Companies Act, 1973 (Act No. 61 of 1973)Chapter XIV: Winding-up of CompaniesGeneral Provisions Affecting all Windings-up359. Legal proceedings suspended and attachments void |
| 1) | When the Court has made an order for the winding-up of a company or a special resolution for the voluntary winding-up of a company has been registered in terms of section 200- |
| a) | all civil proceedings by or against the company concerned shall be suspended until the appointment of a liquidator; and |
| b) | any attachment or execution put in force against the estate or assets of the company after the commencement of the winding-up shall be void. |
| 2) |
| a) | Every person who, having instituted legal proceedings against a company which were suspended by a winding-up, intends to continue the same, and every person who intends to institute legal proceedings for the purpose of enforcing any claim against the company which arose before the commencement of the winding-up, shall within four weeks after the appointment of the liquidator give the liquidator not less than three weeks' notice in writing before continuing or commencing the proceedings. |
| b) | If notice is not so given the proceedings shall be considered to be abandoned unless the Court otherwise directs. |