Legal & Risk: What Businesses Need to Watch
2026-05-31
This week’s news underscores two emerging legal challenges that South African and UK businesses must address: compliance risks in digital asset disputes and employers’ obligations when managing health-related work fitness assessments. These issues, often overlooked in corporate planning, could expose organisations to significant compliance and liability risks.
As highlighted by Moneyweb in “Why $1bn in Balkans energy contracts are going to an obscure company connected to Donald Trump”, the rise of crypto-related disputes highlights a critical gap in legal frameworks. Smart contracts, which automate transactions on blockchain platforms, are increasingly being used to resolve disputes without traditional judicial oversight. However, businesses involved in crypto settlements or tokenised assets must ensure these mechanisms comply with South African financial regulations and POPIA.
While South Africa’s Financial Sector Conduct Authority (FSCA) has yet to issue detailed guidelines on crypto dispute resolution, unresolved conflicts over smart contracts—such as those tied to non-fungible tokens (NFTs) or decentralised finance—could violate Section 39 of the Constitution, which guarantees access to justice. Additionally, any personal data (e.g., wallet identifiers) processed during disputes must be handled in line with POPIA’s data minimisation principles, as excessive data collection could breach Section 17(1), which prohibits processing sensitive information without explicit consent.
Compliance Action:
The Guardian article on the “Former M&S chief appointed to tackle UK youth unemployment crisis” raises subtle but important compliance considerations. As businesses assess young workers’ fitness for roles, especially those with mental health conditions like anxiety, employers must navigate the UK Equality Act 2010