Lexis Nexis
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In Massyn v De Villiers NO and Others [2021] 3 All SA 578 (WCC), establishing an inquiry by liquidators into the affairs of a company in terms of s 417 of the Companies Act, is if deemed fit, acceptable and necessary for winding-up the affairs of the company and distributing its assets. -
A recent judgment in First National Nominees Pty Ltd and Others v Capital Appreciation Limited has, to a certain extent, provided much-needed clarity as to whether a company's acquisition of more than 5% of its issued shares is in fact a scheme, or merely subject to the procedural requirements thereof. Either way, are appraisal rights triggered when the company proposes such a buyback? -
Before totally closing down your business you might want to consider a business merger with a business that offers or renders the same goods and services as yours. -
Directors wanting to address problems in financially distressed companies need to be proactive, diligent, and aware of all options available to them, including the option of business rescue, its value, and the importance of its timing. -
A voluntary association of persons is an entity that is useful for those interested in conducting a business for a public-benefit purpose. Namely, because it is relatively straightforward and economical to use. This article informs readers about a voluntary association of persons by discussing its origins, the applicable law and why it is valuable for a group of persons aiming to achieve a common objective. -
In Van Zyl v Auto Commodities (Pty) Ltd [2021] 3 All SA 395 (SCA), Section 154(2) of the Companies Act only precludes creditors from pursuing claims against the company after the business rescue plan has been implemented. It does not affect or extinguish the liability of a surety for the debt. -
South Africa has adopted many of the international core rescue principles applicable in foreign jurisdictions, creating a modern business rescue regime aimed at saving financially distressed companies, preserving employment and restructuring the discharge of debt. -
To avoid wasting time and money on legal fees in seeking clarity from the courts, review your commercial lease contract, as we discuss the impact of looting. -
A force majeure is generally defined as “an act of God or man that is unforeseen and unforeseeable and out of the reasonable control of one or both of the parties to a contract, and which makes it objectively impossible for one or both of the parties to perform their obligations under the contract.” -
COVID-19 could lead to substantial losses being suffered by parties as a result of non-performance, but reliance on force majeure in such cases will depend on how it has been defined in their commercial agreements and what steps they have taken to mitigate the losses.