A rehabilitation application is a formal process. It is brought in the High Court, on motion, with statutory notice periods that cannot be shortened. There is no fast-track version. Anyone who tells you otherwise is selling something other than rehabilitation.

This page sets out the realistic process from first enquiry to the granting of the order, so that you know what to expect before you instruct us.

Stage 1 — Screening consultation

Before we accept instructions, we conduct a screening consultation at a fixed fee. The purpose of this consultation is to:

• confirm which pathway under section 124 of the Insolvency Act applies to you;
• check that the applicable waiting period has run;
• identify any factors that may complicate the application — opposition, prior insolvency-related convictions, unfinished trustee’s accounts, or conduct issues during the administration of your estate;
• give you an honest view of whether to proceed; and
• prepare a written quote for a fixed-fee package, with disbursements separately itemised.

If after the screening we believe the application is unlikely to succeed, we will say so. We do not accept matters that should not be brought.

Stage 2 — Mandate, FICA, and information gathering

Once you accept our quote, we send a written engagement letter and a power of attorney. We comply with FICA (Financial Intelligence Centre Act 38 of 2001) and POPIA (Protection of Personal Information Act 4 of 2013) requirements before we begin substantive work.

You then complete our detailed insolvency-history form, which captures everything we need for the founding affidavit, and you upload your supporting documents through our secure document portal. We also obtain, where necessary:

• the trustee’s accounts from the Master’s office;
• confirmation that those accounts have been finalised; and
• any further records held by your trustee.

Stage 3 — Drafting the founding affidavit

The founding affidavit is the core of the application. It must:

• explain the history of your sequestration in honest, candid terms;
• set out the statutory pathway you rely on;
• show that the waiting period has run;
• attach the documentary evidence supporting each fact;
• address any opposition that may be anticipated; and
• explain why the court should exercise its discretion in your favour.

Confirmatory affidavits may be needed from a spouse, employer, accountant, or other party where their version supports your application.

Stage 4 — Notice in the Government Gazette

The Insolvency Act requires that you publish a notice of your intention to apply for rehabilitation in the Government Gazette at least six weeks before the application is heard. This is a statutory minimum and cannot be reduced.

We attend to this on your behalf. The cost of the Gazette notice is a disbursement, separate from our professional fee.

Stage 5 — Notice to the Master and trustee

In addition to the Gazette notice, we serve formal notice on:

• the Master of the High Court, who must produce a report under section 125;
• your trustee; and
• creditors where the Act or the rules of court require it.

These notices must be served in time to allow the Master to prepare the report and any party to indicate opposition.

Stage 6 — Filing and the Master’s report

The notice of motion, founding affidavit, and supporting documents are filed in the appropriate division of the High Court. The Master then prepares the report under section 125 dealing with the conduct of your estate and any matter the Master considers relevant.

Stage 7 — The hearing

Most rehabilitation applications are unopposed motions and are heard on the unopposed roll. Your physical attendance is usually not required. Where the matter is opposed — by a creditor, the trustee, or the Master — additional steps follow, including answering and replying affidavits and a hearing on the opposed roll.

The court considers:

• whether the statutory requirements have been met;
• the Master’s report;
• any opposition; and
• whether, on the facts, it is just to grant the order.

The court has a discretion. A rehabilitation order is not automatic.

Stage 8 — The order

If the court grants the application, the order takes effect on the date specified. From that date:

• the status of insolvency ends;
• the legal effects in section 127 apply, subject to the section 129 exceptions; and
• you regain capacity to contract, hold office, and trade in your own name, subject to any other statutory disqualification that applies to you for unrelated reasons.

Stage 9 — Post-order administration

The order alone does not update third-party records. We:

• serve the order on the Master and the trustee;
• notify the credit bureaux so that the insolvency listing can be updated; and
• where relevant, provide certified copies of the order for use with regulators, banks, or transferring attorneys.

How long does the whole process take?

A typical, uncomplicated matter takes three to six months from instruction to the granting of the order. The main timing constraints are:

• collection of the trustee’s records (often the slowest step);
• the six-week minimum between the Gazette notice and the hearing;
• court roll availability in the chosen division; and
• the Master’s report turnaround.

Opposed matters can take materially longer. Matters where the trustee’s accounts are not yet confirmed cannot proceed until they are.

What can go wrong

Most applications are granted. Those that are refused or postponed almost always involve one of the following:

• defective notice (Gazette or service);
• an incomplete or evasive founding affidavit;
• substantive opposition that has not been adequately answered;
• accounts that have not been finalised; or
• conduct issues during the administration of the estate that have not been candidly disclosed.

Each of these is manageable, but only if it is identified before filing.

Next step

If you would like us to assess your matter and quote a fixed fee, complete the qualifier or send a confidential enquiry. We respond within one business day.

This article is general information about South African law as we understand it on the date of publication. It is not legal advice. Each matter turns on its own facts. Speak to a legal practitioner before acting.