News & Articles
Management accounts still OK for BEE verifications?
“My manufacturing business has been growing steadily and I expect it will go above the R50 million turnover mark this financial year. That said, its not a given, and I’m hesitant to spend on BEE planning before I’m sure we will go over this mark. Will I be able to first wrap up the financial year and thereafter do the necessary BEE expenditure and verify the business using management accounts for the first quarter after the financial year-end?”
Can I run a business from a residential property?
“I’m looking at buying an old house and renovating such to use as offices for my general medical practice. In the area that I’m looking at there are a number of small businesses also operating from houses. However, I want to make sure I’m allowed to run my practice from this property. How can I do that?”
POPIA and remote working employees
“I’m the owner of a small financial services firm. With Covid-19, like many businesses, we enabled staff to work from home. The arrangement is working well and we are contemplating retaining the option of remote work for some of our staff. Is there anything specific we need to do from a POPIA perspective in respect of such remote working staff?”
CCTV cameras in the workplace? Allowed or not?
“We have had a spate of thefts in our business over the last few months. Yet none of our employees ever see anything or know anything, which have us thinking that the thefts may be wider than just one or two employees. We are considering installing CCTV cameras to monitor the situation and also prevent further thefts, but are unsure about the rules for monitoring employees with CCTV cameras and also using such footage should we pick up misconduct. Can you maybe advise on how we should go about this?”
Can you sequestrate an ex-spouse for failing to pay maintenance?
“My ex-husband is required to pay maintenance every month in terms of our divorce settlement. He has stopped paying, saying he can’t afford it anymore and is now considerably in arrears. I know he has a lot of financial assets that can cover what he owes me, but he just says he can’t liquidate those now as he will lose money. Can I have him sequestrated so he can pay up?”
How long is a proxy valid for?
“I was recently appointed as a proxy to represent a shareholder at an upcoming shareholders meeting. Unfortunately, the meeting has been rescheduled two months later, and I was wondering if the proxy will still be valid then or would I need to have a new proxy issued by the shareholder for the meeting?”
The when, what and how of estate agent commission
“We’ve put our house in the market and have an estate agent that is helping us sell our property. However, we have also told our friends that we are selling should anyone know of an interested buyer. But what happens if we get a buyer independent from our estate agent? Must we still pay agent’s commission? Could you give guidance here?”
What are the legal costs involved in buying a property?
“My wife and I are considering buying a house. This is a big decision for us and we want to make sure we are financially prepared for all the costs and expenses involved in doing so. I understand that in addition to the purchase price there may also be additional attorney costs I would need to factor in. Can you explain how this will work and how I can budget for such costs?”
Can Covid-19 vaccinations be made compulsory by employers?
“I work in a large retail store, and rumours are that my employer is going to require all employees to be vaccinated for Covid-19. I don’t have a problem with anyone getting the vaccine, but I haven’t made up my mind yet as to whether I want to get vaccinated. What are my rights in this regard, and can my employer force me to get vaccinated?”
What’s Up with POPIA and WhatsApp groups?
“I’m an administrator for a number of social WhatsApp groups that share information about neighbourhood safety and security, school lift clubs for our children, sporting activities, etc. I also belong to a number of other WhatsApp groups and have noticed that some of the group administrators have sent lengthy POPIA consent notices. Is this really necessary under POPIA and will I also have to do this for the WhatsApp groups that I administer?”
The importance of women in Broad-Based Black Economic Empowerment
“There is often media reports about BEE and its importance, but one gets the impression the focus is often on black males with black women taking a backseat. Is there any value for companies to consider black women empowerment?”
Delays in completing construction projects: Passenger Rail Agency of South Africa v Sbahle Fire Services CC (230/2019) [2020] ZASCA
This analysis discusses the Supreme Court of Appeal (SCA) judgment in the matter of Passenger Rail Agency of South Africa v Sbahle Fire Services CC (230/2019) [2020] ZASCA delivered in August 2020. The judgment relates to delays in completing construction projects. It also reflects on the role that arbitration could have played in speedily resolving this dispute.
Further levelling of the playing field with the new Recognition of Customary Marriages Amendment Act
“My mother is a black woman who has been married since the early 1970’s to my father in accordance with customary law. They have never concluded a civil marriage, and my mother has also been our home provider while my father worked. Their marriage has become strained over the last couple of years, and I’m worried about my mother, should my father decide to divorce her. What are her marital rights?”
DTI sheds light on collective enterprises
“I’ve taken over the management of a non-profit trust that is focused on the development of previously disadvantaged scholars based in rural communities. Increasingly, companies that want to fund and work with us are asking us for a BEE certificate. However, our auditors have told us that it’s not so easy for a trust like ours to be rated as we don’t have named beneficiaries. Is this correct and what are our options?”
The impact of the new Cybercrimes Act on businesses
“My business operates in the electronic communications sector and I’m a little concerned as to what the new Cybercrimes Act will mean for us and how it can affect my business. Can you shed any light on this?”
Are sacrificial rituals allowed in sectional titles?
“A neighbour in my sectional title unit is very traditional, and has been hinting that he wants to hold a sacrificial slaughter at his home as an offering to his ancestral spirits. Although I have no objection to this, I am concerned as to whether this is allowed in a sectional title scheme as I think that there may be objections from other owners in the complex if he continues. Can he do this on his property in the complex?”
Your right of pre-emption when a group of properties is being sold
“I rent a portion of a farm which forms part of a larger group of properties. In my lease agreement I have a standard right of pre-emption. It has come to my attention that the owner wishes to sell the entire portfolio of properties as a single transaction, including the portion I am leasing. I don’t want to lose the property, but I’m not sure if my right of pre-emption still applies if the group of properties is being sold?”
Can you force a party to mediate a dispute?
“I have a growing dispute developing with a service provider and it looks like it may head to court. However, with delays and costs of litigation, I was wondering whether the option of mediation is not a better alternative. But can I force the other party to use mediation rather than going to court?”
Liability of an insurer after cancellation of a life policy
“My mother cancelled her life insurance due to financial reasons less than a week before she passed away unexpectedly. Despite her having paid her premiums for many years, the insurer is repudiating the claim saying that she cancelled her policy and was accordingly not covered anymore. Is this really the legal position?”
Servitudes 101: types of servitudes
You may come across the term servitude when purchasing property and not be sure what it means. We are happy to clarify in this first article of our law 101 series.
A servitude is a right that one person has over a movable or immovable property of another person. This right entails the use and/ or enjoyment of that property by the holder of the right.
Generally, there are two types of servitudes that you would normally come across; a personal servitude and a real (praedial) servitude.
Compensation Fund 101
The Compensation Fund
The Compensation Fund provides compensation to employees who are injured or contract diseases through the course of their employment. The Fund is governed by the Compensation for Occupation Injuries and Diseases Act (COIDA), which determines how the fund is administered, who is in charge of the administration, and the conditions for eligibility for compensation.
Can an email qualify as a last will?
“My aunt recently passed away suddenly due to Covid-19. In the hunt for her will, it transpired that she had sent an email to her attorney in which she had asked for amendments to be made to her will and for some of the beneficiaries to be removed. The attorney confirmed that he had not had opportunity to draft a new will before my aunt passed. Can her email be seen as her valid last wishes?”
Can adopted children benefit from a family trust?
“Sometime before his death, my father established a family trust which contained properties that were rented out to generate income for my mother. In accordance with the trust deed however, once my mother dies, the income from the properties would go to the children of my mother and father. I have an adopted brother and 2 biological sisters. There is now a debate as to whether my adopted brother also qualifies to benefit from the family trust. What is the legal position?”
The basics of starting a sectional title development
“I’ve inherited a piece of property that a few people have told me is ideal for a small sectional title development. I know it will be costly and take time, but was wondering if you could briefly explain to me what will need to happen for me to make this a reality?”
Which socio-economic contributions can be recognised for my BEE scorecard?
“Our company will no longer qualify as an automatic EME and we will have to undergo a formal BEE verification. We have always tried to help our community with donations and allowing our staff to help with charities. Will this count towards our socio-economic development points?”
Disclosure of medical records vs the right to privacy
“A client recently fell over boxes standing in the aisle in my store. He is suing me for damages claiming that the head injuries he sustained from the fall resulted in him being fired from work. I’ve heard from another source that he was dismissed because of a history of alcohol and drug abuse and that he has been in and out of rehabilitation. We’ve requested access to his medical and psychological reports, but his attorney refuses claiming medical privilege. Surely, this cannot be right, particularly if these can prove that there were other factors leading to his dismissal?”
Government and POPIA – applicable or not?
“With all the talk of POPIA coming into effect and businesses having to get ready to comply, I was wondering whether government and municipalities also need to comply with POPIA. Surely, government entities have a lot of personal information in their possession that they must protect.”
The little-known doctrine of vetustas (time immemorial)
Introduction
The doctrine of vetustas is an ancient legal doctrine that resurfaces every now and then in South African law. Despite being an ancient and almost forgotten doctrine, vetustas has been able to assist communities in gaining rights to land that they have used or had access to for a very long time. The doctrine relates to a right that has been exercised and has been in existence since “time immemorial”, and no one can verify when it arose. The two cases of Langebaan Ratepayers’ and Residents’ Association v Dormell Properties 391 (Pty) Ltd and Community of Grootkraal v Botha NO indicate how the doctrine is applied.
Phantom share schemes – a very real option for incentivising your key staff
“Our family owns a very successful agriculture company that has been built up over the years by our family. We have a number of employees that have also shown their value to the business and we would like to retain and reward them by giving them shares in the business. However, we feel strongly about the family nature of our business and don’t want a large number of shareholders with accompanying shareholder rights we have to involve in every decision. Is this possible to achieve?”
Can you sell your commercial property and help finance part of the deal?
“We’re a small building developer and have invested quite a bit in building some high-end commercial properties. The problem is many of our interested buyers cannot get a 100% loan from the bank and this usually sinks the deal. Can we as developer help finance the loan shortfall for a potential buyer?”