Institution of Legal Proceedings against certain Organs of State Act, 2002 (Act No. 40 of 2002)Part 12. Prescription of debts, and amendment or repeal of laws and transitional arrangements relating to prescription of debts |
| (1) | The laws referred to in the Schedule are, as from the fixed date, amended or repealed to the extent set out in the third column of the Schedule. |
| (a) | before the fixed date, which has not been extinguished by prescription and in respect of which legal proceedings were not instituted before that date; or |
| (b) | after the fixed date, will be extinguished by prescription as contemplated in Chapter III of the Prescription Act, 1969 (Act No. 68 of 1969), read with the provisions of that Act relating thereto. |
| (3) | Subject to subsection (4), any period of prescription which was applicable to any debt referred to in subsection (2)(a), before the fixed date, will no longer be applicable to such debt after the fixed date. |
| (4) |
| (a) | The expired portion of any period of prescription applicable to a debt referred to in subsection (2)(a), must be deducted from the said period of prescription contemplated in Chapter III of the Prescription Act, 1969, read with the provisions of that Act relating thereto, and the balance of the period of prescription so arrived at will constitute the new unexpired portion of prescription for such debt, applicable as from the fixed date. |
| (b) | If the unexpired portion of the period of prescription of a debt referred to in paragraph (a) will be completed within 12 months after the fixed date, that period of prescription must only be regarded as having been completed 12 months after the fixed date. |