N NOORMOHAMED v A J VISSER NO AND ANOTHER

CASE NO 555/03

From : The Registrar, Supreme Court of Appeal

Please note that the media summary is for the benefit of the media and does not form part of the judgment of the Supreme Court of Appeal

The Supreme Court of Appeal has upheld an appeal against a decision of the High Court, Pretoria, which held that the appellant, who had purchased immovable property at a public auction, was on the accepted facts a ‘nominee’ for someone whom he, in turn, had the right to ‘nominate’ as a purchaser. The SCA held that the appellant had purchased the property in his ordinary personal capacity but had been afforded the right to cede his rights and delegate his obligations arising from the sale to someone else. The Court held that the appellant was accordingly not a ‘nominee’ or ‘trustee’ within the meaning of the Conditions of Sale to which the auction had been made subject and he could not be held liable as a surety in terms of the Conditions of Sale for the obligations of the ultimate purchaser.