COURT FINDS THAT MAGISTRATE COURT RULES APPLY TO DEBT REVIEW PROCEEDINGS

Justice Ben Du Plessis of the North Gauteng High Court handed down judgement on 21 August 2009 in an application launched by the NCR, thereby clarifying the role of Magistrates as provided for in the NCA.

The main findings in the 48 page judgement are the following :

1.     The Magistrates’ Court Rules were applicable to debt review    proceedings;

2.  Further interest and other charges could not be levied against the consumer once the total charges equaled the amount of the unpaid balance, and

3.  The Magistrates’ Court was not limited by any monetary jurisdiction when considering debt review proceedings.

WHERETO FROM HERE ?

The implementation of the judgement in order to assist the consumer will depend on how quickly the magistrates and creditors can adapt and agree on the procedure to be followed.

Debt Counsellors, now more than ever, will have to update their knowledge of court procedures in order to explain the process to consumers.

CONTACT STOPDEBT FOR THE MOST CURRENT DEVELOPMENTS IN THE DEBT MANAGEMENT BUSINESS !

OUR EXPERIENCED CONSULTANTS ARE BACKED UP BY LEGAL EXPERTS IN DEBT REVIEW APPLICATIONS AND COURT PROCEDURES !

FOR FULL PRESS STATEMENT GO TO http://www.ncr.org.za/