MPR refers to the type of legal system applicable to a marriage: in or out of community of property, and the latter with or without inclusion of the so-called accrual system.

The MPR determines the way in which a married couple 's assets and liabilities are dealt with when the marriage ends. It also affects the rights of creditors regarding the assets of a married couple 's joint or individual estates. There are two main MPR options available to you:

In community of property
This system was by far the most widely used in South Africa before 1984 and was based on the now outdated notion that the wife is always the homemaker. The essence of this system is that one estate is formed. Each spouse is entitled to half of the entire estate. If the marriage is terminated by death, the surviving spouse will be entitled to half of the estate before the remainder is dealt with in accordance with the deceased spouse 's will.

The disadvantage of this system is that as far as creditors are concerned, there is only one estate. If one of the spouses incurs debts, creditors are in principle entitled to attach any of the assets in the estate. And if one of the spouses goes bankrupt, it will also result in the bankruptcy of the other.

Out of community of property but with accrual
Since 1984 it has been possible to apply the accrual system to your marriage. It is based on the principle that both spouses contribute to asset accumulation during the marriage. The wife may sacrifice a career during the early years to take care of the children. At the end of the marriage, both parties then share in the accrual of assets in the estate.

The accrual is determined by comparing the spouses ' net asset values at the start of the marriage with the position at the end. If the wife's net asset value is R10 000 at the start and R20 000 at the end, and the husband's is R5 000 at the start and R10 000 at the end, the wife's estate has grown by R10 000 and the husband 's by R5 000.

The spouse whose estate has shown less growth is then entitled to half of the difference between the accrual shown by other spouse's estate. The benefit of the accrual system is that until the marriage ends, the spouses' estates are treated separately and a creditor of the one cannot lay claim to the assets of the other.V