On 14 January 2022 the Regulations, which include the Property Practitioners’ Code of Conduct, to the Property Practitioners Act 22 of 2019 (hereinafter referred to as “the Act”) came into effect. More than 3 (three) years later, the Property Practitioners Regulatory Authority being the governing body for property practitioners (estate agents), issued a notice that the regulations regarding Undesirable Business Practices have been temporarily suspended pending the outcome of a final non appealable court order in the case of RCC v Minister of Human Settlements and PPRA (Case Number 2024 11832)
In terms of the ruling, property practitioners will still have to undergo the necessary training and remain responsible for payment of the cost thereof, but will not have to pay such costs until such time as the final decision is received from the court. However, the property practitioners must provide the relevant managing organization with security in the form of a written undertaking for the payment of the costs referred to above which will become immediately payable in the event that the court finds against the Property Practitioner’s Regulatory Authority. Regrettably the Notice does not deal with “arrangements” which were entered into from 14 January 2022 to 2 November 2025 and thus it is uncertain whether penalties issued during such time have also been suspended. However, based on normal legal principles, it is unlikely that the PPRA will enforce any penalties until such stage as the case has been finalized.
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