Case Law[2024] ZAGPJHC 295South Africa
Accelerate Property Fund Limited v Jewel Maya CC (024533-2023) [2024] ZAGPJHC 295 (25 March 2024)
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Accelerate Property Fund Limited v Jewel Maya CC (024533-2023) [2024] ZAGPJHC 295 (25 March 2024)
Accelerate Property Fund Limited v Jewel Maya CC (024533-2023) [2024] ZAGPJHC 295 (25 March 2024)
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sino date 25 March 2024
IN
THE HIGH COURT OF SOUTH AFRICA,
GAUTENG
DIVISION, JOHANNESBURG
CASE
NO: 024533/2023
1.
REPORTABLE:
YES / NO
2.
OF
INTEREST TO OTHER JUDGES: YES/NO
3.
REVISED.
In the matter between:
ACCELERATE
PROPERTY FUND LIMITED
Applicant
And
JEWEL MAYA
CC Respondent
(Registration No.
1986/000904/23) t/a WOMAG
# JUDGEMENT
JUDGEMENT
#
# LOXTON AJ
LOXTON AJ
1.
The applicant is the owner of a shopping
complex known as the Leaping Frog Shopping Centre, situated at the
Cor. of Winnie Madikizela
Drive and Mulbarton Road, Fourways, Gauteng
(“
the Property”)
.
2.
In January 2017 the applicant and the
respondent concluded two agreements of lease. In terms of the first
lease, the applicant let
to the respondent, who leased from the
applicant, certain premises within the property, described as shop
No. G053A (“
the leased premises”)
.
In terms of the second lease, the respondent leased a storeroom from
the applicant. This application concerns primarily the first
lease
(“the lease”).
3.
The applicant alleges that the respondent
breached of the terms of both leases in that it failed to pay the
agreed monthly rental
and charges. In consequence, the applicant
cancelled the leases and instituted action against the respondent for
the payment of
arrear rentals and for damages. Those
proceedings remain pending.
4.
On 1 September 2023, Ms Buys, the manager
of the property, noticed that the respondent had loaded various items
onto trucks and
was in the process of removing them from the
property. The applicant’s representative then prevented the
trucks, which had
been loaded with some of the goods which had been
situated on the leased premises, from leaving the property.
5.
The applicant brought an urgent
ex
parte
application to enforce what it
alleged was its landlord’s hypothec over the goods which were
being removed and the goods
remaining on the leased premises, and 1
September 2023 Moorcroft AJ granted an order in the following terms:
“
1.
The respondent and/or any person acting for and on behalf of the
respondent is interdicted and restrained from removing any and/or
content of the leased premises referred to hereunder and to return
items already moved pending the final determination of this
matter.
2. A Rule Nisi is
issued calling upon all interested parties and show cause before this
Honourable Court at
10:00 on 30 October 2023
as to why
the following order should not be made final:
2.1 The applicant’s
landlord’s hypothec in relation to the respondent and the
movable property of the respondent located
at
Shop No. G053A
Leaping Frog Shopping Centre, Corner William Nicol Drive and
Mulbarton Road
(“the premises”) is confirmed.
2.2 The Sheriff of
the Court is ordered and required to access the premises and to
attach so much of the movable property found
upon the property in
order to satisfy the respondent’s indebtedness in the amounts
of
R1,460,317.48; R2,459,748,63;
R372,672.10 and
R443,873.59
.
2.3 The Sheriff of
this Court shall execute this Order by recording the movable property
under attachment with sufficient particularity
in an inventory.
2.4 Upon security
being given to the satisfaction of the Sheriff of the aforesaid Court
for the amount of the applicant’s
claim and costs of the
application for attachment, the aforesaid property shall be released
from attachment and upon such security
be given, the Order for
attachment shall ipso facto be discharged.
3. That this Order
shall serve as the Sheriff’s warrant of execution.
4. Respondent, in
terms of Rule 6(12)(c) is entitled to, in terms of the provisions
thereof, approach this Court to anticipate the
order.
5. The costs of this
application shall be reserved for determination on the return date.”
6.
The return date was extended and the matter
was heard before me on 13 March 2024.
7.
In the event, the confirmation of
rule
nisi
was opposed not by the respondent,
but by World of Marble and Granite 2000CC (“
Womag”).
That appears from the fact that, although the opposing affidavit and
supporting affidavits were, according to the filing notice,
delivered
by “
the Respondent”
,
it is apparent from those affidavits that the confirmation of the
rule nisi
was in fact opposed not the respondent but by Womag.
8.
The confusion between the separate
identities of the respondent and Womag is apparent from the affidavit
delivered by one Matityahou
Sachs – entitled “
affidavit
opposing ex parte application”-
who
is both the sole member of the respondent and a member of Womag.
A supporting affidavit was filed by one Oren Sachs, (the
son of the
main deponent), who states that he is the managing member of Womag
and that he is also involved in the administration
and management of
the affairs of the respondent. Thus, despite the fact that the
respondent and Womag are notionally two separate
companies, they seem
to be controlled by the same family members.
9.
In argument, counsel for Womag advanced the
following bases upon which the confirmation of the
rule
nisi
ought to be refused:
12.1 The goods which
were attached belong to Womag and not to the respondent and were
marked as being the property of Womag.
12.2 Certain of the
goods had been sold to a third party prior to their attachment and
were accordingly owned by the third party.
12.3 The goods were
attached after they had left the leased premises and were in trucks
parked in another area of the property.
12.4 The applicant acted
unlawfully in preventing the goods from leaving the property, prior
to the issue of the
rule nisi
.
I shall deal with these
defences below.
10.
As regards the defence that the goods were,
at the time of the hypothec incepted, owned by Womag and marked as
such, the difficulty
is that both Womag and the respondent sought to
blur entirely the distinction between the two entities. I have
already, in this
regard, adverted to the common membership of the
respondent and Womag and the lack of distinction between the two
entities apparent
from the affidavits delivered on behalf of Womag.
11.
Furthermore, in the lease of shop No.
G053A, the lessee is described as “
Jewel
Maya CC
…
trading
as “Womag & Mobelli
”.
12.
There was accordingly in the lease a
representation by the respondent that Womag was not an independent
juristic entity, but simply
the trading name of the respondent.
Because of the common membership of the respondent and Womag, it is
not open to Womag to contend
that the applicant ought to have
appreciated, because the goods were labelled as belonging to Womag,
that the goods were owned
by a third party. That disposes of the
first ground of opposition raised by Womag.
13.
The second ground of opposition, namely
that the goods had been sold to a third party and were therefore
owned by a third party
at the time the hypothec was exercised is bad
in law because, absent a special arrangement between the purchaser
and the seller,
ownership only passes on delivery, which did not take
place.
14.
That leaves the final two grounds of
opposition, namely that at the time the hypothec was sought to be
exercised, the goods were
not on the leased premises but in a
different area which formed part of the property, and the applicant
acted unlawfully by physically
preventing Womag from removing the
goods from the property, without the authority of a court order. That
argument has some merit
and I do not believe that the applicant’s
counter-argument, namely that the area where the trucks were parked
formed part
of common property, is persuasive.
15.
Womag’s difficulty however is that
there is no evidence as to which goods were in the trucks at the
relevant time and which
remained on the leased premises. Since the
onus is on Womag to demonstrate which of its goods ought to be
released from the hypothec
because Womag was unlawfully prevented
from removing them from the property, this ground of opposition must
also fail.
16.
In the circumstances, the
rule
nisi
must be confirmed. I accordingly
grant the following order:
16.1.1.1.
The
rule nisi
granted by Moorcroft AJ on 1 September 2023 is confirmed.
16.1.1.2.
The costs of the application, which were
reserved by Moorcroft AJ, are to be paid by the respondent.
16.1.1.3.
Womag is to pay the costs occasioned by its
opposition to the
rule nisi
.
C.D.A. LOXTON AJ
ACTING JUDGE OF THE
HIGH COURT
GAUTENG DIVISION,
JOHANNESBURG
Date of
hearing:
15 March 2024
Date of
judgment:
25 March 2024
Appearances
For the
plaintiff:
Adv S Aucamp
Instructed
by: Reaan
Swanepoel Inc
For the first defendant:
Adv S J Martin
Instructed
by:
Smith
Tabata Buchanan Boyes Attorneys
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