Time to grow

It is an application brought in the High Court of South African, by an attorney in conjunction with an advocate or by voluntary surrender through CIPC on behalf of the debtor which ultimately allows the debtor (the applicant) to write off 80% of his debt as a final resort to escape insurmountable debt accrued through circumstance beyond his/her control.

Sequestration is thus the process by which a debtor who has become insolvent (someone who’s financial liabilities exceeds that of his/her assets) can obtain the legal status of Insolvent in order to enjoy the benefits of the status.  The debtor is relieved from further obligation to pay his/her creditors as stipulated by the original creditor’s agreement, and the creditor’s agreement and claims are brought to a close once they have received their benefit from the insolvent estate.