Acts Online
GT Shield

Road Traffic Management Corporation Act, 1999 (Act No. 20 of 1999)

Chapter 2 : Establishment and governance of Road Traffic Management Corporation

23. Transfer of assets and liabilities

 

(1) The Shareholders Committee must, as soon as possible after the commencement of this Act, come to an agreement in respect of—
(a) the extent of national and provincial assets, liabilities, rights and obligations to be transferred to the Corporation in terms of subsection (2);
(b) the minimum terms and conditions upon which any officer of the national or a provincial Department of Transport who elects to leave the employ of the Department and who is due to be appointed permanently to a position in the Corporation by the chief executive officer—
(i) may leave the employ of the national or a provincial Department; and
(ii) may be employed by the Corporation; and
(c) any other matter which the Shareholders Committee considers necessary or desirable for the proper functioning of the Corporation.

 

(2) National and provincial assets, liabilities, rights or obligations must be transferred by national and provincial authorities concerned to the Corporation—
(a) in terms of a Shareholders Committee agreement contemplated in subsection (1)(a), approving the transfer with a view to achieving the objects of the Corporation; and
(b) with the approval of the MEC responsible for finance and the MEC responsible for public works in the province affected by the transfer.

 

(3) The registrar of deeds in question must, on application by the Shareholders Committee and on lodgment of the relevant title deeds in respect of an asset or a liability

 

(4) The Corporation must be substituted for the State as a contracting party in respect of any contract transferred to the Corporation in terms of subsection (2), without the substitution bringing about novation of such contract.

 

(5) Any litigation resulting from any cause of action in relation to any movable asset, liability, right or obligation transferred to the Corporation in terms of subsection (2) which arose—
(a) before the transfer date, must be conducted by or against the State, as the case may be; and
(b) on or after the transfer date, must be conducted by or against the Corporation, as the case may be.