Homez Trailers And Bodies (Pty) v Standard Bank of South Africa Ltd (35201/2013)
Homez Trailers And Bodies (Pty) v Standard Bank of South Africa Ltd (35201/2013) [2013] ZAGPPHC 465 (27 September 2013)
The court held that the applicant failed to comply with the peremptory requirements of section 129(3) of the Companies Act by not notifying the respondent, an affected person, within five business days of the business rescue resolution. This failure rendered the resolution a nullity in terms of section 129(5), and the application was dismissed on this basis. Even if the point in limine were incorrect, the court found that section 136(2)(a) only allows the business rescue practitioner to suspend the company's obligations, not those of the respondent, and does not empower the practitioner to co…
Source excerpt
- Business Rescue Proceedings
- Companies Act Section 129
- Companies Act Section 136
- Credit Facility Suspension
- Affected Person Notification