Companies Act
The New Companies Act
The new Companies Act No 71 of 2008 (New Act), as amended (quite extensively) by the Companies Amendment Act No 3 of 2011, came into force on 1 May 2011.
The New Act marks the beginning of a significant era in South Africa's corporate law.
Much of the old law is retained, but of course, many new significant concepts and changes have been brought about as well, particularly with regard to, for example:
- Transitional arrangements
- The Shareholders' Agreement and Memorandum of Incorporation
- The codification of the duties and liability of directors and so-called "prescribed officers"
- Corporate governance in general
- The Appointment of certain committee of the board
- Business rescue proceedings
- Corporate finance and corporate capital
- Audit requirements
- Intra-group loans in terms of section 45 of the New Act
- Mergers, acquisitions and other fundamental transactions
- The Companies and Intellectual Property Commission and the Companies Tribunal
- The future of close corporations
- No par value shares
For more information on these and other aspects, download our summary of Key aspects of the New Companies Act.
Partner with the experts