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ECONOMIC REVIEW

That predictor of economic growth, new vehicle sales in South Africa, showed its largest decline of the year

BUSINESS REVIEW

Nedbank is set to replace Absa as third amongst our four big banks. Its market capitalisation is now only R30bn less than that of Barclays.

Not set in stone: a competitor to Strate

PROPERTY REVIEW

Absa:

PRACTICE REVIEW

Estate planning: the National Treasury has proposed that contributions to a retirement fund in excess of 7.5% of pensionable income or 15% of taxable income, should be included in deceased estates for estate duty purposes.

CASES

ACSA, an organ of state

In a recent spat between Acsa and Exclusive Books, the latter argued that the letting of shops within Acsa premises was subject to section 217 of the Constitution, when dealing with procurement. The court decided that, as Acsa was an organ of State, a tacit term could be read into its contracts that neither party was entitled to terminate a lease until completion of a valid and lawful tender process to identify a new tenant.
Acsa [2015] JOL 33452 (GJ)

Contractual termination procedure to be followed

An interesting case regarding the removal of advertising structures ran thus: the lease agreement provided that, upon termination, the tenant would remove the advertising structures. It failed to do so. The owner, Prasa, started removing these, found that expensive and abandoned the job. It then allowed another to advertise from the same structures, arguing that this could be seen as compensation for damages suffered. The erstwhile tenant objected. The court held that the agreed-upon procedure had to be followed and prohibited the new advertisements.
Outlawed Network Ltd [2015] JOL 30681 (KZD)

Security on building site

A joint venture, carrying on business as civil engineers, contacted with the South African National Roads Agency to complete a fly-over system in Durban. Local communities, from which it sourced labour, demanded that employees be sourced from certain areas only and caused violent disruptions in the performance of the project. The contractor sought to withdraw from the contract on the basis of force majeure. The court held that the primary obligation to ensure that unauthorised persons were kept off site lay with the contractor and that it was required to take the necessary precautions itself. The cost of additional security could not be sourced from the roads agency (unless otherwise agreed).
Rumdell [2015] JOL 3 July, 2003 (KZD)

HOA not always a representative of its owners

QUOTABLES

Motivation is a form of magical thinking in which you imagine that your words can turn useless people into high achievers. Dilbert

Sometimes walking away has nothing to do with weakness, and everything to do with strength. We walk away not because we want others to realise our value and worth, but because we finally realise our own. Anon

WEIRD & WONDERFUL

Last week the Minister issued warning letters for non-performance to 80% of senior staff with in the Department of telecommunications. 80%?

LIGHTEN UP

On bad rugby: The reason women don't play football is because 11 of them would never wear the same outfit in public. Phyllis Diller

1st bikini bimbo: I slept with a Brazilian.
2nd bikini bimbo: Wow! How many