MRL3701
EXAM PACK
2020-2021.
2020 – MAY / JUNE EXAMINATION PAPER
Question 1
Fill in the missing words:
(a) The term "debtor" also embraces a
... [Show More] person who is incapable of managing
his own affairs. (2)
(b) Thabo’s application for voluntary surrender must contain an allegation that it will be to
the advantage of creditors if his estate is sequestrated. (2)
(c) Christopher commits an act of insolvency by departing from his dwelling with the intent
by doing so to evade payments of his debts. (2)
(d) An application for compulsory sequestration brought by a creditor who is not at arm’s
length is generally referred to as a " friendly " sequestration. (2)
(e) Section 24(1) of the Insolvency Act which deals with the effect of prohibited contracts on
third parties, places the onus upon a third party to prove that, at the time he
received the property in question, he was neither aware, nor had any reason to suspect,
that the debtor was insolvent. (2)
(f) An insolvent’s right to earn and recover income relates only to lawful
income. (2)
(g) The solvent spouse must, within 7 days of service, lodge with the
Master a statement of his/her affairs as at the date of sequestration, framed by the
necessary requirements and verified by affidavit. (2)
(h) With regard to a contract completed by an insolvent, a right to performance held by the
estate lapses if the other party in good faith, and without knowledge of the
sequestration, performs to the insolvent. (2)
(i) Section 84(2) of the Insolvency Act, which deals with the returning of property sold in
terms of an "instalment agreement" to the seller, is intended to enable the trustee to
reclaim the property for the benefit of concurrent creditors. (2)
(j) Regarding the meeting of creditors, the publication of any statement of affairs made at a
meeting is priveleged to the same extent as the publication of a statement
made in a court of law. (2)
(k) The Mast [Show Less]