The Trustees of Aurora Place Body Corporate v Randall Murphy

The applicant, the Trustees of Aurora Place Body Corporate, brought an application under section 38 of the Community Schemes Ombud Service Act 9 of 2011 seeking relief under section 39(1)(e) for payment of arrear levies by the respondent, Randall Murphy, the owner of unit 69 in the scheme. The body corporate alleged that the respondent had failed to pay levies and remained indebted in the amount of R74 164.83 as reflected in a statement dated 17 August 2023. Arrears letters had been sent to the respondent. The respondent did not respond to the application or to the request for final submissions. A certificate of non-resolution was issued after conciliation failed, and the matter was referred to adjudication on the papers.

• Whether the respondent, as owner of a unit in the sectional title scheme, was liable for payment of levies to the body corporate.
• Whether the applicant had proved on a balance of probabilities that the respondent was indebted in the amount of R74 164.83 for arrear levies.
• Whether relief should be granted under section 39(1)(e) of the CSOS Act for payment of the outstanding amount.
• Whether the respondent should be permitted to satisfy the arrears by instalments.

The application was granted. The respondent was declared liable to the applicant for arrear levies of R74 164.83 and ordered to pay the amount in three monthly instalments of R24 721.61 commencing on 1 October 2023 and on the first day of each subsequent month until paid in full. If any instalment was not paid on due date, the full outstanding balance would immediately become due and payable. No order as to costs was made.

An owner of a unit in a sectional title scheme is, by virtue of ownership, a member of the body corporate and is liable for levies validly raised under the Sectional Titles Schemes Management Act. Where a body corporate proves the arrears on a balance of probabilities and there is no contrary version from the owner, an order for payment may be granted under section 39(1)(e) of the CSOS Act.

The adjudicator observed that, without condoning the respondent's non-payment, the respondent should be afforded additional time to settle the arrear levies. This comment underpinned the instalment arrangement but was not necessary to the core finding on liability.

The decision reinforces, within the CSOS adjudicative framework, that liability for sectional title levies is a statutory incident of ownership and may be recovered by a body corporate through CSOS under section 39(1)(e) of the CSOS Act. It also illustrates that where an owner does not oppose levy-recovery proceedings, a body corporate can obtain an enforceable order on the papers based on account statements and proof of ownership. The adjudication reflects the interaction between the CSOS Act and the Sectional Titles Schemes Management Act in routine levy enforcement matters.