Any of the auctions may be CANCELLED by the instructing attorneys of the creditor at ANY time before the Auction is Concluded.
Online auctions conducted by us;
1 - High Court Rule 46(A) or Magistrate Court Rule 43(A) With Reserve Price
2 - Magistrate Court with a Section 66 Confirmation period
3 - High Court Sale Without Reserve
4 - Pre Judgement Sales with 7 days Confirmation
1. Sale with a Reserve (Rule 46(A) or 43(A) Reserve Price)
1.1 Primary Residence of a defendant - Judicial Oversite Auctions
1.1.1. Rule 46(A) High Court Rules
1.1.2. Rule 43(A) Magistrate Court Rules
1.2 These auctions are determined by a specific Court order issued in terms of these Rules. These Rules also determine inter alia the following;
1.2.1 If the Reserve price is not achieved at the auction the Sheriff has to draft a report to the Court setting out what transpired at the auction. The Court then determines if the Highest Bid achieved at the auction should be confirmed or orders how execution is to proceed.
1.3 The potential buyers at these specific auctions must take notice of the following:
1.3.1 The amount of time of these matters before a Court is not predetermined and will take an unknown time frame before the Court will hear this matter. Taking Covid-19 Regulation into consideration, it might take between 4 to 9 months before the confirmation is heard (could be longer). All this time the Deposit, as well as the sheriff’s commission paid, will be kept in the sheriff’s Trust account awaiting the Court's direction.
1.4 The upside is that we have seen a few instances where the Court confirms a sale which we thought would never make it past the Court’s confirmation due to the relatively low bid we received at the initial auction. So yes, it is possible to find a real bargain.
2. Sale Subject to confirmation (Sec 66 Confirmation)
2.1 Section 66(d) Magistrate Court Act.
2.1.1 This is where the creditor in the matter is not a Preferent Creditor (i.e. Bondholder/Financial institution). In these circumstances, the Preferent Creditor will or will not confirm the sale in writing. If the sale is confirmed it will be dealt with as a sale without reserve. If the sale is not confirmed all monies paid by the purchaser at the auction will be refunded (commission included). The time frame of the section 66 confirmation is within a reasonable time which can be anything for a few days to some weeks. During this waiting time, the deposit and commission will stay in the sheriff's Trust account pending confirmation.
3. Sale without reserve (Without Reserve)
3.1 Property is not a primary residence.
3.2 Property is a commercial property.
These are the auctions we prefer. Put the property up for auction, sell and transfer. Great Deal!
4. Pre-Judgement Sale. (PJS 7 days Confirmation)
4.1 A Pre Judgement Sale (see Pre Judgement Sale explained) will be subject to a 7 (seven) day confirmation period to allow the Creditor as well as the Defendant to consider their position and discuss the way forward.
4.2 These Sales will be conducted after section a 129 NCA Notice or Summons Commencing Action was served on the defendant or where the parties try to settle their matter in terms of Rule 41(A) of the High Court.
4.3 Should the sale NOT be confirmed by either or both the Creditor and Defendant within 7(seven) days, all monies paid by the purchaser will immediately be refunded.
4.4 A report will also be drafted and forwarded to the instructing attorney which they may use during the Rule 46(A) application in Court in preparation for SIE’s as mentioned in points 1 and 2 in the beginning of this notice.
NB. Most important of all is the fact that any of the auctions may be CANCELLED by the instructing attorneys of the creditor at ANY time before the Auction is Concluded.