Perspectives on the Termination of Debt Review in Terms of Section 86(10) of the National Credit Act 34 of 2005

Keywords: Delictual damages, actuary, expert witness, evidence, burden of proof, judicial discretion, contingencies, probability

Abstract

In assessing delictual damages the plaintiff is burdened with the duty to prove loss with a preponderance of probability, including uncertain future loss. In quantifying such a claim an actuary is often used to make actuarial calculations based on proven facts and realistic assumptions regarding the future. The role of the actuary is to guide the court in the calculations to be made. Relying on its wide judicial discretion the court will have the final say regarding the correctness of the assumptions on which these calculations are based. The court should give detailed reasons if any assumptions or parts of the calculations made by the actuary are rejected. It should preferably refrain from making its own calculations if an actuary is involved and should rather instruct the actuary to do recalculations if necessary. It does, however, fall within the wide discretion of the court to make a general contingency adjustment after the basic calculations have been accepted. In assessing delictual damages it is the duty of the court to ensure that both objective and subjective factors are considered in such a manner that the assessment may be regarded as an application of "fair" mathematics.

    

References

Bibliography

Roestoff 2009 Obiter
Roestoff M "Enforcement of a credit agreement where the consumer has ap-plied for debt review in terms of the National Credit Act 34 of 2005 – First Rand Bank v Smith (unreported case number 24208/08 (WLD))" 2009 Obiter 430-437

Scholtz et al Credit Act
Scholtz JW et al Guide to the National Credit Act (LexisNexis Butterworths Durban 2008)

Van Heerden and Coetzee 2011 De Jure
Van Heerden C and Coetzee H "Wesbank v Deon Winston Papier and the National Credit Regulator" unpublished case discussion accepted for publi-cation in 2011 2 De Jure

Register of court cases

ABSA Bank Ltd v Shaik (09/8065) 2009 ZAGPHC 58
BMW Financial Services (Pty) Ltd v Donkin 2009 6 SA 63 (KZD)
Changing Tides 17 (Pty) Ltd v Erasmus; Changing Tides 17 (Pty) Ltd v Cleophas; Changing Tides 17 (Pty) Ltd v Frederick (18153/09, 14229/09 11973/09) 2009 ZAWCHC 175
Coetzee v Nedbank Ltd 2010 JOL 26260 (KZD)
Firstrand Bank Ltd v Collett (Case No. 1819/2010 (ECC) unreported)
Firstrand Bank Ltd v Evans (1693/2010) 2010 ZAECPEHC 55
Firstrand Bank Ltd v Fillis 2010 6 SA 565 (ECP)
Firstrand Bank Ltd v Seyffert (212862/2010) 2010 ZAGPJHC 88
Mercedes Benz Financial Services South Africa (Pty) Ltd v Dunga 2011 1 SA 374 (WCC)
Mills v Skanwell Finance (Pty) Ltd 1981 3 SA 84 (N)
National Credit Regulator v Nedbank Ltd 2009 6 SA 295 (GNP)
Nedbank Ltd v Mokhonoana 2010 5 SA 551 (GNP)
SA Taxi Securitisation (Pty) Ltd v Matlala (6359/2010) 2010 ZAGPJHC 70
SA Taxi Securitisation (Pty) Ltd v Mbatha 2011 1 SA 310 (GSJ)
SA Taxi Securitisation (Pty) Ltd v Nako (19/2010, 21/2010, 22/2010, 77/2010, 89/2010, 104/2010 & 842/2010) 2010 ZAECBHC 4
Standard Bank of South Africa Ltd v Kruger 2010 4 SA 635 (GSJ)
Wesbank v Deon Winston Papier and the National Credit Regulator (Case No. 14256/10 (WCC) unreported)
Wesbank v Martin (13564/2010) 2010 ZAWCHC 173

Register of legislation

National Credit Act 35 of 2005

Register of government publications

GK R489 in SK 28864 of 31 May 2006 (National Credit Regulations)
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Published
2017-06-06
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Articles