The Role of a Shareholders’ Agreement in Strengthening Corporate Governance

In today’s competitive business environment, safeguarding investor interests whether for individuals or corporate entities is critical. A robust corporate governance framework underpins trust, transparency, and sustainable growth. Such a framework sets out the rights, duties, and interactions of key stakeholders, guiding decision-making and ensuring that businesses operate in line with agreed standards and legal obligations. […]

King IV and Corporate Governance for JSE-Listed Companies

In 1992, South Africa established the King Committee on Corporate Governance to develop governance principles suited to the country’s context, while aligning with global best practices. The first King Code was introduced in 1994, and it has since undergone several revisions. Although the Code is not legally binding, it works alongside legislation such as the […]

Understanding Your Obligations as a Company Director

The Companies Act 71 of 2008 has reshaped corporate governance in South Africa. While its intention is to create a flexible framework that balances accountability and transparency with reduced regulatory red tape, it also formally incorporates long-standing common law duties of directors, providing greater clarity around their responsibilities. Definition of a Director For purposes of […]

Share Buybacks Explained: Compliance, Tax Advantages, and Risks

A share buyback (or share repurchase) occurs when a company purchases its own shares from one or more shareholders. This mechanism is used for a variety of strategic and financial reasons including providing an exit route for a departing shareholder, returning surplus capital to investors, or improving earnings per share by reducing the number of […]

The Importance of Choosing the Right Registered Office for a South African Company

When setting up a company in South Africa, entrepreneurs often focus on shareholding, directorships, and operational matters but overlook one critical detail: the registered office. Also known as the registered address, this location plays a more significant role than many realise. All too often, businesses simply choose a convenient address without considering the legal implications […]

Appealability of Exceptions and the Supreme Court of Appeal’s approach

In South African civil procedure, a consistent principle applies to exceptions: when a court upholds an exception, that ruling is generally appealable. Conversely, where an exception is dismissed, it typically is not appealable at that stage. This distinction exists because the issues raised in a dismissed exception can still be reargued during trial proceedings. This […]

The High Cost of Ambiguity: Lessons from the Phadziri Case on Contract Clarity

In South Africa’s dynamic commercial landscape, the precision with which contracts are drafted can make or break a business relationship. Unclear terms or omissions often become the seeds of costly litigation, as evidenced by the Supreme Court of Appeal’s decision in G Phadziri & Sons (Pty) Ltd v Do Light Transport (Pty) Ltd and Another […]

What If You Can’t Pay Your Taxes? Understanding SARS Debt Compromise Arrangements

Taxation is a cornerstone of national development. It’s how governments fund essential services such as healthcare, education, infrastructure, and public safety. But what if you’re unable to meet your tax obligations? For taxpayers in South Africa facing financial hardship, the South African Revenue Service (SARS) offers mechanisms to assist in managing outstanding tax debt. These […]

Understanding Restraint of Trade Agreements in South African Employment Law

A restraint of trade clause is a contractual provision commonly included in employment agreements, restricting an employee from working for a competitor or launching a competing business for a certain period and within a defined area once their employment ends. These clauses are designed to protect a company’s confidential resources and strategic advantage, such as […]