COLD FEET LANDS BUYER IN HOT WATER: COURT ORDERS SPECIFIC PERFORMANCE AFTER BUYER’S REPUDIATION OF SALE
Cole v Talacar Holding (Pty) Ltd (A2024-025012) [2025] ZAGPJHC 46 (10 February 2025)
This matter deals with, amongst other things, a buyer who sought to escape the consequences of a binding agreement, arguing that the condition in the agreement, allowing him to cancel if he found “defects that are unacceptable to the Purchaser”, gave him unfettered discretion to do so. This, after he failed to disclose any objective defects informing this decision, with his withdrawal relating to attributes that were not within his personal taste. The judgment is a valuable read, illustrating how parties’ conduct influences findings regarding their acceptance (or not) of another’s repudiation of an agreement.
The judgment can be viewed here
Summary of the Judgment
LENDERS CONSTRAINED BY NCA PROVISIONS IN FORMULATING DEBT SETTLEMENT PROPOSALS
Absa Bank Limited v Johan Serfontein and Another (740/2023) [2025] ZASCA 11 (10 February 2025)
This appeal concerned an acknowledgement of debt, incorporating a power of attorney, that was entered into between a bank and a debtor in an attempt to reach a settlement in respect of outstanding debts. In part, the settlement agreement gave the bank authority to sell the debtor’s property without recourse to a court. This, along with various other provisions, was found to be in contravention of the National Credit Act. The judgment is a reminder of the limitations placed on lenders when negotiating alternative repayment terms for an outstanding debt.
