Signing Deed of Sale in representative capacity.

Regarding section 2(1) of the Alienation of Land Act No 68 of 1981, no alienation of land shall be of any force or effect unless it is contained in a deed of alienation signed by the parties to it or by their agents acting on their written authority. Therefore, where someone is signing on behalf of someone else, he must be authorised in writing to perform that act. For example by a Power of Attorney, either General or Special.

Where either the seller or purchaser is a A trading entity that is commonly used for commercial activity and may enter into agreements of sale or lease in its own name. Afrikaans - Maatskappy

">company, A contract between the founder and the trustee in terms of which the trustee is to administer the trust fund for the benefit of the beneficiaries.

">trust, close corporation or some other A company, close corporation or trust. Afrikaans - Regspersoon

">legal entity, then estate agents should be careful to establish that the person entering into the sale agreement has been validly authorised to do so. Most agreements of sale have a clause regarding which the seller/purchaser warrants his authority to act. It would, however, be a good idea for the seller/purchaser to write after his signature, "Who warrants that he is duly authorised to bind the Co/CC/Trust hereto." -A belts and braces approach.

If no inquiries were made as to the other contracting party's authority to bind the entity and there was no warranty clause included in the Also referred to as the Agreement of Sale or Offer to Purchase. Afrikaans - Koopkontrak

">deed of sale, then the other directors/members/A person appointed to manage the affairs and assets of a trust. In terms of sectional title, the trustees attend to the day-to-day running of the scheme, which includes the collection of levies and the employment and management of staff.

">trustees of that entity could challenge the validity of the A legally enforceable agreement, for example a lease or sale. Afrikaans - Kontrak

">contract, if desired. The other contracting party is however protected in a case where the person signing in the representative capacity lied about his authority when queried thereon. It is important therefore for the question to be asked and then recorded as to whether that person is authorised to enter into the contract or not. It must not just be assumed.

As the Appointed by the seller to attend to the transfer of the property into the name of the buyer. Afrikaans - Oordragprokureur

">transferring attorneys, we make sure that we get a Resolution signed by all directors, members, trustees, etc. ratifying and approving the sale. It is the period between the date of sale and the date we get the above resolution signed that is vulnerable for either party and yourselves as the agents.
For further information or to book a consultation contact us on:

Louwrens Koen Attorneys
Tel: 087 0010 733
311 Eastwood Street, Arcadia, Pretoria, Gauteng, South Africa