OVERVIEW OF THE CONSTITUTIONAL COURT JUDGMENTS DECLARING PARTS OF SECTION 7(3) OF THE DIVORCE ACT INVALID AND UNCONSTITUTIONAL
By Mohamed Raees Hussain : Attorney – Legal Division
Marriages in South Africa
Marriages concluded before 1 November 1984 could either be in community of property or out of community of property.
However, in terms of the Matrimonial Property Act 88 of 1984 (“the MPA”) which commenced on 1 November 1984 the accrual system was introduced as an option when entering into a marriage out of community of property.
This simply meant that the spouse with a higher asset value amassed during the subsistence of the marriage would be required to share a portion (determined in terms of a specific calculation) with the spouse with the lower asset value upon dissolution of the marriage either by death or divorce.
Divorce in South Africa
Divorces in South Africa are regulated by the Divorce Act which deals with the various aspects including maintenance and the division of assets.
Section 7(3) of the Divorce Act provides a Court with a discretion when dissolving a marriage out of community of property concluded prior to the commencement of the MPA, to transfer assets or part thereof from one spouse/party to the other.
Summary of the Cases
The cases before the Constitutional Court were:
- EB v ER and others (Case CCT 364/21): this case challenged the fact that section 7(3) of the Divorce Act only applied to marriages dissolved by divorce and not by death.
So, what does this mean?
In terms of both cases and pending the intervention and necessary amendments to the Divorce Act by Parliament, Section 7(3) of the Divorce Act will now also apply to marriages dissolved by death and the power of a Court to make an order in respect of the assets or redistribution thereof will extend to marriages entered into prior to the enactment of the MPA as well as to marriages entered after the enactment of the MPA.
The effect of these judgments can be argued to be a step towards addressing inequalities which exist in Divorce proceedings and the distribution of assets arising therefrom, however it will be interesting to see how the effect of these judgments unfold and specifically impact those marriages wherein the division of assets are regulated by ante-nuptial contracts or similar contracts.
*The above is for general information purposes and should not be construed as advice,for legal advice relating to Divorce and the implications thereof, it is recommended that you seek guidance and advice from a Legal Practitioner*