PVL3701
PROPERTY LAW
QUESTIONS AND ANSWERS
FOR FURTHER CLARIFICATION PLEASE
CONTACT ME AT
, Read the following set of facts before you answer the questions:
In 2004 the Khumalos sold their farm to Peter and Jenny (who are unmarried) in equal undivided
shares. A right of habitatio was reserved over the farmstead in favour of Mr and Mrs Khumalo for as
long as they lived. This right was duly registered against the title deed of the farm. Peter and Jenny
decided to develop a part of their farm as a residential township. However, legislation stipulates that
the area must be utilised for agricultural purposes only. Peter and Jenny, nevertheless, developed a
residential area on a portion of the farm because, in their opinion, the farm belongs to them and
therefore, they are allowed to make their own decisions regarding the farm. Peter and Jenny make
life unbearable for the Khumalos. As a result of the nuisance caused by excavations on the farm and
Peter and Jenny’s ill-mannered behaviour towards them, the Khumalos had to leave the home on
the farm in which they lived. They now wish to return to the house on their erstwhile farm. The
Khumalos describe themselves as pensioners who are struggling to make ends meet on their small
state pension. They are unable to afford accommodation in town. After the Khumalos left, Peter and
Jenny move into the homestead that was previously occupied by the Khumalos. Furthermore, Peter
and Jenny give permission to Mr and Mrs Williams in terms of a lease agreement to reside in one of
the newly developed units in the residential area on the farm. Peter and Jenny also leased a newly
developed house to Ben for a period of 12 months. Ben’s lease eventually expired, but he continued
to stay in the house without paying any rent. Peter and Jenny decided to go away on holiday for a
month. Upon their return, they noticed that Ben’s friend, Jan, had placed a container behind the
house that Ben is occupying. Jan converted the container into a small living unit and moved in. Peter
and Jenny loaned money from the Blue Bank. A limited real right is registered over the farm in
favour of the Blue Bank until the principal debt has been paid in full. Peter and Jenny also enter into
an agreement with Lerato in terms of which they loan R100 000.00 from Lerato. They agree that
they will deliver their John Deere tractor to Lerato in pledge as security for the payment of the
principal debt. They receive the money from Lerato but fail to provide Lerato with the tractor.
Downloaded by alicia fernandez () lOMoARcPSD|56252813 5 Jacob contacts
Peter and Jenny to purchase their flock of sheep. Peter and Jenny point the flock of sheep out to
Jacob. Jacob fails to collect the sheep from the farm. Peter and Jenny eventually sell the flock of
sheep to Karel by pointing it out to him. Karel collects the sheep from Peter and Jenny’s farm. Peter
and Jenny decide to move abroad temporarily for a period of 15 years. Before they leave, they
appoint their long-time friend, Elsa as an agent to manage the farm and their affairs. Elsa acts as if
she is the owner of the property and fraudulently decides to alienate the farm to an unsuspecting
third party, Xolisa. Xolisa purchases the farm, only to find out a few years later that Elsa is not the
owner of the farm and that she was not authorised to sell the house. Keeping this set of facts in
mind, answer all the questions below. Motivate your answers with reference to the most relevant
legislation and case law. Do not consult your prescribed sources. This is a closed-book exam.
1. It can be said that the concept of the constitutional protection of property is a wide concept.
Briefly discuss this statement and identify the different rights in view of the set of facts above that
could be protected in terms of the Constitution.
Constitutional Safeguarding of Property and Corresponding Rights in the Facts
The constitutional protection for property in South Africa is in section 25 of the Constitution, and it
offers an expansive and comprehensive protection for property rights. It goes beyond ownership
PROPERTY LAW
QUESTIONS AND ANSWERS
FOR FURTHER CLARIFICATION PLEASE
CONTACT ME AT
, Read the following set of facts before you answer the questions:
In 2004 the Khumalos sold their farm to Peter and Jenny (who are unmarried) in equal undivided
shares. A right of habitatio was reserved over the farmstead in favour of Mr and Mrs Khumalo for as
long as they lived. This right was duly registered against the title deed of the farm. Peter and Jenny
decided to develop a part of their farm as a residential township. However, legislation stipulates that
the area must be utilised for agricultural purposes only. Peter and Jenny, nevertheless, developed a
residential area on a portion of the farm because, in their opinion, the farm belongs to them and
therefore, they are allowed to make their own decisions regarding the farm. Peter and Jenny make
life unbearable for the Khumalos. As a result of the nuisance caused by excavations on the farm and
Peter and Jenny’s ill-mannered behaviour towards them, the Khumalos had to leave the home on
the farm in which they lived. They now wish to return to the house on their erstwhile farm. The
Khumalos describe themselves as pensioners who are struggling to make ends meet on their small
state pension. They are unable to afford accommodation in town. After the Khumalos left, Peter and
Jenny move into the homestead that was previously occupied by the Khumalos. Furthermore, Peter
and Jenny give permission to Mr and Mrs Williams in terms of a lease agreement to reside in one of
the newly developed units in the residential area on the farm. Peter and Jenny also leased a newly
developed house to Ben for a period of 12 months. Ben’s lease eventually expired, but he continued
to stay in the house without paying any rent. Peter and Jenny decided to go away on holiday for a
month. Upon their return, they noticed that Ben’s friend, Jan, had placed a container behind the
house that Ben is occupying. Jan converted the container into a small living unit and moved in. Peter
and Jenny loaned money from the Blue Bank. A limited real right is registered over the farm in
favour of the Blue Bank until the principal debt has been paid in full. Peter and Jenny also enter into
an agreement with Lerato in terms of which they loan R100 000.00 from Lerato. They agree that
they will deliver their John Deere tractor to Lerato in pledge as security for the payment of the
principal debt. They receive the money from Lerato but fail to provide Lerato with the tractor.
Downloaded by alicia fernandez () lOMoARcPSD|56252813 5 Jacob contacts
Peter and Jenny to purchase their flock of sheep. Peter and Jenny point the flock of sheep out to
Jacob. Jacob fails to collect the sheep from the farm. Peter and Jenny eventually sell the flock of
sheep to Karel by pointing it out to him. Karel collects the sheep from Peter and Jenny’s farm. Peter
and Jenny decide to move abroad temporarily for a period of 15 years. Before they leave, they
appoint their long-time friend, Elsa as an agent to manage the farm and their affairs. Elsa acts as if
she is the owner of the property and fraudulently decides to alienate the farm to an unsuspecting
third party, Xolisa. Xolisa purchases the farm, only to find out a few years later that Elsa is not the
owner of the farm and that she was not authorised to sell the house. Keeping this set of facts in
mind, answer all the questions below. Motivate your answers with reference to the most relevant
legislation and case law. Do not consult your prescribed sources. This is a closed-book exam.
1. It can be said that the concept of the constitutional protection of property is a wide concept.
Briefly discuss this statement and identify the different rights in view of the set of facts above that
could be protected in terms of the Constitution.
Constitutional Safeguarding of Property and Corresponding Rights in the Facts
The constitutional protection for property in South Africa is in section 25 of the Constitution, and it
offers an expansive and comprehensive protection for property rights. It goes beyond ownership