Limnothech Exports (Pty) Ltd v Blue Lion Security Group CC

• Jurisdiction: http://justis.com/jurisdiction/166,South Africa
• Judge: Gumede AJ
• Judgment Date: 27 March 2023
• Citation: 2023 JDR 0906 (MN)
• Docket Number: 1432/2022
• Hearing Date: 27 October 2022
• Court: Mpumalanga Division, Mbombela

Gumede AJ:

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Gumede AJ

1.

This matter began as an application for eviction, which has since become moot as the Respondent vacated the premises prior to the hearing of the matter. The application proceeds only in respect of costs.

2.

On or about 30 July 2019, the Applicant and the Respondent concluded an agreement in terms of which, the Respondent leased premises from the Applicant.

3.

The Applicant contends that it cancelled the lease agreement because the Respondent committed a breach of contract, by failing to make payment of rental which was due and owing to the Applicant.

4.

The Respondent contends that in terms of clause 23.1 of the lease agreement, the Applicant is required to give the Respondent, a 7-day written notice to remedy the breach before the Applicant may be entitled to cancel the lease. The Respondent further contends that Applicant failed to give the requisite written notice and submits that the purported cancellation is invalid. It also submits that the Applicant was not entitled to launch the eviction proceedings prior to expiry of the lease on 31 July 2022.

5.

The Respondent contends that the eviction application was launched prematurely when it was still in lawful occupation and submits that the Applicant is not entitled to costs. In fact, the Respondent argues that it is the Applicant who should pay punitive costs for launching a premature eviction application.

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Gumede AJ

6.

The eviction application was launched on 23 March 2022, which is approximately four months before the expiry of the lease on 31 July 2022.

7.

Applicant contends that it sent a letter of demand to the Respondent and submits that the said letter of demand was the notice contemplated in clause 23.1 of the lease agreement. The letter of demand is undated and annexed to the founding affidavit as annexure "AHF11".

8.

The relevant part of the letter of demand reads:

"We refer to the above and confirm that our attorney issued summons against your company for rentals due up until the end of September 2021. The matter has been defended by your company's attorneys and will eventually be dealt with in the proper forum.

However, subsequent to the issue of that summons, you have now failed to make payment of any further rentals for the months of October 2021 to January 2022 and are now therefore indebted to ourselves in the amount of R955 493.00.

This arrear rental plus damages to the property shall also be dealt with in a different forum.

We now refer you to our letter dated 2021/10/05 where we invoked the provisions of paragraph 23.1.2 of your

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Gumede AJ

lease agreement and changed your lease to a lease that is terminable upon written notice from the lessor to the lessee.

As a result of your further nonpayment, I am now giving you one calendar months' notice, which shall become...