Customary marriages in South Africa are regulated under the Recognition of Customary Marriages Act 120 of 1998 (RCMA). The RCMA provides that for a customary marriage to be deemed as legally valid and binding, the requirements provided in Section 3 must be complied with.
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While the business rescue procedure is aimed at rehabilitating financially distressed companies so that they can return to solvency, liquidation is aimed at winding the company upon realisation that the situation is so dire, and liquidation is the only option left.
Adopting a child is a regulated process in most if not all jurisdictions over the world. In South Africa it is regulated under the Children’s Act 38 of 2005. The reasons for such regulation are as diverse as the reasons to adopt themselves, but the core of the matter is that as important as the offer to provide a home for children without a supportive home.
Where one of the spouses in a marriage becomes sequestrated, the system that governs their matrimonial property is important in the determination of consequences on the estate of the other spouse.
Liquidation is whereby a debtor entity, after the realisation that its liabilities exceed assets (factual insolvency) or inability to settle the liabilities as and when they become due and payable (commercial insolvency) is wound up.
Marriage out of Community of Property excluding community of profit and loss and accrual system is essentially the form of complete separation of estates, which are assets and liabilities.
The Business Rescue procedure was introduced into the South African legal discourse by Chapter 6 of the Companies Act 71 of 2008. The main purpose of business rescue proceedings is to maximize the likelihood of restoring the business to solvency.
Trading trusts, asset protection trusts, settlement trusts, charitable trusts as well as special trusts are all aimed at ensuring the security of the purpose for that which that Trust was set up for. In terms of deceased estates, a Trust can be set up to secure inheritance for the benefit of heirs.
During voluntary surrender proceedings the debtor must prove that it will be, whilst in terms of compulsory surrender proceedings the creditor must only show that there is reason to believe that sequestration will be to the advantage of creditors.
Whereas liquidation is prescribed for companies that are insolvent (solvent companies can also liquidate under section 81 of the Companies Act 71 of 2008), business rescue is preferred where there are prospects that the company can be saved from shutdown.
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