LEARNING AFTER TRANSFER THAT ALL TRUSTEES DID NOT SIGN
Jacobs N.O. and Others v Salut La Vie Estate (Pty) Ltd; In re: Salut La Vie Estate (Pty) Ltd v Jacobs N.O. and Others (1146/2016)  ZANCHC 11
(10 February 2017)
The abstract theory of transfer means, in essence, that where there was consensus between two parties to transfer a property, coupled with registration of transfer in a deeds office, then an underlying defect in the sale agreement does not affect the validity of transfer. Could it then be argued that a transfer based on an agreement in which a trust signed a sale agreement with only two of the three required trustees signing, was unassailable? The question raised here was in the context of an exception to a seller’s claim, but the conclusion is a warning note that trustees must ensure that all signatories are party to an agreement.
STBB’S STSMA REFERENCE GUIDE
In this, the twenty-fifth set of notes for your STSMA Reference Guide, Prescribed Management Rule 4 is discussed.
Prescribed Management Rule 4
(N.B. Print in landscape)