Cession agreement formCession Agreement • September 11th, 2023
Contract Type FiledSeptember 11th, 2023Cession agreements are a common form of legal agreement in South Africa, used to transfer or assign a debt or right from one party to another. In this article, we'll explore the legal requirements and key considerations for cession agreements in South Africa, including the purpose of cession agreements, the legal requirements for compliance and the potential benefits and risks associated with cession agreements.What is a Cession?A cession is a legal act of transferring a personal right from one person to another. A cession deals with the transfer of personal rights (as opposed to real rights). A person’s estate is made up of real rights (ownership) and personal rights (claims to performance).When real rights are transferred, transfer takes place by delivery. Personal rights have no corpus and cannot therefore be delivered. Accordingly the method of transfer of personal rights is by cession.What is a Cession Agreement?A cession agreement is an agreement which provides that one party (i.