What is the Law on Cancellation of Outstanding Penalties and Arears when buying a Car?

Question:

Hope all is well with you. It is possible to assist me with information.

I am facing a challenge, I am a first-time buyer of a car. The deal was not 100%, because of failure from me to get information independently. Before committing.

The scenario is like this :

I personally approached Seller A – with interest to buy his car (Toyota Car) and formal negotiations took place and the deal was made.

Seller A – Did not fully disclose arrears and penalties that are owed by him. And he is not cooperating now.

Buyer B – When I approached seller A to cover the bill’s amounting to R2450, he refused to cooperate with me. Now I have a car that is not yet changed to my name and I have used the money to fix this car. Currently, I can’t move due to outstanding arrears and penalties.

I am interested to keep the car but I am checking the possibilities of submitting a PLEA to authorities for mercy for cancellation or reduction of arrears and penalties.

Where can I forward my application? It is permissible by rules of traffic for a buyer to appeal similar cases?

I have all papers of the car such as transfer of ownership, original copies of car registration, ID copies certified issued by the seller to me.

From my side, I need to complete roadworthy, register the car to me and do some panel work.

Reason for checking the possibility to ask, I do not afford. Currently unemployed and affected by covid19 lockdown. It is allowed by LAW?

Thank you for your advice in advance.

Answer:

The outstanding fines and fees are for the account of the previous owner.

If you have all the necessary paperwork to register and licence the vehicle, you are the new owner and must register and licence the vehicle within 21 days. There is a provision in the NRT Regulations that the authority must recover the fees from the person who owes the authority the money.

Reg 57. Penalties for late registration or licensing

(1) If an application for the registration or licensing of a motor vehicle or licensing of a motor trade number is not made within the period determined in this Chapter, the title holder, owner or holder, as the case may be, shall pay a penalty to the appropriate registering authority, calculated at one tenth of the appropriate fees as determined by the MEC of the province concerned, for every month or part of a month during which the fees remain unpaid: Provided that such penalty shall not exceed the total amount of the appropriate fees.

(2) The payment by the title holder or owner of a motor vehicle or holder of a motor trade number of the registration or licence fees or motor trade number licence fees, as the case may be, as well as the penalty referred to in subregulation (1), shall not relieve such title holder, owner or holder from prosecution for his or her failure to register or licence such motor vehicle or motor trade number timeously, nor shall such a prosecution relieve such title holder, owner or holder of the liability to pay the appropriate fees for registration or licensing, as well as the penalty referred to in subregulation (1).

(3) The title holder or owner of a motor vehicle or the holder of a motor trade number who submits an application on the appropriate form to the appropriate registering authority for the registration or licensing of a motor vehicle or motor trade number, as the case may be, together with the appropriate fees within the time allowed, but fails to furnish any relevant document or particulars which may be required by the registering authority, shall, notwithstanding anything to the contrary contained in this regulation, not be liable for any penalty if such registering authority is satisfied that such failure was due to circumstances beyond the control of such title holder, owner or holder.

(4) If the MEC concerned is satisfied that payment of registration or licence fees or motor trade number licence fees was delayed by a cause beyond the control or was not due to any fault on the part of the title holder or owner of a motor vehicle or holder of a motor trade number, he or she may direct that a penalty paid in respect of the registration or licensing, or so much thereof as the circumstances appear to him or her to justify, shall be refunded to such title holder, owner or holder.

(5) Penalties or fees payable in respect of the registration or licensing of a motor vehicle or motor trade number, as the case may be, in terms of this Chapter, shall be a debt due to the MEC concerned and may be recovered in a competent court by a registering authority on behalf of the MEC concerned.

Reg 59. Arrear fees for licensing of motor vehicle or motor trade number

(1) If application is made for the licensing of a motor vehicle or motor trade number in a month following the month in which liability for the licensing of such motor vehicle or motor trade number arose, arrear licence fees, calculated at one twelfth per month of the annual licence fees from the first day of the month in which liability for such licensing arose until the last day of the month preceding the month in which application is made, shall be payable.

(2) If a person who owes any penalties or fees in terms of the provisions of this Act to any registering authority or driving licence testing centre, applies for any transaction, the registering authority or driving licence testing centre to whom such application is made, may refuse to effect the transaction applied for or, in the case of an application for the licensing of a motor vehicle at a registering authority, refuse to issue a licence disc to the applicant, until such penalties and fees have been paid, and may apply any amount tendered in settlement of such penalties and fees due.

(3) If a person who has committed an offence in terms of this Act failed to appear in a Court of Law and as a result of such failure a warrant of arrest of such person has been issued, applies for any transaction, the registering authority or driving licence testing centre to whom such application is made, may refuse to effect the transaction applied for or, in the case of an application for the licensing of a motor vehicle at a registering authority, the registering authority may refuse to issue a licence disc to the applicant.

regards