Court Orders Homeowner to Pay Over R107,000 or Face Electricity Cut in Groundbreaking Ruling

by Hope Ngobeni

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In a significant ruling, the South Gauteng High Court in Johannesburg has ordered a homeowner, Jansen Madike Katisi, to settle his outstanding debt of over R107,000 or face the consequences of having his electricity disconnected. This decision came after a lengthy legal battle in which the Body Corporate of the residential complex sought to enforce payment for unpaid levies and utilities, which had accumulated over a period of 25 months. The arrears were predominantly composed of unpaid levies, amounting to R107,940, including R16,610 for electricity charges.

Katisi, in his defense, admitted to the debt, explaining that the financial strain brought about by the COVID-19 pandemic had left him struggling to meet his obligations. As the primary breadwinner of his household, Katisi cited the severe loss of income during the pandemic as the root cause of his arrears. In an effort to resolve the matter, he proposed a payment arrangement where he would pay R8,000 monthly, aimed at gradually settling his debt. He further offered to rent out his unit to generate the necessary income, hoping to alleviate the financial burden and work toward repaying the outstanding amounts.

Despite Katisi’s proposal, the Body Corporate rejected the payment plan and insisted on stronger measures to recover the debt. Their application to the court included a request for authorization to disconnect Katisi’s electricity if he failed to pay within 10 days. The Body Corporate argued that they were under increasing financial pressure, not only to recover levies but also to settle municipal charges and pay Eskom for the electricity consumed within the complex. Without the requested relief, they claimed they would be unable to maintain financial stability, risking Eskom disconnecting power to the entire complex.

The case prompted the court to consider the constitutional rights of the homeowner in light of the Body Corporate’s financial needs. Katisi’s legal team contended that disconnecting his electricity would infringe on his rights, leaving him without a basic service essential for daily living. However, Judge Leonie Windell, in her judgment, emphasized the financial challenges faced by the Body Corporate, noting that its survival hinged on the recovery of levies and utilities, including electricity. The judge highlighted that Katisi had benefitted from the electricity supply without fulfilling his financial obligations, which had placed an undue burden on the other homeowners.

Judge Windell ruled that disconnecting Katisi’s electricity would serve as a necessary preventative measure. By doing so, the Body Corporate could limit its losses while attempting to recover the arrears and protect the financial interests of the other residents. The judge also emphasized that this step would prevent the situation from worsening, particularly the risk of Eskom disconnecting power to the entire complex. The ruling, in essence, sought to balance Katisi’s individual financial difficulties with the collective responsibility of the homeowners to maintain the viability of the complex.

In her final order, Judge Windell decreed that Katisi must settle the arrears, with an added interest rate of 11.25% per annum, compounded monthly. The electricity supply to Katisi’s unit will remain disconnected until the full amount, including interest, is paid in full. This decision underscores the importance of maintaining financial discipline within community living arrangements, where the non-payment of levies and utilities can have far-reaching consequences for all residents involved.

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