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South Africa decisions
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Smith N.O and Others v Van Der Ryst (1316/2023) [2024] ZANCHC 11 (9 February 2024)
The High Court granted trustees security for costs in a pending insolvency-related review, reducing the amount to R150,000 and making no costs order.
Van Heerden and Another v Master of the Eastern Cape High Court, Port Elizabeth and Others (1358/2022) [2023] ZAECQBHC 59; [2023] 4 All SA 875 (ECP) (3 October 2023)
The High Court held that the Master may appoint an evidence leader in a section 381 enquiry, but set aside the particular appointment of Adv van Zyl for lack of reasons.
Prinsloo v The Master of the High Court and Others (28039/2017) [2021] ZAGPJHC 594 (3 November 2021)
The court found that the liquidators failed to act independently and impartially, adopted a biased approach favouring the fifth respondent, and did not properly investigate the claims and assets of PMC Waterproofing and Roofing CC. The cumulative effect of their conduct, measured against their fiduciary obligations, justified their removal. The Master's decision to admit the claim of Stand 244 Hughes Ext 29 CC was set aside due to insufficient supporting documentation and lack of proper investigation, while the rejection of the applicant's claims was upheld as the claim forms were incomplete…
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Klein NO and Others v Levick and Others; In Re Levick and Another v Master of the High Court, Johannesburg and Others (40681/2019; 41368/2019; 526/2020; 13811/2020; 12492/2020) [2020] ZAGPJHC 306 (23 November 2020)
The court found that the provisional trustees had established good cause for the authority sought under s18(3) of the Insolvency Act. The trustees demonstrated urgency and reasonable grounds for opposing the review proceedings and instituting the counter application, which seeks to secure the attendance and cooperation of the witnesses at the s152 enquiry. The trustees' participation is necessary to protect the interests of the creditors, especially given the relief sought in the review applications, which could prejudice the estate. The court held that the trustees have locus standi to oppos…
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Papadogianis v Master of the High Court, Johannesburg and Others (2016/23003) [2017] ZAGPJHC 4 (3 February 2017)
The court found that the Master did not err in admitting the fourth respondent's claim. The claim was supported by affidavits and documentation, and the applicant himself admitted owing a portion of the maintenance. The applicant's objections were not substantiated by evidence, and the alleged bias of the Master was not proven. The provisional nature of the Master's decision was emphasized, with the trustees responsible for further examination of claims. The applicant's conduct was found to lack bona fides, and his allegations of payment were factually incorrect. The application for review an…
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Gilbey Distillers & Vintners (Pty) Ltd. and Others v Morris NO and Another (193/89) [1990] ZASCA 134; 1991 (1) SA 648 (AD); [1991] 1 All SA 406 (A) (16 November 1990)
The Supreme Court of Appeal held that, even assuming the appellants carried on the business and effected sales, the Master’s confirmation of the liquidation and distribution accounts was duly made in accordance with the prescribed procedures. The accounts were open for inspection, no objections were lodged, and dividends were paid. The finality provision in section 112 of the Insolvency Act precluded reopening the accounts except on grounds of fraud or iustus error. The court found no evidence of fraud or bad faith on the part of the trustee; any misrepresentation was at most an innocent mist…
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