Considerations that inform the view of whether there is a reasonable prospect of rescuing a company: a decade of legal precedent

Suid-Afrikaanse howe het oor die afgelope dekade rigting gegee oor die algemene beginsels wat ter sprake kom wanneer die deurlopende vereiste van ’n redelike vooruitsig vir sakeredding van ’n maatskappy oorweeg word. Volgens die hoogste hof van appèl is daar geen algemene minimum voorskrifte om te bepaal of daar ’n redelike vooruitsig vir sakeredding is nie. Dit is dus nie moontlik om ’n afmerklys of templaat te ontwerp van oorwegings wat in hierdie opsig ter sprake kom nie. Daar moet van geval tot geval bepaal word watter oorwegings relevant is om te bepaal of daar ’n redelike vooruitsig vir sakeredding is. Daar moet bepaal word watter gewig aan elke oorweging gegee moet word. Die oorwegings (wat uiteenlopend en selfs teenstrydig mag wees), moet teen mekaar opgeweeg word. Volgens die hoogste hof van appèl is daar twee selfstandige oogmerke vir sakeredding: sakeredding en sakemoord (laasgenoemde wanneer sakeredding wat uitloop op sakemoord, ’n beter opbrengs kan bewerkstellig as onmiddellike likwidasie). In hierdie bydrae word aandag geskenk aan die oorwegings wat in die regspraak oor die afgelope jare ter sprake gekom het om te bepaal of daar ’n redelike vooruitsig vir sakeredding is. Eerstens word die oorwegings bespreek wat by albei oogmerke vir sakeredding ter sprake mag kom, maar moontlik meer relevant is wanneer die oogmerk inderdaad sakeredding is. Daarna word die oorwegings bespreek wat veral ter sprake kom wanneer die oogmerk is dat ’n beter opbrengs bewerkstellig word deur sakeredding as by wyse van likwidasie. Alhoewel hierdie oorwegings geen afmerklys of templaat verteenwoordig nie, word vertrou dat hierdie ontleding van die regspraak, tesame met die algemene beginsels wat volgens die regspraak by die vereiste van ’n redelike vooruitsig vir sakeredding ter sprake kom, van hulp kan wees vir diegene wat met die beantwoording van vrae in verband met hierdie vereiste gekonfronteer word.

Substantiation of prospective direction for developing devices to reglate pressure in truck tires

Analysis of the theory of the car and its basic elements makes it possible to state the exceptional importance of the pneumatic tire, which provides movement during the operation of the vehicle. The most important parameter that characterizes the condition of the pneumatic tire is the pressure, which can fluctuate during movement, but, at the same time, is a controlled parameter due to the possibility of inflating the tire in the presence of special devices during movement. Methodology. The purpose of the article is a reasonable prospect of creating new models of devices for tire pressure regulation in trucks. To achieve this goal, the methods of hypothesis, mathematical modeling to confirm it, methods of analysis, generalization were used. Results. The article proves that under the influence of the load on the wheel, the air temperature in the tires will be different and, accordingly, there will be differences in the pressure parameters in the pneumatic tires of trucks. In this regard, the solution to the issue of tire pressure regulation in trucks should be considered from the standpoint of differentiated pressure regulation, taking into account the difference in pressure parameters, which allows pumping each individual tire without a forced stop. Originality. The scientific novelty of the article is that it substantiates the promising direction of development of pressure monitoring devices in truck tires based on the analysis of the theoretical model of heating the pneumatic tires. Practical value. The practical significance of the study is that the article identifies the need to change approaches to pressure regulation based on the transition from centralized pumping systems to pumping systems based on a differentiated approach to individual air pressure control systems in truck tires.

Small, medium and micro-enterprises’ distress and factual evaluation of rescue feasibility

Background: Entrepreneurs often face distress in their businesses; as one way to address it, they can file for business rescue. The Companies Act 71 of 2008 requires the appointed business rescue practitioner (BRP) to place before the court facts proving ‘reasonable prospect’. This often seems determined mainly by the subjective opinion of practitioners, who rely on their experience and knowledge in rescue and business management. This appears to be in direct contrast to the requirements for factual evidence set out by several court judgements. There are many questions surrounding the determination of reasonable prospect, as there seems to be no benchmark for entrepreneurs and BRPs to work towards or a prescribed process to be followed.Aim: This article investigates different methods of factually determining reasonable prospect and guiding the decision-making process during the pre-filing and initial stages of the rescue of small, medium and micro-enterprises (SMMEs).Setting: The study was conducted using South African case law and financial models relevant to SMMEs in South Africa.Methods: Qualitative analysis of existing financial models and case law to better understand how BRPs determine initial reasonable prospect when working with SMMEs.Results: The research report methods of determining financial distress and decline within the relevant case law.Conclusion: Reasonable prospect relies heavily on experience and opinion. Factually proving reasonable prospect remains problematic because of information asymmetry and the lack of data integrity. Affected parties (including entrepreneurs) could benefit from the insights obtained in this study. Identifying methods that could assist with the factual determination of reasonable prospect could contribute to entrepreneurial education, as well as address the current conflict that surrounds the subject.

Regulating Child Sex Robots: Restriction or Experimentation?

In July 2014, the roboticist Ronald Arkin suggested that child sex robots could be used to treat those with paedophilic predilections in the same way that methadone is used to treat heroin addicts. Taking this onboard, it would seem that there is reason to experiment with the regulation of this technology. But most people seem to disagree with this idea, with legal authorities in both the UK and US taking steps to outlaw such devices. In this article, I subject these different regulatory attitudes to critical scrutiny. In doing so, I make three main contributions to the debate. First, I present a framework for thinking about the regulatory options that we confront when dealing with child sex robots. Secondly, I argue that there is a prima facie case for restrictive regulation, but that this is contingent on whether Arkin’s hypothesis has a reasonable prospect of being successfully tested. Thirdly, I argue that Arkin’s hypothesis probably does not have a reasonable prospect of being successfully tested. Consequently, we should proceed with utmost caution when it comes to this technology.

Uncomfortable truths? ML=BS and AML= BS2

Purpose The purpose of this paper is to advance debate and prompt new strategies substantially to improve the capacity to disrupt serious profit-motivated crime. Design/methodology/approach Using interdiction rates (the proportion of criminal funds seized or forfeited) as an interim proxy effectiveness indicator, this article challenges elements of the dominant anti-money laundering/counter-financing of terrorism (AML/CFT) narrative, and reflects on policy effectiveness and outcomes. Findings Interdiction rates in jurisdictions surveyed hardly constitute a rounding error in the accounts of profit motivated criminal enterprises. The current AML/CFT model appears almost completely ineffective in disrupting illicit finances and serious crime. Research limitations/implications With such research at an early stage, some data are poorly substantiated and methodological inconsistencies rife. Practical implications For policy interventions with a reasonable prospect for crime not to pay, beyond rhetoric, frank evaluation of results and a potential step-change in policy, regulatory and enforcement vision and capability, may be required. Originality/value Scholars have exposed a paucity of meaningful links between AML/CFT controls and crime and terrorism prevention, yet the dominant narrative persists largely unchecked. This paper examines components of that narrative in the context of scholarship on “bullshit”.

A framework for turnaround practitioners to assess reasonable prospect for ventures operating in the zone of insolvency

Turnaround practitioners (TPs) and business rescue practitioners (BRPs) are tasked with making the critical decision of whether a distressed business has reasonable prospect (RP) for reorganisation. Creditors often require the same determination because only businesses assessed to have a reasonable prospect can enter the rescue or reorganisation process. These determinations are difficult because they are made within a ‘zone of insolvency’ (ZoI). Going concerns operate on a solvent basis but may slide into the ZoI where conditions are ambiguous, unclear and uncertain. At the same, time, the specific conditions and contexts of distressed businesses vary widely despite some generic similarities that may exist. Therefore, the decision about reasonable prospect depends largely on how TP and BRPs perceive and make sense of the ambiguous conditions within the zone of insolvency. Finally, creditors and courts rarely agree with such RP determinations, but no generic tool exists to satisfy all stakeholders. Hence, the decision of whether (or not) a distressed business has a reasonable prospect to embark upon a reorganisation intervention involves both rational and subjective assessment to make sense of the conditions present in the ZoI. An affordance framework with guiding scores is proposed to determine reasonable prospect.

Why U.S. Efforts to Promote the Rule of Law in Afghanistan Failed

Promoting the rule of law in Afghanistan has been a major U.S. foreign policy objective since the collapse of the Taliban regime in late 2001. Policymakers invested heavily in building a modern democratic state bound by the rule of law as a means to consolidate a liberal post-conflict order. Eventually, justice-sector support also became a cornerstone of counterinsurgency efforts against the reconstituted Taliban. Yet a systematic analysis of the major U.S.-backed initiatives from 2004 to 2014 finds that assistance was consistently based on dubious assumptions and questionable strategic choices. These programs failed to advance the rule of law even as spending increased dramatically during President Barack Obama's administration. Aid helped enable rent seeking and a culture of impunity among Afghan state officials. Despite widespread claims to the contrary, rule-of-law initiatives did not bolster counterinsurgency efforts. The U.S. experience in Afghanistan highlights that effective rule-of-law aid cannot be merely technocratic. To have a reasonable prospect of success, rule-of-law promotion efforts must engage with the local foundations of legitimate legal order, which are often rooted in nonstate authority, and enjoy the support of credible domestic partners, including high-level state officials.

Has NCLB Encouraged Educational Triage? Accountability and the Distribution of Achievement Gains

The No Child Left Behind Act (NCLB) has been criticized for encouraging schools to neglect students whose performance exceeds the proficiency threshold or lies so far below it that there is no reasonable prospect of closing the gap during the current year. We examine this hypothesis using longitudinal data from 2002–03 through 2005–06. Our identification strategy relies on the fact that as NCLB was phased in, states had some latitude in designating which grades were to count for purposes of a school making adequate yearly progress. We compare the mathematics achievement distribution in a grade before and after it became a high-stakes grade. We find in general no evidence that gains were concentrated on students near the proficiency standard at the expense of students scoring much lower, though there are inconsistent signs of a trade-off with students at the upper end of the distribution.

Last Resort and Proportionality

Justified warfare requires far more than a just cause. The multiple necessary conditions to be satisfied before the inevitable deaths, wounds, and destruction of war, many inflicted wrongfully on combatants on both sides and on civilians, can be justified as a lesser evil also minimally include reasonable prospect of success, last resort, and proportionality of resort. Only a great evil to be resisted can constitute a just cause, and it must be empirically the case that military action has a reasonable prospect of stopping the resisted evil and is also necessary in being the least evil means of resistance, which is the meaning of last resort. Proportionality of resort, which is importantly different from proportionality in the conduct of war, can be assessed only by examining several questions concerning the evils created by the proposed war, including whose evils (only one’s own or predictable others) and which evils (which harms count).

BUSINESS RESCUE: DO EMPLOYEES HAVE BETTER (REASONABLE) PROSPECTS OF SUCCESS? COMMENTARY ON Employees of Solar Spectrum Trading 83 (Pty) Limited v AFGRI Operations Limited (North Gauteng High Court, Pretoria (unreported) 2012-05-16 Case no 6418/2011; 18624

In this case note the author will give a brief overview of the facts and judgment of the Solar Spectrum case. The author will then proceed to analyse and comment on some of the important aspects of the judgment. The author will specifically focus on the court’s approach to the phrase “reasonable prospect for success …” in balancing the interests and rights of creditors against those of the applicant, which were in this case the employees of the second respondent.