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Gauteng Couple Told to Pay Over R440,000 After Court Rejects Rent-Free Defence

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1 hour ago

November 27, 2025

Chiraag

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When a Johannesburg couple tried to argue they were allowed to stay rent-free, a recent High Court ruling sent a clear message: lease expiry does not make unpaid rent vanish. The case involved occupants of a house in Malanshof, Randburg, who were ordered to pay their landlord more than R440,000 after litigation concluded in November 2025.

Life after lease expiry

The couple first moved into the property in July 2009. Over the years their lease was renewed in writing multiple times. The final formal renewal, however, ended in July 2016. After that nothing was signed, but the tenants stayed on. Initially they even kept paying rent. That changed somewhere along the line.

Their landlord argued that under Section 5(5) of the Rental Housing Act, the tenancy automatically converted into a periodic agreement because the tenants remained in occupation with his tacit consent, even without a new written lease.

Court rejects oral agreement, orders repayment

In court the couple tried two defences. First they claimed the original lease was no longer valid, so they had no contractual obligation. Second, they alleged that an oral agreement made in 2021 allowed them to stay rent-free. The judge found both defences wanting.

The court noted that under the Rental Housing Act continued occupation with the landlord’s consent creates a legally binding periodic tenancy on the same terms as the old lease. As for the oral agreement, the couple did not provide key details such as date, place, or parties involved, or legal requirements for such a claim. The judge also found it unlikely that the landlord would have started eviction proceedings if he had granted rent-free occupancy.

Because of this, the court accepted the landlord’s claim: more than R130,000 in unpaid rental and over R310,000 in “holding-over damages” for the period they remained after the formal lease ended. Interest at 2 percent from October 2023 until the final payment was added.

Why this matters for landlords and tenants

For renters in Johannesburg and beyond, this ruling underscores a crucial lesson: when your formal lease ends, staying put, especially without a new agreement, does not guarantee immunity from rent claims. Under law a tenancy may persist, but rent remains due.

For landlords, the verdict offers reassurance that vacant-lease or informal occupancy does not automatically nullify their right to payment. If tenants stay with your consent after a lease expires, you may have legal justification for arrears and damages if they stop paying.

This decision may shape future disputes in Gauteng and across South Africa, especially in a housing market where informal lease renewals and verbal agreements are common.

A sharper lens on housing rights

On social media many landlords welcomed the judgment, saying it restores fairness after years of informal tenancy loopholes. Some tenants responded with concern, arguing that verbal agreements can sometimes feel like the only practical solution in tough economic times.

Ultimately this ruling brings clarity and a reminder: in South Africa’s rental landscape, ignoring lease renewal and legal formalities comes at a high price, whether you are a tenant or landlord.