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South Africa decisions
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Mhlari NO and Others v Nedbank Limited (251/2023) [2024] ZASCA 39 (4 April 2024)
The SCA held that a trust loan was void for lack of trustee capacity, but Nedbank’s unjust enrichment claim succeeded because its mistake was reasonable and excusable.
Bester N.O. and Others v Horn (11641/2015) [2022] ZAWCHC 228 (5 October 2022)
The High Court refused to separate prescription issues from a consolidated trust recovery trial, finding that piecemeal hearings would delay and duplicate evidence.
Nedbank Ltd v Mabulu N.O and Others (3367/2021) [2022] ZAFSHC 32 (3 March 2022)
The court set aside Nedbank’s default-judgment application as an irregular step and ordered Nedbank to pay costs after finding the authority objection was out of time.
Harris and Another v Burger N.O. and Another (786/2017) [2017] ZAFSHC 68 (18 May 2017)
The court held that property agreements concluded by a trustee who was also a beneficiary of the trust were null and void, refused a postponement, and ordered restoration and costs.
Combrick N.O and Another v Plooy N.O and Others (59864/2012) [2014] ZAGPPHC 285 (14 May 2014)
The court found that the Combrinck Trust lacked the capacity to act because it did not have the minimum number of trustees required by its trust deed. The applicants failed to appoint a third trustee after the liquidation of Jean Multi Management (Pty) Ltd, resulting in only two trustees remaining. This omission constituted a breach of the trust deed and rendered any actions taken by the applicants on behalf of the trust invalid. The trust was not properly before the court, and the application was a nullity. Consequently, there was no need to consider joinder of further parties, as the action…
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Van der Merwe NO and Others v Hydraberg Hydraulics CC and Others, Van der Merwe NO and Others v Bosman and Others (12742/09, 22837/09) [2010] ZAWCHC 129; 2010 (5) SA 555 (WCC) (17 June 2010)
The court found that the contract for the sale of the business and fixed property was void due to non-compliance with the Alienation of Land Act. Specifically, the Hydraberg Property Trust was not properly represented, as only two of three trustees signed the contract without written authority from all trustees acting jointly. The trust instrument required joint action and notice to all trustees, which was not followed. The court rejected the applicants' reliance on the Turquand rule, finding it inapplicable to trusts in this context. Although the court recognised an abuse of the trust form b…
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