V.M (born T) v R.E.M and Others (559/2007) [2015] ZAGPPHC 66 (4 February 2015)

V.M (born T) v R.E.M and Others (559/2007) [2015] ZAGPPHC 66 (4 February 2015)

The court found that the defendant's extra-marital affair was the direct cause of the breakdown of the marriage, entitling the plaintiff to a fixed property valued at R300,000 escalated at 10% per annum from the date of marriage to divorce. The court held that the defendant failed to prove that assets held in Shajo, Milcar, and Capmarb trusts/entities were excluded from the accrual system under the ante-nuptial contract, as no sufficient nexus was established between the initial excluded assets and those entities. The trusts Shajo and Capmarb were found to be the defendant's alter ego, with no real separation between trust and personal assets, justifying the inclusion of their assets in...

Citation
[2015] ZAGPPHC 66
Parties
Plaintiff: V[...] M[...] (born T[...]); Defendant: R[...] E[...] M[...]; Defendant: E[...] M[...] N.O.; Defendant: B[...] L[...] F[...] N.O.; Defendant: V[...] M[...] N.O.; Defendant: S[...] M[...]
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
4 February 2015
Case Number
559/2007
Procedural Posture
Family and Children / Trial Judgment on Patrimonial and Accrual Claims Following Divorce
Outcome
Plaintiff's claims for fixed property and accrual granted; costs awarded to plaintiff.
Judges
Kubushi
Legal Topics
Accrual System, Ante Nuptial Contract, Alter Ego Trusts, Trust Asset Piercing, Divorce Patrimonial Claim, Contractual Interpretation
Family and Children Civil Procedure Land and Property Accrual System Ante Nuptial Contract Alter Ego Trusts Trust Asset Piercing Divorce Patrimonial Claim +1 more

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Parties

V[...] M[...] (born T[...])

Plaintiff

R[...] E[...] M[...]

Defendant

E[...] M[...] N.O.

Defendant

B[...] L[...] F[...] N.O.

Defendant

V[...] M[...] N.O.

Defendant

S[...] M[...]

Defendant

Procedural Posture

Family and Children / Trial Judgment on Patrimonial and Accrual Claims Following Divorce

Legal Issues

  1. 1 Whether the plaintiff is entitled to a fixed property valued at R300,000 escalated at 10% per annum due to the defendant's extra-marital affair causing the divorce.
  2. 2 Whether assets held in certain trusts and entities are excluded from the accrual system under the ante-nuptial contract.
  3. 3 Whether Shajo and Capmarb trusts are the alter ego of the defendant and their assets should be included in the accrual calculation.

Ratio Decidendi

The court found that the defendant's extra-marital affair was the direct cause of the breakdown of the marriage, entitling the plaintiff to a fixed property valued at R300,000 escalated at 10% per annum from the date of marriage to divorce. The court held that the defendant failed to prove that assets held in Shajo, Milcar, and Capmarb trusts/entities were excluded from the accrual system under the ante-nuptial contract, as no sufficient nexus was established between the initial excluded assets and those entities. The trusts Shajo and Capmarb were found to be the defendant's alter ego, with no real separation between trust and personal assets, justifying the inclusion of their assets in...

Court Disposition

Plaintiff's claims for fixed property and accrual granted; costs awarded to plaintiff.

Orders

  • The first defendant is ordered to effect that the plaintiff obtains fixed property to the value of R1,144,004, to be transferred within three months from the date of this order.
  • The first defendant shall pay the transfer and bond registration costs and instalments of such fixed property if bonded by a financial institution.