Home Businesses – Is Yours Legal?

Home Businesses – Is Yours Legal?

The concepts of working from home and running home businesses have always been with us, but never before have they played such a central role in our lifestyle and property choices. After looking at “what’s hot” in the resultant property market trends, we’ll discuss what our laws have to say about the legality of conducting any one of three categories of business operations from residential premises. We’ll do so with reference to a High Court decision over a home-based hair salon which, although complying with local zoning laws, was in conflict with a Home Owners Association’s rules and regulations. The…
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Directors: Reckless Trading and Personal Liability in the Time of Coronavirus

Directors: Reckless Trading and Personal Liability in the Time of Coronavirus

The COVID-19 pandemic and its ongoing economic fallout have left many businesses struggling with cash flow and even viability challenges. The result is that an increasing number of companies are either trading in insolvent circumstances, or in grave danger of doing so. Reckless trading and your risk of personal liability To quote from the Companies Act (section 22(1)): “A company must not carry on its business recklessly, with gross negligence, with intent to defraud any person or for any fraudulent purpose.” And per section 77(3) any director “is liable for any loss, damages or costs sustained by the company as…
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