Nedbank Limited v Mhlari N O and Others (37766/2018)
Nedbank Limited v Mhlari N O and Others (37766/2018) [2022] ZAGPJHC 719; 2022 (6) SA 438 (GJ) (22 September 2022)
The court found that although the Trust Deed required at least three trustees, only two were appointed when the loan agreement was concluded. However, the trustees represented to the Plaintiff that they were authorised to act for the Trust and provided a resolution to that effect. The Plaintiff, as an outsider, could not have known of the internal non-compliance. The court held that the Trust is estopped from denying the authority of the trustees and is bound by the loan agreement. The Defendants, as sureties, are equally liable. The Defendants failed to lead evidence to support their counter…
Source excerpt
- Suretyship
- Trust Deed Compliance
- Ostensible Authority
- Estoppel
- Declaration Of Executability
- Counter Claim Dismissal