Are Voetstoots clauses still legal?

It has been ruled by our courts that a seller cannot rely on the voetstoots clause if the seller was aware of a latent defect and deliberately concealed or failed to disclose it with the intention to defraud the purchaser.

What does the law say about Voetstoots?

The voetstoots clause is a provision in the agreement which stipulates that the purchaser buys the property from the seller as it stands and thereby indemnifying the seller against claims for damages in respect of any defects on the property, whether patent or latent.

What are the implications of the Voetstoots clause in an agreement?

The voetstoots clause means that the goods sold, (for example a house), are sold “as is” (with all its flaws). When is a seller not protected by the voetstoots clause? The voetstoots clause is not absolute. The protection afforded by it depends on the seller’s honesty.

Is Voetstoots legal in South Africa?

In South African law the voetstoots clause is a standard term inserted into real estate – and many other – sale agreements. It says that the purchaser is buying the property or other item as it stands, whether or not it has patent or latent defects.

Do Cpas apply private car sales?

The CPA would protect a buyer who buys a car from a dealer. However, a private sale of property is not a transaction which falls within the ambit of the CPA, as you were not acting within the ordinary course of your business, and therefore the common law position applies.

What is the Consumer Protection Act in South Africa?

The South African Consumer Protection Act, No 68 of 2008 was signed on 24 April 2009 and the purpose of the Act is to protect the interests of all consumers, ensure accessible, transparent and efficient redress for consumers who are subjected to abuse or exploitation in the marketplace and also to give effect to …

Which provision of the Consumer Protection Act does not revive the use of Voetstoots clauses?

The voetstoots clause cannot be included in sale agreements where the seller is acting within the course and scope of its ordinary business.

What is the difference between a latent and patent defect?

The Difference Between Patent and Latent Construction Defects. While patent defects are obvious and are typically discovered during an inspection of the property, latent defects are hidden. Latent defects can cause substantial damage to a home since they can exist for a long time without being noticed and repaired.

Can you sell a car Voetstoots in South Africa?

A vehicle can be sold “voetstoots” only in a private sale, but that still doesn’t mean the buyer is left high and dry. “In order for a car to be sold voetstoots, a full list of all known car defects has to be provided.

Can you return a car after buying it from a private seller?

After a vehicle is sold from one private party to another, the buyer can ask for their money back, but the seller generally does not have to agree to cancel the sale, absent a warranty or fraud.

What is the voetstoots clause in property law?

To summarise, the voetstoots clause is a common law principle that stipules that if a purchaser buys property as is, the purchaser renounces their right to claim against the seller after discovering a defect, save for the instance where a purchaser can show that the seller knew of the latent defect and failed to disclose this to the purchaser.

Is the infamous voetstoots clause still relevant under the CPA?

Since the coming into operation of the Consumer Protection Act 68 of 2008 (CPA), there has been much interest on the position of the infamous voetstoots clause in relation to the CPA. The general view is that one would no longer be able to include a voetstoots provision in contracts if the transaction falls within the protection of the CPA.

Can a buyer successfully rely on the voetstoots provision?

By contrast, Ellis and Another v Cilliers NO and Others 2016 (1) SA 293 (WC), the purchasers successfully relied on the voetstoots provision as they could prove that the seller was aware of a range of defects that she failed to disclose to the Purchaser.

What is an example of a voetstoot?

For instance, person X sells a cellphone to person Y. Person X stipulates in the contract of sale that the cellphone is sold voetstoots (or ‘as is’).