Mthembi-Mahanyele calls for review of court ruling on property rights

11 Sep 2002 

Housing Minister Mthembi-Mahanyele calls for review of court ruling on property rights

PRETORIA: Housing Minister Sankie Mthembi-Mahanyele has ordered a review of three recent judgements by the Supreme Court of Appeal in Bloemfontein on procedures to be followed in the eviction of rent and bond defaulters. 

The judgements have been interpreted by some commentators as having the potential to create uncertainty in the housing market. The Minister has therefore called for a recommendation from government law advisors on whether Constitutional Court action is necessary to protect the integrity of the housing market.

The Supreme Court of Appeal in Bloemfontein two weeks ago handed down judgement in two separate cases centred on procedural safeguards regulating eviction cases as set out in section 4 of the Prevention of Illegal Eviction from and Unlawful Occupation of Land Act No. 19 of 1998. The court was asked to rule on whether the Act applied only to illegal squatters or should be read more widely to include the cases of defaulting tenants and mortgagors.

Majority judgement was given by Appeal Judge LTC Harms with Appeal Judges Mpati and Mthiyane concurring. They found that the procedure described in the Act should also be followed where tenants and mortgagors of residential property default in their payments and become liable to eviction. The majority judges described the procedure for eviction as somewhat cumbersome but constituting, nonetheless, a lawful procedural safeguard against unlawful eviction.

Appeal Judges PJJ Olivier and PM Nienaber gave separate dissenting judgments. They said it is unnecessary and burdensome to accord so wide an interpretation to the provisions of the Act.

Market participants have voiced concern that the judgements could unnecessarily raise barriers to housing access, including demands for several months rent as deposits. 

Minister Mthembi-Mahanyele said she was determined that we should ensure that there is no artificial and unnecessary reduction of the number of units available on the South African housing market. After the proper consideration and consultation, we will take action if it is deemed necessary to protect the integrity and accessibility of the housing market in the interest of consumers.

Issued by Ministry of Housing