Where directors of a company allow their personal financial interests to interfere with their duties to the company the consequences can be far-reaching, as illustrated by the recent judgment of the Commercial Court of the Gauteng Division of the High Court of South Africa in Atlas Park Holdings (Pty) Ltd v Tailifts South Africa (Pty) …
Residential property owners using their homes in contravention of the property’s zoning provisions should take note of a judgment of the Supreme Court of Appeal of South Africa (“SCA”) in the case of City of Johannesburg Metropolitan Municipality v Zibi and Another (234/2020) [2021] ZASCA 97 (9 July 2021) (the “Zibi case”), where the Court …
Using residential properties for commercial purposes: penalties by Reini Scheepers Read More »
INTRODUCTION It is important for taxpayers who claim deductions in respect of contributions to share incentive arrangements for employees, particularly where trusts are involved, to consider the potential impact of Commissioner for The South African Revenue Service v Spur Group (Pty) Ltd (the Spur Case). Section 95(1)(c) of the Companies Act 71 of 2008 (“Companies …
Employee share incentive schemes – Income tax implications by Stacy-Lee Dennis Read More »
Directors have a duty of disclosure where personal interests may be in conflict with that of the company and other stakeholders in the company. Section 75 of the Companies Act, 71 of 2008 (“the Act”) describes the circumstances where this duty of disclosure to the board of directors or shareholders applies. When does the duty …
Director’s duty to disclose financial interests by Carl Prinsloo Read More »
The Cybercrimes Act 19 of 2020 (“the Act”) has become law, creating a number of new offences relating to the use of computers, data and the internet. The date of commencement of the Act is yet to be announced. Offences and penalties The Act creates offences and imposes penalties for the following: unlawful and intentional …
REGISTRATION AS A CREDIT PROVIDER UNDER THE NATIONAL CREDIT ACT Lending money without being registered as a credit provider may have a dire effect on your rights as a lender. It is therefore important to know whether you are required to register as a credit provider under the National Credit Act (“the Act”) before entering …
Registration of credit providers under the NCA by Zorada Temmingh Read More »
It is a well-established principle that a company is a separate juristic person, distinct from its shareholders and directors. This is significant, because it implies ‘limited liability’ – the shareholders will not be held liable for the debts incurred by the company. Only in exceptional circumstances will the courts impose liability on shareholders for the …
Agreements for the alienation of immovable property must be in writing and must be signed by the parties. Can this be done electronically? Section 2(1) of the Alienation of Land Act, 68 of 1981 (“the Act”) provides as follows: “No alienation of land after the commencement of this section shall, subject to the provisions of …
This year saw the publication of two books by Cluver Markotter director, Prof Max Loubser. Extinctive Prescription (2nd edition), deals with the effect of the passage of time on obligations (debts), in terms of the Prescription Act 68 of 1969. This book has become a standard textbook on the law of prescription and is often …
Two book publications this year by Cluver Markotter director, prof Max Loubser Read More »
An asset-for-share transaction can be defined as a transaction whereby a person (“Transferor”) disposes of an asset to a Company and the Company, in turn, issues shares for the asset. Immovable property is often acquired through asset-for-share transactions and the focus of this article is on the possible Transfer Duty implications. The requirements of asset-for-share …
The Transfer Duty Implications of Asset-for-Share transactions by Jean de Wet Read More »