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Top court agrees on CPI to determine restitution

Publish date: 27 August 2014
Issue Number: 3584
Diary: Legalbrief Today
Category: General

How to decide the value of a house a family was forcibly removed from during apartheid was the subject of a Constitutional Court judgment yesterday.

According to a Business Day report, Isabel Florence went to the court in a bid to get more than the close to R1.5m the Land Claims Court had awarded her in 2012 as compensation for the forced removal of her family from their Rondebosch home. The area was classified 'white' under the Group Areas Act, resulting in them losing - in 1970 - their home of more than 20 years. The Land Claims Court, which found Florence was entitled to compensation, had used the consumer price index (CPI) to determine the present-day value of the home. The SCA confirmed CPI as the basis for calculating her restitution. She then appealed to the Constitutional Court, arguing that CPI did not give sufficient effect to the right of restitution or equitable redress. But yesterday the court agreed that CPI was appropriate. The court added market value was one factor to be considered in determining fair compensation. The report says the court also upheld a cross-appeal by the government, which had asked the court to overturn the SCA's ruling that it should bear the costs of a commemorative plaque. It said this type of relief was only available in cases where restoration of a right in land or equitable redress was inappropriate or incompetent. Full Business Day report (subscription needed) Florence v Government of the Republic of South Africa (CCT 127/13)

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