What is the Voetstoots clause?
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.
Is Voetstoots still valid in South Africa?
Consumer Protection Act “The voetstoots clause is still very valid and applies when the seller’s ordinary course of business is not property, for instance, developers, investors or speculators,” he says.
What implication will it have when you have purchased something Voetstoots?
The effect of having a Voetstoots clause in sale of property agreements is that there can be no claims against a seller for defects (whether patent or latent), after the purchaser agrees to buy the property as it appears at the time of the sale.
Can you still sell a car Voetstoots in South Africa?
A vehicle can be sold voetstoots only in a private sale; but that still does not mean that the buyer is left high and dry. In order for a car to be validly sold “voetstoots’ by a private seller; a full list of all known defects has to be provided to the buyer by the seller.
Where does Voetstoots come from?
“Voetstoots” has its origins in South Africa’s Roman-Dutch law heritage and translates to: “to push a thing sold with one’s foot to indicate delivery and not come back with complaints later”. This means to sell or buy a property “as it stands” or in the condition in which the property is at the time of the sale.
Which Consumer Protection Act does not revive the use of Voetstoots clauses?
The Consumer Protection Act (CPA) has put a limitation on the application of the “voetstoots” clause in stating that “service providers or suppliers” can no longer rely on the clause to avoid liability for defects they were aware of and the CPA appears to eliminate the significance of the “voetstoots” clause.
Does Voetstoots cover latent defects?
The voetstoots clause protects the seller against all defects in the property including all latent defects which are unknown to the seller.
Does the Consumer Protection Act apply to private sales?
A private sale of property is not a transaction that falls within the ambit of the CPA as this would not be in the ordinary course of business. Importantly, not all purchasers benefit from the protection of the CPA.
Can you sell a house Voetstoots?
If a property is sold “voetstoots” the only responsibility of the seller is to disclose any latent defects of which the seller is aware. Some sellers try to hide behind a “voetstoots” clause in cases where there are serious defects.
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.
Can you contract out of the Consumer Protection Act?
Recent legislation such as the Consumer Protection Act and the Protection of Personal Information Act now expressly prohibits the contracting out of or waiver of certain consumer protection under that legislation.
Is the voetstoots clause protected by the CPA?
Property developers for example, will not be able to rely on the protection of the voetstoots clause if it enters into an agreement of sale with a consumer that is protected by the CPA.
What is the common law principle of the voetstoots clause?
The common law principle of the voetstoots clause. The voetstoots clause is a common law principle and literally means sold “with a shove of the foot”. This clause makes it possible to contract out of an implied warranty in an agreement. All contracts have an implied warranty, that the ‘thing’ sold is sold free from any defects thus
What does the Consumer Protection Act 68 of 2008 do?
Impact of the Consumer Protection Act 68 of 2008 on the voetstoots clause The Consumer Protection Act (CPA) promotes a fair, accessible and sustainable marketplace for consumer products and services, including the buying or selling of immovable property. The CPA provides for a statutory duty of disclosure.
How does the Consumer Protection Act affect the sale of property?
The Consumer Protection Act 68 of 2008 (CPA) came into effect on 1 April 2011. The effect of the CPA on the sale of properties has been far reaching, and specifically includes the right of a purchaser (who is also classified as a consumer under the CPA) to be informed of all the details regarding the property being purchased.