Background: Loadshedding, being the deliberate and temporary shutdown of electricity supply to certain areas by a utility provider due to insufficient power generation capacity to meet demand, is a well-known phenomenon in the Republic of South Africa. With South African role players having realised that loadshedding...

Background: This article marks the beginning of a series that delves into essential legal principles relevant to transactions involving a company. It aims to shed light on aspects that all parties involved in such transactions should be aware of. Part 1 will examine the origins of a company's powers and the...

Incorporators often establish companies with specific goals, such as acquiring certain assets, pursuing business opportunities or realising commercial advantages. Prior to committing any resources towards a company prior to the formal incorporation and registration of such company, it is only natural for the...

Background: In terms of the provisions of the Companies Act No. 71 of 2008 (“Companies Act”), every company must possess a Memorandum of Incorporation (“MOI”). The MOI specifies the rights, duties, and responsibilities of shareholders, directors, and others, within or related to a company. A company may, from time to...

Background: In Commerce contracts forms the foundation of commercial transactions. A well-drafted contract serves as a safeguard, protecting the interests of all parties involved and minimizing the potential for disputes. The South African legal system places a strong emphasis on the principle of freedom of contract,...

Introduction: In the intricate landscape of corporate governance, two foundational documents play pivotal roles in shaping the rights, obligations, and relationships within a company and its key role-players, namely the memorandum of incorporation and the shareholders' agreement. Understanding the difference between...