Insolvency occurs when a person or business can no longer pay their debts as they fall due. South African law provides structured legal processes to manage insolvency, protect creditors’ rights, and offer individuals or companies a path to restructure, liquidate, or start over. We offer expert legal guidance for both personal and corporate insolvency matters.
Our Insolvency Services
We assist clients with all aspects of insolvency law, whether they are debtors looking for relief or creditors seeking to recover what they are owed.
1. Personal Insolvency (Sequestration)
Sequestration is the legal process of declaring an individual insolvent. This allows a trustee to take control of the individual’s estate, sell their assets, and distribute the proceeds to creditors.
We assist with:
- Voluntary sequestration applications
- Compulsory sequestration (creditor-initiated) processes
- Negotiating with creditors and trustees
- Advising on asset protection, rehabilitation, and debt relief options
2. Business Insolvency
This refers to a company or close corporation that cannot meet its financial obligations. Business insolvency may lead to liquidation, or in some cases, restructuring.
We assist companies with:
- Assessing the business’s financial state and legal options
- Initiating liquidation or business rescue processes
- Defending against insolvency proceedings brought by creditors
3. Business Rescue Proceedings
Business rescue is an alternative to liquidation that aims to restructure a financially distressed company so it can continue trading.
Our services include:
- Advising on eligibility for business rescue
- Preparing and submitting applications to court
- Supporting business rescue practitioners and company directors
- Drafting or reviewing business rescue plans
4. Creditor Representation
Creditors often face losses during insolvency proceedings. We represent and protect creditors by:
- Drafting and submitting claims
- Attending creditor meetings
- Challenging improper asset disposals or irregular conduct by debtors
- Advising on ways to recover outstanding debts efficiently
5. Rehabilitation Applications
If you have been sequestrated, you may eventually apply for rehabilitation—a legal process that restores your financial standing and ends the consequences of insolvency.
We help with:
- Determining eligibility and timelines
- Preparing applications to the High Court
- Assisting with compliance requirements for successful rehabilitation
Additional Services
- Director and Member Guidance
We advise business owners on their duties and risks under insolvency law, including personal liability issues. - Asset Tracing and Recovery
If assets were unlawfully transferred or concealed prior to insolvency, we help recover those assets for the benefit of creditors. - Debt Restructuring and Settlement Advice
Where possible, we explore alternatives to insolvency, including settlements or compromise agreements.
Who We Assist
- Individuals overwhelmed by debt
- Businesses in financial distress
- Creditors seeking repayment
- Liquidators and trustees needing legal assistance
Why Choose Us?
Insolvency is more than a legal process—it’s often a turning point. Whether you’re trying to recover from financial hardship, preserve your business, or enforce your rights as a creditor, we provide practical, compassionate, and results-oriented legal support. Our goal is to guide you to the best possible outcome, with dignity and confidence.