Articles
Business Rescue vs Liquidation in South Africa
Insurance for Liquidators In simple terms, business rescue vs liquidation can be compared to rehabilitation versus shutdown. When a company is financially distressed, liquidation, also known as “winding up,” may be the best option if the company has no reasonable prospect of recovery. Liquidation occurs when a debtor company, unable to pay its debts, is…
Don’t Be Without PI Insurance
Possibly one of the worst betrayals is when a professional individual paid to look after a client’s interests, neglects their duty in a way that leaves the client physically, financially, emotionally or legally compromised – or suffering a combination of all these. Professional negligence is a breach of the duty of care between a professional…
Impersonation Fraud
Impersonation fraud is becoming the number one risk for legal practices, particularly conveyancing firms and can result in firms and their clients losing hundreds of thousands of rands. Impersonators prey on the fact that clients choose to communicate with their attorneys by email. This has many advantages as it is fast, convenient and hassle free…
Why Shackleton Top-Up Indemnity Insurance for Professionals?
WHY SHACKLETON TOP-UP INDEMNITY INSURANCE FOR PROFESSIONALS? The limit of professional indemnity cover for negligent acts, errors or omissions committed by legal practitioners offered by the AIIF is limited in its amount annual and scope. The limit is determined by the number of directors of the firm meaning the smallest amount of cover is offered…
The appointment of a Tutor, when and how?
A tutor may be appointed over the estate of a minor where necessary. A child or minor is defined in the Children’s Act as meaning a person under the age of 18 years. The general rule is that minors are under disability in that the law does not regard them as capable of managing their…
Punitive Costs Orders for Executors
Punitive costs orders for executors who fail to lodge accounts or perform their duties The Administration of Estates Act, 1965 (“the Act”) provides that if an executor fails to lodge any account with the Master as and when required to by the Act or to lodge any voucher or vouchers in support of such account…
Business Rescue: How do I apply for a license as a Business Rescue Practitioner?
A person may be appointed as a business rescue practitioner of a company only if he or she is a member in good standing of a legal, accounting or business management profession. A conditional license as a practioner may be issued to a person who has been nominated by a company that is financially distressed.…
Curator Bonds of Security | Document Guide
A guide on what documents I need to lodge bonds of security with the Master of the High Court in Curator matters CURATOR BONIS IN RESPECT OF PERSONS INCAPABLE OF MANAGING THEIR OWN AFFAIRS: 1) Notice of Motion, affidavit and annexures 2) Consent to act as curator-ad-litem (if applicable) 3) Certified copy of Court Order…
Trustee Bonds of Security | FAQS
Do all trustees require trustee bonds of security? No, if trustees are exempt from furnishing security in the trust deed, they will not be required to source a bond through a bond provider. What happens if a trustee named in the Letters of Authority resigns or dies – does this affect the security bond? On…
Employees of Trustee’s not entitled to fees from of an insolvent estate
Employees of Trustees and Insolvent Estates: No employee of a trustee is entitled to remuneration out of an insolvent estate for services rendered by him to the estate. Nor shall a partner of a trustee be entitled to any remuneration out of the estate for services he may have rendered to the estate. Only the…
What is Business Rescue?
Business rescue, as defined by Chapter 6 of the Companies Act 2008, aims to facilitate the rehabilitation of a company that is “financially distressed” by providing for: Essentially, the purpose of business rescue is to rescue the company by restructuring its affairs to achieve a better return for the company’s creditors or shareholders than would…
How to avoid a professional negligence claim
It is important for attorneys providing legal advice and services to be aware of which actions can give rise to a claim for professional negligence. Here are some tips to minimise a professional negligence claim being brought against you… Obtain all the facts The number one complaints against attorneys are neglect and delay. Consulting timeously…