Strydom N.O. and Another v Snowball Wealth (Pty) Ltd and Others (356/2021)
Strydom N.O. and Another v Snowball Wealth (Pty) Ltd and Others (356/2021) [2022] ZASCA 91; 2022 (5) SA 438 (SCA) (15 June 2022)
The Supreme Court of Appeal held that the phrase 'not made for value' in section 26(1) of the Insolvency Act 24 of 1936 means for no value at all, not for inadequate or insufficient value. The court found that the appellants' interpretation would require significant reading-in and would lead to absurd results, such as setting aside bona fide sales at discounted prices years after the fact. The statutory context and purpose indicate that section 26(1) is intended to apply only to gratuitous dispositions, not to ordinary commercial transactions. The appeal was dismissed as the sales in question…
Source excerpt
- Insolvency Act Section 26
- Disposition Without Value
- Liquidation
- Company Winding Up
- Adequate Value
- Remedies For Creditors