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Property Newsflash: New homeowners NOT liable for historical debt

Buying and moving into your new home is one of the most important milestones in your life. It should be a happy occasion and not related to stress or debt. Late last year the Pretoria High Court dealt with a case concerning who is liable for municipal debts on a property.

On the 29th August the Constitutional Court ruled on the vexed question of historical debt owed to local authorities on a property.

In the Case of Jordaan and others vs Ekurhuleni Municipality, City of Tshwane Metropolitan Municipality and others, the Constitutional Court ruled:

“Upon transfer of a property a new owner is NOT liable for debts arising before transfer as a charge upon the property under Section 118(3) of the Local Government Municipal Systems Act 32 0f 2000.”

If you have had to pay such historical debt, we suggest that you obtain legal advice on your rights of recovery.

Article by Redvers Lee

Redvers Lee
– Director

 

 

 

 

 

 

Tel: (033) 3553100
Email: redvers@venns.co.za 

 

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