Model Answers to the Conveyancing Examination · 3 Also asked in Question 2 (Part 1) September 2012 for 20 marks, Question 5 (Part 1) September 2007 for 20 marks and Question 4 (Part

1 A similar question was asked as Question 6 (Part 1) May 2009 for 10 marks.

Part 1 - 7 September 2016 Self-Study Deeds Course CC Page 1

Model Answers to the Conveyancing Examination

September 2016

Part 1

Self-Study Deeds Course

Question 1 - Model answer 1 [10]

Pierre Inc. 7 September 2016

Per E-mail: [email protected] Your reference: Future Bank59/00234Our reference: E Frantzen/eh/ 123456

Re: Your Bond: Margaret Du Pont / Future Bank LimitedOur Transfer: Godfry Tshabalala / Margaret Du PontErf 55 Durban North

With reference to the abovementioned matter we confirm that we have beeninstructed to attend to the registration of transfer.

Kindly provide us with the following guarantees at your earliest convenience,namely:1 In favour of Prior Bank Limited, for credit account Godfry Tshabalala,

account number 3216549874, ACB code 357159, for the amount of R1 650 000,00 plus interest on the amount of R1 646 000,00 at a rate of12,5% per annum from 1 September 2016 until date of payment, both daysincluded, payable free of commission at Durban North;

2 In favour of ABSA Bank Limited, for credit account Gawie le Roux Attorneys,account number 9998887774, ACB code 163345 for the amount of R380 000,00 less interest on the amount of R1 646 000,00 at a rate of 12,5%per annum from 1 September 2016 until date of payment, both daysincluded, payable free of commission at Pietermarizburg.

The abovementioned guarantees should be made payable against the registrationof the following transactions, namely:1 The registration of transfer from G Tshabalala to M du Pont of Erf 55 Durban

North Township;

2 Similar questions were asked in Question 8 (Part 1) May 1997, Question 1

(Part 1) September 2004, Question 11 (Part 1) September 2007 and Question

5 (Part 1) September 2012.


2 The cancellation of all existing mortgage bonds over Erf 55 Durban NorthTownship;

3 The registration of a first mortgage bond over Erf 55 Durban North by M du

Pont in favour of Future Bank Limited for the amount of R2 030 000,00.

We would like to hear from you

Your faithfully

E Frantzen


2.1 Subject to the following conditions:

1 The Former Portion 10 of the Farm Green Valley 249, of which the propertyhereby transferred forms a portion, is subject to a servitude in favour ofEskom to convey electricity over the property with ancillary rights, as willappear from Notarial Deed of Servitude K328/1988S with diagram annexedthereto.

2 Subject to a life usufruct in favour of Amanda Els, identity number 3606060018 081, widow.

3 AND FURTHER subject to all such conditions as are mentioned or referredto in the aforesaid deed.

Explanation of conditionsCondition 1: Although Portion 20 is not directly subject to the power

line servitude, it is subject to the ancillary rights containedin the servitude. The condition must therefore be broughtforward into the deed of transfer and provided with anappropriate qualification.

Condition 2: As the whole property is subject to the usufruct, anyportion thereof will also be subject thereto. Noqualification is necessary. Section 28(2) of the DeedsRegistries Act provides that the land in deeds of partitiontransfers shall be made subject to the usufruct to thesame extent as the share or shares for which it issubstituted. This usufruct will therefore also be madeapplicable to the remaining extent of portion 20 (a portionof portion 10) of the farm Green Valley.


Condition 3: This is a General Condition clause included in all deeds(except in Cape Town, King William’s Town,Pietermaritzburg, Bloemfontein and Vryburg deedsregistries).

The servitude of right of way has been omitted because the right of way isalong the western boundary of Portion 10, whereas Portion 20 is the easternportion of Portion 10. Portion 20 is therefore not affected by this servitude. No servitude note appears on the subdivisional diagram and there are noancillary rights applicable to this servitude. [10]

2.2 Prepared by me

CONVEYANCERGabriël Jacobus le Roux

CONSENT TO PARTITION

I, the undersigned,Amanda ElsIdentity Number 360606 0018 08 1widow

the holder of a life long usufruct over½ (one half) share in Portion 10 of the Farm Green Valley 249Registration Division J.Q, Province of Gauteng In extent 500,0000 (five hundred comma nil nil nil nil) HectaresBy Virtue of Deed of Transfer T200/1989

do hereby consent to the partition of the said Portion 10 into two portions namely: a) portion 20 (a portion of portion 10) of the Farm Green Valley 249; and b) the Remaining Extent of Portion 10 of the Farm Green Valley 249

and that my usufruct shall apply and be registered over the said portion 20 (aportion of portion 10) of the Farm Green Valley 249.

Signed at Johannesburg on 7 September 2016.

As witnesses

1 USUFRUCT HOLDER

2

3 Also asked in Question 2 (Part 1) September 2012 for 20 marks, Question 5

(Part 1) September 2007 for 20 marks and Question 4 (Part 1) May 1997 for

20 marks.

4 As a mortgage bond is regarded as movable and as a certificate by the sheriff

in terms of regulation 51(2) to the effect that he is unable to obtain

possession of the title deed may only be used in respect of the title deed of

immovable property, an application by the sheriff in terms of regulation

68(1) & (14) is required.



Prepared by me

CONVEYANCER

Gabriël Jacobus le Roux

Application and Affidavit in terms ofRegulation 68(1) and 68(14) of the Deeds Registries Act 4

I the undersigned,

Richard Minnie in my capacity as the sheriff of the High Court, Cape Town,

duly authorised by virtue of a writ issued by the registrar of the court at Cape

Town on 12 July 2016

hereby make oath and say that:

1 Ryan Black

Identity number: 600722 0219 08 2

Unmarried, is the legal holder of mortgage bond B1234/2000, passed in his

favour by Syringa Investments CC.

2 Pursuant to a warrant in execution, issued by the high court at Cape Town in

the matter between Shrewd Investments Proprietary Limited as the plaintiff

and Ryan Black as the defendant, I attached the mortgagee’s rights in and to

the said bond, and sold the said rights by public auction on 21 August 2016,

to Shrewd Investments Proprietary Limited.

3 The mortgagee has since disappeared and I was unable to trace the said

mortgagee or obtain possession of the aforementioned bond. The said

mortgage bond was either lost or destroyed and cannot be found despite

diligent efforts to do so on my part.

4 To the best of my knowledge the said bond has not been pledged and is not

being detained by anyone as security for a debt or otherwise.

5 Previously asked as Question 10 (Part 1) May 2000.


2

5 As I am required to cede Ryan Blacks’s right, title and interest in the said

bond to Shrewd Investments Proprietary Limited, I hereby apply to the

Registrar of Deeds at Cape Town in terms of the provisions of Regulation

68(1) & (14) of the Deeds Registries Act, 47 of 1937, for the issue to me of a

certified copy of the said mortgage bond B1234/2000.

Richard Minnie

Signed and sworn to before me at Cape Town on 7 September 2016 by the

Deponent, who acknowledges that he knows and understands the contents of this

affidavit.

Commissioner of Oaths

The answer of Question 3 continues on the next page.

Question 4 - Model answer 5 [25]4.1

• A must apply for the issue of a certificate of registered title, in terms of

section 43(1) of the Deeds Registries Act, for Portion 1 of each erf.

• ABSA must consent to the release of Portion 1 of Erf 100 from the operation

of the bond.

• FNB must consent to the release of Portion 1 of Erf 101 from the operation of

the bond.

• A must then consolidate Portion 1 of Erf 100 with the Remaining Extent of Erf

101 by applying for the issue of a certificate of consolidated title for Property

1.

• A must also consolidate Portion 1 of Erf 101 with the Remaining Extent of Erf

100 by applying for the issue of a certificate of consolidated title for Property

2.

• A must apply for the substitution of the mortgaged properties with the

consolidated property under every bond - (section 40(5)(a)). The

mortgagees must consent to such consolidation, namely -

a) ABSA must consent to the substitution of the property mortgaged

under the bond, namely, the Remaining Extent of Erf 100 by the newly

consolidated Property 2; and

b) FNB must consent to the substitution of the property mortgaged under

its bond, namely the Remaining Extent of Erf 101 with the new

consolidated Property 1. [7]

6 You cannot say “consent to cession” as this is not a consent to the cession

but the cession itself.


Question 3 - Model answer - (continue)Prepared by me

Form MMCONVEYANCER


Cession of a mortgage bond 6

I the undersigned,

Richard Minnie in my capacity as the sheriff of the High Court, Cape Town, duly

authorised by virtue of a writ issued by the registrar of the court at Cape Town

on 12 July 2016

where Ryan Black is the legal holder of the undermentioned bond, namely

number B1234/2000

Passed by Syringa Investments CC

Registration number 1999/0077889/23

in favour of Ryan Black

Identity number: 600722 0219 08 2

Unmarried

for the sum of R50 000,00 (fifty thousand rand)

do hereby cede, assign and transfer all Ryan Black’s right, title and interest in the

above bond to and in favour of

Shrewd Investments Proprietary Limited

Registration number: 1985/009517/07

which right, title and interest was sold by me by public auction for an amount of

R20 000,00 on 21 August 2016 in pursuance of a warrant of execution issued by the

Registrar of the High Court at Cape Town and following attachment, in the matter in

which Shrewd Investments Proprietary Limited was the plaintiff and Ryan Black,

identity number 600722 0219 08 2 was the defendant, under case number 2234/2015,

the abovementioned right title and interest in the bond registered in the name of the

said Ryan Black, for value received

I declare that the full amount is owed under the bond.

Signed at Cape Town on 7 September 2016

As witnesses:

1

2

R Minnie


Question 4 - Model answer - continue4.2 Prepared by me

Form WW CONVEYANCER

Monique Oosthuizen

Application and consent in terms of section 40(5)(a)

of the Deeds Registries Act 47 of 1937

I, the undersigned,

Allen Ashbury

Identity Number 600605 5054 081

unmarried

having applied for the issue of a Certificate of Consolidated Title in respect of

Erf 120 Hoekpunt

District of Kimberley, Northern Cape Province

Measuring 4 000 (four thousand) square metres

represented on consolidation diagram SG no 123/2016

comprising the - Remaining Extent of Erf 101 Hoekpunt


Measuring 2 000 (two thousand) square metres

mortgaged under mortgage bond no B171/2000

And other land, do hereby apply for the consolidated land as represented on the said

diagram to be substituted for the aforesaid land mortgaged under the said bond.

Signed at Kimberley on 6 September 2016.

As witnesses

1

2

A Ashbury

and I, the undersigned, Austin Powers, the signing officer of

First National Bank Limited


duly authorised hereto by virtue of a resolution of the directors of the said bank, the

said Bank being the legal holder of the aforesaid bond, do hereby consent to the

substitution of the consolidated land as represented on the said diagram for the

aforesaid land mortgaged under the said bond.


2

Signed at Kimberley on 7 September 2016

As witnesses: 1

2

A Powers obo First National Bank Ltd

Prepared by me

Form WW CONVEYANCER

Monique Oosthuizen

Application and consent in terms of section 40(5)(a)


I, the undersigned,

Allen Ashbury


unmarried

having applied for the issue of a Certificate of Consolidated Title in respect of

Erf 121 Hoekpunt


Measuring 4 000 (four thousand) square metres

represented on consolidation diagram SG no 124/2016

comprising the - Remaining Extent of Erf 100 Hoekpunt


Measuring 2 000 (two thousand) square metres

mortgaged under mortgage bond no B753/2004

And other land, do hereby apply for the consolidated land as represented on the said

diagram to be substituted for the aforesaid land mortgaged under the said bond.

Signed at Kimberley on 6 September 2016.

As witnesses: 1

2

A Ashbury

7 Also asked in Question 8 (Part 1) September 2000 for 35 marks. See Example

7 H in Part 4 of the Self-study notes for Attorneys.


2

and I, the undersigned, Susan Stipinovich, the signing officer of

ABSA BANK LIMITED


duly authorised hereto by virtue of a resolution of the directors of the said bank, the said

Bank being the legal holder of the aforesaid bond, do hereby consent to the substitution

of the consolidated land as represented on the said diagram for the aforesaid land

mortgaged under the said bond.

Signed at Kimberley on 7 September 2016

As witnesses

1

2

S Stipinovich obo ABSA Bank Ltd

[18]


The answer to Question 5.1 is on the next page

5.2 1 Power of Attorney to Transfer

2 Title Deed (T11/1988)

3 Certified copy of the joint will of the deceased and his surviving spouse

(certified by the Master and endorsed as accepted by him)

4 Section 42(1) Conveyancer Certificate

5 Clearance certificate

6 Transfer duty exemption certificate

7 Proof of Adiation (a certificate by the Master, or a conveyancer that the

surviving spouse has adiated under the will, or a statement to that effect

signed by the surviving spouse - (regulation 50(2)(b)) [4]


5.1 Prepared by me

CONVEYANCER


DEED OF TRANSFER

Be it hereby made known:

that Erinda Frantzen appeared before me, the Registrar of Deeds at PRETORIA

she, the said appearer being duly authorised thereto by a power of attorney granted to

her by

the Executor in the Estate of the late John Brown

Estate number 771/2000

dated the 31st day of July 2000 and signed at Pretoria

8 The lifelong usufruct in favour of the surviving spouse is indeed referred to in

the causa clause, but this servitude must be created by means of a notarial

deed. However, if they were married in community of property, this same

servitude could have been created directly in the deed of transfer, by

referring to its existence in the causa clause and by quoting the complete

servitude in the conditional clause.


2

And the said appearer declared that

WHEREAS the said late John Brown who died on 15 May 2000 and his surviving

spouse Mary Brown, to whom he was married out of community of property by

virtue of their joint will signed at Pretoria on 30 July 1995, massed their estates

and bequeathed the hereinafter mentioned property to their son Frank Brown,

subject to a life usufruct in favour of the said surviving spouse8 and subject to a

right of way servitude;

AND WHEREAS the said Mary Brown adiated under the will by Deed of Adiation

signed at Pretoria on 6 June 2000;

NOW THEREFORE the said Appearer in her capacity as aforesaid, did, by these

presents cede and transfer in full and free property, to and on behalf of

Frank Brown


and

Peggy Brown


Married in community of property to each other

their heirs, executors, administrators or assigns, in full and free property

The farm Saxendrift 456

Registration Division JR, Province of Gauteng

Measuring 750,0000 (seven hundred and fifty comma nil nil nil nil)

Hectares

FIRST TRANSFERRED by Deed of Grant T303/1913 with Diagram SG. No.

A188/1912 annexed thereto and held by Deed of Transfer T11/1988.

SUBJECT to the following conditions:

9 The lifelong usufruct in favour of Mary Brown must be created by the

executor by means of a notarial deed, because the spouses were married

out of community of property. That is why the notarial deed links prior to

the deed of transfer so that it can be created first. After registration of the

servitude, the registrar of deeds will allocate a number thereto which

number will be inserted in the conditional clause of the deed of transfer

where a special space is left for this insertion.

However, if the spouses were married in community of property the same

usufruct could have been created directly in the deed of transfer and it

would not have been necessary to create it by means of a notarial deed. See

the three exceptions whereby a personal servitude can be created directly in

a deed of transfer in chapter 6, “Servitudes”.


3

1 (Existing conditions should be added here, if any).

2 Subject to a life usufruct in favour of Mary Brown, Identity Number

480120 0087 083, widow, as will more fully appear from Notarial Cession

of Usufruct K /2016S.

3 Subject to a right of way 10 metres wide, running parallel and along the

entire length of the southern boundary, which southern boundary is

indicated by the line CD on diagram SG No A188/1912 annexed to Deed of

Grant T303/1913, in favour of the farm Hillside 457, Registration Division

JR, Gauteng Province, as will more fully appear from Notarial Deed of

Servitude K /2016S.

Wherefore .... (divesting clause) [20]

5.3 1 Application for noting the lapsing of the usufruct in favour of Jeanette

Brown in terms of section 68(1) Act 47 of 1937.

2 Notarial Deed of Servitude of right of way in favour of the farm Hillside

457.

3 Notarial Cession of Usufruct in favour of Mary Brown in respect of the

farm Saxondrift.9

4 Deed of Transfer in favour of Frank Brown and Peggy Brown.

5 Deed of Transfer in favour of Pam Brown. [5]

10 Also asked in Question 6 (Part 1) September 2008 for 30 marks.


5.4 Copies of:

1 Letters of Executorship

2 Marriage Certificate of the deceased and Mary Brown and affidavit

regarding marital status

3 Marriage Certificate of Frank and Peggy Brown and affidavit regarding

marital status

4 Antenuptial Contract of the deceased and Mary Brown

5 Liquidation and Distribution Account

6 Joint will [5]

5.5 a) Section 42(1) conveyancer's certificate in respect of the transfer to

Frank and Peggy Brown (in terms of section 42(1) of the Administration of

Estates Act).

b) The power of attorney to transfer to Pam Brown is not signed by the

executor. This transfer therefore does not require a section 42(1)

conveyancer's certificate. [2]

5.6 The surviving spouse. [1]


The answer to Question 6.1 is on the next page

6.2 The two banks must respectively consent to the release of one of the

subdivided units from the operation of their respective bonds. Nedbank should,

for example consent to the release of the newly subdivided unit 201 from the

operation of its bond and ABSA in turn must consent to the release of the newly

subdivided unit 202 from the operation of its bond. The bond of Nedbank will

then continue to exist over unit 202 and the bond of ABSA over unit 201. [6]

11 Form O to the Sectional Titles Act is used. Also see Question 2, September

2007 (part 1).

12 The parties entered into a civil partnership and not a marriage and as they

did not enter into an antenuptial agreement before entering into the civil

partnership, they have a civil partnership in community of property. See

Part 3, Chapter 12, “Civil Unions”.


Question 6 - Model answer [30]6.1 Prepared by me

Form O CONVEYANCER

Erinda Frantzen

Application under section 22(1) 11

of the Sectional Titles Act, 1986

We, the undersigned

Mandla Mekwe

Identity Number 750808 5432 08 7

and

Ben Burger


partners in a civil partnership in community of property registered in terms of the

Civil Union Act 17 of 2006 12

do hereby apply to the Registrar of Deeds at Johannesburg for:

1 The registration of the attached sectional plan of subdivision of a section in

terms of section 22(1) of the Sectional Titles Act, 1986, in respect of sections

no. 201 and 202, formerly section no. 132 as shown and more fully described

on sectional plan no. SS 111/2000 in the scheme known as The Waldorf in

respect of the land and building or buildings situate at Parktown Extension 4

Township, Local Authority: City of Johannesburg Metropolitan Municipality and

held under Deed of Transfer ST 951/2002;

2 The issue of certificates of registered sectional title in terms of the provisions of

section 22 of the aforesaid Act in respect of the sections shown on the said

sectional plan of subdivision.


Mandla Mekwe Ben Burger


Prepared by me

Form AMCONVEYANCER

Erinda Frantzen

Consent I the undersigned

Jacob Pierneefin my capacity as signing official and duly authorised thereto by virtue of aresolution of the board of directors ofNedbank LimitedRegistration number 1960/000023/06

being the legal holder of the undermentioned mortgage bond, namely:-

Mortgage Bond No B952/2007Passed by Mandla Mekwe

Identity Number 750808 5432 08 7and Ben BurgerIdentity Number 60 12 15 5001 08 2partners in a civil partnership in community of propertyregistered in terms of the Civil Union Act 17 of 2006

in favour of Nedbank LimitedRegistration number 1960/000023/06

for the for the sum of R400 000,00 (four hundred thousand rand)

do hereby consent to

1 the registration of the sectional plan of subdivision and the subdivision of section132 into sections to be known as sections 201 and 202 in the scheme TheWaldorf, subject to the abovementioned bond in accordance with Sectional PlanSS No. to be registered;

2 the issue of certificates of registered sectional title in respect of section 201 and202 and the undivided share in the common property attached to such sectionsaccording to the participation quotas reflected on the said sectional plan; and

3 the substitution of the new sections in lieu of section 132 as security under thebond and the endorsement of the abovementioned bond to the effect that itattaches to the sections and common property as shown on the said sectionalplan.


As witnesses:1 2

13 Although the two banks consent to the same thing, separate consents need

to be drafted for each bond.


Prepared by me

CONVEYANCERErinda Frantzen

Consent 13

I the undersignedMaud Sumnerin my capacity as signing official and duly authorised thereto by virtue of aresolution of the board of directors ofABSA Bank LimitedRegistration number 1962/000523/06

being the legal holder of the undermentioned mortgage bond, namely:-Mortgage Bond No B7894/2007Passed by Mandla Mekwe

Identity Number 750808 5432 08 7 and Ben BurgerIdentity Number 60 12 15 5001 08 2partners in a civil partnership in community of propertyregistered in terms of the Civil Union Act 17 of 2006

in favour of ABSA Bank LimitedRegistration number 1962/000523/06

for the for the sum of R300 000,00 (three hundred thousand rand)

do hereby consent to

1 the registration of the sectional plan of subdivision and the subdivision of section132 into sections to be known as sections 201 and 202 in the scheme TheWaldorf, subject to the abovementioned bond in accordance with Sectional PlanSS No. to be registered;

2 the issue of certificates of registered sectional title in respect of section 201 and202 and the undivided share in the common property attached to such sectionsaccording to the participation quotas reflected on the said sectional plan; and

3 the substitution of the new sections in lieu of section 132 as security under thebond and the endorsement of the abovementioned bond to the effect that itattaches to the sections and common property as shown on the said sectionalplan.

Signed at Johannesburg on 7 September 2016.As witnesses:1 2 [24]

14 The exact same question was asked as Question 5 (Part 1) September 2006

for 30 marks and Question 7 (Part 1) May 2001 for 30 marks. In our view

insufficient marks were allocated for questions 7.3 to 7.6.



7.1 PETER LEE

Identity number 660825 5016 081

and

JOAN LEE

Identity number 670926 0016 082

Married in community of property to each other [2]

7.2 1 MARY HOLMES

Born on 26 September 1954

Unmarried

2 ANN MARTIN

Identity number 700209 0173 08 8

and

PETER MARTIN


Married in community of property to each other [3]

7.3 and the mortgagors acknowledged themselves to be lawfully and true fully

indebted to and on behalf of

(“the Mortgagees”)

in the sum of R100 000,00 (one hundred thousand rand) arising from and being

money lent and advanced whereof the sum of R60 000,00 was advanced by the

said MARY HOLMES and the sum of R40 000,00 was advanced by the said

ANN and PETER MARTIN [2]

7.4 Interest is payable on the outstanding amount at 13% per annum from date of

registration of this bond. [1]

7.5 The mortgagor shall repay the capital and the interest in monthly installments of

not less than R2 500,00 each, the first payment being due on the first day of the

month following registration of this bond. All payments shall be appropriated

first to interest and only thereafter to capital. [1]

1.6 The capital and interest shall be repayable on the 5th anniversary of the date on


registration hereof, subject however, to the condition that the Mortgagor shall be

entitled to repay the total amount outstanding hereunder at any time after giving

the Mortgagee three months notice of his intention to repay the said amount. [1]

Question 8 - Model answer [40]

8.1 Prepared by me

CONVEYANCER

Erinda Frantzen

Form H

(The first half of the first page must be left blank)

Deed of Transfer

BE IT HEREBY MADE KNOWN:

THAT .ERINDA FRANTZEN appeared before me, the Registrar of Deeds, at

Pietermaritzburg she, being duly authorised thereto by a power of attorney granted to

her by

Peter Philips


Unmarried

dated the 7th day of September 2016 and signed at Durban

15 This is the description in the case of -

a) a first transfer of a new unit from the developer to a private purchaser; or

b) units registered before 1992 in terms of a Certificate of Registered Sectional

Title and still being held thereby.


2

AND the said appearer declared that the said Peter Philips on 31 August 2016 truly

and lawfully sold the property mentioned hereinafter to the transferee mentioned

hereinafter for the sum of R200 000,00 (two hundred thousand rand) including the

exclusive use areas Parking Bay P5 and Garden Area G5 which are part of the

common property.

AND that she in her capacity aforesaid, did, by these presents, cede and transfer, in

full and free property, to and on behalf of

Janus de Villiers


Unmarried

A unit consisting of -

a) Section No. 5 as shown and more fully described on Sectional Plan No. SS

46/2014 in the scheme known as Eagles View in respect of the land and

building or buildings situated at Durban, in the eThekwini Metropolitan

Municipality of which section the floor area according to the said sectional plan

is 132 (one three two) square metres in extent; and

b) an undivided share in the common property in the scheme apportioned to the

said section in accordance with the participation quota as endorsed on the said

sectional plan.

HELD by Certificate of Registered Sectional Title ST46/2014 (5) (UNIT).15


3

THE SAID unit is subject to or shall benefit by -

i) the servitudes, other real rights and conditions, if any, as contained in the

schedule of conditions referred to in section 11(3)(b) and the servitudes

referred to in section 28 of the Sectional Titles Act, 1986 (Act No. 95 of

1986);

ii) any alteration to the building or buildings or to a section or to the common

property shown on the said sectional plan.

WHEREFORE all the right, title and interest which the transferor hereto had to the unit

aforesaid is renounced and, in consequence it is also acknowledged that the transferor

is entirely dispossessed of, and disentitled to, the same, and that, by virtue of these

presents the aforesaid transferee now is entitled thereto, the State however, reserving

its rights.

Signed, executed and sealed at ............................................. on

..........................................

In my presence

...................................................... .................................................

Registrar of Deeds Appearer

[10]


8.2 Consent in terms of Section 25(15) of the Sectional

Titles Act, 95 of 1986

I, the undersigned

Janus de Villiers


Unmarried

being the transferee of the undermentioned property:

A unit consisting of -








sectional plan.

together with exclusive use areas Parking Bay P5 and Garden Area G5 which form

part of the common property

Do hereby declare that I am aware that a real right of extension of a scheme, as

contemplated in section 25 of the Sectional Titles Act is registered in favour of the

Developer.

Although such real right of extension has not been disclosed to me in the deed of sale

dated 31 August 2016, I declare that I waive my right to annul the agreement of sale.

Signed at Durban on 7 September 2016

As witnesses

1

2

J de Villiers

[5]

8.3 Future Bank must sign a consent to release of the unit and the exclusive use

areas from the operation of the bond.


Prepared by me

Form AM

CONVEYANCER

Erinda Frantzen

Consent

I the undersigned

Irmin Henkel

in my capacity as signing official and duly authorised thereto by virtue of a

resolution of the board of directors of

Future Bank Limited


being the legal holder of the undermentioned mortgage bond, namely:-

Mortgage Bond No B875/2010

Passed by Peter Philips


Unmarried

in favour of Future Bank Limited


for the for the sum of R20 000 000,00 (twenty million rand)

do hereby consent to the release of

1 A unit consisting of -








sectional plan.

HELD by Certificate of Registered Sectional Title ST46/2014 (5) (UNIT)


2

2 An exclusive use area described as Parking Bay P5, measuring 12 (twelve)

square metres being as such part of the common property, comprising the land

and the scheme known as Eagles View in respect of the land and building or

buildings situate at Durban, in the eThekwini Metropolitan Municipality, as

shown and more fully described on Sectional Plan SS46/2014

Held under Certificate of Real Right of Exclusive Use Area SK1234/2014S

3 An exclusive use area described as Garden Area G5, measuring 80 (eighty)

square metres being as such part of the common property, comprising the land

and the scheme known as Eagles View in respect of the land and building or

buildings situate at Durban, in the eThekwini Metropolitan Municipality, as

shown and more fully described on Sectional Plan SS46/2014

Held under Certificate of Real Right of Exclusive Use Area SK1235/2014S

from the operation of the abovementioned bond.

Signed at Pietermaritzburg on 7 September 2016.

As witnesses:

1

2

[10]

8.4 Sequence of transactions and documents to be lodged at the deeds

registry

1 ST: P Philips / J de Villiers (transfer of Unit 5)

a) draft deed of transfer

b) existing title deed (Certificate of Registered Sectional Title)

c) power of attorney to pass transfer

d) section 15B(3)(c) affidavit by the developer regarding section 10

e) transfer duty receipt or exemption certificate (reflecting the unit and

the two exclusive use areas)

f) section 15B(3)(a) conveyancer certificate

16 Note that this certificate should be lodged in triplicate as from 7 October

2016 (the date of the coming into operation of the Sectional Titles Schemes

Management Act).

17 Also see Question 4 (Part 1) September 2013 for 10 marks and Question 4

(Part 1) May 2008 for 10 marks.


rates clearance certificate for the land comprising the scheme

letter from the municipality that the unit and exclusive use areas are not

yet rated or a rates clearance certificate for the unit and exclusive use

areas

.

2 Form W: Certificate of Establishment of Body Corporate

Form W to be lodged in duplicate 16

3 SK: P Philips / J de Villiers (cession of P5 and G5)

unilateral notarial deed of cession of P5 and G5

existing certificates of real right of exclusive use areas for P5 and G5

rates clearance certificate for the exclusive use areas, if not listed on the

clearance certificate of the unit

4 SBC: P Philips / Future Bank

consent to release of unit and exclusive use areas from the operation of

the con

existing bond B875/2010

5 SB: J de Villiers / Future Bank (new bond registration over unit and

exclusive use areas)

sectional bond [10]

8.5 17 It would depend on what the circumstances are at the time when I discover the

oversight. If I discover it at the time when the developer is still the owner of

other units in the scheme (in other words, if he is still a member of the body

corporate), I would do a cession of the Parking Bay P5 from the developer to

the purchaser who bought unit 5 from the developer, setting out the full facts in

the causa. If the purchaser has already sold and transferred the unit to a

subsequent purchaser, section 14 read in conjunction with section 33 of the

18 In other words, if the developer is not an owner of a unit anymore and the

real right of extension has lapsed or has been exercised in full.


Deeds Registries Act must be adhered to. Cession of the exclusive use area

should therefor then take place from the developer to the first purchaser and

then to the second purchaser until the last person entitled to the exclusive use

area - (section 14). If a person is unable to procure registration of the cession of

exclusive use area, he may apply to court by petition for an order authorizing the

registration (cession) in his name of such property (exclusive use area) -

(section 33).

If the developer is no longer a member of the body corporate,18 at the time when

I discover the oversight, the exclusive use area vests in the body corporate (free

from any mortgage bond). The body corporate must thereafter apply to the

Registrar of Deeds for the issue of a certificate of real right of exclusive use area

whereafter the exclusive use area can be ceded to the latest owner of the unit.

[5]


The model answer to Question 9.1 is on the following page

9.2 Assumption of the double barrelled surname

If I let Thandi apply in terms of section 58(2), I would draw a link between her

description on the existing title deed and the application by referring in brackets

to her former surname. According to section 93(1)(c) of the Deeds Registries

Act it is not compulsory to record the assumption of the double barrelled

surname against the existing title deed in order for Thandi to deal with the land

held by her. Should she, however, insist that an application in terms of section

93 be done, it can be lodged at the deeds registry simultaneously with the

section 58(2) application.

Incorrect identity number

I will lodge an application and affidavit by Thandi in terms of section 4(1)(b) of

the Deeds Registries Act in the deeds registry as no 1 of the batch, before the

application in terms of section 58(2). [4]

19 Where an insolvent is rehabilitated by composition in terms of section 119 of

the Insolvency Act, either the trustee or the rehabilitated insolvent may

apply for the restoration of the rehabilitated insolvent’s property into

his/her name.


9.1 Prepared by me

CONVEYANCER

Monique Oosthuizen

Application in terms of Section 58(2)


I, the undersigned

Thandi Molefe-Ponti 19 (formerly Molefe)


Married out of community of property

do hereby apply in terms of section 58(2) of the Deeds Registries Act 47 of 1937 to the

Registrar of Deeds at Cape Town, for the endorsement of the Deed of Transfer

T9133/2010 in respect of

Erf 525 Hillcrest

Situate in the City of Cape Town, Cape Division, Province Western Cape

Measuring 834 (eight hundred and thirty-four) square metres.

Whereas the creditors have returned the abovementioned property to me, free of the

insolvent estate, and whereas the Master of the High Court has consented thereto, I

hereby apply for endorsement of the said title deed to the effect that the said

property has been restored to me and that I may now freely deal therewith.

I further declare that the value of the property hereby transferred is R1 200 000,00

(one million two hundred thousand rand)

Signed at Cape Town on 7 September 2016.

T Molefe-Ponti

20 The application must contain the following information:

the authority in terms of which the rights have been acquired, property

description of the expropriated land, name of registered owner and his title

deed number, a statement that the State has in terms of a particular

authority acquired all the land held by the title deed.



10.1 Prepared by me

CONVEYANCER

Erinda Frantzen

Application in terms of Section 16 20


I, the undersigned

Koos Koekemoer

in my capacity as administrative officer in the Department of Agriculture

duly authorised thereto by virtue of a special power of attorney signed at Cape

Town on 15 May 2015 granted in my favour by the Minister of Agriculture

do hereby declare that -

1 The State expropriated the undermentioned land in terms of the Expropriation

Act 63 of 1975 on 12 May 2016 as will appear from Expropriation Notice

EX1234/2016 from -

Susan Ferreira


Married out of community of property

all of which land is held by her under Deed of Transfer T1892/1988, namely -

Erf 123 Bellville

situated in the City of Cape Town, Division Cape, Province Western Cape

Measuring 509 (five nil nine) square metres

2 I hereby apply to the Registrar of Deeds at Cape Town for the endorsement of

Deed of Transfer T1892/1988 in terms of section 16 of the Deeds Registries

Act, in order to register the transfer of the aforementioned land in favour of the

State.

Signed at Cape Town on 7 September 2016

K Koekemoer [8]

21 As the question does not insist that the less costly method should be utilized,

it is also possible to transfer the portion of the expropriated land by means

of a formal deed of transfer drafted in accordance with Form G.


10.2 An application for the issue of a certified copy to take the place of the original in

terms of regulation 68(1) of the Deeds Registries Act should be lodged and

linked prior to the section 16 application. [2]

10.3 Ownership vests immediately when the expropriation comes into operation, i.e.

on the date stated in the expropriation notice. [1]

10.4 According to section 31(5) the expropriating authority may only, inter alia, create

a real right (right of way in this case) over the expropriated land if such land has

been transferred to it formally or in terms of section 16. A section 16 transfer

cannot be done in respect of a portion only where such portion does not have its

own title deed. The registered owner can apply for the issue of a CRT ito

section 43 in respect of the expropriated portion. There will then be a separate

title deed for that portion and the state can then take transfer of that portion by

using the second provisio to section 16.21 [2]

TOTAL: [200]


Model Answers to the Conveyancing Examination

September 2016

Part 2

Self-Study Deeds Course


A diagram is an A4 size “map” prepared by a land surveyor and approved by the

Surveyor General reflecting the boundaries and beacons of a property. A diagram

depicts a small piece or small pieces of land. It could, for example, be a subdivision

diagram on which a single farm, plot or erf is shown, or it could be a consolidation

diagram on which a single consolidated property is shown. In contrast a general plan

is a combination of diagrams on one large sheet of paper reflecting more than one

property. A general plan indicates a large number of properties which are the product

of a large-scale subdivision of land. The most usual application of a general plan is for

a township development scheme.


2.1 If a right imposes a restriction on the owner’s right of ownership, either by -

a) conferring upon the holder certain rights constituting an essential part of

ownership in general; or

b) imposing certain restrictions upon the owner as regards the exercise of

his/her right of ownership,

it can be said that such right is a limited real right, binding successors in title.

Two examples are a usufruct and a restriction on alienation in favour of a home

owners’ association.

[3]

2.2 Section 68(1) of the Deeds Registries Act requires a written application to be

lodged at the deeds registry by or on behalf of the owner of the land

22 Previously asked as Question 17.2 (Part 2) September 2010 for 2 marks,

Question 3.3 (Part 2) May 2005 for 2 marks, Question 10 (Part 2) September

2002 for 4 marks and Question 6.2 (Part 2) May 2000 for 2 marks.


encumbered by the servitude (my client), together with proof of the lapse of the

servitude (consent by the local authority), the title deed of the land, and, if

available, the title deed of the servitude (if any). A transfer duty receipt or

exemption certificate must also be lodged, unless the servitude has served its

time. In this instance the servitude has served its time and it will not be

necessary to lodge a transfer duty receipt or exemption certificate. [5]


If the condition is a personal servitude (or a fideicommissum, pre-emptive right or

reversionary right), I will lodge an application, signed by the registered owner of the

property over which the condition has been registered, in terms of section 68(1) of the

Deeds Registries Act for the noting of the lapse of the condition.

If the condition is a praedial servitude, an application by the registered owner in terms

of section 76(1)bis of the Deeds Registries Act must be lodged.

If the condition pertains to a registered lease, the registered owner must apply in terms

of section 78 of the Deeds Registries Act to the Registrar of Deeds to endorse thte title

deed of the land to the effect that the lease has terminated.


Yes. He must however obtain the consent of the Master of the High Court in terms of

section 80bis of the Insolvency Act 24 of 1936. The provisional trustee must make

written recommendations to the Master, stating reasons for his recommendations. If

the property is subject to a right of preference, the Master may not authorise the sale

unless the person who has the right of preference has given his consent or he has

been guaranteed against loss.


5.1 Section 35A places an obligation on any purchaser who pays a consideration in

excess of R2million to a non-resident seller of any immovable property in South

Africa to withhold a certain percentage of the purchase price (which is

23 Also asked as Question 2 (Part 2) May 2003 for 8 marks.


dependant on whether X is a natural person, company, close corporation or

trust) and pay it over to SARS. In casu, the purchaser, if he is a natural person,

must withhold 5% of the purchase price and not pay it over to the seller. [2]

5.2 Yes. In the case of a company 7,5% of the purchase price should be so

withheld and in the case of a trust, 10%. [2]

5.3 The conveyancer has an obligation to inform the purchaser, in writing of the fact

that the seller is a non-resident for tax purposes in South Africa before any

payment is made to the seller and that section 35A may apply to the transaction.

If the conveyancer knows or reasonably should have known that the seller is a

non-resident and fails to comply with this legal obligation, the conveyancer will

be jointly and severally liable for the payment of the amount which the

purchaser is required to withhold and pay over to SARS. The liability of the

conveyancer is, however, restricted to the amount of remuneration or other

payments receivable in respect of services rendered relating to the disposal of

the relevant property. [3]


6.1 By a Notarial Deed of Cession of Usufruct the executor in the estate will first

cede the usufruct over a half-share in the property to X. Thereafter the whole

property is transferred to both X and Y, Y’s half-share being subject to the

usufruct created in the Notarial Cession [6]

6.2 Have X and Y pass the bond over the property in accordance with the

provisions of Section 69(3). X would pass the bond in her capacity both as an

owner of a half-share and as an usufructuary in respect of the other half-share.

Y would pass the bond in her capacity as the bare dominium owner of her half-

share. This, of course, apart from being cheaper than arranging for X to waive

preference in respect of her usufruct, also more accurately reflects the reality of

the situation - i.e. both X and Y are joint borrowers. [6]

24 A similar question was asked in Question 9 (Part 2) September 2014 for 5

marks.



The proviso to section 76(1) stipulates that -

a) if the land to be transferred is admitted by the transferor thereof to be subject to

unregistered rights of servitude in favour of land registered in a third person's

name; and

b) if the transferee consents in writing to such servitude being embodied in the

deed of transfer; and

c) if such third person appears either in person or by duly authorised agent before

the registrar at the time of the execution of the transfer and accepts the

servitude in favour of his land,

the servitude may be embodied in such transfer as a condition.

The appearance of such third person and his acceptance of the servitude must be

recited in the deed of transfer and the title deed of the dominant tenement must be

produced for endorsement thereon of the terms of the servitude.


8.1 Cancellation of a notarial bond

• Notarial bond to be cancelled

• Consent to cancellation signed by the mortgagee [2]

8.2 Cancellation of a praedial servitude

• Notarial deed of cancellation entered into by the registered owners of

the servient and the dominant tenements and attested by a notary

• Title deeds of both the servient and dominant tenement

• Transfer duty receipt or exemption certificate

• Consent by the mortgagee of the bond registered over the dominant

tenement to cancellation of the servitude

• Mortgage bond registered over the dominant tenement [3]

8.3 Cancellation of servitude in favour of the general public

• Application in terms of section 68(1) by the registered owner of the

encumbered land

• Unilateral Notarial deed of servitude in favour of the general public (if

there is one)

25 Also asked as Question 13.2 and 13.3 (Part 2) September 2014 for 8 marks.


• Existing title deed of the servient property

• Certified copy of the court order ordering the cancellation of the

servitude

• Transfer duty receipt or exemption certificate [1]


Records to be kept are:

a) the identity of the client and any agent acting on behalf of the client;

b) the manner in which the identity was established;

c) the nature of the business relationship or transaction;

d) in the case of a transaction -

i) the amount involved; and

ii) the parties to that transaction;

e) all accounts that are involved in -

i) transactions concluded in the course of that business relationship; and

ii) that single transaction;

f) all documents or copies of documents obtained by the attorney in order to verify

any person’s identity.

An attorney must keep records for a period of at least five years from the date on

which the business relationship with a client has been terminated or from the date on

which a transaction has been concluded. [6]


The four children will be jointly entitled to the one-half share of the deceased. In other

words each of the four children will be entitled to a one-eighth share in the property.

The surviving spouse will be entitled to the other one half share in the property. I will

not create the usufruct. The surviving spouse will only be entitled to the usufruct if she

adiated.


Yes, section 34(1A) of the Deeds Registries Act makes provision for any person who

is the owner of the whole of or a share in a piece of land to apply for the issue to him of

a certificate of registered title of any fraction of his or her undivided share in such land.

26 Previously asked in Question 4.2 (Part 2) September 1997 for 2 marks.

27 Previously asked in Question 5 (Part 1) September 2000 for 8 marks.



12.1 Up to R2 million. [2]

12.2 Yes, the limit is 2 hectares. [2]


In the name of the deceased by reciting his full names and surname, identity number

and marital status (in this case “unmarried) and in brackets thereafter “(now

deceased)”


14.1 No. He must first take out a Certificate of Registered Title for each of the erven

before consolidation may take place - (section 43(5)(a) of the Deeds Registries

Act.26 [2]

14.2 i) a) The owner must first apply for the issue of a certificate of

registered title in respect of the erven to be consolidated - (section

43(5)(a)).

b) The bank must consent to the release of these two erven from the

operation of the bond.

c) The owner must apply for the issue to him of a Certificate of

Consolidated Title - (section 40).

ii) “do hereby consent to the release of -

1 Erf 1 Moreleta Park township

Registration Division J.R., Province of Gauteng

Measuring 800 (eight hundred) square metres

2 Erf 2 Moreleta Park township

Registration Division J.R., Province of Gauteng

Measuring 800 (eight hundred) square metres

from the operation of the abovementioned bond”27 [5]

28 Previously asked as Question 3 (Part 2) May 1998 and Question 17 (Part 1)

September 2009 for 4 marks.

29 Questions 15.1-15.3 were previously asked in Question 7 (Part 1) May 1997

for 10 marks and Question 4 (Part 1) September 2012.


14.3 28 A should apply for a Certificate of Registered Title, under the provisions of

section 36 of the Deeds Registries Act, in respect of the property which the state

has acquired from him. There will then be a separate title in respect of that

property and the state will then take transfer of that property by utilising the

provisions of the section to section 16. That provisio is only available where the

state acquires all the land held under any title deed. [4]

Question 15 29 [14]

15.1 a) As the property is to be transferred simultaneously with the other acts of

registration, it would be easiest to cancel the existing bond first.

b) There after, in order to comply with the provisions of Section 14 of the

Deeds Registries Act, the following must be done before the transfer of

the property can take place, namely:-

i) An application must be brought in terms of Section 45bis(1A) of the

Deeds Registries Act by A and B (duly assisted by D) in terms

whereof A and B will each receive transfer of an one-half undivided

share in the property.

ii) Thereafter an application for an endorsement in terms of Section

45bis(1)(a) needs to be brought by A in respect of the one-half

share falling in the joint estate of A and C) to record that C’s

quarter share in the property, which she acquired by means of her

marriage in community of property to A, has been lawfully acquired

by A in terms of the Divorce order. [3]

15.2 No transfer duty is payable in respect of either acts of registration referred to in

15.1 above. [4]


15.3 We, the undersigned

1 Andrew Anderson


Unmarried

2 Babsie Boshoff (Previously Anderson)


Married to Daniël Boshoff, which marriage is governed by the laws of Belgium,

duly assisted by him as far as needs be [4]

15.4 The preparer accepts responsibility that from perusal of the documents

evidencing the appointment to the executor, that -

i) such person has in fact been appointed in that capacity;

ii) is acting therein in accordance with the powers granted to him; and

iii) that any security required has been furnished to the Master. [3]

Question 16 [6]

The usufructuary can waive preference of her usufruct in favour of Security Bank’s

bond. Preference can be waived in one of two ways: by means of a separate

unilateral notarial deed by the usufructury or by inserting the waiver into the new bond

itself. In this instance the second option would be the cheaper one. The waiver is

done by inserting a renunciation clause at the end of the bond before the execution

clause. The bond must be made subject to the usufruct by specially referring thereto

and then it must be indicated that preference in respect thereof is being waived. The

usufructuary has to personally or through a conveyancer appear before the registrar of

deeds to waive preference. In the event that the usufructuary appoints a conveyancer

for this purpose a special power of attorney by the usufructuary should also be lodged

together with the new bond.

TOTAL: [100]





Compiled by

Erinda FrantzenBCom(Law)(UP) LLB (UNISA)

Attorney, Conveyancer and Notary of the High Court of South Africa

and

Gawie le RouxBA(Law)(UP) LLB (UP) BA Honours (UNISA)

Attorney and Conveyancer of the High Court of South Africa

and published by

Self-Study Deeds Course CC Registration number 1994/016876/23

PO Box 74047

Lynnwood Ridge

0040

Flinders Lane 451

Lynnwood, Pretoria

Tel: (012) 361-1715

Fax: (012) 361-1108

Web site: www.aktepraktyk.co.za

SOURCES

Self-study Deeds Course for Attorneys

The Consolidated Practice Manuals of the Deeds Office of South Africa

Relevant acts, regulations and prescribed forms

Documents

Model Answers to the Conveyancing Examination · 3 Also asked in Question 2 (Part 1) September 2012 for 20 marks, Question 5 (Part 1) September 2007 for 20 marks and Question 4 (Part