Wait v Marais and Others (1707/2021)
Wait v Marais and Others (1707/2021) [2022] ZAECQBHC 41 (1 November 2022)
The court found that the respondents breached their duty under section 71(4)(a) of the Companies Act by failing to provide the applicant with the requested documents and information necessary to prepare a response to the proposed resolution for his removal. The reasons given for removal were vague, general, and lacked sufficient specificity, falling short of statutory requirements. The applicant was entitled to receive relevant information from the board, and the respondents' failure rendered the board's determination fatally flawed. The court held that the review under section 71(5) is a wid…
Source excerpt
- Removal Of Director
- Companies Act Section 71
- Procedural Fairness
- Board Resolution
- Corporate Governance