Section 911 of The Companies Act No. 17 of 2015: Protection of persons holding under a lease

    

(1) The Court may not make an order under section 911 vesting an interest under a lease in a person claiming under the company as a mortgagee or under lessee except on terms making that person—
(a) subject to the same liabilities and obligations as those to which the company was subject under the lease; or
(b) if the Court thinks appropriate—subject to the same liabilities and obligations as if the lease had been assigned to the person.
(2) If the order relates to only part of the property to which the lease relates, subsection (1) applies as if the lease had comprised only the part to which the vesting order relates.
(3) A person claiming under the company as mortgagee or under lessee who declines to accept a vesting order on the terms referred to in subsection (1) is excluded from all interest in the property.
(4) If no one claiming under the company is willing to accept an order on those terms, the Court may vest the interest in any person who is liable (whether personally or as a representative and whether alone or jointly with the company) to perform the lessee's covenants in the lease.
(5) The Court may vest the interest in such a person freed and discharged from all encumbrances and interests created by the company.


Disclaimer: This document is not to be taken as legal advise.

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