SCA gives Tshwane green light to disconnect indebted body corporates

In its ruling, the Bloemfontein-based court said the metro had the right to enforce the credit control bylaws in disconnecting body corporates who do not pay for the services that they’ve used. 

The disconnections would be lawful even where paid-up consumers are part of a non-paying body corporate, the city said.

The ruling stemmed from a case brought against the city by Vresthena, a company that owns a local shopping centre that was cut off over millions of rands worth of unpaid municipal bills.

The company had initially obtained an order from the High Court in Pretoria, directing the city to restore electricity in the shopping centre.

However, the city decided to approach the SCA, which ruled in its favour.

In its ruling, the court said property owners had no right to receive services without payment.

Addressing the media at the Zambezi Mall on Wednesday, the City's MMC for Finance, Jacqui Uys, said the city will approach the court to overturn other interdicts by non-paying property owners.

“The municipality now intends to go to court and overturn some of the other interdicts that are in place. The city has got full intent to deliver notices for cut-off to all the tenants as well as to the landlord, after which, if they do not settle their account, we will come and disconnect electricity and services.”

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