If a company owns the business and there are two or more shareholders, you should have a shareholders agreement or, at the very least, a buy and sell agreement providing for the surviving shareholder to have an option to purchase the shares of the deceased shareholder. You should also consider taking out life insurance on […]
Read more...Category: Commercial Law
Commercial Law
Is a restraint of trade still enforceable? PODCAST
Find out all you need to know about the enforcement of a restraint of trade by listening to our podcast at the link below: Did you know that you have a world of knowledge at your fingertips? Visit our FAQ page for answers to a wide variety of legal questions. Read more...
Options v Rights of first refusal
If you market, buy or sell immovable property on a regular basis you will at some stage be faced with Rights of First Refusal and Options. Although they might be similar in nature, they have core differences. Failure to understand these differences is simply not an option. In both cases you will have a grantor […]
Read more...Rent due: a creditors nightmare
In terms of Chapter 6 of the Companies Act 71 of 2008 (hereinafter referred to as “the Act”) a company, which is financially distressed, may be placed under business rescue. The business rescue proceedings may be commenced with either through a valid resolution passed by the board of directors or through an application made to […]
Read more...The duties and liabilities of company directors
The woes of Steinhoff have been in the news since December 2017. As has been widely reported in the press, the share price of the company fell by about 95% after it became known that the company materially overstated its profits and materially understated some of its liabilities. The board of Steinhoff consisted of eminent […]
Read more...When is payment of my commission due and payable to me by my employer?
I am employed as a temporary employee and my employer is now withholding commission I am entitled to in terms of our verbal employment agreement. Temporary employee: An employment situation where an employee is expected to remain in a position for a certain period of time. Temporary employees may have the opportunity to achieve permanent […]
Read more...What does “Offer + Acceptance = a Contract” mean?
What does “Offer + Acceptance = a Contract” mean? A contract is in our Law created where parties reach consensus on the essential elements of the specific contract. Where formality requirements are prescribed, the contract will only be binding if these have been complied with. Consensus is in most cases reached by one party making […]
Read more...When must VAT, transfer duty and capital gains tax be paid to SARS on the sale of immovable property?
VAT is payable to SARS by the seller together with any other VAT payable to SARS for the cycle in which the purchase price was received by the seller irrespective of when the contract of sale was signed. Transfer duty is payable within 6 months from the date of signing of the agreement, failing […]
Read more...I would like to buy a business. Should I buy the shares of the company owning the business or rather the business itself?
I would like to buy a business. Should I buy the shares of the company owning the business or rather the business itself? The company might sometimes have assessed losses, which would be available to you as purchaser for tax purposes. From that point of view the temptation would be to rather take over the […]
Read more...Is kapitaalwinsbelasting by die afsterwe van die eienaar van kapitale bates betaalbaar?
Ja as algemene reël. Die koers op natuurlike persone van toepassing, naamlik 40%, geld. Verder geld dit ook (soos in die geval waar kapitale bates van die hand gesit word) slegs ten opsigte van die kapitale wins sedert 1 Oktober 2001 gemaak. Kapitaalwinsbelasting geld verder nie ten opsigte van sekere bates wat vrygestel word nie, soos die oorledene se […]
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