LML4806
ASSIGNMENT 1
DUE DATE: MARCH 2026
, LML4806 ASSIGNMENT 1 2026
DUE MARCH 2026
QUESTION 1
1.1 The type of company that Multicuisine Ramatla (RF) Ltd falls under
Based on the facts and the provisions of the Companies Act 71 of 2008,
Multicuisine Ramatla (RF) Ltd is a private company, as indicated by its
name which includes the expression "(RF) Ltd". The designation "(RF)"
stands for "Ring-Fenced" and is a mandatory part of the name of any
company, including a private company, whose Memorandum of
Incorporation (MOI) contains a provision that restricts or prohibits the
amendment of any particular provision of that MOI. 1
Though the core characteristics of a private company restricting the
transferability of its securities and prohibiting offerings to the public are
present, the "(RF)" suffix provides additional crucial information to third
parties. It signals that the company's MOI includes specific "ring-fenced"
provisions that cannot be easily amended. In this context, it is highly likely
that the MOI of Multicuisine Ramatla (RF) Ltd contains special provisions
relating to its Broad-Based Black Economic Empowerment (BBBEE)
structure, its shareholding, or the specific terms of the loan and dividend
1
Section 11 of the Companies Act 71 of 2008 read with the definition of "ring-fenced" in the context of company
names; Maleka Femida Cassim, 'Formation of Companies and the Company Constitution' in Farouk HI Cassim et
al, The Law of Business Structures (2nd ed, Juta 2021) para 6.2.1.
ASSIGNMENT 1
DUE DATE: MARCH 2026
, LML4806 ASSIGNMENT 1 2026
DUE MARCH 2026
QUESTION 1
1.1 The type of company that Multicuisine Ramatla (RF) Ltd falls under
Based on the facts and the provisions of the Companies Act 71 of 2008,
Multicuisine Ramatla (RF) Ltd is a private company, as indicated by its
name which includes the expression "(RF) Ltd". The designation "(RF)"
stands for "Ring-Fenced" and is a mandatory part of the name of any
company, including a private company, whose Memorandum of
Incorporation (MOI) contains a provision that restricts or prohibits the
amendment of any particular provision of that MOI. 1
Though the core characteristics of a private company restricting the
transferability of its securities and prohibiting offerings to the public are
present, the "(RF)" suffix provides additional crucial information to third
parties. It signals that the company's MOI includes specific "ring-fenced"
provisions that cannot be easily amended. In this context, it is highly likely
that the MOI of Multicuisine Ramatla (RF) Ltd contains special provisions
relating to its Broad-Based Black Economic Empowerment (BBBEE)
structure, its shareholding, or the specific terms of the loan and dividend
1
Section 11 of the Companies Act 71 of 2008 read with the definition of "ring-fenced" in the context of company
names; Maleka Femida Cassim, 'Formation of Companies and the Company Constitution' in Farouk HI Cassim et
al, The Law of Business Structures (2nd ed, Juta 2021) para 6.2.1.
