COMPANY LAW LML4806 SEMESTER 01 ASSIGNMENT 01 2025
What to expect in this document two options of answers to choose between Detailed trusted answers All questions answered Distinction pass guaranteed Plagiarism free 100% Question 1 Strada (pty) ltd will be h...
COMPANY LAW LML4806
SEMESTER 01 ASSIGNMENT 01 2025
,What to expect in this document
two options of answers to choose between
Detailed trusted answers
All questions answered
Distinction pass guaranteed
Plagiarism free 100%
Question 1
Strada (pty) ltd will be holding its first annual general at its
registered office,the company’s memorandum if incorporation
allows shareholders to appoint proxies to represent them at
Shareholders meetings, subject to clause 10.3 of the
Memorandum of board of directors. About two hours before
the meeting, Busi has an emergency to which she must
attend, which makes it impossible for her to attend the
annual general meeting.
With reference to the Companies Act 71 of 2008, case law and
the facts above, advise Busi whether she can validly appoint a
proxy to exercise her right to vote and to express her views at
the annual general meeting of Strada (Pty) Ltd. Also consider
in your answer whether clause 10.3 of the company’s
Memorandum of Incorporation is a valid clause
PAGE 1
,Question: 2 Big Money Ltd . (10) intends to make a primary
offer to the public in order to raise funds. The directors of Big
Money Ltd are aware of certain information that could
potentially discourage the public from purchasing shares in
Big Money Ltd. After deliberation, the directors of Big Money
Ltd decide not to include that information in the prospectus.
With reference to the Companies Act 71 of 2008, discuss
whether the directors of Big Money Ltd can be held
personally liable to persons who acquire the securities of Big
Money Ltd a nd who may potentially suffer loss or damage as
a result of the omission of that information from the
prospectus. (10)
TOTAL FOR ASSIGNMENT 1: [20]
__________The End__________
PAGE 2
, Incorporation, which provides as follows: “An instrument
appointing a proxy must be submitted to the Transfer
Secretaries or the Chairperson of the Company not less than
48 (FORTY-EIGHT) hours before the commencement of the
Annual General Meeting or Shareholders’ Meeting at which
the proxy is to participate.” One of the shareholders, Busi,
feels strongly about some of the proposed resolutions set out
in the notice of the annual general meeting, and wants to
express her views on these matters to the
Question 1: Validity of Busi Appointing a Proxy
Relevant Legal Provisions
Section 58 of the Companies Act 71 of 2008:
Shareholders are entitled to appoint a proxy to participate in
and speak/vote at shareholders' meetings on their behalf.
A proxy appointment remains valid if delivered within the
prescribed timeline set out in the company’s Memorandum of
Incorporation (MOI).
Clause 10.3 of the MOI:
This clause requires the proxy form to be submitted at least
48 hours before the meeting.
PAGE 3
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