Law Reports

Business Aviation

Business Aviation Corporation (Pty) Ltd and Another v Rand Airport Holdings (Pty) Ltd 2006(2) SA 95(W) - Placcaat of 1658, article 10 - whether Placcaat applies to urban tenements.

In this supreme court of appeal watershed judgement made earlier this month, the rules concerning claims for compensation for useful improvements to leased premises were clarified. According to Jennifer Finnigan of Shepstone and Wylie, "The bottom line of this judgement is that if you are a tenant on agricultural land, don't make useful improvements to the property without your landlord's consent."

"Even if you get the landlord's permission you can claim compensation only when you give up possession of the land. And your compensation will be limited." Improvements could be removed, but only if this does not damage the leased premises.
In your own words

"When Sars identifies schemes or tax gaps in the Vatable transactions Sars will profile for an investigation/audit."

E Grobbelaar

Property Law Guidelines

The position is different however for tenants on urban land, as one can have a claim for useful improvements to the leased premises that can be enforced by retaining possession of the property.

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