PRE-EMPTIVE RIGHTS: ‘IN WRITING’ NO LONGER A REQUIREMENT?
Mokone v Tassos Properties CC and Another (CCT113/16, CCT291/16)  ZACC 25; 2017 (10) BCLR 1261 (CC); 2017 (5) SA 456 (CC) (24 July 2017)
It has for long been a rule of our law that pre-emptive rights relating to the sale of immovable property must be in writing in order to be valid and binding. In finding in this matter that the granting of a pre-emptive right is not an ‘alienation’ and therefore needs not comply with the “in writing and signed” requirements of the Alienation of Land Act, new considerations sprout. Property owners should be wary of making verbal representations with regard to pre-emptive rights in respect of immovable property to avoid a scenario such as in the present matter where a subsequent transfer of a property to a third party is attacked, 18 months later, because of an oral lease granted to a previous tenant.
STBB’S STSMA REFERENCE GUIDE
In this, the fortieth set of notes for your STSMA Reference Guide, Prescribed Management Rule 19 is discussed.
Prescribed Management Rule 19
(N.B. Print in landscape)