LML4806
Assignment 2 Semester 1 2025
Unique Number:
Due Date: 2025
QUESTION 1
1.1. (2 ANSWERS PROVIDED)
Under section 71 of the Companies Act 71 of 2008, a director may be removed by either
the shareholders or the board of directors. In this case, since Star Engineering (Pty) Ltd
only has two directors, Mashudu must rely on the provisions for board removal under
section 71(3).
A director may be removed by the board if:
1. The director has become ineligible or disqualified.
2. The director has become incapacitated and is unable to perform the functions of a
director.
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
Assignment 2 Semester 1 2025
Unique Number:
Due Date: 2025
QUESTION 1
1.1. (2 ANSWERS PROVIDED)
Under section 71 of the Companies Act 71 of 2008, a director may be removed by either
the shareholders or the board of directors. In this case, since Star Engineering (Pty) Ltd
only has two directors, Mashudu must rely on the provisions for board removal under
section 71(3).
A director may be removed by the board if:
1. The director has become ineligible or disqualified.
2. The director has become incapacitated and is unable to perform the functions of a
director.
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
