2 2025 – DUE 3 September 2025; 100% correct solutions and
explanations.
QUESTION 1
To determine whether you, as a notary, can execute Xolani’s
instruction to draft and register a notarial bond over both Erf 201
Meadowlands Township (leased to Zanele) and the usufruct over
the farm Moreson, we must examine the legal nature of the assets
involved and the requirements for registering notarial bonds in
terms of South African property law and the Deeds Registries
Act 47 of 1937.
1. Understanding the Nature of the Two Assets
A. Erf 201 Meadowlands Township (Owned and Leased to
Zanele)
Full ownership: Xolani is the registered owner of Erf 201.
He has the legal capacity to encumber the property unless
restricted by contract, statute, or a prior registered right.
Leased property: The fact that it is leased to Zanele does not
remove Xolani’s ownership. He still retains dominium and
can use the property as security.
✅ Conclusion: Erf 201 is capable of being encumbered by a
notarial bond, particularly a notarial mortgage bond or a general
covering bond, assuming no pre-existing restrictions.
B. Usufruct over the Farm Moreson (Xolani is the usufructuary)