De Villiers NO v Delta Cables (Pty) Ltd (56/1990)
De Villiers NO v Delta Cables (Pty) Ltd (56/1990) [1991] ZASCA 115; 1992 (1) SA 9 (AD); [1992] 1 All SA 192 (A) (23 September 1991)
The Supreme Court of Appeal held that section 21(1) of the Insolvency Act vests all property of the solvent spouse in the trustee of the insolvent estate as if it were property of the insolvent. This vesting is intended to bring about a concursus creditorum and to freeze the rights and priorities of creditors as at the date of sequestration. Any subsequent disposition or registration, including the registration of a surety mortgage bond based on a power of attorney executed before sequestration, is ineffective against the trustee and does not confer a real right or preference on the creditor.…
Source excerpt
- Vesting Of Property
- Concursus Creditorum
- Surety Mortgage Bond
- Rights Of Solvent Spouse
- Insolvent Estate Priorities