents to pursue the
rescission application.
In
this way so it is alleged by the applicant, the respondents would not
be prejudiced by vacating the leased premises, as the assets
would
remain secured pending the outcome of the rescission application.
The applicant states that unsurprisingly
this tender was rejected by the respondents.
[41]
The applicant avers that the
counter-application was a clear and
mala
fide
attempt by the
respondents to remain in unlawful occupation of, and continue trading
from, the leased premises indefinitely and
without paying rental. The
applicant argues that this
mala fides
are revealed in the
section 18(3) application when the applicant adduced evidence of the
first respondent’s continued trade
from the leased premises
after
they had alleged that such trade was unlawful, illegal
and rendered the lease agreement void
ab initio
. The
respondents readily admit that the “
the first respondent
runs a business from the premises”
. The applicant argued
that the abject dishonesty of the respondents are revealed:
[41.1] On the one
hand contending that the lease agreement is illegal, unenforceable
and void
ab initio
(only after the applicant had instituted an
application for eviction against the first respondent) and neither it
nor the new tenant
can trade from the leased premises;
[41.2] Yet on the other
hand admitting it continues to trade from the premises.
[42]
When
the applicant’s tender (to keep the assets in storage pending
the outcome of the rescission application), was repeated,
the
respondents again rejected the tender on the basis that “
The
removal of the goods into storage is absurd as the first respondent
needs to trade at a new premises”
.
[13]
[43]
I agree with the applicant’s
contention that this reasoning is illogical because the rescission
application “
has not even been
issued let alone been granted”
.
The first respondent cannot use the assets
to “
trade at a new premises”
until the attachment order is
rescinded.
[44]
In
paragraph 46 and further of the answering affidavit the first
respondent states the following:
[14]
“
46.
It is clear that the lease agreement
is unenforceable due to the above illegalities and failure of the
applicant to comply with
the Act.
47.
Accordingly, the first respondent
has to vacate
,
but cannot do so on the timelines provided for as the applicant has
attached the movable assets.
48.
There is no urgency as the applicant
cannot give illegal occupation to a new tenant.
The Courts do not enforce illegal
contracts.
49.
The applicant must also release
the attachment of the movable
assets
in order for the respondents to vacate
.
(Own emphasis)
50.
The occupancy certificate, which is
a mandatory requirement for the occupancy of immovable property in
terms of section 14(4)(a)
of the National Buildings Regulations and
Building Standards Act 103 of 1977 (the Act) was not obtained and
cannot be obtained.
51.
The applicant is committing an
offence in terms of section 4(1) of the National Building Regulations
and Building Standards Act,
103 of 1977.
52.
The Court cannot allow a new tenant
to illegally occupy the leased premises from 1 November 2025 as this
will allow the new
tenant
occupation
of
the
property
in
the
absence
of
an occupancy certificate issued by
the CoJ in terms of section 14 of the Building Standards Act.
53.
There is accordingly no urgency.
55.
Without it, it is unlawful for anyone to occupy
the building.
…”
[45]
The first respondent states:
“
58.
The respondents are in the process
of finalising the application to set aside the attachment of the
movable assets in light of the
agreement being illegal, invalid and
unenforceable …
59.
Granting the eviction of the first
respondent pending the leave to appeal will be severely prejudicial
for the first respondent.
The
first respondent runs a business
from the premises
.
(Own
emphasis)
…”
[15]
[46]
In paragraphs 69 to 72 the first respondent
states the following:
“
69.
There is no irreparable harm in the
matter as the new tenant has no right to legal occupation of the
lease premises.
The
applicant has no legal obligation to give illegal occupation
of the leased premises to the new
tenant.
70.
The respondent denies the allegation
with regard to the first respondent “suffering no harm”
as it needs time to vacate and 7
days’ notice was not
reasonable and the respondent needs a
minimum of 30 days
.
”
(Own emphasis)
71.
The first respondent is in business
rescue and the removal of the goods into storage is absurd as the
first respondent
needs
to trade at a new premises
.
(Own emphasis)
72.
It cannot move out with all the
goods being attached – which will be set aside in a separate
application.”
[47]
I agree with the applicant’s
contention that the first respondent is hypocritical and
mala
fides
in their refusal to vacate the
leased premises. The applicant argues that the respondents are
dishonest in their refusal to vacate
the leased premises:
[47.1] The respondents
aver that they cannot trade from the leased premises, yet brazenly
continue to trade therefrom;
[47.2] The
respondents consent to vacating the leased premises (in fact
contending they need thirty days to do so) yet want
to remain in
occupation of the leased premises;
[47.3] The respondents
state that they want to bring a rescission application but have not
done so in the two weeks since delivering
their answering affidavit
in the main application, nor in the
three months since the
attachment order was made final
.
[48]
It appears that the applicant is correct
when the applicant argues that the respondents simply want to
frustrate and delay the first
respondent’s eviction from the
leased premises to allow them to continue trading from the leased
premises without paying
rental to the applicant.
The applicant requests the Court to view
the section 18(3) application in the context of this patently
mala
fide
conduct of the first respondent.
[49]
The respondents state that they have to
vacate the leased premises (and in fact consents to vacating the
leased premises in their
notice of counter-application), however the
first respondent wishes to do so on its own terms and at its leisure
– 30 days
after the rescission application has been finalised,
yet it has taken no steps to even issue the rescission application.
[50]
In the respondents’
counter-application in the main application they
inter
alia
seek an order that:
[50.1]
the
respondents are to launch an application for the setting aside of the
attachment of the first respondent’s movable assets
under case
number 2025/089430 “
within
14 days
of the granting of this order”
;
[16]
[50.2] in paragraph
3 of the counter-application they seek an order that:
“
3.
The
respondent agrees to vacate the premises within 30 days of the final
determination of the application as referred to in paragraph
2
above.”
[17]
[51]
It was argued that on the instance of the
first respondent the Court
a quo
in paragraph 2 of the
Order ordered that:
“
2.
The first respondent is to launch an
application for the setting aside of the attachment of the first
respondent’s movable
assets under case number 2025/089430
within
30 days
of the granting of this Order.”
–
instead
of within 14 days of the granting of this Order as sought in the
counter-application.
[52]
It is instructive that the respondents’
counsel on a question posed by the Court as to why the rescission
application/upliftment
of the attachment application has not yet been
brought in view of the fact that the first respondent claims
prejudice and state
that it cannot trade without the equipment,
responded to say that the first respondent has 30 days within which
to launch that
application.
The
respondents’ counsel furthermore argued that it was never said
that the first respondent will stay there until the rescission
application is adjudicated upon – the first respondent says
that section 18(1) places a suspension on the applicant’s
right
to execute and that is what ought to be enforced.
The first respondent’s
counter-application however seeks vacation of the leased premises
“
within 30 days of the final
determination of the application
[for
the setting aside of the attachment]”.
[53]
The
order in paragraph 1 of the Court order
[18]
orders
the first respondent to provide vacant occupation of the leased
premises to the applicant by no later than 31 October 2025
failing
which the Sheriff of this Court is ordered and directed to take such
necessary steps to provide such vacant occupation
of the property to
the applicant.
Paragraph
1 of the Order was not made subject to the proposed rescission
application to be instituted by the first respondent.
# SECTION 18 OF THE
SUPERIOR COURTS ACT
SECTION 18 OF THE
SUPERIOR COURTS ACT
[54]
Section 18 of the Superior Courts Act
provides that:
“
(1)
Subject to subsections (2) and (3),
and
unless the court under
exceptional circumstances orders
otherwise, the operation and execution of a decision which is the
subject of an application for leave to appeal or of an appeal,
is
suspended pending the decision of the application or appeal.
(2)
Subject to subsection (3), unless
the court under exceptional circumstances orders otherwise, the
operation and execution of a decision
that is an interlocutory order
not having the effect of a final judgment, which is the subject of an
application for leave to appeal
or of an appeal, is not suspended
pending the decision of the application or appeal.
(3)
A court may only order otherwise as
contemplated in subsection
(1)
or (2), if the party who applied to the court to order otherwise,
in
addition proves on a balance of probabilities that he or she
will suffer irreparable harm if
the court does not so order and that
the other party will not suffer
irreparable harm if the court so
orders
.”
(Own emphasis)
[55]
The three requirements in order to succeed
in a section 18(3) application are thus:
[55.1]
exceptional circumstances;
[55.2]
irreparable harm to the applicant;
[55.3]
lack of irreparable harm to the first respondent.
## Exceptional circumstances
Exceptional circumstances
[56]
The
Court in
Incubeta
Holdings Ltd v Ellis
[19]
recognised
that the term “
exceptional
circumstances”
is
“
indefinable
and difficult to articulate”
but
must be considered with regard to the facts of any particular case.
So,
for example, in the
Incubeta
matter,
Sutherland J granted leave to execute immediately on a Court order
enforcing a restraint of trade.
He
did this because:
“
[25]
If the order is not put into
operation, the relief will, regardless of the outcome of the
application for leave to appeal, be forfeited
by Incubeta because the
short duration of the restraint will expire before exhaustion of the
appeal processes.
The
only value in the relief is to stop the breach and protect legitimate
interests during the precise period of the next four and
a half
months. Unrebutted evidence in the affidavits alleges a breach is
taking place at this very time.
Damages are not an appropriate
alternative remedy precisely because the very relief obtained is
posited on the absence of such a
remedy being available. This places
a restraint interdict in a different position to other forms of
relief, such as money claims,
where the aspect of irreparable harm is
a factor extraneous to the substantive relief procured. Ellis will,
on the probabilities,
be without work for four and a half months and
without pay. This will be financially detrimental. Significantly, no
allegation
is made that Ellis or his family will endure true hardship
during this short period.
If
the appeal is won, Ellis’s loss of earnings can be sued for and
the quantum is feasible to compute, including the loss
of interest or
lost opportunity cost of being out of funds and any such interest
expended
on
borrowing
for
living
expenses,
if
necessary.Moreover, Security under
Rule 48(12) is available.
[27]
Do these circumstances give rise
to ‘exceptionality’ as
contemplated? In my view the
predicament of being left with no
relief, regardless of the outcome
of an appeal, constitutes
exceptional circumstances which
warrant a consideration of
putting the order into operation.
The forfeiture of substantive
relief because of procedural
delays, even if not protracted in bad
faith by a litigant, ought to be
sufficient to cross the threshold of
‘exceptional
circumstances’
.”
(Emphasis added)
[57]
If leave to execute is not granted, the
very reason an urgent eviction was sought (and granted) will be
forfeited because the new
lease agreement will be terminated prior to
the application for leave to appeal being heard. The applicant will
effectively be
left with no relief, regardless of the outcome of an
appeal (or an application for leave to appeal in this matter). The
applicant
argued that the respondents have and continue to protract
the final determination of the matter – they have taken no
steps
to enrol the application for leave to appeal and seem content
to do nothing but simply frustrate the applicant’s right to
vindication.
## Urgency and irreparable
harm to the applicant
Urgency and irreparable
harm to the applicant
[58]
I disagree with the respondents’
contention that the applicant will not suffer any irreparable harm.
I furthermore disagree with the first
respondent that any harm the first respondent may suffer outweighs
the applicant’s irreparable
harm.
[59]
The damage that the applicant will suffer
is irreparable and immediate – not only will it lose a tenant
that will bring in
over R5 million in rental, it will be faced with
the first respondent who will continue to occupy the leased premises
indefinitely
without paying rental or municipal charges.
[60]
The applicant will not be able to mitigate
its damages – the further the occupation date is postponed the
more irreparable
damage the applicant will suffer.
[61]
The applicant will be left trying to
recover damages from a company which:
[61.1]
is already indebted to it in an amount exceeding
R4 million;
[61.2]
is already financially distressed (and in business
rescue);
[61.3]
will be unable to meet any damages claim.
[62]
The respondents have argued that there is
no urgency in the matter because “
the
new lease cannot be used as a pillar to support urgency as the new
tenant requires [an occupancy certificate] to trade unlawfully,
which
it does not have and cannot obtain”
and
“
the Court cannot enforce illegal
contracts”
.
[63]
I agree with the applicant’s
contention that this Court is not being asked to “
enforce
illegal contracts”
.
It is being asked to allow the applicant to
forthwith evict the first respondent from the leased premises.
[64]
The
applicant has referred to authority where the Supreme Court of Appeal
has dealt with this issue and has
inter
alia
held
that the lack of an occupancy certificate does not render an
agreement illegal or invalid. In
Wierda
Road
West
Properties
(Pty)
Ltd
v
Sizwe
Ntsaluba
Gobodo
Inc
[20]
the Court held that:
“
The
primary thrust of the attack against the lease agreement was, as
stated, the non-compliance with ss 4 and 14 of the Act. It
was
contended that non-compliance rendered the agreement void ab initio
and that this conclusion followed from the penal sanctions
imposed in
these sections.”
[21]
[65]
The
Court held that the penalty provision in section 14(4) of the Act was
“
penalty
itself
[and]
intended
by the legislature to be an adequate sanction, without the lease
agreement in this instance also being void”
.
[22]
[66]
The Court opined further that the Act is:
“…
less
concerned with private law relationships between, for example,
lessors and lessees, but rather with public law relationships
between
local authorities and builders, users and occupants.
Section
14 is thus concerned in the main with ensuring compliance with the
provisions of the Act and with conditions of approval.”
[23]
[67]
In conclusion the Court held:
“
[28]
To sum up with regard to this first
issue: non-compliance with ss 4(1) and 14(1) does not render the
parties’ lease agreement
void and unenforceable. There is no
basis to justify reading an implied meaning into s 4(1) that the use
or occupancy of a building
which
has
no
approved
plans
is
prohibited.
I
discuss next the respondent’s
alternative contention that the property was not fit for the purpose
for which it had been let,
since occupancy would have rendered the
respondent liable to criminal prosecution under s 14(4)(a).
[29]
The respondent was at liberty to
request the local authority to pursue the remedies available to it in
terms of the Act, had the
need arisen to do so.
The
conclusion is compelling that the
respondent, with full knowledge
of the lack of an occupancy
certificate, had consented to use
and occupation under the
prevailing circumstances. The
respondent received exactly what
it had bargained for –
office accommodation refurbished to its
needs, in a building with an
outstanding occupancy certificate
which, to its knowledge, the
owner (the appellant) was in the
process of obtaining. The
respondent never complained of this
alleged unfitness for letting,
and only did so after it had vacated
the property and to avoid the
consequences of being held to a
contract it had freely entered
into
.”
(Own emphasis)
[68]
The respondents’ counsel conceded
that this is what the law states.
[69]
The applicant argued that even if the lack
of the occupancy certificate renders the lease agreement with the new
tenant illegal
(which on the strength of
Wierda
Road
the applicant argues it simply
did not), this does not assist the respondents.
[70]
The applicant argued that the first
respondent only raised the lack of an occupancy certificate for the
first time in the answering
affidavit in the eviction application
after having been met with the eviction.
[71]
The
respondents are not party to the new lease agreement – they
have no privity of contract, and cannot interfere with the
rights and
obligations of the parties thereto.
In
this regard, it was held by the SCA in
Letseng
Diamonds Ltd v JCI Ltd and Others
:
[24]
“
The
general rule is that if two parties enter into an agreement and there
has been non-compliance with its terms, it is only the
contracting
parties who can challenge the validity of the agreement.”
[72]
The applicant argued that it is for the new
tenant (and only the new tenant) to raise the issue of a lack of
occupancy certificate
if it so desires.
[73]
The applicant thus argued that what is
before this Court is that:
[73.1]
there is a valid and enforceable lease agreement
between the applicant and the new tenant;
[73.2]
this
new
lease
agreement
is
worth
over
R5
million
to
the applicant;
[73.3]
if
leave
to
execute
is
not
granted,
the
applicant
will
suffer
irreparable harm.
## The lack of irreparable
harm to the respondent
The lack of irreparable
harm to the respondent
[74]
The respondents do not meaningfully argue
that an eviction will cause them irreparable harm.
It is disingenuous of the first respondent
to argue that the applicant has not set out anything in the way of
alleged irreparable
harm that it will suffer that justifies the
granting of the application and that the applicant can simply advise
the new tenant
of the legal proceedings that are happening and what
they entail and that it is submitted that the proceedings in respect
of the
application for leave “
should
not take not long”
.
It is furthermore disingenuous of the first
respondent to allege that the financial loss and
inconvenience
that the
first respondent
will suffer is what underlies its “
irreparable
harm”
and that such harm
far
outweighs
any harm that the applicant
may suffer.
[75]
The applicant has argued that at the
highwater mark for the respondents, they allege that “
Granting
the eviction of the first respondent pending the leave to appeal will
be severely prejudicial for the first respondent”
as
it “
runs a business from the
premises”
.
This contention is not only unsustainable,
it is entirely disingenuous.
The
first respondent readily avers that it “
has
to vacate”
and “
cannot
trade”
.
The first respondent readily avers that it
is not entitled to remain in the leased premises and that neither it
nor the new tenant
can trade from the leased premises.
[76]
The only other point the first respondent
alleges is that the first respondent requires its assets in order to
trade.
However,
this has nothing to do with the eviction application – it is a
question to be determined in the as yet unissued rescission
application.
The
attachment of its assets is irrelevant for the purposes of this
application.
In
the absence of an application requesting rescission of the attachment
order, the respondents cannot claim that an inability to
utilise its
assets caused it or will cause it irreparable harm.
[77]
The applicant argues that the respondents
will not and cannot suffer any harm let alone irreparable harm if
leave to execute is
granted.
# FINDING
FINDING
[78]
Accordingly and for the reasons set out
above, I find that the applicant has made out a case for the relief
in terms of section
18(3) of the Superior Courts Act.
[79]
The applicant will suffer irreparable harm
if the eviction is not carried out.
[80]
It is only through their
mala
fide
conduct (in alleging that the
lease is void but continuing to trade from the leased premises) that
the respondents can claim any
prejudice -
however this cannot be a basis to dismiss
the application.
COSTS
[81]
The first respondent appears to be
utilising the Court process, system and Rules to
mala
fide
advance its own interests to the
detriment of the applicant.
The
first respondent is disingenuous to state that the applicant will
suffer no irreparable harm (in the face of it placing itself
under
business rescue) and
inter alia
arguing
that the financial loss and inconvenience that the
first
respondent
will suffer underlies its
“
irreparable harm”
and
that such harm
far outweighs
any harm that the applicant may suffer.
It
was argued that the applicant should only wait “
a
short period”
and explain the
Court process to its new tenant, whilst the applicant may or may not
further exhaust the Rules in relation to the
appeal process.
[82]
The respondents’ counsel further
disingenuously argued that the conduct of the first respondent may be
called unethical or
opportunistic but the conduct of the first
respondent does not constitute
mala
fides
when on the one hand the first
respondent contends that the eviction is illegal, unenforceable and
void
ab initio
and
neither it nor the new tenant can trade from the leased premises and
on the other hand brazenly states that it continues to
trade from the
premises and if not allowed to continue to do so it will suffer
irreparable harm.
[83]
The first respondent’s conduct in
agreeing to vacate the premises but then insisting on an order in its
counter-application
that such order is made subject to the first
respondent launching the application for the setting aside of the
attachment order
within 14 days of the granting of the Court order
(which it later changed to 30 days) and furthermore seeking vacation
of
the
leased
premises
only
“
within
30
days
of
the
final determination of the
application
[for the setting aside of
the attachment]”. The first respondent’s failure to
launch rescission proceedings and taking
proactive steps in this
regard further points to its
mala fides
especially in view of the fact that it
wants to make its vacating of the premises subject to the final
determination of the rescission
application. The first respondent’s
application for leave to appeal is mainly aimed at achieving this
objective The first
respondent’s conduct is clearly aimed at
delaying and frustrating the applicant’s claim for vindication
and constitutes
further
mala fides
.
This Court must express its displeasure of
a litigant behaving in this manner.
Punitive costs orders are intended to deter
and address litigants’ conduct that constitutes an abuse of
process. The first
respondent misuses the Court process and Rules of
Court and undermines its intended purpose.
Such conduct cannot be overlooked but must
be penalised and sanctioned.
# ORDER
ORDER
[84]
Accordingly, I make an order in terms of
the amended draft Court order marked “
X”
.
Delivered
:
This judgment was prepared and authored by
the Judges whose names are reflected and is handed down
electronically by circulation
to the Parties/their legal
representatives by email and by uploading it to the electronic file
of this matter on CaseLines. The
date for hand-down is deemed to be
on 17 November 2025.
HEARD
ON:
11
November 2025
DATE
OF JUDGMENT:
17
November 2025
FOR
APPLICANT:
Adv
J M Hoffman
E-mail:
jonhoffman@counsel.co.za
INSTRUCTED
BY:
Hadar
Incorporated
E-mail:
jjunkoon@hadarinc.co.za
Ref: J Junkoon/L Thaba/M2627
FOR
RESPONDENTS:
Adv
Baheeyah Bhabha
E-mail:
INSTRUCTED
BY:
K
G Tserkezis Inc.
E-mail:
dino@kgt.co.za
/
sonica@kgt.co.za
Ref:
D Tserkezis/S R Golden
[1]
Superior
Courts Act 10 of 2013
as amended
[2]
University
of the Free State v Afriforum and Another 2018 (3) SA 428 (SCA)
[3]
Annexure “FA8”, CaseLines 001-155
[4]
Annexure
“FA8”, CaseLines pp 001-156 to 011-222
[5]
Annexure
“FA8”, CaseLines pp 001-160
[6]
Annexure
“G” to the new tenant’s lease agreement,
CaseLines, 001-193
[7]
Act
103 of 1977 as amended
[8]
120161
ZASCA 165 (17 November 2016)
[9]
At
para 15
[10]
CaseLines
048-70
[11]
Paras
58 and 59 of the answering affidavit, CaseLines 048-71 to 048-72
[12]
“
I
cannot partake in, or attempt to enforce, an illegal contract, which
is unenforceable and void”, Main Application, BRP
Affidavit,
para 34, CaseLines 011-10
[13]
Section
18(3) application, answering affidavit, para 71, CaseLines 048-74
[14]
CaseLines
048-69
[15]
CaseLines
048-74
[16]
Para 2, Counter-Application, CaseLines 008-5
[17]
CaseLines,
008-5 to 008-6
[18]
CaseLines,
048-28
[19]
2014 (3) SA 189 (JG)
[20]
2018
(3) SA 95
(SCA)
[21]
Wierda
Road supra at para 18
[22]
Wierda
Road supra at para 18
[23]
Wierda
Road supra at para 18
[24]
2009
(3) SA 58
(SCA) at paragraph 23
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