, LPL4804 Assignment 1 (COMPLETE ANSWERS) Semester 1 2026
- DUE 17 March 2026;100% trusted ,comprehensive and complete
reliable solution with clear explanation
Question 1
1. Zanele Khumalo owns erven 3 and 4 of Kruger Township and wishes
to consolidate the properties. Erf 3 has been hypothecated with a
mortgage bond in favour of Blue bank. How should she deal with the
mortgage bond over Erf 3? Discuss fully.[6marks]
Answer
When Zanele Khumalo wishes to consolidate Erf 3 and Erf 4 of
Kruger Township, special attention must be given to the mortgage
bond registered over Erf 3 in favour of Blue Bank, because
consolidation affects the identity of the land as described in the Deeds
Registry.
Firstly, consolidation of erven cannot take place while a mortgage
bond is registered over only one of the erven, unless the bondholder
consents and the bond position is properly dealt with. A mortgage bond
is registered over a specific property, and once erven are consolidated,
the original erf ceases to exist as a separate entity.
Zanele therefore has the following lawful options:
1. Cancellation of the existing bond
Zanele may elect to cancel the mortgage bond registered over Erf 3
before the consolidation process is effected. This requires that the
- DUE 17 March 2026;100% trusted ,comprehensive and complete
reliable solution with clear explanation
Question 1
1. Zanele Khumalo owns erven 3 and 4 of Kruger Township and wishes
to consolidate the properties. Erf 3 has been hypothecated with a
mortgage bond in favour of Blue bank. How should she deal with the
mortgage bond over Erf 3? Discuss fully.[6marks]
Answer
When Zanele Khumalo wishes to consolidate Erf 3 and Erf 4 of
Kruger Township, special attention must be given to the mortgage
bond registered over Erf 3 in favour of Blue Bank, because
consolidation affects the identity of the land as described in the Deeds
Registry.
Firstly, consolidation of erven cannot take place while a mortgage
bond is registered over only one of the erven, unless the bondholder
consents and the bond position is properly dealt with. A mortgage bond
is registered over a specific property, and once erven are consolidated,
the original erf ceases to exist as a separate entity.
Zanele therefore has the following lawful options:
1. Cancellation of the existing bond
Zanele may elect to cancel the mortgage bond registered over Erf 3
before the consolidation process is effected. This requires that the
