UniSA COL3704
Consumer law
Assignment 1 Quiz
SOLUTION
Due march.
, SECTION A: CASE CITATIONS (QUESTION 1)
Question 1.1
A major overhaul of previous credit legislation was essential. This was also necessary
because low-income consumers relied increasingly on commercial credit and many were
becoming swamped with debt.
Answer:
Case: National Credit Regulator v Opperman and Others 2013 (2) SA 1 (CC)
Paragraph: Paragraph 1
Full Citation: National Credit Regulator v Opperman and Others 2013 (2) SA 1 (CC) at
para 1
Rationale:
In Opperman, the Constitutional Court addressed the constitutionality of the debt review
provisions under the National Credit Act. The Court noted at paragraph 1 that:
"A major overhaul of previous credit legislation was essential. This was also necessary
because low-income consumers relied increasingly on commercial credit and many were
becoming swamped with debt."
This statement sets the context for why the National Credit Act 34 of 2005 was enacted.
The Court recognized that the previous credit legislation (the Credit Agreements Act 75
of 1980 and the Usury Act 73 of 1968) was fragmented and inadequate to address the
growing problem of over-indebtedness among consumers, particularly those in lower-
income brackets .
Consumer law
Assignment 1 Quiz
SOLUTION
Due march.
, SECTION A: CASE CITATIONS (QUESTION 1)
Question 1.1
A major overhaul of previous credit legislation was essential. This was also necessary
because low-income consumers relied increasingly on commercial credit and many were
becoming swamped with debt.
Answer:
Case: National Credit Regulator v Opperman and Others 2013 (2) SA 1 (CC)
Paragraph: Paragraph 1
Full Citation: National Credit Regulator v Opperman and Others 2013 (2) SA 1 (CC) at
para 1
Rationale:
In Opperman, the Constitutional Court addressed the constitutionality of the debt review
provisions under the National Credit Act. The Court noted at paragraph 1 that:
"A major overhaul of previous credit legislation was essential. This was also necessary
because low-income consumers relied increasingly on commercial credit and many were
becoming swamped with debt."
This statement sets the context for why the National Credit Act 34 of 2005 was enacted.
The Court recognized that the previous credit legislation (the Credit Agreements Act 75
of 1980 and the Usury Act 73 of 1968) was fragmented and inadequate to address the
growing problem of over-indebtedness among consumers, particularly those in lower-
income brackets .
