STUDY UNIT 13 ‘Suécesscn by Contract [Succession by Contract “Pactum Successorium® ‘Agreement (contract) to inherit Fo forms © inheritance in contact ise "We areethat the one of us who outivesthe other wl be the festyingperson’s only hel. © Agreement tondude provision in Wil "ve agree that x will appoint Vn her Wil as her only hel” 19/30/2015Succession by Contract Pactum Successoriom” Gerla eo = sti rom trea @) requierents cf WHY) ane@) | How to determine if invalia? "interpretation of Contract Vesting Tst oes theright become vested during the lifetime ofthe deceased? Wan Aardtv van Aardt) ‘Succession by Contract "Pactum Successor” Vesting Test ‘Van Aardt vs van Aardt Brothers ~ deferred agreement in respect of sale of land attempt to allenate the land contrary to agreement sFinterdct? cou ‘uncertanconditions [Etmembersof class only determinable on death ~rights cannot vest in undetermined members of race [irights didnot ves immediately -n Brother and descendants hother conzacting party or alternative NBNB 1's Hats ves immediate the testator! 19/10/2015[Succession by Contract **rothers~ each 50% shareholder af company ‘agreement = at death of 1 dying, survivor will obtain 0% ‘*txecutor= invalid pactum suecessorium court ‘iResolutive condition Bluncertain who dies fist? [EXthus only determinable at death Vesting not inter vivos but mortis causa Succession by Contract *PacumSccesoriin? ‘|| "Pactumde non succedenda”” | [| ____ [Agreement NOT inherit: We agree that X renounces any benefit that she might recelve in terms of 2s Wil Narshiv Ranchod "Pactum Suecessorium” ctiasmi + Itdoes not limit the freedom af testation + It.does at restrict the power to revoke + It doesnot circumvent the formality requirements 39/10/2085Succession by Contract, “Pactum Succesonin? || But when wil tbe val? @ Donators couse] [© Anenupti Convact —_] onaionin anicpaion ot | [hereonent a BRGpRRON GT eats |mavsge Succession by Contract ‘© Donatio Mortis Causa lateral Agreement ‘Donor (offer DDonee (acceptance) Elements: [DiAntcipate Expect donor's death (Gpure altruism (concern fr donee) [Revocable before donor's death NB NB NB NBIITI Must be executed in cordance with formalities fo: Will! (ut section 2(3] also applies) 19/10/2015ee Succession by Contract, ‘© Donatic Mortis Causa rample Deceased wrote letter: feel very weak and tis quite possible that | will not see you gain, for tat reason Lwrite you this. You askme how t goes with the cattle; do not worry about them; you are entitled to them therefore have thought fi to give you all my cattle and also my far after my death t belongs to you." Anticpatio of death? Concern fordonee? Revoeable? Formalities? Bl - BUT section 22), ji eee te INTER VIVOS (between 'MORTIS CAUSA [in anticipation persons) ‘of death) 1. Ufcondiionalle 1. Conditional upon death of (persona\ right) donor 2. Formality requirements _|2. Formality requirements ~ General lave Amendment | Will Act (BUT ifnot Act (BUTif not) 13. After acceptance by donee |3. Donor can revoke Donor cannot revore unilaterally any time betore unilaterally (exceptions) his death 9/10/2015Which answer is WRONG ‘Succession by contract is not valid because ... Evasion of formality 25% 25% 25% 25% requirements for Wil Limits testator’s right to revoke the Will Limits testator’s right to amend the Will Testator doesnot receive |e ey benefit 7 Po f a [Succession by Contract intenuptal Contract ‘NOT Will Nota) Formalities BUT: Notarial execution and registration [ene Dene ach other mataly or one Benet the other seni ioa third party [Clone ortoth spouses benefits) from third party 19/10/201519/10/2015 ‘Succession by Contract intenwptial Contract, Benefit each other mutually ‘orone benefits the other ‘Example as consideration ofthe intended mariage the husband hominates nd appoints the wife tobe the sole helrss of one half of his state, movable and immovable, wherever situate, at the time ofhis death [EiMiay only be revoked /amendedin JOINT WILL [Gone spouse may rever to provision in Will executed subsequent to JOINT WILL ‘Done spouse may repudiate JOINT WILL upon death of 1* dying Succession by Contract ‘© Anteruptial Contract Benefit to a third party "as consideration ofthe Intended mariage, the husband donates his life policy to the wife and any children which may be bor from theintended marriage” [Ethra partys party tothe Agreement t may only be ‘evoked / amended vith the co-aneration of third party it third arty snot a party tothe Agreement, stpulatio alter - revoked / amended with the ¢o-9peration of third party (who adiated)/Succession by Contract @ Antenvotil Contract ‘One or both spouses benef) party Erample as consideration ofthe intended marriage, the donor hereby donates the far Faraway tothe husband and wife, who gracefully accept the donation" [Ee may only be revoked / amended vith the co-operation of the spovsets) ‘The testator can NOT dispose of way of ... assets by Codicil 20% 20% 20% 2% 20% Testamentary Writing Will Contract Antenuptial Contract 39/10/2015