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The matter would return to court next week.
More than 100 informal traders protested outside court, displaying placards asking the mayor to hear their plight.
The SA National Traders Retail Alliance (Santra) took the city to court to stop officials from demolishing stalls as part of a clean-up operation.
A member of the city's mayoral committee Roslyn Greeff told EWN traders removed from the streets would return to work by the end of the week.
"We would like to start with the people that were removed first so we are going to be re-allocating legal traders that have been verified by the end of the week."
Greeff said more than 2000 traders had already been registered.
Santra spokesperson Edmund Elias said the city was delaying the matter and did not want the traders back on the streets.
"The city promised us on November 4 that traders would go back once they have been verified, and today it's November 19 and not a single trader is back."
