First Rand Bank Ltd. v Body Corporate of Geovy Villa (671/2002)
First Rand Bank Ltd. v Body Corporate of Geovy Villa (671/2002) [2003] ZASCA 141; [2004] 1 All SA 259 (SCA); 2004 (3) SA 362 (SCA) (28 November 2003)
The Supreme Court of Appeal held that the provisions of section 15B(3)(a)(i)(aa) of the Sectional Titles Act do not create a preference for the body corporate over the mortgagee for purposes of execution under section 66(2) of the Magistrates' Courts Act. Embargo provisions give the body corporate a right to resist transfer until arrears are paid, but do not constitute a claim ranking in priority to a mortgage bond. The Legislature did not expressly elevate the body corporate's claim above that of the mortgagee, and the extraordinary consequences of such an interpretation were considered and…
Source excerpt
- Sectional Titles Act
- Preferent Creditor
- Mortgage Bond Priority
- Embargo Provisions
- Magistrates Courts Act