Is registration as a credit provider under the National Credit Act 34 of 2005 (“the NCA”) required for a once-off credit agreement? This was the issue in the case of Du Bruyn NO & others v Karsten (929/2017) [2018] ZASCA 143 (28 September 2018). Mr. De Bruyn and Mr. Karsten conducted business together as shareholders in two …
Remember that your claim against a debtor can lapse after a certain period of time. This happens in terms of the legal rules on extinctive prescription. What is Prescription? The effect of prescription is that the debt owed to a creditor is extinguished and the creditor can no longer institute action to recover the debt, …
Rules on extinctive prescription. Do not wait until it is too late! Read More »
Debt does not last forever, after a period of time it prescribes and becomes invalid. Prescribed debt can be explained as old debt that has not been acknowledged over a period of three years. This means that a debt prescribes if: You have not acknowledged the debt in the past three consecutive years, either in …