MRL3701 Assessment 1 Semester 1 2025
Insolvency Law
MRL3701
Department of Mercantile Law
Assessment 1
Semester 1 - 2025
1
MRL3701 Assessment 1 Semester 1 2025
Assessment 1
OPENS FOR SUBMISSION: 18 March 2025
DUE DATE: 25 March 2025
This is an ordinary written or typed assignment. This assessment must be uploaded to
MyModules. No emailed or late submissions will be accepted. Do not use a mark-reading card.
Answering this question gives you practice in answering the type of problem- or
discuss-type questions that you may expect in the examination.
Your answer should not exceed two (2) pages (excluding the Cover Page, Bibliography or the
Honesty Declaration Form). You may reference your sources as you wish, i.e. in-text, or in
footnotes. A bibliography is not needed but remember to include your Honesty Declaration
Form. You can find it for your convenience on MyModules under announcements.
Make sure that you follow the upload instructions on how to upload your answer sheet on
MyModules, as no emailed submissions will be marked.
In this particular assessment we are testing your knowledge on the study of the law while
applying it to a factual scenario.
We wish you the best for your first assessment.
Kind regards,
The Lecturers
_________________________________________________________________________
2
MRL3701 Assessment 1 Semester 1 2025
QUESTION:
Thabo owes an amount of R2 567 374.00 to his creditors. Since Thabo’s retrenchment by his
long-standing employer in March 2024, Thabo has been experiencing ongoing financial
difficulty. He has failed to pay his debts over the past few months, and since 30 November
2024 his liabilities have exceeded his assets. Maria is one of Thabo’s creditors, who is owed
an amount of R320 000 by Thabo. Thabo’s debt to Maria was due and payable on 5 January
2025, but Thabo failed to pay the debt. Disappointed at this, Maria undertook an investigation
into Thabo’s financial affairs. She has established that Thabo owns an apartment valued at
R2 250 000 and furniture valued at R300,000.
She has also discovered that Thabo had owed his cousin an amount of R400,000, which was
due and payable only on 30 April 2025, and that Thabo had made an early repayment in full
to his cousin on 29 January 2025. Thabo had wanted to ensure that should one of his creditors
apply for the sequestration of his estate, his family members would not suffer any financial
loss.
With the above in mind, discuss whether Maria is likely to be successful in an application for
a court order for the sequestration of Thabo’s estate. Include in your discussion the
requirements she must prove to succeed with such an application.
TOTAL FOR ASSIGNMENT 01: [10]
3