The Court of Appeal has ordered the Ngwato Land Board to pay a Palapye farmer the outstanding sum of P655,407.29 for the expropriation of his farm, putting an end to a long-running legal dispute over land taken for the Morupule Coal Mine expansion.
The unanimous judgment, delivered by Justice of Appeal Michael Leburu alongside Justices Leatile Dambe and Tshepho Motswagole, marks a significant win for ordinary citizens facing state-backed land acquisitions. The court emphasized that public bodies must act in good faith and honor their contractual commitments.
The story began in 2015 when officials from the Palapye Sub Land Board approached Melale Gaebolae, owner of a farm near the Morupule Coal Mine. His property included a house, an orchard of fruit trees, crops, chickens, and small livestock.
Officials informed Gaebolae that his farm was needed for the mine’s expansion and promised full compensation based on a formal valuation. Acting on their advice, Gaebolae hired Willy Kathurima Property Valuers, who valued the farm at P1,000,000.00. However, the Land Board’s own assessment came back even higher at P1,577,612.00. Officials assured Gaebolae their valuation would prevail, and he agreed, expecting the Land Board to honor its figure.
Trusting their word, Gaebolae signed a “Notice to Treat,” surrendering his rights. He handed over his original certificate of land right to the Board, which acknowledged receipt in writing and later canceled his rights.
Court records show that in July 2016, the Morupule Coal Mine paid Gaebolae P922,204.71, after which he vacated the farm. But the remaining balance of P655,407.29 was never paid.
The Land Board’s stance shifted in March 2018 when it sent Gaebolae a letter unilaterally withdrawing its compensation offer. This move followed protests from Morupule Coal Mine, which claimed the P1.57 million valuation was inflated.
In the legal battle that ensued, the Land Board argued it was merely an intermediary and that Gaebolae should pursue the Morupule Coal Mine directly for the outstanding balance. They also claimed that Section 25 of the repealed Tribal Land Act prevented them from being bound by oral agreements on compensation for tribal land improvements.
The Francistown High Court, under Justice Lot Moroka, ruled in Gaebolae’s favor in November 2023, finding a valid agreement existed and the Land Board had unlawfully repudiated it. Unsatisfied, the Land Board appealed.
On appeal, Justice Leburu dismissed the Land Board’s arguments. The Court ruled the contract was partly oral and partly written, with the parties to the agreement strictly being the Land Board and Gaebolae. At no point had Gaebolae negotiated with or even met anyone from Morupule Coal Mine.
Regarding the Land Board’s reliance on Section 25 of the repealed Tribal Land Act, Justice Leburu noted that even if the oral parts of the agreement were removed under the common law “blue pencil theory,” the remaining written documents; such as the official Valuation Report, the Board’s resolution, and the written acknowledgment of the certificate surrender – formed a binding, intact contract.
The judgment ended with a stern reminder to public bodies. Justice Leburu declared that the Land Board, as a statutory entity, must operate with “legality, fairness, and good faith.”
“To allow a public body to dodge liability or shift its contractual duties to a third party would undermine the rule of law and erode public trust in government administration,” the court ruled.
The Court of Appeal dismissed the Land Board’s appeal and ordered it to cover costs on an ordinary scale.