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Cascade Properties Cascade Properties specialize in professional Estate Management services for Bodies Corporate and Home Owners Association

23/01/2026

Municipality is coming after property owner's in South Africa

Contract Law Facts: Lease agreement This post contains South African Law by Mesuli Gina
08/11/2025

Contract Law Facts: Lease agreement
This post contains South African Law by Mesuli Gina


07/11/2025

By Marlon Shevelew Director Marlon Shevelew and Associates Inc / 25 years in law/ 25 legal areas / 60 awards

When is a Landlord Acting "in the Ordinary Course of Business"? The Supreme Court of Appeal’s decision in Els v Venter is essential reading for anyone involved in residential property letting. It sharpens our understanding of when a landlord’s activities cross the threshold into “the ordinary course of business” and thus, when the Consumer Protection Act (CPA) applies.

The Legal Principle: Substance Over Form

The CPA doesn’t define “ordinary course of business.”

In Els v Venter, the SCA made it clear: it’s not about labels or contract wording, the reality of the landlord’s conduct is what matters.

The test asks whether the letting forms part of a business-like, ongoing pattern aimed at generating income. An isolated or incidental letting (such as temporarily leasing your home while abroad) generally falls outside the CPA.

Key Criteria from the SCA

To determine supplier status, South African courts objectively consider a range of factors:

Regularity & Volume: Multiple rentals or property turnover suggests business activity.
Marketing & Organisation: Ongoing advertising or using agents points to a business motive.
Income Generation: A regular pattern of rental income, even alongside other work, tilts toward CPA coverage.
Formal Structure: Having a registered property business is a significant indicator, though not required.
Purpose of Letting: Is the rental a sustained investment or merely to cover temporary circumstances?
No single factor is decisive, a holistic, real-world assessment is made based on all the evidence.

Can Landlords “Opt Out”?

Some landlords try to position their rentals as “once-off” or personal. The SCA warns that courts prioritise substance over form: a disclaimer in your lease won’t help if your conduct is business-like. However, genuinely incidental, private, or unplanned lettings are less likely to fall within the Act.

Practical Guidance for Property Professionals

Advising clients: Evaluate not just the lease, but the landlord’s broader pattern: Is this truly a single event, or part of a continuing rental activity?
Risk Mitigation: If avoiding CPA classification is important, landlords should minimise regular marketing, avoid using agents for multiple properties, and clearly document the personal, non-commercial motive for letting.
Stay Alert: Circumstances change. A landlord who moves from personal, once-off letting to ongoing, marketed property investment may find themselves within the CPA’s reach, even if their contracts say otherwise.

06/10/2025

Did you know that Sectional Title Act allows to give notice to underperfoming managing?

27/09/2025
18/09/2025

Recent updates to the Rental Housing Act have introduced important changes affecting both property owners and tenants.

There’s another fake news article claiming rental laws have changed. It’s completely false and based on the same clueles...
18/09/2025

There’s another fake news article claiming rental laws have changed. It’s completely false and based on the same clueless, misinformed source being quoted again and again. People who don’t understand rental law should not be giving interviews.

👉 Here’s the article:

Recent updates to the Rental Housing Act have introduced important changes affecting both property owners and tenants.

🚫 DIY EVICTIONS CAN COST LANDLORDS DEARLYSocial media is full of dangerous “DIY eviction” advice – like cutting off wate...
02/09/2025

🚫 DIY EVICTIONS CAN COST LANDLORDS DEARLY

Social media is full of dangerous “DIY eviction” advice – like cutting off water, changing locks, or hiring thugs. Following this path can leave landlords facing fines, jail time, and legal bills of R40,000 – R70,000+.

As Ann-Suhet Marx, Director & Head of Litigation at VDM Attorneys, points out, evictions must always follow due legal process. Shortcuts not only fail but can cost landlords hundreds of thousands more in remedial action.

👉 For us as rental pros, this is a critical value-add: ensuring landlords understand the risks and know that we will only guide them through professional, legal channels.

We’re proud to working relationships with expert rental lawyers, giving our network access to the expert legal partners when eviction matters arise.

📖 Full article here: https://dailyinvestor.com/property/98875/r70000-eviction-pain-for-south-africans/

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