Maroos and Others v GCC Engineering (Pty) Ltd and Others (36777/2017)
Maroos and Others v GCC Engineering (Pty) Ltd and Others (36777/2017) [2017] ZAGPPHC 297 (15 June 2017)
The court held that the effect of a business rescue application under section 131(6) of the Companies Act 2008 is to suspend liquidation proceedings, including the powers of provisional liquidators. During this suspension, the assets of the company fall under the control of the Master, but the management powers and authority to conduct the company's affairs re-vest in the director. This interpretation aligns with the purpose of business rescue, which is to allow the company to resume trading and potentially be rescued, and avoids leaving the company without management. The court rejected cont…
Source excerpt
- Business Rescue
- Liquidation Suspension
- Director Powers
- Interim Management
- Companies Act Interpretation