Tri-Optics CC t/a Wolfe Elektries and Others v Gericke (A342/2014)
Tri-Optics CC t/a Wolfe Elektries and Others v Gericke (A342/2014) [2016] ZAWCHC 136 (9 September 2016)
The appeal was upheld because the evidence did not establish a gross abuse of the close corporation's juristic personality. The court found that the cessation of the close corporation's business and the commencement of a new business by Mathew Wolfe-Coote as a sole proprietor did not amount to an abuse justifying piercing the corporate veil. There was no proof that assets were transferred improperly or that Althea or Mathew should be personally liable for the corporation's debts. The magistrate failed to consider whether the order would achieve justice, as the personal assets of Althea and Ma…
Source excerpt
- Close Corporations Act Section 65
- Piercing Corporate Veil
- Personal Liability Of Members
- Liquidation Procedure