This blog was co-authored by Adrienne Hendricks, candidate attorney at Norton Rose Fulbright South Africa
In August 2024, the High Court held that a bank was entitled to enforce the suretyship and mortgage bond granted in its favour, for purposes of an enrichment claim which arose in connection with a void and unenforceable loan agreement.
The respondent in Airports Company SA Limited v Masiphuze Trading (Pty) Ltd was unsuccessful in relying on the defence of justifiable error in trying to avoid being bound by a suretyship agreement that he signed but did not read.
The respondent entered into a suretyship for a lease debt in respect of premises at the
A performance guarantee relating to a building contract included language stating that it was issued for the ‘due fulfilment’ by a sub-contractor of its obligations. The guarantee also stated that the amount was payable on receipt of a written demand made by the main contractor ‘if (in your opinion and at your sole discretion) the