Trustees of Akasia Body Corporate v Matyesini Sibongile

The applicant, Trustees of Akasia Body Corporate, is the body corporate of a sectional title scheme governed by the Sectional Titles Schemes Management Act 8 of 2011 and the Community Schemes Ombud Service Act 9 of 2011. The respondent, Matyesini Sibongile, is the registered owner of section 48 in the scheme. The body corporate alleged that the respondent had failed to pay monthly levies and ancillary charges, including monthly CSOS levies. It referred the dispute to CSOS under section 38 of the CSOS Act and sought relief under section 39(1)(e) for payment of the outstanding amount. The matter could not be resolved at conciliation, a certificate of non-resolution was issued, and it proceeded to adjudication on the papers. The applicant submitted a statement of account showing arrears of R23 718.01 as at 6 March 2024. The respondent filed no submissions and did not respond to CSOS correspondence.

• Whether the respondent, as a unit owner in the sectional title scheme, was liable to pay the outstanding levies and ancillary charges claimed by the body corporate.
• Whether the applicant had proved on a balance of probabilities that the respondent was indebted in the amount of R23 718.01.
• Whether CSOS should grant relief under section 39(1)(e) of the CSOS Act ordering payment of the outstanding amount, and on what payment terms.

The application was granted. The respondent was declared indebted to the applicant in the amount of R23 718.01 in respect of levies and ancillary charges as at 6 March 2024. The respondent was ordered to pay this amount in 12 equal monthly instalments of R1 976.50, commencing on 1 April 2024 and thereafter on the first day of each succeeding month. No interest would accrue during the payment period. The order did not affect the respondent's obligation to continue paying regular monthly levies and ancillary charges. If the respondent defaulted on any instalment, the full outstanding amount would immediately become due and payable. There was no order as to costs.

A body corporate established under the STSMA is entitled to require owners to pay levies and ancillary charges necessary for the administrative and reserve funds of the scheme. Where the body corporate proves, on a balance of probabilities, through its statement of account and supporting documentation, that a unit owner is in arrears, CSOS may grant an order under section 39(1)(e) of the CSOS Act for payment of the outstanding amount. In the absence of any answering version from the owner, the adjudicator may determine the matter on the applicant's uncontested documentary evidence.

The adjudicator observed that owners who default on levy payments are effectively subsidised by other owners who pay conscientiously, and that a body corporate cannot perform its statutory functions without contributions from unit owners. These remarks explain the practical importance of levy enforcement but are not themselves the operative basis of the order.

This decision illustrates the CSOS adjudication process for recovery of arrear levies in sectional title schemes and confirms the enforceability of body corporate levy claims through section 39(1)(e) of the CSOS Act. It reinforces the principle that owners in sectional title schemes are obliged to contribute to the body corporate's funds and that non-payment undermines the financial functioning of the scheme. The order is also significant in showing that CSOS may grant practical payment arrangements, including instalments and temporary suspension of interest, while still enforcing the debt.