Davids and Others v Absa Bank beperk (A15/03)
Davids and Others v Absa Bank beperk (A15/03) [2004] ZAWCHC 17; [2005] 1 All SA 583 (C); 2005 (3) SA 361 (C) (19 April 2004)
The court found that the appellants signed the suretyship agreements under a material mistake regarding their scope, believing their liability was limited to R50,000. The respondent's representative, Mr Geldenhuys, failed to explain the nature and content of the complex, unlimited suretyship documents to the appellants, who had no prior dealings with the bank and did not participate in the negotiations. Given the circumstances, a reasonable person in the position of the bank's representative would not have been misled into believing the appellants intended to bind themselves to unlimited liab…
Source excerpt
- Suretyship
- Contractual Mistake
- Dissensus
- Justus Error
- Banking Liability