On 31 March 2008 the Rossitter Family Trust (the trust) represented by the first appellant in his capacity as a trustee, and BOE Private Bank, the respondent’s predecessor in title, concluded a written loan agreement (the first loan agreement), in terms of which the respondent advanced to the trust, the amounts of R13.5 million and R9.77 million, repayable with interest in instalments over a period of 240 months.

Subsequently, the parties, on various occasions, made written variations to the terms of the first loan agreement, more particularly concerning the trust’s repayment obligations – timeframes were changed. In the last such variation in respect of the loan agreement of R 13.5 million concluded on 15 March 2010, the parties agreed that the capitalised loan amount payable by the trust was R14.65 million which together with additional amounts (not capitalised) would amount to R15 233 273.79 being repayable, plus interest at a rate equal to respondent’s prime rate plus 1 per cent.