Monthly Archives: January 2023

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Neighbours Behaving Badly: Illegal Buildings and Demolition Orders

“The approval of building plans is not a mere formality in town planning and compliance with building standards promote public safety … The courts should not permit landowners to erect illegal structures on their land and then present the authorities with a fait accompli created by their illegal actions” (Extracts from judgment below) What do you do if your neighbour starts building next door without municipal plans? A recent High Court decision confirms your right to apply for demolition. The pensioner who

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Suing a Degree-Forging Employee for R2.2m

“Oh, what a tangled web we weave when first we practice to deceive” (Sir Walter Scott, quoted in the judgment below) It’s a sad fact of life in today’s business world that as an employer you must remain constantly on guard against the dangers of “CV fraud”. First prize of course must always be prevention – verify all claimed qualifications and work experience, accept nothing on trust. But if you do get caught out, our courts will help you if they can,

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Tell All Your Creditors When You Change Address! The Case of the Summons Served on a Complex Security Guard

“In my view, given the difficulties of a sheriff or his deputy accessing a security complex in the absence of the occupant for the purposes of service in terms of rule 4, service of process by way of it being handed to the security guard at the complex, a responsible employee older than 16 years, is valid and effective service on the debtor.” (Extract from judgment below) Moving house (or office) will mean a busy time and a long “to do”

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Check All Emailed Bank Details for BEC (“Business Email Compromise”) Frauds

“…sending bank details by email is inherently dangerous, and so must either be avoided in favour of, for example, a secure portal or it must be accompanied by other precautionary measures like telephonic confirmation or appropriate warnings which are securely communicated.” (Extract from judgment below) Before you make any payment to a supplier’s bank account on the basis of an emailed invoice, check that the bank account details in the invoice are genuine. If your supplier’s or your email system have been

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Budget 2023: The Minister of Finance Wants to Hear from You!

“Finally, we pay tribute to the millions of South Africans, whose resilience and courage during these times of pandemic and economic hardship, is an inspiration to all of us who have the privilege to serve in the public sector.” (From the 2022 Budget Speech) Finance Minister Enoch Godongwana has invited the public to share suggestions on the 2023 Budget he is expected to deliver on Wednesday 22 February 2023. Go to National Treasury’s “Budget Tips for the Minister of Finance” 

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New Year, New Business – How to Pick the Right Legal Entity for It

 “Owning one’s own business is an adventure – enjoy it every step of the way.” (From the SME Toolkit article referenced below) First, three questions to ask yourself… If you dream of going into business for your own account in 2023, ask yourself these questions before you get started – Am I an entrepreneur? You have an amazing idea, you can’t wait to launch your new business, success and wealth beckon! But wait a second – are you really suited for the hurly-burly of entrepreneurship? It

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When Your Buyer Can’t Get Finance, Might a Kustingsbrief Save the Sale?

“A kustingbrief … has long been recognised as a superior front-ranking form of security.” (Extract from judgment referred to in the article) You accept a great offer on your property, the sale agreement is signed and the buyer pays the deposit. You put the champagne on ice. But before you can pop it open, the buyer’s bond applications are rejected by every bank. Your sale is about to die. Is there anything you can do to rescue it? The “kissing letter” option A

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Living Wills: 6 Myths Busted

Health issues and mortality are facts of life, no matter how remote they may seem at the moment, nor how distressing they are to contemplate. For your family’s sake as well as for your own, make sure that you have a Living Will (or another form of “advance healthcare directive” such as a Durable Power of Attorney for Healthcare) in place. While you’re at it, check that your loved ones also make Living Wills. 6 Myths Let’s get some pervasive myths about

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“Double Jeopardy” for Tax Evasion – Penalties plus Prosecution

“Administrative penalties and criminal proceedings do not serve the same purpose. The [one] is aimed at strengthening internal controls of the administrative authority and to promote compliance while the other is aimed at correcting a behaviour that caused harm to the society.” (Extract from judgment below) SARS has announced major crackdowns on tax defaulters, and a recent High Court decision highlights the dangers of being caught out for “intentional tax evasion”. R1.3m prejudice to SARS A close corporation (CC) registered for both income

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Websites of the Month: Community Schemes – “CSOS Connect” Services Going Live

If you are in a Community Scheme such as a Sectional Title development or a residential complex with a Homeowners Association (HOA), keep an eye on the “Shared Living” magazine from the CSOS (Community Schemes Ombud Service) on its Newsletter page. Most of the articles are clearly aimed at Bodies Corporate, HOAs and Managing Agents, but owners and tenants will also find value in many of the topics covered. Click on Issue 19 (October – December) 

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