LPL4805 ASSIGNMENT 1 SEMESTER 2 2022
EXCEL TUTORS
QUESTION 1
X is the owner is a residential erf in town which she leases to Z. X is also the
holder of a usufruct over the farm, Moreson, just outside the town where she
farms. X borrows money from a family member ,Y. X instructs you, a notary to
draft and register in the deeds registry, a notarial bond over these three assets
in favour of Y as security for payment of the debt. Fully explain whether you
will be able to execute the instruction.
X, as the owner of the residential erf, may register a notarial bond in favour of Y .
However, X cannot register a notarial mortgage bond in favour of Y over the farm
Môreson because X is not the owner of the farm, but a holder of a limited real right
(usufruct) . X cannot hypothecate her entitlements over the farm Môreson.
Usufruct is a personal servitude, that is, a limited real right which attaches to the
person who holds the usufruct. It is not the usufruct that is being mortgaged but the
entitlements of the usufruct. Should the usufruct for some reason or other lapse
(e.g. by waiver or death of the holder) the bond will automatically terminate . The
mortgagee (Y) would then have no claim to the land or to the continuation of the
notarial bond .
QUESTION 2
May the registrar of deeds register a notarial bond over a lease or sublease in
respect in respect of both movable and immovable?
EXCEL TUTORS
QUESTION 1
X is the owner is a residential erf in town which she leases to Z. X is also the
holder of a usufruct over the farm, Moreson, just outside the town where she
farms. X borrows money from a family member ,Y. X instructs you, a notary to
draft and register in the deeds registry, a notarial bond over these three assets
in favour of Y as security for payment of the debt. Fully explain whether you
will be able to execute the instruction.
X, as the owner of the residential erf, may register a notarial bond in favour of Y .
However, X cannot register a notarial mortgage bond in favour of Y over the farm
Môreson because X is not the owner of the farm, but a holder of a limited real right
(usufruct) . X cannot hypothecate her entitlements over the farm Môreson.
Usufruct is a personal servitude, that is, a limited real right which attaches to the
person who holds the usufruct. It is not the usufruct that is being mortgaged but the
entitlements of the usufruct. Should the usufruct for some reason or other lapse
(e.g. by waiver or death of the holder) the bond will automatically terminate . The
mortgagee (Y) would then have no claim to the land or to the continuation of the
notarial bond .
QUESTION 2
May the registrar of deeds register a notarial bond over a lease or sublease in
respect in respect of both movable and immovable?
