Densam (Pty) Ltd. v Cywilnat (Pty) Ltd. (470/1988)
Densam (Pty) Ltd. v Cywilnat (Pty) Ltd. (470/1988) [1990] ZASCA 120; 1991 (1) SA 100 (AD); [1991] 1 All SA 275 (A) (28 September 1990)
The Supreme Court of Appeal held that the bank's claim against Densam was cedable, as the nature of Densam's obligation to pay the overdraft did not make it personal to the extent that it mattered who enforced the claim. The duty of confidentiality between banker and customer does not, in itself, render the claim non-cedable. The wording of the security cession of book debts, which included 'order or assigns', expressly authorized the bank to cede its rights to a third party, and Densam had given advance consent. The evidence showed that the intention was to cede the whole claim, not just par…
Source excerpt
- Cession Of Claims
- Delectus Personae
- Confidentiality In Banking
- Security Cession
- Pactum De Non Cedendo
- Interpretation Of Contracts