- exercisable voting rights;
- economic interest (being a right akin to dividends); and
- net value (i.e. the
Amber Kardamilakis
The South African Empowerment Framework: It’s Not All BEE Out There
- Ownership;
- Management control;
- Skills development;
- Enterprise and supplier development; and
Substance over Form: Gut-Testing Your BEE Structure
Increasingly we are seeing small businesses introduce Broad-Based Black Economic Empowerment (BEE) ownership arrangements where there is obviously no intention for that arrangement to have substance. When the ownership is questioned or tested, the businesses often respond with surprise, indignation, and shock.
In the evolving landscape of BEE, businesses often focus on ticking boxes to…
Incorporating empowerment business directions into RFPs: A Cautionary Tale
In the fast-paced world of private sector procurement, requests for proposals (RFPs) are an essential tool for securing goods, services, and partnerships. But when these RFPs are issued without properly interrogating the business objectives that drive them — particularly where empowerment criteria are concerned — the consequences can be commercially risky, legally questionable, and reputationally…
A Light at the End of the Tunnel: The Automation of the Master’s Offices
For decades, the South African legal fraternity has wrestled with backlogs within the Master’s Offices across the country. The administration of trusts, deceased estates, and related applications has been marred by delays, missing documents, inconsistent communication, and an almost unavoidable reliance on in-person submissions. But recent developments signal a shift — the long-awaited automation of…
Share option arrangements over unissued shares: are they recognisable as a BEE ownership arrangement?
- Criteria 1: the BEE partner must have a written option
Shareholder can only sue on behalf of a company if empowered by a board resolution or the MOI
This blog was co-authored by Jos Fogle, Candidate Attorney.
In August 2024, the High Court found that a shareholder does not have the authority to institute legal proceedings on behalf of the company it is a shareholder of without (1) a resolution from the underlying company’s board of directors or (2) express authority in the…
Transformation vs foreign investment: a balancing act of priorities for South African government
For years South Africa has battled the plight of loadshedding. Despite many promises over the years for the issue to be addressed, loadshedding has become part of our daily lives. It was therefore encouraging when, on Wednesday 23 August, South Africa signed the Framework Agreement on Cooperation in Green Energy, a joint memorandum of cooperation…
Beneficial ownership register requirements for trustees need immediate attention
In response to South Africa’s greylisting, the South African government implemented the General Laws (Anti Money Laundering and Combating Terrorism Financing) Amendment Act, 2022 to amend four different acts, one of which was the Trust Property Control Act, 1988.
Amendments to the Trust Property Control Act introduce additional administrative and disclosure duties…
Important amendments to the Trust Property Control Act
- A list of grounds for the disqualification of trustees aligns to some extent with the grounds for the disqualification of directors set