The Directors of Westview Village Home Owners Association v M M Mokhabuki

The applicant, The Directors of Westview Village Home Owners Association, is a community scheme under the Community Schemes Ombud Service Act 9 of 2011 (CSOS Act). The respondent, M M Mokhabuki, is the owner of Stand 2248 in West View Village, Pretoria, and therefore a member/owner within the scheme. The HOA, assisted by its managing agent CSi Property Management (Pty) Ltd and acting under a directors' resolution, brought an application to CSOS in terms of section 38 read with section 39(1)(e) of the CSOS Act for payment of arrear levies. The applicant alleged that the respondent had failed to pay levies despite monthly statements, reminder notices, emails and phone calls. The respondent filed no written submissions. The adjudicator noted that a payment of R3 000.00 had been made by the respondent on 28 March 2023 after the dispute had been lodged, which reduced the amount originally claimed. The remaining arrear levies were found to be R2 343.96.

• Whether the CSOS adjudicator had jurisdiction under sections 38 and 39(1)(e) of the CSOS Act to determine the levy dispute.
• Whether the respondent, as an owner in the HOA, was legally obliged under the scheme's MOI and conduct rules to pay levies.
• Whether the applicant had proved on a balance of probabilities that arrear levies were due and payable by the respondent.
• What amount remained owing after taking into account the respondent's partial payment of R3 000.00.

The application was upheld. The respondent was ordered to pay the applicant R2 343.96 in arrear levies within 30 days of the order. No order as to costs was made.

An owner in a homeowners' association is contractually bound by the scheme's MOI and conduct rules, including rules requiring monthly levy payments. Where the HOA proves, on a balance of probabilities, that levies are due and payable and the owner offers no defence, CSOS may grant relief under section 39(1)(e) of the CSOS Act for payment of the outstanding amount, adjusted to reflect any proven payments made after the dispute was instituted.

The adjudicator observed that non-payment of levies may threaten the financial viability of the scheme and impair its ability to pay local authorities and service providers, underscoring the broader importance of compliance by all owners. The order also recorded the statutory right of appeal to the High Court under section 57 of the CSOS Act on a question of law only. The official law report citation is not available because this is a CSOS adjudication order rather than a reported court judgment.

The decision illustrates the CSOS's role in enforcing levy obligations within community schemes under section 39(1)(e) of the CSOS Act. It confirms that homeowners' associations may recover arrear levies through CSOS adjudication where an owner fails to comply with obligations under the MOI and conduct rules. It also reflects the accepted South African position that the relationship between a homeowners' association and an owner in an estate is contractual, with the scheme rules binding on owners who acquire property in the estate.