RRLLB81 Assignment 2 (QUALITY ANSWERS) Semester 2 2025 - Impeachable dispositions in Law of Insolvency

This document contains workings, explanations and solutions to the RRLLB81 Assignment 2 (QUALITY ANSWERS) Semester 2 2025. For assistance whats-app us on 0.6.8..8.1.2..0.9.3.4... Impeachable dispositions in Law of Insolvency Background An insolvent person can try to gather funds to relief some of the financial burden. This could include the selling of some of his assets to settle other debts. The amount that an asset is sold can determine whether the disposition of the asset can be set aside, as a disposition not made for value. For instance, if a friend or a relative of the insolvent person had acquired the assets from the insolvent person at a bargain price, and a contract is established between the two, should this agreement be challenged? The value the asset is disposed of can be a matter of dispute. Nevertheless, the contract can be considered to be valid between the insolvent and the relative. In insolvency law, the concept of “quid pro quo” matter when determining whether a disposition can be set aside. Is it therefore legally viable to set aside a disposition made on sale that can be considered to be a bargain. Conduct a research and provide your own understand of the legal rules involved. 54 Cases Bloom’s Trustee v Fourie 1921 TPD 599 Hendriks N.O. v Swanepoel 1962 (4) SA 338 (A) Strydom N.O. v Snowball Wealth (Pty) 2022 (5) SA 438 (SCA) Books Sharrock J, Van der Linde K and Smith A, Hockly’s Insolvency Law (9th edn, Juta 2012) Bertelsmann E and others, Mars: Law of Insolvency in South Africa (10th edn, Juta 2019) Legislation Insolvency Act 24 of 1936 Journal Articles Mabe Z, ‘Setting aside Transactions from Pyramid Schemes as Impeachable Dispositions under South African Insolvency Legislation’ (2016)19 PER / PELJ 1 Marumoagae MC, ‘What amounts to “dispositions without value” in the context of section 26 of the Insolvency Act 24 of 1936?’ (2023) De Jure LJ 174