Supreme Court of Appeal Clarifies Accrual Claims and Commencement Values in Antenuptial Contracts

In a significant ruling handed down by the Supreme Court of Appeal (SCA), the Court has provided much-needed clarity on how commencement values declared in antenuptial contracts (ANCs) should be interpreted in accrual disputes.

The parties were married out of community of property with the inclusion of the accrual system, governed by a valid ANC. In the contract, the respondent declared a substantial commencement value of R68.7 million, while the applicant (the wife) declared nil. Upon divorce, the applicant sought to claim from the respondent’s estate, arguing that the commencement value had been grossly overstated and requesting a court-ordered statement of account and financial debatement.

While the High Court granted the divorce, it dismissed the applicant’s accrual claim. Her subsequent attempt to appeal was also refused—leading to a final hearing before the SCA.

Key Issues Before the Court

1. Responsibility for delays in filing the appeal record.

2. Whether leave to appeal should be granted given conflicting precedents.

3. The interpretation of section 6(3) of the Matrimonial Property Act.

4. Whether the applicant had proved any accrual in the respondent’s estate.

   
   

Judgment Highlights

• Condonation and Costs:The Court found the delay in finalising the appeal record to be unjustified, ordering the applicant to pay the associated costs.

  
  

• Leave to Appeal Granted:Despite the procedural issues, the SCA recognised ongoing uncertainty in case law around section 6(3) of the MPA and granted leave to appeal to settle the legal position.

  
  

• Interpretation of Section 6(3):The Court considered two competing interpretations:

  
  

  • One view considers declared commencement values in ANCs as conclusive and binding.

  • The alternative treats them as prima facie proof only, subject to rebuttal.

    
    

  The SCA decisively sided with the first approach, stating that unless there is a common law ground (such as fraud, duress, or mistake), the declared value cannot be challenged. In this case, the applicant failed to plead or prove any such ground.

  
  

• No Accrual Proven:Critically, the respondent’s estate had decreased in value over the course of the marriage—from R68.7 million to R11.5 million. Since the accrual system operates on growth, and not mere value, the applicant had no valid claim. The onus to prove otherwise lay with her—and was not met.

  
  

This ruling settles a crucial question in South African matrimonial law: Is a commencement value declared in an ANC set in stone? The answer—unless there's fraud or a material mistake—is a firm yes.

Practically, this has important implications:

• Parties entering into ANCs must carefully consider and verify the values they declare.

• Post-marriage attempts to question or re-calculate commencement values face a high legal threshold.

  
  

  Conclusion

  
  

The appeal was dismissed with costs. The applicant’s accrual claim failed, and the commencement value declared in the ANC stood firm.

This judgment reinforces certainty in matrimonial property law and underscores the importance of legal advice when drafting and signing antenuptial contracts.

The SCA’s ruling provides long-awaited clarity on the status of ANC commencement values. It gives certainty to parties and helps avoid disputes—if the ANC is done right from the start.

Need help reviewing your ANC or dealing with a complex divorce? Contact Rudolf Buys & Associates Attorneys — we’re here to guide you through every legal turn.