SACP welcomes ruling against ‘unscrupulous evictions by banks’
The High Court has ruled that a reserve price must be set when an execution is granted against immovable property used as a debtor’s primary residence.
JOHANNESBURG - The South African Communist Party (SACP) has welcomed a ruling by the South Gauteng High Court against what it calls “unscrupulous evictions by the banks”.
The court ruled that there must be a reserve price set by a court in matters where execution is granted against immovable property used as a debtor’s primary residence.
The judgment also affirmed the input of the debtor as important for consideration in such cases.
Meaning even if a person has defaulted on a bond, once the remainder of the bank loan is paid off and legal and administration costs are also paid, the rest of the money gained through auction should go back to the person who has defaulted.
SACP spokesperson Alex Mashilo says this is a victory.
“The court ruling made it very clear that in such cases, now going forward, there must be a reserve price set. This must not be set by the bank and their collaborators.”
He urges those who are forced out of their houses to seek legal advice.
“If South Africans find themselves in a situation where they’re forced out of their houses, they can either approach a court or one of the foundations that helps people in their situation.”
(Edited by Zamangwane Shange)