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STUDY UNIT 10 QUESTION 1 Which ONE of the following types of real security must be registered to exist? 1. a hypothec
135 [email protected]081 438 7509/ 061 429 0222/ 078 548 0303 2. a pledge 3. a mortgage bond (ANSWER 3) 4. a lien QUESTION 2 The surety is allowed to compel the creditor to recover as much as possible of the due debt from the principal debtor, before proceeding against the surety. Which ONE of the following common-law privileges would the surety enjoy in this instance? 1. the benefit of division 2. the benefit of excussion (ANSWER 2) 3. the benefit of cession of actions QUESTION 3 Zandile owes Lynn R5 000. Lynn on the other hand owes Robyn R4 000 for a painting she bought from her. Robyn demands security for Lynn's debt. Lynn cedes her claim against Zandile for R5 000 to Robyn. Which ONE of the following statements is INCORRECT? 1. The above-mentioned set of facts is a good illustration of security given by way of cession in securitatem debiti. 2. During the existence of the cession Lynn will have no claim against Zandile for payment of the R5 000. 3. Lynn is entitled to have her claim against Zandile ceded back when she pays Robyn the debt of R4 000 in full. 4. Before Lynn pays Robyn for the painting, Zandile pays the R5 000 to Robyn. In terms of the cession Robyn is entitled to the full R5 000.(ANSWER 4)QUESTION 4 In which ONE of the following cases does Pat have a lien over Roy's property? 1. Pat won't give Roy his radio because Roy does not want to pay Pat for repairing the radio. (ANSWER 1) 2. Pat took possession of all the movable property belonging to Roy after Roy failed to pay the rent at the end of the month in terms of a rental agreement. 3. Roy gave his computer to Pat as security for money he has borrowed from Pat. QUESTION 5
136 [email protected]081 438 7509/ 061 429 0222/ 078 548 0303 Choose the CORRECT statement: 1. The pledgee does not obtain a real right by delivery of the pledged object. 2. Constitutum possessoriumis a valid means of delivery of the pledged object in the case of a pledge. 3. The pledgee retains real security even if possession of the pledged object is lost. 4. Even without delivery of the pledged object the pledge may be valid as between the pledgor and the pledgee. (ANSWER 4) QUESTION 36 A party to a contract can require security from the other party to ensure performance of the latter's obligations. Security can be either real or personal. Which ONE of the following is an example of personal security? 1. suretyship (ANSWER 1) 2. pledge 3. mortgage bond 4. lien QUESTION 7 Which ONE of the following statements dealing with a contract of suretyship is INCORRECT? 1. A valid contract of suretyship may be in writing or be concluded orally. (ANSWER 1) 2. More than one person may render themselves liable for the same principal debt and become known as co-sureties. 3. The surety cannot be liable for more than the principal debt.