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Agricultural Produce Agents Act, 1992 (Act No. 12 of 1992)

14. Claims against fund and actions against council

[Section 14 heading substituted by section 13 of Act No. 47 of 2003]

 

(1) A claim for the reimbursement from the fund of a monetary loss that arose under the circumstances set out in section 12(5) shall, subject to the provisions of section 13(3), be lodged with the council.

[Section 14(1) substituted by section 13 of Act No. 47 of 2003]

 

(2) If the council admits such a claim, a payment shall be made to the claimant in accordance with the provisions of section 13(1): Provided that the amount of such payment shall not be more than the difference between the amount of the loss suffered by the claimant, and the amount or value of all moneys or other benefits received or entitled to be received by that claimant, whether gratuitously or otherwise, from any other source.

[Section 14(2) substituted by section 13 of Act No. 47 of 2003]

 

(3) If the council rejects a claim, an action in respect of that claim may be instituted against the council in the court within whose jurisdiction the principal place of business of the council is situated —
(a) if the claimant has exhausted all legal remedies against the fresh produce agent in respect of whom the claim arose; or
(b) with leave of the council, before all legal remedies against the said agent have been exhausted.

[Section 14(3) substituted by section 13 of Act No. 47 of 2003]

 

(4) In any action against the council all defences which would have been available to the fresh produce agent in respect of whom the claim arose, shall be available to the council.

[Section 14(4) substituted by section 13 of Act No. 47 of 2003]

 

(5) When the council settles in full or in part any claim under this Act—
(a) there shall pass to the council, to the extent of such settlement, all the rights and remedies of the claimant in respect of such claim against the fresh produce agent or, if applicable, in the case of the death, insolvency or other legal incapacity of such fresh produce agent, against the estate of the said fresh produce agent; and
(b) the council may use any security furnished by or on behalf of a fresh produce agent in terms of section 17, to reimburse the fund for the amount for which the claim was settled.

[Section 14(5) substituted by section 13 of Act No. 47 of 2003]

 

(6)
(a) The council may in its discretion decide on the order in which claims  admitted by the councilor awarded by the court shall be paid out of the fund.
(b) If at any time the amount to the credit of the fund is insufficient to pay all such claims, the council may determine the order in which claims in terms of subsection (1) shall be settled, and may, if the revenue of the fund is not sufficient to settle all claims in full, settle and claim in whole or in part.
(c) Without limiting the discretion of the council it shall, in applying the fund towards such settlement of claims, consider—
(i) the relative degrees of hardship suffered or likely to be suffered by the various claimants should their claims against the fund not be settled in whole or in part;
(ii) subject to subparagraph (i), the full settlement of claims not exceeding the amount prescribed by the Minister by notice in the Gazette, except in special circumstances, before claims for amounts exceeding such amounts are settled to a greater extent than such prescribed amounts;
(iii) in equal circumstances, the priority of claimants according to the dates when the claims were admitted by the council, as the case may be;
(d) A proportional payment under paragraph (b) shall be deemed to be full and final payment in respect of the claim.

[Section 14(6) substituted by section 13 of Act No. 47 of 2003]