13 August 2025
Article
When companies behave as quasi-partnerships – A cautionary tale of oppression
The recent decision of the Eastern Cape High Court in Ungerer v Ferreira and Others (4475/2024)
ZAECQBHC 13 (7 May 2025) reinforces the principles relating to the rights of shareholders in
closely held companies, the concept of quasi-partnerships, and the remedies available under section
163 of the Companies Act 71 of 2008 (Companies Act). The judgment is particularly relevant for
business partners in private companies who have not reduced their mutual understandings to writing,
and for those seeking clarity on what constitutes oppressive or unfairly prejudicial conduct when
business relationships break down.
Corporate &
Commercial Law4 min read
