Pietermaritzburg High Court judge rules on fairness in repossession case

THE purpose of credit regulation must be seen as encouraging good faith engagement and promoting consumer rehabilitation, not as punishing transient default that has been remedied.

- ZELDA VENTER

This was the message of the Pietermaritzburg High Court in an application by BMW Financial Services (applicant) in which they wanted to repossess a vehicle as they claimed the owner had fallen in arrears with his monthly payment.

The financial service provider wanted a summary judgment to be issued against Ndlangia Funeral Services and its owner Lungisani Ndlanga (the respondents).

A summary judgment is a request for a court to rule in favour of one party without a full trial. This is usually when the court finds that there are no genuine disputes.

But by the time the application had served before the court, the respondents had already paid the arrears.

The financial service provider, however, still wanted an order allowing it to repossess the vehicle, as it argued the respondents had breached the sale agreement by falling into arrears in the first place (although this is no longer the situation).