Ponzi schemes: Another MTI judgment, risks and red flags
“MTl’s business clearly amounted to an unlawful ponzi-scheme, i.e. a fraudulent investing scam promising high rates of return to investors and generating returns for earlier investors with investments taken from later investors.” (Extract from judgment below) In times of economic turmoil, the promise of “easy money” can be incredibly enticing. Unfortunately, this allure often leads […]
Workplace harassment: The new code in a nutshell
“The criterion that harassment involves unwanted conduct distinguishes acts of harassment from acceptable conduct in the workplace” (extract from the Code, emphasis added) With effect from 18 March 2022, a new “Code of Good Practice on the Prevention and Elimination of Violence and Harassment in the Workplace” came into effect. Every employer and employee should […]
Exemption Clauses and Thieving Employees: Can You Sue (or Be Sued)?
“Where one of the parties wishes to be absolved either wholly or partially from an obligation or liability which would or could arise at common law under a contract of the kind which the parties intend to conclude, it is for that party to ensure that the extent to which he, she or it is […]
Fired For Moonlighting
“She failed to disclose these obviously material activities to her employer and was therefore manifestly acting in violation of her duty of good faith to her employer.” (Extract from judgment below) “Moonlighting” is the practice of employees boosting their monthly income with a “side-job” or “side-business”. It has been a feature of working relationships since […]
Using the New Cybercrimes Act to Protect Yourself
“…cybercrime has increased by over 300% during the COVID-19 pandemic – making it one of the biggest threats to businesses around the globe.” (Property 24 report) The Cybercrimes Act, which has been years in the making, is now (with effect from 1 December 2021) at last largely in force. Although some provisions still remain on […]
When Does Attendance at a Rugby Match Trigger a Dismissal from Employment?
“This is dishonest conduct of a kind which clearly negatively impairs upon a relationship of trust between an employer and employee.” (Extract from judgment below) An all-too-common complaint in workplaces comes from employers who notice a sudden surge in employees calling in sick on the day of a major sports fixture, or perhaps just on […]
Directors at War: Terminating Email Access
“All is fair in love and war…and business is war.” (Jasmine Kundra) When company directors are locked in dispute, one of them may be tempted to cut off the other’s access to emails and to the business server – a tactic likely to have immediate and serious consequences for the director thus cut off. Its […]
Employers – Walking The “Compulsory Covid-19 Jab” Tightrope
“Employers should find a reasonable resolution that accommodates all parties where employees refuse to be vaccinated for medical and constitutional grounds” (Ministry of Employment and Labour) As the Covid-19 pandemic continues to wreak havoc around the world, an increasing number of businesses find themselves walking a tightrope between their obligations to, on the one hand, […]
Employee Looting and Strike Violence: When is Dismissal Fair?
Employee looting and/or violence can take place during strike action or it can occur during non-workplace incidents such as the recent looting and public disorder sprees. In both cases employers need to take action, but with care. Addressing firstly the “strike” scenario, employees have strongly entrenched rights when it comes to taking industrial action. But […]
Directors, Creditors – Do Personal Suretyships Survive Business Rescue?
“Creditors have better memories than debtors” (Benjamin Franklin) In these hard times of pandemic and economically destructive unrest, an unfortunate number of businesses face collapse, and many will opt for the “first aid for companies” option of business rescue. Creditors coming out of that process with a shortfall (only the luckiest creditors are likely to […]