The Eviction Countdown

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What Happens When Your Inherited Tenant Stops Paying?

A Step-by-Step Guide to SA’s Prevention of Illegal Eviction Act (PIE) Process

The Eviction Countdown: What Happens When Your Inherited Tenant Stops Paying? mypotch.co.za

Buying a tenanted property in South Africa can feel like winning the lottery—until the tenant stops paying rent. Suddenly, you’re thrust into a legal maze where the law prioritises housing rights over ownership. Here’s how the Prevention of Illegal Eviction (PIE) Act governs evictions, illustrated with real cases and actionable steps for landlords.

 

Case Study: The Cape Town Landlord’s Nightmare

In 2022, a Claremont homeowner (Blue Horizon Investments v. Ms. Dlamini) inherited a tenant who defaulted on rent for six months. The landlord followed PIE Act procedures but lost the case because the tenant proved she had no alternative housing. The court ordered the landlord to subsidise her relocation—a R15,000 lesson in patience.

 

Step 1: The 14-Day Notice Period

Legal Requirement:

Before approaching the court, you must notify the tenant in writing of their default and your intent to evict.

 

Real-Life Pitfall:

In Kempton Park Rentals v. Mokoena (2021), the landlord sent an SMS instead of a written notice. The court dismissed the eviction, ruling digital notices insufficient under PIE.

 

Action:

  • Use registered mail or hand-deliver the notice.
  • Include:
    • Arrears amount and payment deadline (14+ days).
    • Consequences of non-payment (eviction proceedings).

 

 

Step 2: Filing the Eviction Application

Legal Framework:

The PIE Act (Section 4) requires landlords to apply to the Magistrate’s Court or the High Court.

 

Documents Needed:

  1. Lease agreement (inherited from the seller).
  2. Proof of arrears (bank statements, tenant ledger).
  3. Evidence of written notice.

 

Case Example:

A Durban landlord (Sunrise Holdings v. Tenant Union) failed to annexe the original lease to the sale agreement. The court ruled the buyer couldn’t prove the tenant’s obligations, delaying eviction by eight months.

 

 

Step 3: Court Considerations

Courts assess two key factors under PIE:

  1. Procedural Fairness: Was the tenant properly notified?
  2. Substantive Justice: Is eviction “just and equitable” considering the tenant’s circumstances?

 

Real-Life Scenario:

In Johannesburg Apartments v. The Occupiers (2023), the court allowed eviction after the landlord proved:

  • The tenant earned enough to afford alternative housing.
  • The landlord had offered a two-month rent waiver to facilitate relocation.

 

 

Step 4: The Eviction Order

If the court rules in your favour:

  1. Sheriff’s Involvement: Only the sheriff (not private security) may execute the eviction.
  2. Timeline: Courts often grant 30–90 days for tenants to vacate.

Critical Exception:

If the property is deemed the tenant’s “primary home” and they’ve occupied it for over six months, courts may require you to provide or fund alternative accommodation (City of Cape Town v. Rudolph).

 

 

Step 5: Post-Eviction Financial Recovery

Can You Claim Arrears?

Yes, but success depends on:

  • Lease Terms: If the seller didn’t transfer the deposit to you, you may sue them for breach of contract.
  • Tenant Solvency: In Pretoria North Rentals v. Khumalo (2020), the landlord attached the tenant’s car to settle R48,000 in arrears.

 

Pro Tip:

Include a cession clause in your sale agreement, forcing the seller to cede their right to claim historical arrears from the tenant.

 

 

The Cost of Cutting Corners

Case Study: Port Elizabeth Landlords Association v. The State (2021)

A landlord group challenged PIE’s constitutionality, arguing it unfairly burdens owners. The Constitutional Court upheld PIE, emphasising South Africa’s commitment to housing rights post-apartheid.

 

 

How to Protect Yourself

  1. Pre-Purchase Checks:
    • Demand a tenant payment history from the seller.
    • Confirm the deposit is held in a compliant account (Rental Housing Act, Section 5).
  2. Lease Audits:
    • Ensure the lease allows for eviction on non-payment grounds.
  3. Attorney Guidance:
    • Use a property lawyer to navigate PIE’s procedural minefield.

 

 

Final Word

Evicting a tenant under the PIE Act is a marathon, not a sprint. While the law favours tenants, diligent landlords can succeed by rigorously following procedure and documenting every step. As the Constitutional Court reminds us: “Ownership rights are not absolute in a society still healing from spatial injustice.”

Legal References:

 

Disclaimer: This article does not constitute legal advice. Consult an attorney for case-specific guidance.