Legal row brews over Mall of Africa after popular brand contract not renewed

06 June 2024 - 11:17
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Mall of Africa has found itself in controversy with popular brand Amakipkip over a lease contract.
Mall of Africa has found itself in controversy with popular brand Amakipkip over a lease contract.
Image: Mall of Africa Instagram

A possible legal battle hangs over the Mall of Africa shopping centre in Midrand after a lapsed rental lease was not renewed for a popular clothing brand this month.

Amakipkip took to social media on Wednesday alleging the store was facing “illegal eviction” after four years.

Mall of Africa, which opened its doors in 2016, confirmed to TimesLIVE management did not renew Amakipkip's contract for June, a decision which has sparked controversy.

Amakipkip's attorney Bill Kobras, in a letter to shopping centre management which went viral, criticised its decision not to renew the clothing store's contact. He demanded Amakipkip be granted the opportunity to negotiate and extend the contact for the rest of the year.

“The sudden change and termination is without any justifiable reason or explanation.

“If this matter cannot be resolved between the parties at this stage, we advise an urgent court application will be instituted to enforce and protect our client's rights in this regard,” Kobras said.

Amakipkip CEO Nkosana Modise also penned an urgent letter to shopping centre management requesting to retain their spot.

“It has come to our attention the private owner of our kiosk spot is attempting to displace us without a valid reason, despite our exemplary track record. This decision is not only unfounded but also poses a severe threat to our business, which has become an integral part of the Mall of Africa's retail landscape,” Modise said.

“Amakipkip has been a dedicated and reliable tenant for the past four years, consistently fulfilling all rental obligations and contributing significantly to the mall's vibrant culture and economic success.

“Any attempt to displace Amakipkip from their spot, without just cause, could be perceived as discriminatory and undermining the principles of fairness and inclusivity that should govern tenant relationships,” he said.

“Mall of Africa confirms Amakipkip was on a monthly rental contract for a kiosk inside the centre, and when the contract period came to an end, Mall of Africa did not renew it,” shopping centre management said. 

Responding to allegations of discrimination, management said: “Mall of Africa is aware of the allegations online regarding alleged displacement of a proudly South African black-owned businesses. Mall of Africa prides itself on inclusivity and supports and welcomes all tenants and patrons, irrespective of race, religion, culture, orientation or identification.”

The development has ignited outrage on social media among loyal Amakipkip customers who expressed their anger and disappointment, and asked the mall to publicly explain the business rationale behind the decision.

TimesLIVE


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