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Scope of provisions Lastly, you should take note that <strong>the</strong> provisions of <strong>the</strong> Divorce Act with<br />

regard <strong>to</strong> pension sharing are applicable only <strong>to</strong> marriages in community<br />

of property, marriages out of community of property with application of<br />

<strong>the</strong> accrual system and marriages subject <strong>to</strong> complete separation of<br />

property concluded before 1 November 1984. Therefore, on page 131 in<br />

<strong>the</strong> prescribed textbook it is stated that spouses' pension interests are not<br />

taken in<strong>to</strong> account upon divorce if <strong>the</strong>y married with complete separation<br />

of property on or after 1 November 1984.<br />

170<br />

ACTIVITY<br />

What is a spouse's pension interest upon divorce if<br />

(1) <strong>the</strong> spouse is a member of a pension fund<br />

(2) <strong>the</strong> spouse is a member of a retirement annuity fund<br />

FEEDBACK<br />

(1) You merely had <strong>to</strong> indicate that <strong>the</strong> spouse's pension interest in this<br />

case is <strong>the</strong> benefit <strong>to</strong> which <strong>the</strong> spouse would have been entitled had<br />

he or she terminated his or her membership of <strong>the</strong> fund on <strong>the</strong> date of<br />

<strong>the</strong> divorce.<br />

(2) With regard <strong>to</strong> <strong>the</strong> second part of this question you merely had <strong>to</strong><br />

indicate that <strong>the</strong> spouse's pension interest is equal <strong>to</strong> all <strong>the</strong> spouse's<br />

contributions<strong>to</strong><strong>the</strong>retirementannuityfundup<strong>to</strong><strong>the</strong>dateof<strong>the</strong><br />

divorce, <strong>to</strong>ge<strong>the</strong>r with annual simple interest on those contributions<br />

calculated at <strong>the</strong> prescribed interest rate.<br />

QUESTIONS<br />

NB: Make sure that you can answer <strong>the</strong>se questions properly. They<br />

are designed <strong>to</strong> test your knowledge of <strong>the</strong> <strong>study</strong> material in<br />

this <strong>study</strong> unit.<br />

. The patrimony of <strong>the</strong> spouses Ð general<br />

(1) What determines <strong>the</strong> effect of divorce on <strong>the</strong> division of <strong>the</strong><br />

spouses' property?<br />

(2) Does fault still play a role as far as <strong>the</strong> consequences of divorce are<br />

concerned? Explain.<br />

. Pension interests<br />

(3) Does a spouse's pension interest au<strong>to</strong>matically fall in<strong>to</strong> his or her<br />

estate upon divorce? Give a full explanation, with reference <strong>to</strong><br />

authority.

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