LPL4805
ASSIGNMENT 1 SEMESTER 2 2025
UNIQUE NO.
DUE DATE: 3 SEPTEMBER 2025
, Notarial Practice
Question 1 Analysis (10 marks)
Restating the facts:
Asset 1: Erf 201 Meadowlands Township — Xolani is the owner, but it’s leased
to Zanele.
Asset 2: Farm “Moreson” — Xolani only has a usufruct, not ownership.
Instruction: Draft and register a notarial bond over both assets in favour of
Moses.
Key legal framework:
Notarial bonds are governed mainly by the Security by Means of Movable
Property Act 57 of 1993 and the Deeds Registries Act 47 of 1937.
A notarial bond can only be passed by a person with legal capacity to
encumber the property.
Ownership requirement: To register a mortgage bond over immovable
property, the mortgagor must be the registered owner.
Usufruct: A usufruct is a limited real right — you cannot mortgage the land itself,
but you can mortgage or cede the usufruct as security (subject to certain
restrictions).
A notarial bond typically applies to movable property (general or special), but
certain incorporeal rights (like a usufruct) can also be mortgaged if ceded in
security.
Application to the facts:
1. Erf 201 Meadowlands – This is immovable property.
o To give security over immovable property, you don’t use a notarial bond —
you use a mortgage bond registered in the deeds registry.
ASSIGNMENT 1 SEMESTER 2 2025
UNIQUE NO.
DUE DATE: 3 SEPTEMBER 2025
, Notarial Practice
Question 1 Analysis (10 marks)
Restating the facts:
Asset 1: Erf 201 Meadowlands Township — Xolani is the owner, but it’s leased
to Zanele.
Asset 2: Farm “Moreson” — Xolani only has a usufruct, not ownership.
Instruction: Draft and register a notarial bond over both assets in favour of
Moses.
Key legal framework:
Notarial bonds are governed mainly by the Security by Means of Movable
Property Act 57 of 1993 and the Deeds Registries Act 47 of 1937.
A notarial bond can only be passed by a person with legal capacity to
encumber the property.
Ownership requirement: To register a mortgage bond over immovable
property, the mortgagor must be the registered owner.
Usufruct: A usufruct is a limited real right — you cannot mortgage the land itself,
but you can mortgage or cede the usufruct as security (subject to certain
restrictions).
A notarial bond typically applies to movable property (general or special), but
certain incorporeal rights (like a usufruct) can also be mortgaged if ceded in
security.
Application to the facts:
1. Erf 201 Meadowlands – This is immovable property.
o To give security over immovable property, you don’t use a notarial bond —
you use a mortgage bond registered in the deeds registry.
