Imobrite (Pty) Ltd v DTL Broedery CC (M506/19B)
Imobrite (Pty) Ltd v DTL Broedery CC (M506/19B) [2020] ZANWHC 67 (11 June 2020)
The court found that the respondent and Kotze are co-debtors under the agreement and securities, and the applicant is a creditor for purposes of liquidation. However, the applicant holds securities over the respondent's assets for the full amount of the debt, and there are no other creditors. The respondent has secured the debt to the applicant's reasonable satisfaction as required by section 69(1)(a) of the Close Corporations Act. The applicant's use of liquidation proceedings is not for the bona fide purpose of achieving a concursus creditorum but to enforce a debt, amounting to an abuse of…
Source excerpt
- Winding Up Proceedings
- Close Corporations Act
- Locus Standi
- Abuse Of Process
- Secured Debt
- Joint And Several Liability