Question

Andrew and Mary owe ABC Bank R100 000. The bank requires security for payment of the debt. Andrew and Mary grant a mortgage over their house in favour of the bank. They agree in the mortgage deed that ABC Bank, without intervention of the court, may sell the house in execution if they do not pay their debt. They further agree that the bank may keep the house and have it registered in its name if they do not pay their debt. Discuss the validity of the mortgage agreement between Andrew, Mary and the bank with reference to case law. ACCORDINGTO SOUTHAFRICANLAW(5)

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