Trustees of Aranos Body Corporate v Josie Moloi

The applicant, Trustees of Aranos Body Corporate, brought an application to the Community Schemes Ombud Service (CSOS) under section 38 of the Community Schemes Ombud Service Act 9 of 2011 for relief under section 39(1)(e). The respondent, Josie Moloi, was the owner of Unit 28 in the Aranos Body Corporate scheme. The body corporate alleged that the respondent had failed to pay monthly levies due in respect of the unit and was in arrears in the amount of R9 309,51 as reflected on the latest statement calculated up to 25 September 2023. The respondent did not file any response or opposing submissions despite being invited to do so. A certificate of non-resolution was issued after conciliation failed, and the matter proceeded to adjudication on the papers.

• Whether the applicant body corporate was entitled to an order under section 39(1)(e) of the CSOS Act for payment of outstanding levies by the respondent.
• Whether the evidence before the adjudicator established, on a balance of probabilities, that the respondent owed arrear levies in the amount of R9 309,51.
• Whether the respondent, as an owner in the scheme, was bound to pay levies in terms of the body corporate rules and the Sectional Titles Schemes Management Act 8 of 2011.

The application was upheld. The respondent was ordered to pay the applicant R9 309,51 in outstanding levies, in 4 equal instalments of R2 327,37 commencing on 1 November 2023, with the final instalment due on 1 February 2024. If the respondent defaulted on the instalment arrangement, the full balance would become immediately due and payable. No order as to costs was made.

An adjudicator under section 39(1)(e) of the CSOS Act may order an owner in a community scheme to pay outstanding levies where the body corporate provides documentary proof of the arrears and the obligation arises from the scheme rules and the Sectional Titles Schemes Management Act. Owners are bound by the rules and resolutions governing levy contributions, and in the absence of any rebuttal, the body corporate’s evidence may establish liability on a balance of probabilities.

The adjudicator’s references to general evidentiary principles about relevance, credibility, and proof on a balance of probabilities, as well as the explanation of the right of appeal under section 57 of the CSOS Act, were ancillary observations rather than the core basis of the order. The instalment arrangement appears to be a discretionary practical accommodation rather than a general legal rule.

The decision affirms the CSOS’s role in enforcing levy obligations within community schemes and demonstrates that a body corporate may obtain a payment order under section 39(1)(e) of the CSOS Act on documentary proof where an owner fails to oppose the claim. It also reflects the South African law principle that owners in sectional title or similar schemes are contractually and statutorily bound by scheme rules and levy resolutions.