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South Africa Case Law

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Commercial And Corporate [2008] ZASCA 29

Firstrand Bank Ltd. v National Lotteries Board (385/07)

Firstrand Bank Ltd. v National Lotteries Board (385/07) [2008] ZASCA 29; [2008] 3 All SA 121 (SCA); 2008 (4) SA 548 (SCA) (28 March 2008)

Court
Supreme Court of Appeal
Case number
385/07
Judges
Howie, Streicher, Nugent, Combrinck, Cachalia

The Supreme Court of Appeal held that the Million-a-Month Account operated by Firstrand Bank constitutes a prohibited lottery under the Lotteries Act 57 of 1997. The deposit of money into the account, even if ultimately returned to the depositor, is a 'subscription' as defined in the Act because it is consideration for the right to compete for prizes allocated by chance. The possession of money transferred to the bank is irretrievably lost to the depositor for the period and is of value to both parties, thus constituting a stake. The scheme falls within the extended definition of a lottery an…

Source excerpt

  • Lotteries Act Interpretation
  • Subscription Definition
  • Promotional Competition
  • Banking Products Regulation
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Commercial And Corporate [2006] ZAGPHC 106

National Lotteries Board v Firstrand Bank Limited (37196/05)

National Lotteries Board v Firstrand Bank Limited (37196/05) [2006] ZAGPHC 106 (15 December 2006)

Court
High Courts - Gauteng
Case number
37196/05
Judge
Seriti

The court found that the applicant, as a statutory body under the Lotteries Act, has the authority and duty to approach the court to enforce the Act and seek relief against unlawful lotteries. The respondent's competition, linked to the 'FNB Million a Month account', constitutes a lottery as defined by the Act because account holders pay a subscription—by forfeiting interest or accepting a lower interest rate—in exchange for the chance to win prizes by lot or chance. The right to participate in the draw is inseparable from opening the account and making a deposit. The facts are analogous to t…

Source excerpt

  • Lotteries Act Interpretation
  • Subscription Definition
  • Unlawful Lottery
  • Promotional Competition
  • Locus Standi
  • Interdict Remedy
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South Africa decisions are organised by court, judge, legal area and indexed issue so a practitioner can move from a proposition to a citable authority with the surrounding context intact.

Source links and collection timestamps are retained alongside the indexed records.