Johannesburg ratepayers face warnings from legal experts not to sign debt acknowledgement forms hastily, particularly when municipal bills are in dispute. Signing such forms could interrupt the prescription period and strengthen the city's claim on potentially unenforceable debts. This advice comes as the City of Joburg implements phase four of its debt relief programme, launched on 1 November 2025.

The programme aims to ease financial burdens through write-offs and payment plans, but residents report pressure to sign acknowledgements to avoid service cuts or delays in clearances. An acknowledgement of debt serves as a formal admission of liability under South African law, which may harm those contesting historic charges.

Background and Implications of the Debt Relief Programme

The City of Joburg's phase four debt relief programme runs for 12 months, offering qualifying customers partial or full write-offs of interest and penalties, along with tailored payment arrangements. For most residential customers, it provides 50% write-offs on arrears, with the balance payable over 12 to 24 months. Pensioners and expanded social package beneficiaries may receive up to 100% write-offs, while small businesses and non-profits access specific relief options.

Eligibility requires registered property ownership, normalised accounts from the application date, and compliance with property value and metering standards. However, the programme's documentation lacks clarity on handling disputed or prescribed charges. Under the Prescription Act, municipal service charges typically prescribe after three years unless interrupted by payment, acknowledgement, or legal action. Debt relief serves as a policy tool to assist those in distress, not to override legal enforceability of debts, according to experts.

“It’s about giving residents a fourth chance to rebuild trust and strengthen their relationship with the City.”

said Loyiso Masuku, Member of the Mayoral Committee for Finance.

Expert and Official Responses

Schindlers Attorneys advised caution in Joburg debt acknowledgements. “Consumers should ensure that payments are not allocated to disputed items,” stated attorney Chantelle Gladwin, emphasising the need to record disputes in writing.

Civic activist Mike Lingwood highlighted that residents often sign under duress to restore services, later limiting their ability to challenge errors.

City spokesperson Nthatisi Modingoane responded that the city follows the Prescription Act, noting prescription interruptions via acknowledgements or payments. The city clarified that prescribed debt is not a benefit from non-payment and urged ongoing payment of current charges during disputes or applications. No further responses on specific dispute handling were provided in available documentation.