The Small Claims Court is designed for quick, low-cost resolution of disputes where the claim amount does not exceed R20,000. You don’t need a lawyer to appear in this court, which makes it ideal for individuals who want to recover debts or resolve simple issues…

Unjust enrichment occurs when one person benefits financially at the expense of another without a valid legal reason. For example, if you mistakenly pay someone money you didn’t owe, you can claim it back under this principle. To succeed, you must show: The other person…

Yes, prescription periods can be extended — but only if both parties agree in writing before the claim prescribes. This is often done when parties are negotiating a settlement or when litigation is delayed. The agreement must clearly state how long the prescription period will…

Debt review is a legal process that protects over-indebted consumers. It allows you to restructure your debt, lower monthly payments, and avoid legal action from creditors while under review. A debt counsellor works with your creditors to create a new payment plan. During this process,…

A letter of demand is often the first step in a legal process. It tells the other party what your claim is about, how much you’re owed, and by when you expect payment or action. According to legal guidelines, your letter should align with Form…

In South African law, most contractual and civil claims must be brought within three years from when the debt or harm arose. This is called the prescription period. If you wait too long, you may lose the legal right to enforce your claim — even…

In South Africa, most claims prescribe after three years unless that period is interrupted. Prescription can be interrupted by: Acknowledging the debt in writing; Serving a summons or initiating legal proceedings; Making a part payment. Once interrupted, the three-year period resets. Missing the window can…

Mediation is a form of alternative dispute resolution where both parties try to reach an agreement with the help of a neutral third party (the mediator). It’s less formal than court, often quicker, and usually far less expensive. Mediation can be voluntary or court-directed. If…

A loan agreement must clearly set out the repayment terms — including the amount, interest rate (if any), due dates, and what happens if the borrower defaults. Vague or missing terms often lead to disputes that are difficult to resolve. Even if the loan is…

Yes, prescription periods can be extended — but only if both parties agree in writing before the claim prescribes. This is often done when parties are negotiating a settlement or when litigation is delayed. The agreement must clearly state how long the prescription period will…

Unjust enrichment occurs when one person benefits financially at the expense of another without a valid legal reason. For example, if you mistakenly pay someone money you didn’t owe, you can claim it back under this principle. To succeed, you must show: The other person…

In South African law, most debts prescribe (expire) after three years — but this period can be interrupted if the debtor acknowledges the debt in writing before prescription is complete. This acknowledgment effectively resets the clock, giving the creditor a fresh three-year window to take…

A summons is a formal court document that notifies you of legal action against you. Ignoring it is a serious mistake. If you don’t respond within the required timeframe (usually 10 court days), the plaintiff can ask the court to grant default judgment — meaning…

For any legal action to proceed properly, the documents involved — such as summonses, notices, or affidavits — must be served correctly on the other party. This means delivering them in a manner recognised by law (e.g., personal delivery or through the sheriff). Improper service…

A court order is legally binding — ignoring it can result in serious consequences. If you fail to comply with a court's instruction (such as paying money, attending court, or stopping certain actions), you may be held in contempt of court. This can lead to…

When you receive a legal notice, such as a letter of demand or summons, you must act quickly. Ignoring it won’t make it go away — in fact, it can lead to default judgment or other legal consequences. A legal notice is often the first…

South African courts follow strict timelines. Whether you're filing a defence, submitting documents, or lodging an appeal, missing a deadline can have serious consequences — including losing your case without being heard. These time limits are set by law or court rules. If you need…

In many contracts, time isn’t just a guideline — it’s a core condition. When a contract says “time is of the essence,” it means deadlines are critical. Missing a due date, even by a short period, can amount to breach of contract. Always check whether…

If someone breaks a contract (fails to do what they promised), you have legal remedies. These include: Damages: A claim for financial loss you suffered. Specific performance: Asking the court to force the other party to do what was agreed. Cancellation: Ending the contract if…

A contract starts with a clear offer and a clear acceptance. Both must be unambiguous and match in all material terms. If there’s confusion or uncertainty about what was agreed, there may be no valid contract. For example, “I’ll think about it” is not acceptance…

If one party lies or hides important information during contract negotiations, this may amount to misrepresentation. If proven, the affected party may cancel (or rescind) the contract and even claim damages. There are three types: fraudulent, negligent, and innocent misrepresentation — each with different legal…

Loan agreements should clearly state whether interest will be charged and, if so, at what rate. If the contract is silent on this, it can lead to disputes or even legal uncertainty. In some cases, a court may decide that no interest was agreed, even…

Contracts should leave no room for confusion. If the terms are vague or important details are missing, it can lead to disputes about what was actually agreed. Courts may even find such contracts unenforceable. To avoid problems: Clearly outline the rights and obligations of each…

Once a contract is signed, you cannot change it unilaterally. Any amendments — such as changes to price, deadlines, or scope — require the consent of both parties. These changes should be recorded in writing and signed, preferably as a formal addendum. Verbal changes can…

You can’t just walk away from a contract — valid cancellation requires that you follow the correct legal process. Usually, this means: Giving proper written notice; Citing the reason for cancellation (e.g., breach, expiry, or a clause allowing termination); Following the terms of the agreement…

Yes, verbal contracts are legally binding in South Africa, provided they meet the same requirements as written ones: offer, acceptance, consideration (something of value), and intention to create legal obligations. However, the challenge lies in proving what was agreed upon. Without written terms, disputes often…

While companies are separate legal entities, directors can be personally liable if they: Act negligently or recklessly; Breach their fiduciary duties; Allow the company to trade while insolvent; Commit fraud or misuse company funds. Directors must always act in the best interests of the company…

Shareholders in a company have the right to access certain company documents, such as financial statements, meeting minutes, and the share register. This promotes transparency and accountability, especially where important decisions are made. However, this right is not unlimited — it must be exercised lawfully…

When shareholders disagree — whether about management, dividends, or company direction — litigation isn’t the only option. Many companies include arbitration clauses in their shareholder agreements. Arbitration is a private process where a neutral third party makes a binding decision. It’s often faster and more…

A director can be removed if they engage in misconduct, fail to perform their duties, or act in a way that harms the company. The Companies Act allows shareholders to vote a director out by ordinary resolution, provided proper notice and procedures are followed. Reasons…

Directors have a legal duty to act honestly, with care, skill, and in the best interests of the company — not themselves or third parties. This is known as a fiduciary duty. Failure to uphold this standard can lead to personal liability if the company…