South Africa Case Law

Standard Bank of South Africa and Another v Setshabelo Trading 647 (Pty) Ltd and Another (3085/2025)

Standard Bank of South Africa and Another v Setshabelo Trading 647 (Pty) Ltd and Another (3085/2025) [2025] ZAFSHC 208 (7 July 2025)

Court

Free State High Court, Bloemfontein

Case number

3085/2025

Judge

Reinders

The High Court held that a business rescue resolution was adopted while liquidation proceedings were still pending, contrary to section 129(2)(a) of the Companies Act.

• Business Rescue
• Companies Act Section 129
• Liquidation Proceedings
• Intervention Application
• Business-rescue
• Companies-act-section-129

Kwadukuza Municipality v Consolidated Aone Trade and Invest 6 (Pty) Ltd [in Liquidation] and Others (1273/2023)

Kwadukuza Municipality v Consolidated Aone Trade and Invest 6 (Pty) Ltd [in Liquidation] and Others (1273/2023) [2025] ZASCA 86 (11 June 2025)

Court

Supreme Court of Appeal

Case number

1273/2023

Judges

Mbatha, Hughes, Baartman, Vally, Molitsoane

The SCA held that a municipality may not demand historical municipal debts beyond section 118(1)’s two-year period as a condition for a rates clearance certificate.

• Municipal Rates Clearance
• Payment Under Protest
• Prescription Act
• Refund Of Overpayment
• Liquidation Proceedings
• Municipal-rates-clearance

Symes N.O and Others v Garvelli (Pty) Ltd (2023/037126)

Symes N.O and Others v Garvelli (Pty) Ltd (2023/037126) [2025] ZAGPJHC 570 (9 June 2025)

Court

South Gauteng High Court, Johannesburg

Case number

2023/037126

Judge

Dlamini

The High Court held that the applicants had authority to proceed, dismissed a stay application, and ordered the respondent to pay costs.

• Authority Of Attorney
• Locus Standi
• Power Of Attorney
• Temporary Stay
• Liquidation Proceedings
• Rule-7-authority

Mahanyelo N.O and Others v Venter (116098/23)

Mahanyelo N.O and Others v Venter (116098/23) [2025] ZAGPPHC 496 (16 May 2025)

Court

North Gauteng High Court, Pretoria

Case number

116098/23

Judge

N L Moila

The court found that the plaintiffs' particulars of claim contain all the necessary averments to sustain a cause of action against the defendant. The allegations provide sufficient detail regarding the liquidation, the defendant's role as director, and the alleged fraudulent conduct. The defendant's complaints relate to facta probantia (evidence) rather than facta probanda (material facts required to be pleaded). The court accepted the pleaded facts as true and held that, on any reasonable interpretation, the particulars of claim disclose a cause of action. The exception was therefore dismiss…

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• Exception To Particulars Of Claim
• Companies Act Liability
• Liquidation Proceedings
• Fraudulent Trading
• Director Liability

Cape Connexions (Pty) Ltd v Wolves Den Farming (Pty) Ltd and Others (9760/2023)

Cape Connexions (Pty) Ltd v Wolves Den Farming (Pty) Ltd and Others (9760/2023) [2025] ZALMPPHC 77 (25 April 2025)

Court

Limpopo High Court, Polokwane

Case number

9760/2023

Judge

Mashamba

The High Court granted business rescue for Wolves Den Farming, finding proper service, bona fide motives, and a reasonable prospect of rescue.

• Business Rescue
• Companies Act Section 131
• Liquidation Proceedings
• Abuse Of Process
• Creditor Rights
• Business-rescue

Botha N.O and Others v Van Der Merwe N.O and Another (056043/2023)

Botha N.O and Others v Van Der Merwe N.O and Another (056043/2023) [2025] ZAGPPHC 413 (17 April 2025)

Court

North Gauteng High Court, Pretoria

Case number

056043/2023

Judge

Mali

Liquidators obtained an interim interdict stopping further alienation of an aircraft pending action to set aside its sale, with costs awarded to the applicants.

• Interim Interdict
• Liquidation Proceedings
• Disposition Of Property
• Fiduciary Duties Of Liquidators
• Section 26 Insolvency Act
• Rule 7 Uniform Rules

Sumeil (Pty) Ltd v Coogal Finance (Pty) Ltd (In Liquidation) and Others (1140/2023)

Sumeil (Pty) Ltd v Coogal Finance (Pty) Ltd (In Liquidation) and Others (1140/2023) [2025] ZASCA 27 (28 March 2025)

Court

Supreme Court of Appeal

Case number

1140/2023

Judges

Zondi AP, Koen JA, Coppin JA, Phatshoane AJJA, Bloem AJJA

The Supreme Court of Appeal held that set-off could only operate in respect of mutual debts that existed and were due at the deemed date of liquidation. Sumeil admitted owing Coogal R185 000 on that date, but the evidence showed Coogal owed Sumeil a greater amount, resulting in set-off extinguishing Sumeil's liability for that sum. The balloon payments under the master rental agreements were not yet due at the deemed date of liquidation and thus could not be set off. Furthermore, Coogal and its liquidator failed to make out a case for payment of the balloon amounts, as they did not tender rec…

Source excerpt

• Set Off
• Executory Contracts
• Reciprocal Obligations
• Liquidation Proceedings
• Plascon Evans Rule

Smith N.O and Another v Magnus N.O and Others (4220/2022; 4221/2022; 4222/2022)

Smith N.O and Another v Magnus N.O and Others (4220/2022; 4221/2022; 4222/2022) [2025] ZAFSHC 109 (20 March 2025)

Court

Free State High Court, Bloemfontein

Case number

4220/2022; 4221/2022; 4222/2022

Judges

Mhlambi, Loubser, Daniso

The court found that the payments made by the business rescue practitioner to the respondents after the commencement of winding-up proceedings were not bona fide, not made in the ordinary course of business, and improperly preferred certain creditors over others. The business rescue practitioner acted outside the scope of the adopted business rescue plan and without proper creditor approval. The respondents were aware of the company's financial distress and the pending liquidation application. The courts a quo misapplied the law by validating the payments under section 341(2) of the Companies…

Source excerpt

• Business Rescue
• Void Dispositions
• Companies Act 1973
• Preferent Creditors
• Liquidation Proceedings
• Judicial Discretion

Carrim N.O and Others v BP Southern African Proprietary Limited and Others (Leave to Appeal) (2023-098436)

Carrim N.O and Others v BP Southern African Proprietary Limited and Others (Leave to Appeal) (2023-098436) [2025] ZAGPPHC 221 (3 March 2025)

Court

North Gauteng High Court, Pretoria

Case number

2023-098436

Judge

E van der Schyff

The High Court refused leave to appeal, holding that section 341(2) of the Companies Act 61 of 1973 was clear and that no reasonable prospect of success was shown.

• Companies Act 1973
• Interpretation Of Statutes
• Leave To Appeal
• Liquidation Proceedings
• Companies-act-1973
• Statutory-interpretation

Standard Bank of South Africa Limited v Symes and Another (6037/2023)

Standard Bank of South Africa Limited v Symes and Another (6037/2023) [2025] ZAFSHC 78 (28 February 2025)

Court

Free State High Court, Bloemfontein

Case number

6037/2023

Judge

Naidoo

The High Court held that the bank had cancelled the finance agreements before liquidation, retained ownership of the excavators, and was entitled to sale and rental proceeds.

• Ownership Of Assets
• Instalment Sale Agreements
• Liquidation Proceedings
• Proof Of Claim
• Waiver Of Rights
• Ownership-of-assets