MRL2601 Assignment 1
(COMPLETE ANSWERS)
Semester 2 2026 - DUE 12
August 2026
FOR ASSISTANCE CONTACT
EMAIL:
, Essential Elements of a Partnership Formation
A partnership in South African law requires three essential elements (essentialia) to be present for a
valid contract to exist. Elements that naturally flow from the contract unless excluded are termed
naturalia. [1, 2]
Element
Requirement Description
Type
Each partner must contribute money, goods, labor, or skill to the
Essentialia Contribution
common fund or joint venture.
The business must be carried on for the joint benefit of all the
Essentialia Common Benefit
partners involved.
Essentialia Profit Motive The primary objective of the partnership must be to make a profit.
Sharing of Net Profits are shared equally unless a different ratio is specified in the
Naturalia
Profit partnership agreement.
Comparison of Trusts Under Act 57 of 1988
The Trust Property Control Act 57 of 1988 recognizes two main categories of trusts based on their
method of creation. [1]
Feature Inter Vivos Trust (Living Trust) Mortis Causa Trust (Testamentary Trust)
Creation Created during the founder's lifetime via Created inside a valid will and takes effect
Method a contract (agreement). upon the founder's death.
Founding
Trust Deed. Will / Testament.
Document
(COMPLETE ANSWERS)
Semester 2 2026 - DUE 12
August 2026
FOR ASSISTANCE CONTACT
EMAIL:
, Essential Elements of a Partnership Formation
A partnership in South African law requires three essential elements (essentialia) to be present for a
valid contract to exist. Elements that naturally flow from the contract unless excluded are termed
naturalia. [1, 2]
Element
Requirement Description
Type
Each partner must contribute money, goods, labor, or skill to the
Essentialia Contribution
common fund or joint venture.
The business must be carried on for the joint benefit of all the
Essentialia Common Benefit
partners involved.
Essentialia Profit Motive The primary objective of the partnership must be to make a profit.
Sharing of Net Profits are shared equally unless a different ratio is specified in the
Naturalia
Profit partnership agreement.
Comparison of Trusts Under Act 57 of 1988
The Trust Property Control Act 57 of 1988 recognizes two main categories of trusts based on their
method of creation. [1]
Feature Inter Vivos Trust (Living Trust) Mortis Causa Trust (Testamentary Trust)
Creation Created during the founder's lifetime via Created inside a valid will and takes effect
Method a contract (agreement). upon the founder's death.
Founding
Trust Deed. Will / Testament.
Document
