Case Law[2023] ZAGPJHC 1394South Africa
Body Corporate Ashwood Manor v MacGregor (027545/2023) [2023] ZAGPJHC 1394 (30 November 2023)
Headnotes
“Neither the Sectional Titles Act nor the standard Management and Conduct Rules promulgated under it empower a body corporate to interfere with a member's utility supply, and Lion Ridge does not allege any other common law or statutory power to do so. It follows that Lion Ridge has not identified the source of its alleged right to disconnect or limit the respondents utilities. Critically, Lion Ridge does not allege that it has adopted a specific rule, in terms of section 10 of the Act or section 6 of the Regulations, that empowers it to disconnect its members' utilities to recover outstanding levies.”
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
South Africa: South Gauteng High Court, Johannesburg
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## Body Corporate Ashwood Manor v MacGregor (027545/2023) [2023] ZAGPJHC 1394 (30 November 2023)
Body Corporate Ashwood Manor v MacGregor (027545/2023) [2023] ZAGPJHC 1394 (30 November 2023)
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sino date 30 November 2023
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REPUBLIC OF SOUTH
AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG LOCAL
DIVISION, JOHANNESBURG
CASE NO:
027545/2023
NOT REPORTABLE
NOT OF INTEREST TO
OTHER JUDGES
REVISED
30/11/23
In
the matter between:
BODY
CORPORATE ASHWOOD MANOR
Applicant
And
ROBERT
CLARK MACGREGOR
Respondent
LEAVE
TO APPEAL REASONS
MANOIM
J:
[1] This is an
application for leave to appeal that emerged from a matter I heard on
the unopposed motion roll on 31 August 2023.
[2] Briefly, the
applicant, a body corporate, sought various different prayers against
the respondent, an owner in the relevant
scheme; to claim in respect
of arrears; more specifically, levies, payments to the
Community Schemes Ombud Service, a maintenance
levy, sewerage charges
and electricity charges. This amount totalled R94 180.18 of which the
electricity component was R24 168.26
in respect of arrear electricity
consumption charges for the period November 2019 to July 2022. There
was also a claim for interest
on that sum. I granted this relief, and
this does not form part of the leave to appeal.
[3] What does, is that I
did not grant a further prayer (number 3 on the draft order) which
sought the following relief:
“
In
the event that the Respondent does not effect payment as per
paragraph 1 and 2 within 10 days of granting of is order, the
Applicant
is authorised to engage the services of an electrician at a
reasonable fee, registered with the Electrical Contractors
association
of South Africa, in order to disconnect the electricity
supply to the Respondent's section being: section […], Holkam
Road,
Pauls of, Ext 52, Gauteng. The electricity supply shall remain
disconnected until payment of the aforesaid amount has been effected.
[4]
In doing so I followed the only decision that I have been made aware
of in this division, of Wilson J in n
Lion Ridge Body Corporate v
Alexander and Others
(17074/2022; 18106/2022; 19220/2022) [2022]
ZAGP JHC 666 (21 September 2022)
[5]
In that matter Wilson J held:
“
Neither
the Sectional Titles Act nor the standard Management and Conduct
Rules promulgated under it empower a body corporate to
interfere with
a member's utility supply, and Lion Ridge does not allege any other
common law or statutory power to do so. It follows
that Lion Ridge
has not identified the source of its alleged right to disconnect or
limit the respondents utilities. Critically,
Lion Ridge does not
allege that it has adopted a specific rule, in terms of section 10 of
the Act or section 6 of the Regulations,
that empowers it to
disconnect its members' utilities to recover outstanding levies.”
[6]
There was nothing in the current application which suggested what
power the body corporate in this matter sought to act in terms
of.
However, in the application for leave to appeal, counsel for the
applicant, now relies on section 1(i) of Sectional Titles
Management
Act 8 of 2011, (“the Act”) which states:
“
The
body corporate may exercise the powers conferred upon it by or under
this Act or the rules, and such powers include the power
— ...
to do all things reasonably necessary for the enforcement of the
rules and for the management and administration of
the common
property.”
[7]
This is not alleged in the application papers. However, counsel says
paragraphs 8 and 10 of the founding papers can be read
to set out the
factual basis for this power and it was not necessary for the
applicant to specifically plead that it acted in terms
of this
statutory power. (See
Fundtrust Pty Ltd v Van Deventer
1997(1)
SA 710.)
[8]
Whether this has been sufficiently pleaded
in
casu
I
express no view on.
[9]
What I am persuaded by is an argument that courts in this division
have sometimes granted such relief i.e. the disconnection
relief,
whilst others have not. Nor is it clear to me that the argument
relying on section 4(i) of the Act has been made sufficiently
clearly
before, as it has now on appeal. This is probably because most of
these cases came on the unopposed motion roll as did
this one. Many
body corporates are like the applicant, faced with a similar problem
in subsidising the electrical debts of a defaulting
owner on an
ongoing basis. Whether this argument prevails or not, legal clarity
on this point is in the best interests of both
body corporates and
owners. If the applicant does not succeed, then it, and others
similarly situated, must know that they must
consider alternatives
including those suggested by Wilson J. This need for clarity and the
prevalence of these cases in the courts,
is a sufficiently compelling
reason for leave to be granted in terms of section 17(1)(a)(ii) of
the Superior Courts Act.
[10]
What this case also raises, and was not argued in the leave to
appeal, and I have only considered belatedly, is that even if
there
is such a power to disconnect, does that power extend to the recovery
of all the arrears debts ( as was the case
in casu
) or only
the arrear electricity debt (a lower amount, in this case of R24
168.26)
[11]
For this reason, I would grant leave to appeal but as there are no
conflicting written judgments that I have been made aware
of I would
grant leave to a full court of this division not the SCA.
[1]
[12]
I have also made the unusual additional order that I appoint counsel
to argue an
amicus curiae
brief as well. This is so the full
court has the benefit on a matter of public interest to hearing an
alternative argument.
ORDER:-
[13] In the result
the following order is made:
1.
Leave to appeal to a
full court of this division is granted.
2.
The applicant is to
approach Manoim J, or failing him the Deputy Judge President, when
the registrar has advised it of the date
of set down of the appeal,
so that counsel can timeously be briefed
amicus
curiae
to
argue the matter, including to file heads of argument.
3.
Costs to be costs in
the appeal.
N. MANOIM
JUDGE OF THE HIGH
COURT
GAUTENG DIVISION
JOHNANNESBURG
Date of Hearing: 29
November 2023
Date of Reasons: 30
November 2023
Appearances:
Counsel for the
Applicant: M Cajee
Instructed
by. Biccari Bollo Mariano Inc
[1]
I
was referred to the judgment of Schippers J in the Western Cape
in
Anva
Properties CC v End Street Entertainment Enterprises CC
(22109/2014)
[2015] ZAWCHC 66
(14 April 201 where an order of disconnection was
granted to a landlord. However, that case did not deal with the
Sectional Titles
Act, nor does it deal with some of the issues
Wilson J raises and so I do not consider this in point.
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