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Prof Bradley Smith addresses matrimonial property and trust law complexities

29 February 2024 | Story VALENTINO NDABA | Photo Stephen Collett

In his inaugural lecture on 21 February 2024 at the University of the Free State (UFS), Prof Bradley Smith explored the complexities of trust misuse in the context of property disputes during divorce proceedings. Prof Smith is an Extraordinary Professor at the UFS Faculty of Law. Drawing on two decades of judicial evolution in the Supreme Court of Appeal (SCA), Prof Smith highlighted the inconsistencies in the SCA’s treatment of this issue that impedes attempts to curb “divorce planning” by way of a trust and proposed solutions to address them.

One of the core issues he identified is the abuse of trusts, where assets are placed within a family trust to diminish a spouse’s personal estate value while treating the trust property as personal property for personal gain. This is often done in an attempt to evade the financial consequences of divorce. Prof Smith explained that this practice undermines the essence of trust law and that the inconsistent approaches by our courts exacerbate the challenges in dividing property during divorce proceedings in a manner that respects the spouses’ matrimonial property regime.

Navigating challenges: reflections on research and its importance

Prof Smith’s proposal revolves around the development of a consolidated test for piercing the veneer of an abused trust, aiming to enhance legal certainty. He emphasised the necessity of a unified approach. “Utilising this test will ensure uniformity because of its applicability to all marriages out of community of property, irrespective of whether the accrual system is involved,” he said.

His meticulous examination of conflicting judgments was praised by Dr Brand Claassen, head of the Department of Private Law, who described it as “the work of a master craftsman”. Retired Judge of Appeal, Eric Leach, also highlighted its critical importance in clarifying complex legal issues for the public good.

“It is of critical importance and in the public interest for judicial decisions, particularly those of higher courts such as the Supreme Court of Appeal and Constitutional Court, to be subjected to careful and considered analysis and, if needs be, criticism. Prof Smith’s inaugural lecture on combating trust form abuse in the context of matrimonial property claims at divorce, in which he carefully considered and analysed the conflict between several Supreme Court of Appeal judgments, was a valuable and important study on the issue,” said Judge Leach. He added that he hoped Prof Smith’s research would be considered by the SCA in future.

Future directions: advancing discourse and sound legal theory

Looking ahead, Prof Smith envisions further research into the applicability of the consolidated test to marriages in community of property, aiming to address remaining uncertainties that lie at the intersection of matrimonial property and trust law. He emphasised the importance of countering the prevailing “catch-me-if-you-can” attitude in divorce matters, advocating for proactive measures to uphold fairness and justice in matrimonial property disputes.

In conclusion, Prof Smith’s inaugural lecture provided valuable insights into combating trust form abuse within the context of matrimonial property claims at divorce. His proposed solutions and ongoing research efforts signify a commitment to advancing discourse on trust law theory and practice, with the ultimate aim of a sound judicial approach that serves the needs of South African society.

News Archive

Faculty of Law establishes unique panel of advisors

2005-11-11

Photo: Stephen Collett

Some of the panel members who attended the Collegium Iurisprudentium of the Faculty of Law at the UFS were from the left His Honorable Judge of Appeal Lex Mpati (Vice-President of the Supreme Court of Appeal), His Honorable Judge of Appeal Joos Hefer (former Chief Justice of South Africa), His Honorable Judge of Appeal Frits Brand (Supreme Court of Appeal) and Mrs Alet Ellis (lecturer at the UFS Faculty of Law).

At the back from left were Prof Johan Henning (Dean: Faculty of Law at the UFS), His Honorable Judge Faan Hancke (High Court of the Free State and chairperson of the UFS Council) and Adv Jannie Lubbe Sc.

The Faculty of Law at the University of the Free State (UFS) has established a panel of advisors comprising of all the honorary and extraordinary professors of the faculty.

“The faculty has been known for its excellent practice-orientated training as well as the involvement of law practitioners in the training of LL B-students,” said Prof Johan Henning, Dean of the Faculty of Law at the UFS.

“The faculty was greatly dependent on the services of advocate lecturers, full-time members of the Bar and Side Bar who lectured on a part-time basis at the faculty. For this reason lecturing in the faculty was mainly done after-hours to part-time students,” said Prof Henning.

With the shift in emphasis to full-time lecturing and the appointment of full-time lecturers, especially because of the increasing student numbers, the full-time LL B-programme and the increasing pressure on students for quality research inputs, a greater need for meaningful contributions of judges and senior law practitioners to the faculty was experienced.

“To comply with this urgent need, three honorary professors and nine extraordinary professors were appointed. This group of experts deliver an indispensable contribution to the practice orientation of the faculty by means of formal lectures, public inaugural lectures and guest lectures, direct lectures to graduate and post-graduate students, participation in research projects and the constant evaluation of lecturers, modules and the content of modules and learning material. The international exposure of students and lecturers is also promoted by their contribution,” said Prof Henning.
“A need to have the involvement of this special class of professors structured in a more organised way was identified and a decision was made to establish an advisory panel called Collegium Iurisprudentium. It is a privilege to us that all the honorary and extraordinary professors accepted the invitation,” said Prof Henning.

The panel will provide the faculty with continuous, distinguished, practice- orientated capability and capacity as well as international expertise, not only for direct inputs to students but also to advise lecturers about the curriculum, the compilation of the content of the LL B and M module, learning material and others, as well as to strengthen the research capacity of the faculty.

“The panel will also deliver a decisive contribution to the faculty’s preparation for the constitutional audit of the Higher Education Quality Committee (HEQC) of the Council for Higher Education (CHE) that will take place in October 2006,” said Prof Henning.

The Collegium Iurisprudentium, which has been formally constituted, comprises of:

Appeal Court Judge J J F Hefer,
Appeal Court Judge L Mpati
Appeal Court Judge F D J Brand
Appeal Court Judge I G Farlam
Prof B A K Rider
Judge S P B Hancke
Judge A Kruger
Judge D H van Zyl
Adv S J Naudé
Adv J Lubbe Sc
Prof M M Katz
Prof R J Cook
Mr S van de Merwe
Mr W van der Westhuizen
Mr D C M Gihwala

Media release
Issued by:Lacea Loader
Media Representative
Tel: (051) 401-2584
Cell: 083 645 2454
E-mail: loaderl.stg@mail.uovs.ac.za
11 November 2005

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