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Economic Abuse

South African Law and in particular the Domestic Violence Amendment Act 116 of 1998 (DVA) as amended, has recognised that economic abuse is a form of domestic violence. This legislation is a welcome change from the popular misconception that domestic violence only relates to verbal and physical forms of abuse.

Although economic abuse is a prevalent form of abuse, it is not readily identified by the victims and court as a form of abuse. The reason is that much emphasis is placed on physical abuse as a form of domestic violence. It is common for the untrained eye to miss this form of abuse. Economic abuse is generally silent abuse.

In terms of the DVA, “economic abuse is the unreasonable deprivation of economic or financial resources to which a complainant is entitled under law”. The definition in the act is wide and as such has extended to the coercion of the victim to relinquish control over or to sign any legal document that would authorise the abuser to manage or control the financial affairs of the victim. The elements of economic abuse are the coercive and controlling behaviour of the abuser.

Economic abuse is a prevalent and frequent form of abuse against women and children. In most instances it is women who are illegally prevented from accessing their bank accounts, maintenance, their vehicles and their homes. They also have their credit worthiness destroyed and end up attracting significant debt without their consent. Women are excluded from making their own financial decisions despite this significantly and devastatingly impacting on their lives.

In most instances the women who find themselves victims of economic or financial abuse are led to believe that the abuser is taking care of them or is taking control out of a sense of duty or family love. More often than not, this form of abuse can lead to other forms of abuse.

In the case of K v S [2014] ZAFSHC 144, the court held that a failure of the appellant to effect monthly payments of maintenance is a form of economic abuse. The appellant wanted to punish the complainant by subjecting her to this form of domestic violence.

Another example of economic abuse is where the abuser, through strong discouragement, prevents the victim from securing or maintaining employment. Whenever an abuser intentionally behaves in a manner aimed at destroying the victim‘s financial resources or credit worthiness, it is considered to be a form of economic abuse and domestic violence.

This type of abuse is commonly used to isolate, control and to deny the victim a support system or any form of independence from the abuser. The adverse and long-term side-effect of this form of abuse is that the victim is often reluctant to leave the abuser. Even when they eventually choose to leave, the reality of the economic abuse is that the victims find themselves destitute, with crippling debt and loss of assets, employment, etc.

In conclusion, to protect innocent victims from financial ruin etc., it is essential for our courts to recognise and acknowledge economic abuse as a serious form of abuse and domestic violence.