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Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003)

Chapter 5 : Co-Operative Government

44. Disputes between organs of state


(1) Whenever a dispute of a financial nature arises between organs of state, the parties concerned must as promptly as possible take all reasonable steps that may be necessary to resolve the matter out of court.


(2) If the National Treasury is not a party to the dispute, the parties—
(a) must report the matter to the National Treasury; and
(b) may request the National Treasury to mediate between the parties or to designate a person to mediate between them.


(3) If the National Treasury accedes to a request in terms of subsection (2), the National Treasury may determine the mediation process.


(4) This section only applies if at least one of the organs of state referred to in subsection (1) is a municipality or municipal entity.