Mining Titles Registration Act, 1967 (Act No. 16 of 1967)Chapter VII : Bonds: General Provisions32. Requirements in case of bonds intended to secure future debts |
| (1) | No bond attested and registered after the commencement of this Act shall be of any force or effect for the purpose of giving preference or priority in respect of any debt incurred after the registration of the bond, unless— |
| (a) | it is expressly stipulated in the bond that it is intended to secure future debts generally or some particular future debt described therein; and |
| (b) | a sum is fixed in the bond as an amount beyond which future debts shall not be secured thereby. |
| (2) | A bond shall not be deemed to be a bond securing future debts within the meaning of subsection (1) by reason of the fact that it purports to secure payment by the mortgagor of the costs of preserving and realizing any security or of fire insurance premiums or of costs of notice or bank exchange. |