WELCOME to Shaun Nel Attorneys.
Law – with all its varied fields – requires specialisation.
Shaun Nel Attorneys is a specialist law firm, built on personal “client-attorney” relationships, which equips us to have a proper and complete understanding of our client’s requirements so that we give our client’s the most efficient, honest and cost effective legal services. Our methodology brings about a fresh approach to creating meaningful partnerships between law service provider and client’s commercial objectives.
Shaun Nel Attorneys specialise in Commercial and Corporate Law, Insolvency/Bankruptcy Law, Contract Drafting and Banking Law.
Our expertise includes all types of commercial contracts, information technology, due diligence investigations, insolvency and corporate recoveries, corporate governance, construction and building.
Fees are payable for all legal services rendered. There are two fee structures:
- The party and party fee structure which is prescribed by law.
- Attorney and own client fees, which are higher than any party fee. As the firm specialises in the categories of law, all clients are charged the firms attorney and own client fees.
Shaun Nel Attorneys have provided legal services for more than two decades for major corporate brand name clients.
The founder, Shaun Nel, obtained his LLB degree from the University of Witwatersrand in 1983 and he furthered his career at the highly regarded law firm Joel Melamed & Hurwitz of Johannesburg.
Shaun Nel established his legal practice in March 1993 and continued rendering expert legal services in the fields of commercial and corporate law, contract law, banking law, insolvency/bankruptcy law and High Court litigation.
Shaun Nel Attorneys invest in “client-attorney partnerships” to fully understand client’s business needs, ensuring the client enjoys the best legal advice and occupies the most formidable legal position.
Contracts are a complex, but a necessary component of business and commerce. A myriad of legal principles and legislation are of application. Well drafted and legally sound contracts underpin the success of sustainable business relations and commercial reward.
We are skilled at drafting all types of contracts in plain language that clearly and concisely encapsulate the agreed intention of the parties, taking into account all applicable legislation, trade usage, common law principles and legal precedent.
Learn more about Contract Law by downloading this informative pdf.
The creation and operation of banks is governed by applicable government legislation and regulation, ensuring they abide to specific requirements, restrictions, and guidelines while the legal relationship between a bank and its client is based on a contract.
We are fully adept in all areas of Banking Law and practice, including all types of lending transactions, having represented a number of banks over two decades. Our expertise covers – to mention a few – various forms of financing, debt restructuring and insolvency, general lending, trade finance, property finance, secure and unsecured facilities and all types of lending and banking contracts.
Learn more about Banking Law by downloading this informative pdf.
Commercial law is as old as trading itself. While commerce is primarily driven by corporate entities, inevitably this involves individuals, legislation, trade usage and legal precedent.
We have a thorough understanding of all legislation necessary to conduct business. We are also accomplished in all types of commercial contracts.
Our expertise in commercial and corporate law includes banking, banking contracts, lending, construction and engineering, bankruptcy and restructuring, unlawful competition and restraint-of-trade, due diligence guidance, technology and telecommunications.
Learn more about Corporate and Commercial Law by downloading this informative pdf.
Insolvency law is governed by legislation and regulation, which contemplates two scenarios, one where an individual person finds himself in insolvent circumstances and second, where a corporate entity finds itself in insolvent circumstances.
Having worked for numerous financial institutions and corporate clients for more than two decades, we are fully versed in all facets of the laws of insolvency and recovery, including bringing and opposing liquidation and sequestration applications, bringing and opposing business rescue applications, bringing and opposing schemes of arrangement and offers of compromise and conducting insolvency enquiries.
Learn more about Insolvency Law by downloading this informative pdf.
“I have successfully used Shaun in commercial arbitration, corporate/commercial law matters and in the arena of insolvency law, in all of which he is well accomplished.”
– Grant Davidson [businessman for three decades]
“Shaun is imaginative, hardworking, accommodating and honest – Shaun acted for Pirelli Tyres before, while and after I was the managing director of the company, dealing with all legal matters, including the drafting and enforcement of various types of contracts and other litigious matters.”
– Ashley Cooper [former managing director of Pirelli Tyres]
“Shaun Nel’s services were consistently of the highest ethical & professional standards I experienced in my near four decade banking career – Shaun having acted for the bank in enforcing
lending agreements, drafting bank related agreements and giving guidance on various aspects involving banking.”
– William King Powell [retired Standard Bank manager]
“Shaun is well versed in business and the laws governing general business, but particularly the information technology industry and Shaun is professional and loyal to a fault”
– Tinus Neethling [managing director of Rorotika Technologies]
“Shaun’s service is efficient, honest and of the highest professional standard – Shaun acted for the construction companies of which I was the financial director/officer, dealing with all legal matters related to the construction industry, including litigation and the drafting and enforcement of construction related contracts and negotiations.”
– Carel van Reenen [former financial director of Stocks Roads]
Ownership of funds deposited into the customer’s account
In Trustees, Estate Whitehead (“Whitehead”) v Dumas and Another (“Dumas”) 2013
In Roestoff v Cliffe Dekker Hofmeyr Inc 2013
Set-off of money in bank account
The facts in Standard Bank of South Africa (“Std”) v Echo Petroleum CC (“Echo”) 2012
Commercial & Corporate Law
Sole trustee and beneficiary
The court in Groeschke v Trustee, Groeschke Family Trust and Others 2013
Personal liability of directors
In Bellini v Paulsen and Another 
Deregistration and reinstatement of a company
In Fintech (Pty) Ltd v Awake Solutions (PWinding-up of company
In FirstRand Bank Ltd (“FirstRand”) v Lodhi 5 Properties Investment CC (“Lodhi”) 2013ty) Ltd and Others 2013
“Reasonable prospect” of business rescue is required
In Oakdene Square Properties (Pty) Ltd and Others v Farm Bothasfontein (Kyalami) (Pty) Ltd and Others 2013
Abuse of business rescue process
In Absa Bank Limited v Newcity Group (Pty) Ltd and Another Related Matter 
Authority of agent to bind juristic person
In Africast (Pty) Ltd v Pangbourne Properties Ltd 
Warranty against latent defect
In Banda and Another v Van der Spuy and Another 2013
Place of payment
In Bush and Others v BJ Kruger Incorporated and Another 
Insolvency / Bankruptcy Law
Winding-up of company
In FirstRand Bank Ltd (“FirstRand”) v Lodhi 5 Properties Investment CC (“Lodhi”) 2013
Application for provisional sequestration
In FirstRand Bank Ltd (“FirstRand”) v Janse van Rensburg and a Related Matter (“JR”) 
Our FAQ section includes some common questions in the different areas of law. Should you not see what you are looking for, please get in touch and we’ll try to assist.
Commercial & Corporate Law
What is Commercial and Corporate Law?
Commercial and Corporate Law determine and dictate corporate entities and commercial practices. This is largely governed by legislation, common law, trade usage and legal precedent.
Do I have to register a company to conduct business?
No, an individual may conduct business in his own name as a “sole proprietor” or in partnership with another individual/s.
How does the new Companies Act (2008) affect Close Corporations (“CC”)?
Since the new Companies Act became law on 1 May 2011, CC’s can no longer be incorporated under the Close Corporations Act and no company can be converted into a CC, but existing CC’s continue to operate under the Close Corporation’s Act subject to the amendments in schedule 3 of the new Companies Act.
May a director of a company or a member of a close corporation be held liable for the debts of a company or a close corporation?
Yes, a director/member may be personally held liable for the debts of the company/corporation in terms of the common law, section 424 of the old Companies Act and sections 76 and 77 of the new Companies Act.
May a purchaser of a business restrain the seller of the business from competing with it?
Yes, a purchaser may in the sale agreement have the seller agree not to compete with the business purchased for an agreed period and within an agreed geographical area provided the period of restraint and the area of restraint are reasonable. Even if there is no restraint or if the restraint has expired, the seller is not permitted in law to take back the goodwill he has sold in an improper manner.
What is banking law?
Banking Law governs banking institutions, the business of commercial banking, currency, and exchange control, money laundering and financial and advisory services. In addition, banking law involves the contractual relationship between banks and their customers.
Which legislation is important in Banking Law?
The fundamental pieces of legislation are the Banks Act, 94 of 1990, the Bills of Exchange Act, 34 of 1964, the National Credit Act 35, 2005, the Consumer Protection Act 68 of 2008 and the Electronic Communications and Transactions Act, 25 of 2002, the Financial Intelligence Centre Act 38 of 2001, and the Regulation of Interception of Communication and provision of Communication – Related Information Act, 2002.
What lending is subject to the National Credit Act?
The Act covers a wide variety of Credit Agreements. A Credit Agreement has two main elements, firstly credit is granted and, secondly, a fee, charge or interest is imposed in respect of the deferred payment of the amount of credit advanced. The Act does not apply to:
• a credit agreement in which the consumer is a juristic person whose asset value or annual turnover equals or exceeds R1 million;
• a large credit agreement, being one in which the principal debt equals or exceeds R250 000.00, concluded by credit provider with a juristic person whose asset value or annual turnover is less than R1 million.
What is a reckless lending agreement?
A credit agreement is reckless if the credit provider failed to conduct a credit assessment or, having conducted an assessment, entered into the credit agreement with the consumer despite the fact that the available information indicated that the consumer did not understand what he was doing or that the agreement would cause him to be over-indebted.
May a reckless credit agreement be suspended or set aside?
Yes, the court may declare the credit agreement reckless and either suspend it or set it aside in whole or in part.
May the Bank demand immediate payment of an overdraft?
The general proposition is that in the absence of an agreement that an overdraft will be operative for a fixed period of time the Bank retains the right to claim repayment on demand.
- – Creditor relationships
- – Confidentiality
- – The mandate
- – Overdraft facilities
- – Interest rates and more
What is the difference between sequestration and liquidation?
An individual’s estate is sequestrated. A company and close corporation are liquidated. For insolvency purposes, a trust in insolvency is deemed to be an individual and is liable to be sequestrated and not liquidated. The Insolvency Act, 24 of 1936 applies to sequestration proceedings. Insofar as the winding-up of an insolvent company is concerned, the Companies Act, 61 of 1973 is currently the primary Act as read with the Insolvency Act. The Close Corporations Act, 69 of 1984 is the primary Act applying to the winding-up of insolvent corporations, as read with the Companies Act 71, of 2008 and the Insolvency Act.
Who may bring a sequestration application?
A creditor may bring a sequestration application against his debtor if he has a liquidated claim against the debtor of at least R100.00. A liquidated claim is a claim for an amount of money which is fixed, either by agreement or by an order of court or otherwise.
Can an insolvent be rehabilitated?
An insolvent is deemed to be rehabilitated on the expiry of a period of ten years from the date of sequestration of his estate, unless before the expiry of such period, the court orders otherwise upon any interested persons application.
Who may bring a liquidation application?
A creditor may bring a liquidation application against its debtor who owes the creditor not less than R100.00. However, the company may itself by special resolution resolve to liquidate itself or the shareholders may resolve to liquidate the company.
May a director or manager be held personally liable for the debts of a company?
In terms of section 424 of the Companies Act, 61 of 1973, if any business of the company was or is being carried on recklessly or within the intent to defraud creditors of the company, the court may, on the application of the Master, any creditor, shareholder or contributory of the company, declare that any person who was knowingly a party to the carrying on of the business in the manner aforesaid, shall be personally responsible, without any limitation of liability, for all or any of the debts or other liabilities of the company as the court may direct. Similar provisions, albeit more stringent, are found in section 77 of the Companies Act, 71 of 2008. Such persons may also be liable for criminal prosecution.
What happens at an insolvency enquiry?
The insolvent individual and the directors, management, professional advisors and other related persons may be interrogated at an insolvency enquiry constituted in terms of the Insolvency Act or the Companies Act, 61 of 1973. The general purpose of such an enquiry is, amongst other things to determine the cause of the inability to pay creditors, to establish the whereabouts of the insolvents assets and if any person can be held personally liable to pay the debts of the insolvent.
When is a lawful contract formed?
When two or more persons within the limits of their contractual capacity, with the serious intention of creating a legal obligation, communicates such intention, without vagueness, each to the other, and being of the same mind as to the subject matter, to perform positive or negative acts which are possible of performance. Such conscious agreement is normally reached when one party accepts an offer made by the other and informs the other that his or her offer has been accepted.
Does an agreement have to be in writing?
An agreement may be concluded by words or conducts and, unless required by law does not have to be reduced to writing. If the agreement is made by words, it is an “express” agreement and if made by conduct, a “tacit” agreement.
Which contracts must be in writing?
The most common agreement that must be in writing is the sale of land. Those agreements that require registration in terms of the Deeds Registries Act, 47 of 1937 are required to be in writing, the most common being a sale of land agreement, mortgage bonds and ante-nuptial agreements. A last will and testament also requires to be reduced to writing. Save for these types of exceptions, agreements may be oral or constituted by the parties’ conduct.
What is a suspensive condition?
A contract subject to a suspensive condition is a valid contract from the moment of its execution but it is dependent on the fulfilment of the suspensive condition, normally within an agreed time period.
What is a resolutive condition?
A contract subject to a resolutive condition is of full force and effect from the date of its execution, but on the happening of the uncertain future event [i.e. the resolutive condition] the contract automatically terminates. The uncertain future event is usually a negative.
What consequences flow from a breach of contract?
If a party commits a breach of a contract, the innocent party may either require performance by the party in default or the innocent party may cancel the contract. The innocent party may in either case claim damages for any foreseeable loss suffered as a result of the breach.
Get in touch with us for your Commercial & Business Law needs – we’ll be happy to assist!
Phone: +27 11 467 4748 & +27 21 001 4367
Cell: +27 83 414 6581
Unit G01, Crossfire Place,
15 Gardner Williams Avenue,
43 Keyes Avenue
P O Box 424, Somerset Mall, 7137
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