K2013046547/07 (South Africa) (Pty) Ltd and Others v Hyde Construction CC and Another (513/2020) [2021] ZASCA 82 (17 June 2021)
As a trader, it is business as usual to sell stock in trade. However, a creditor becomes alarmed if a trader sells off goods not in the ordinary course of business at a time when that trader’s financial position brings thoughts of liquidation to the fore. To protect creditors, our law has very strict rules for such instances and, in a property trader context, may result in a declaration that a property sale and resulting registration of transfer and new bond, be declared void. This judgment highlights the considerations.