South Africa Case Law

De Jongh Ontwikkelings (Pty) Ltd and Another v Kilotech Investments (Pty) Ltd and Others (63945/2013)

De Jongh Ontwikkelings (Pty) Ltd and Another v Kilotech Investments (Pty) Ltd and Others (63945/2013) [2021] ZAGPPHC 190; 2021 (4) SA 492 (GP) (25 March 2021)

Court

North Gauteng High Court, Pretoria

Case number

63945/2013

Judge

Davis

The High Court held that DJO’s disposal of a R1.9 million claim to Kilotech was impeachable under the Insolvency Act and ordered repayment with interest.

• Insolvency Act Section 26
• Disposition Without Value
• Collusive Dealing
• Liquidation
• Impeachable Transaction
• Insolvency-act-section-26

Bester and Others NNO v Gouws and Others (851/2019)

Bester and Others NNO v Gouws and Others (851/2019) [2020] ZASCA 174 (17 December 2020)

Court

Supreme Court of Appeal

Case number

851/2019

Judges

Ponnan, Wallis, Zondi, Dlodlo, Weiner

The Supreme Court of Appeal held that the trustees of the RVAF Trust either had, or could reasonably have acquired, the requisite knowledge to institute claims against the brokers by 23 October 2012. The relevant facts, including the existence and identity of the brokers and the commissions paid, were readily available in the broker files and could have been accessed through reasonable care. The trustees' decision to prioritise other matters did not justify postponing the running of prescription, as a creditor cannot delay prescription through their own conduct. The court found no material mi…

Source excerpt

• Prescription Act
• Trustee Liability
• Unjust Enrichment
• Ponzi Scheme
• Impeachable Transaction

Pollock NO and Another v Simcha Properties 2 CC and Others (12264/2010)

Pollock NO and Another v Simcha Properties 2 CC and Others (12264/2010) [2010] ZAGPJHC 48 (4 June 2010)

Court

South Gauteng High Court, Johannesburg

Case number

12264/2010

Judge

Lamont

High Court interim interdict case about allegedly impeachable property disposals by insolvent companies, pending an action under the Insolvency Act.

• Interim Interdict
• Impeachable Transaction
• Insolvency Act Sections 26 29 30 31
• Liquidation
• Preferential Creditor
• Loss Of Chance

Duet and Magnum Financial Services CC (In Liquidation) v Koster (168/09)

Duet and Magnum Financial Services CC (In Liquidation) v Koster (168/09) [2010] ZASCA 34; 2010 (4) SA 499 (SCA) ; [2010] 4 All SA 154 (SCA) (29 March 2010)

Court

Supreme Court of Appeal

Case number

168/09

Judges

Nugent, Heher, Van Heerden, Theron, Seriti

The Supreme Court of Appeal held that the statutory right given to liquidators under the Insolvency Act to seek a declaration setting aside impeachable transactions is a 'debt' for purposes of the Prescription Act. This right accrues once the necessary statutory events have occurred, typically upon the appointment of a liquidator. Prescription commences to run from that date, not from the date when the court makes the declaration. The court overruled the contrary decision in Barnard and Lynn NNO v Schoeman, confirming that the right is subject to prescription and that the claim in this case h…

Source excerpt

• Prescription Act
• Liquidator Rights
• Impeachable Transaction
• Setting Aside Dispositions
• Statutory Remedies

Business Partners Ltd v Pieterse (11183/2008)

Business Partners Ltd v Pieterse (11183/2008) [2008] ZAWCHC 295 (17 November 2008)

Court

Western Cape High Court, Cape Town

Case number

11183/2008

Judge

Traverso

The High Court dismissed an application for final sequestration, holding that the applicant had not shown a real financial benefit to creditors.

• Final Sequestration
• Creditor Benefit Requirement
• Secured Creditor Priority
• Impeachable Transaction
• Final-sequestration
• Insolvency

Business Partners Limited v Pieterse and Another (11183/2008)

Business Partners Limited v Pieterse and Another (11183/2008) [2008] ZAWCHC 89 (17 November 2008)

Court

Western Cape High Court, Cape Town

Case number

11183/2008

Judge

Traverso

The court dismissed an application for final sequestration, finding no real benefit to creditors and only speculative prospects of recovery.

• Final Sequestration
• Benefit To Creditors
• Secured Creditor Priority
• Impeachable Transaction
• Final-sequestration
• Benefit-to-creditors