, LML4806 Assignment 1 (COMPLETE ANSWERS) Semester 2 2025 –
DUE August 2025; 100% CORRECT AND TRUSTED SOLUTIONS
Question 1
You are approached by Stefan, the chairperson of the board of directors of JP
Textiles Ltd, for legal advice. He informs you that JP Textiles Ltd will be
holding its fifth annual general meeting (AGM) next month at its registered
office in Johannesburg. He further informs you that the board of directors is
concerned that a significant number of the company’s shareholders and
shareholder proxies who are based outside Johannesburg and overseas will not
be able to travel to Johannesburg to attend the AGM in person (physically) at
the company’s registered office.
Required:
Advise Stefan on what the company could do to ensure that it provides a
reasonable opportunity for all the shareholders and shareholder proxies to
attend and participate at its fifth AGM.
To advise Stefan, chairperson of the board of directors of JP Textiles Ltd, on how
the company can ensure it provides a reasonable opportunity for shareholders
and their proxies to attend and participate in the fifth AGM, we must examine
the provisions of the Companies Act 71 of 2008 (“the Act”), relevant regulations,
and corporate governance principles.
✅ Legal Framework: The Companies Act 71 of 2008
📌 Section 61 of the Companies Act – Meetings of shareholders
Section 61(7): A public company (which JP Textiles Ltd likely is, given it
holds AGMs) must convene an AGM each year.
The AGM must be held no more than 15 months after the previous
AGM, but not later than six months after the end of the financial year.
Importantly, the Act is silent on physical presence being mandatory for all
attendees and allows flexibility in terms of how meetings are held.
📌 Section 63(2) of the Act – Participation in meetings
DUE August 2025; 100% CORRECT AND TRUSTED SOLUTIONS
Question 1
You are approached by Stefan, the chairperson of the board of directors of JP
Textiles Ltd, for legal advice. He informs you that JP Textiles Ltd will be
holding its fifth annual general meeting (AGM) next month at its registered
office in Johannesburg. He further informs you that the board of directors is
concerned that a significant number of the company’s shareholders and
shareholder proxies who are based outside Johannesburg and overseas will not
be able to travel to Johannesburg to attend the AGM in person (physically) at
the company’s registered office.
Required:
Advise Stefan on what the company could do to ensure that it provides a
reasonable opportunity for all the shareholders and shareholder proxies to
attend and participate at its fifth AGM.
To advise Stefan, chairperson of the board of directors of JP Textiles Ltd, on how
the company can ensure it provides a reasonable opportunity for shareholders
and their proxies to attend and participate in the fifth AGM, we must examine
the provisions of the Companies Act 71 of 2008 (“the Act”), relevant regulations,
and corporate governance principles.
✅ Legal Framework: The Companies Act 71 of 2008
📌 Section 61 of the Companies Act – Meetings of shareholders
Section 61(7): A public company (which JP Textiles Ltd likely is, given it
holds AGMs) must convene an AGM each year.
The AGM must be held no more than 15 months after the previous
AGM, but not later than six months after the end of the financial year.
Importantly, the Act is silent on physical presence being mandatory for all
attendees and allows flexibility in terms of how meetings are held.
📌 Section 63(2) of the Act – Participation in meetings
