Wednesday, October 22, 2025
16 C
Gaborone

Law Society of Botswana Challenges Banks Over Conveyancing Practices

The Law Society of Botswana (LSB) has issued a stern notice, accusing some banks of violating the Competition Act, 2018, by forcing property buyers to use the bank’s panel attorneys for both bond registration and property transfer conveyancing. This practice, outlined in Notice No. 17 of 2025, is deemed “tying and bundling conduct,” an abuse of dominant position that restricts consumer choice and undermines fair competition in legal services.

The LSB differentiates between bond registration, which secures the bank’s financial interest and legitimately requires a panel attorney, and property transfer, which is a separate process of transferring ownership. The Society argues that requiring the same attorney for both is unjustified, as these processes can be handled separately without operational difficulties or increased risk.

The restrictive practice negatively impacts consumers by denying them established relationships, removing quality control, potentially increasing costs, and interfering with sellers’ rights. It also distorts the market by creating an artificial oligopoly and eliminating merit-based competition among legal practitioners.

The LSB recommends that banking institutions immediately cease requiring panel attorneys for property transfers, allowing them to continue for bond registration. They urge banks to explicitly inform consumers of their right to choose their own transfer attorney and call on the Competition Authority to investigate this practice. The LSB stresses that consumers have the right to choose their own attorney for property transfer and should not be forced to abandon their chosen conveyancer.

Hot this week

Kgosi Malope Calls for Collective Action Against Gender-Based Violence

Chairperson of the Ntlo Ya Dikgosi (NYD), Kgosi Malope,...

Botswana Commits ‘Billion Pula’ Future to Secure Selebi Phikwe

The Government of Botswana has executed a bold, two-pronged...

Swedish CEO Hails Botswana’s Industrial Hemp Vision

The Chief Executive Officer of Swedish company Hemp Innovations,...

Government Proposes P388.09 Billion NDP 12 Game Changer

The Umbrella Democratic Party (UDC)-led government has come up...

Botswana: The Strategic Investment Which Provides a Viable Alternative to the Gold Rush

The global financial landscape is currently divided between a...

Topics

Kgosi Malope Calls for Collective Action Against Gender-Based Violence

Chairperson of the Ntlo Ya Dikgosi (NYD), Kgosi Malope,...

Botswana Commits ‘Billion Pula’ Future to Secure Selebi Phikwe

The Government of Botswana has executed a bold, two-pronged...

Swedish CEO Hails Botswana’s Industrial Hemp Vision

The Chief Executive Officer of Swedish company Hemp Innovations,...

Government Proposes P388.09 Billion NDP 12 Game Changer

The Umbrella Democratic Party (UDC)-led government has come up...

Botswana: The Strategic Investment Which Provides a Viable Alternative to the Gold Rush

The global financial landscape is currently divided between a...

Botswana and Namibia Sign MoU to Strengthen Judicial Cooperation

Botswana and Namibia have signed a Memorandum of Understanding...

How Africa’s Eastward Financial Turn Meets a Western-Shaped Education System

By Christopher Mutasa Executive summary A realignment of global finance —...

Disrupt and Deliver: Botswana Unveils 66 Projects for Global Investors

Speaking at the Pula Investment Conference, President Duma Gideon...
spot_img

Related Articles

Popular Categories