South Africa was the first country after the USA to have
introduced business rescue legislation. Judicial management,
however, proved to be ineffective and on 1 May 2011 was
replaced with the business rescue provisions in Chapter 6 of
the new company legislation.
6 business rescue legislation represents a codification of
the turnaround procedures followed in the informal sector,
but is designed to overcome a number of practical problems
faced, and to protect the interests of all stakeholders. It
comes with its own problems though, and financially
distressed companies will always have to make the choice
between informal turnaround (workout) and Chapter 6
turnaround (business rescue) based on the specific
circumstances they face.
notwithstanding, new business rescue legislation implemented
on 1 May 2011 represents an important new era in the South
African turnaround industry with the potential of saving
many more financially distressed but economically viable
companies from liquidation.
Associates specialises in high volume debt collection.
genuine understanding of our clients' needs, values and
priorities empowers us to deliver, efficient, tailor-made
debt collection services at competitive rates.
Associates provides the following services:
Planning and administrative services in respect of trusts
The formation of
KMG & Associates
accepts appointments as independent trustee on our clients
company secretarial services to clients of the KMG &
Associates group of companies;
The formation and
conversion of companies and close corporations;
are kept available in order to expedite our clients
secretarial implementation of shareholders and members
Submissions to and
communication with the Masters of the High Court, the
Registrar of Companies and the
Registrar of Close Corporations.
Associates provides consulting services to its clients with
all aspects of BBBEE. We partner with our clients to enable
them to meet their BBBEE commitments and objectives.
We provide our clients with business consulting services and
as well as expert advice on BBBEE. We aim to embed ourselves
to our clients teams and processes in order to deliver on
our cliens BBBEE objectives.
BBBEE consulting services are as follows:
and context briefings;
BBBEE ready for
Socio-Economic Development beneficiary management.
Associates have extensive experience pertaining to the
JBCC, FIDIC, GCC
or NEC contracts;
Delays on the
Defects caused by
Extension of time
obtain a completion certificate.
Law is the name given to the branch of law that governs an
individual's relationship to the state. It includes the
definitions of criminal offenses, which are usually
established by Congress or state legislatures. The term
"criminal law" also encompasses the rights of an accused and
the criminal process, including arrest, pleas, discovery,
pre-trial hearings, trials, evidence, motions, and
post-trial remedies. The main purpose of the criminal law is
to set forth the punishment for criminal offenses.
to prove any crime, no matter how serious, the prosecutor
must prove that the accused committed a criminal act with
intent beyond a reasonable doubt.
Crimes are classified as
misdemeanours, less serious offenses that are normally
punishable by a fine like some traffic violations, petty
theft, or possession of a small amount of marijuana, and
felonies--more serious offenses that warrant imprisonment of
one or more years, such as rape, theft, assault with intent,
assault with a deadly weapon, or homicide/murder. KMG &
Associates can assist clients in the application for bail,
defence and investigation of Criminal charges.
Associates offers comprehensive, effective, progressive and
innovative advice to a large and growing number of major
clients in all aspects of employment law in South Africa
Bargaining Issues and Strike Management;
Disciplinary investigations and enquires;
Due Diligence Exercises and Corporate Transactions;
Litigation (Labour and High Court litigation);
Litigation: Alternative Dispute Resolution;
Policy development and drafting;
Public law employment issues;
Restructuring and retrenchment planning;
Pension Law and Employee Benefits;
Training, Seminars and Employment Law Updates.
Associates provides high quality definitive advice that
keeps our clients at the forefront of the green economy and
In recognition of the growing
contribution of green businesses to sustainability we have
expanded our capacity to offer corporate law services to
green entrepreneurs and businesses such as renewable energy,
clean technology and sustainable investment enterprises.
Our clients have the advantage of being advised by lawyers
that combine extensive commercial law expertise with a
specialist knowledge of the green economy, have a reputation
for innovation and imagination and who share a commitment to
creating ecologically sustainable communities.
Insolvency Law governs aspects of financial debt. Insolvency
occurs when a company is no longer able to pay debt due. The
two main types are that of the inability to pay debt when
due and is thus related cash flow problems and balance sheet
insolvencies when the liabilities of a company far exceed
According to Insolvency Law a
company that has illiquid assets and thus a positive balance
sheet, but is unable to pay the short term debts is thus in
a cash flow insolvency state. When a companys assets fall
into a negative state where the liabilities become more than
the assets, the company can still have enough cash flow for
day to day running, but not to pay off the long term debt.
One should understand that
bankruptcy is not the same as insolvency. According to the
law, bankruptcy occurs when a court determines that the
insolvent state cannot be resolved without legal actions and
thus declares a company bankrupt.
numerous insolvencies that have occurred over the past few
years, the focus has shifted from liquidation of assets to
assistance of businesses in financial trouble. The reason is
simple. Not only the business, but its suppliers, clients,
shareholders, and employees are all affected. To minimize
the effect is better and as such debt restructuring steps
can be taken to help rehabilitate a company. KMG &
Associates can assist you with all you Insolvency Law needs.
Associates litigation services area is both broad and deep,
our Litigation & Dispute Resolution practice form the core
of our services to our clients. Focusing on disputes that
either reach the High Court or are resolved by arbitration,
we are involved in many high-profile commercial litigation
and arbitration matters in South Africa.
for rapid response, the Litigation & Dispute Resolution team
can be called upon at short notice to resolve large-scale
and complex litigation matters. This includes urgent
applications and discovery-driven trial and arbitration
Associates conducts merger reviews in terms of Chapter 3 of
the Act. Firms entering into Intermediate or Large mergers
are required in terms of Section 13A of the Competition Act
89 of 1998 (the Act) to notify the Commission of that
merger in a prescribed manner and form and may not implement
that merger until it has been approved with or without
conditions by either the Commission (intermediate mergers)
or the Tribunal (Large mergers) or Competition Appeal Court.
KMG & Associates investigate and
analyse the likely effects of the notified merger and
conclude whether or not the merger is likely to
substantially prevent or lessen competition in any of the
markets in which the parties compete. In addition the
division will consider the likely impact that the
transaction is likely to have on the following public
industrial sector or region;
The ability of
small businesses, or firms controlled or owned by
historically disadvantaged persons, to
become competitive; and
The ability of
national industries to compete in international markets.
Conveyancing Department of KMG & Associates handles all
aspects relating to property and property law in South
The services provided by the
conveyancing department include:
Advising on and drafting of commercial and residential
residential developments, including township establishment
and sectional title
transfers of properties, as well as transfers as a result of
or in terms of liquidations, auctions,
court orders, foreclosures, divorces, donations and deceased
and insolvent estates;
and structuring of share block and time share schemes;
structuring of property transactions;
applications, consents and endorsements required in the
drafting agreements relating to the sale of properties, both
residential and commercial;
commercial property development finance;
cancellation of all types of bonds, including mortgage-,
surety-, collateral- and notarial
all types of servitudes;
consolidation of properties.