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AMENDMENTS TO THE PERPETUAL SUCCESSION ACT


THE LAND
(PERPETUAL SUCCESSION)
ACT


by

Musendeka Ntanda | LL. B (CUZ) | Trainee Attorney
Dispute Resolution | Corporate Advisory
Reagan Blankfein Gates Legal Practitioners

1.0 Introduction
Perpetual Succession in Zambia is the province of the Land (Perpetual Succession) Act Cap 186 of the laws of Zambia (the Principal Act). On 7 October 2020, the National Assembly passed a Bill to amend and incorporate some provisions in the Principal Act, the Lands (Perpetual Succession) Act No 15 of 2020 (the Bill). It is now an Act of Parliament. This paper is an attempt to explore the provisions of said Act and ascertain the mischief it seeks to remedy

2.0 Amended Provisions
The Act has introduced some provisions which upon analysis, have closed possible gaps in the principal Act. The provisions amended are those that relate to beneficial ownership; procedure for applying for a certificate of incorporation; the period to which returns to the minister are to be made; penalty for failure to make a return to the minister within the stipulated period or upon the request by the minister; compliance with regulatory requirements under the relevant legislative and regulatory framework; and penalty for failure to comply with regulatory requirements.  Below, we explore the new amendments to the principal Act in turn.

3.0 Beneficial Ownership
The Act introduces section 1A which provides for the definition of Beneficial Ownership. Thus, “beneficial ownership” has the same meaning assigned to the words in the Companies Act No 10 of 2017 (the Companies Act). While in the past this definition was absent, there is now a clear definition in this respect even though one has to make reference to the Companies Act to find the same.

4.0 Application for certificate of incorporation
The Act completely repeals and replaces s 4 of the principal Act. The new provision now gives a full and clear procedure of how to apply for a Certificate of Incorporation as opposed to the incomplete procedure under the old s 4 of the principal Act.

The new s 4 now provides as follows:

A person may apply to the Minister for a certificate of incorporation of a trust of a community, body or association of persons.

The Act further provides for who can apply for a Certificate of Incorporation of a trust by prescribing documents that are to accompany the application. In this regard, the application, pursuant to 4(2), is to be accompanied by:

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