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South Africa Case Law

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Civil Procedure [2025] ZAFSHC 189

Smith NO and Another v Van Jaarsveld and Another (4990/2021)

Smith NO and Another v Van Jaarsveld and Another (4990/2021) [2025] ZAFSHC 189 (26 June 2025)

The court found that the payments made by Trackstar Trading 140 (Pty) Ltd to the first respondent after the liquidation application was launched but before the liquidation order was granted constituted dispositions within the meaning of section 341(2) of the Companies Act. The first respondent was aware of the liquidation proceedings and the payments amounted to undue preference over other creditors. The default position under section 341(2) is that such payments are void unless the court exercises its discretion to validate them. After considering the facts, the chronology of events, and the…

  • Company Liquidation
  • Void Disposition
  • Business Rescue Practitioner Fees
  • Undue Preference
  • Court Validation Of Payments
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Commercial And Corporate [2021] ZAGPPHC 859

Cawood N.O v Murray N.O and Others (A127/19)

Cawood N.O v Murray N.O and Others (A127/19) [2021] ZAGPPHC 859; 2024 (6) SA 222 (GP) (12 December 2021)

The court held that while there is no direct precedent for forfeiture of business rescue practitioners' fees, the inherent power of the court to sanction practitioners for misconduct is established in South African law. The BRPs failed to fulfil their statutory duties under the Companies Act, acted to the detriment of creditors and shareholders, and their conduct warranted censure. However, the court found insufficient evidence to justify setting aside the resolutions placing the companies under business rescue. The order of the court a quo denying the BRPs their fees was set aside, as was th…

  • Business Rescue Practitioner Fees
  • Conversion To Liquidation
  • Court Inherent Powers
  • Remuneration Forfeiture
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South Africa decisions are organised by court, judge, legal area and indexed issue so a practitioner can move from a proposition to a citable authority with the surrounding context intact.