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LAW OF CONTRACT
REVISION STUDY PACK
EXAM PREPARATION / TUTORIAL CLASSES / EXAM PACKs CONTACT: 0784683517
JOSEPH
0784683517
“The expert in anything was once a beginner”
, 1
Answering Problem-Type
Questions
A useful way to approach problem type questions is to use the IPAC scheme:
I =IDENTIFY the legal issues involved.
P= set out the applicable legal PRINCIPLES.
A= APPLY the legal principles to the facts.
C= give your CONCLUSION.
IDENTIFYING THE PROBLEM
Identifying the relevant issues correctly is the most important step in answering the
question.
TIPS
• Start broadly and then narrow down the topic. For example, ask yourself
whether the question is about the validity of the contract, the contents of the
contract or the breach of the contract. Usually, the wording of the question
will give you an indication of this. If you decide it is about the validity of the
contract, ask yourself which specific requirement of validity is involved. Carry
on until you are sure that you have sufficiently narrowed down the topic.
• If you think more than one legal issue is involved, discuss both, but pay more
attention to the issue you regard as most relevant to the question.
• If you are not sure what the legal issue is, do not use the ‘shotgun’ approach!
Writing down everything you know about a certain topic, simply creates the
impression that although you might know the work, you do not understand it.
PRINCIPLES
Here you will summarise the legal principles applying to the legal issue. These can
usually be set out in the following form:
The rule= Requirements for the rule to apply + Consequences if the rule applies (
Authority)
TIPS
• Do not discuss all the legal principles in complete detail. Summarize the main
points to start off with. When you start applying the principles to the facts,
give a more detailed discussion on the specific principles that are relevant to
your application.
APPLICATION
This is a very important part of your answer, and what usually distinguishes a simple
pass from a first class pass. What you have to do, is to link the facts to the legal
principle involved. Motivating your answer is very important-part of being able to
construct a proper argument is to give reasons for your answer.
Example: Caveat Subsciptor rule: If a party has signed a written contract
(requirements), he will generally be bound to the contract (consequences)according
to the case of George v Fairmead (authority).
CONCLUSION - This is usually short, where you simply summarise what
your answer to the question is.
“The expert in anything was once a beginner”
, 2
Question 1
Which of the following is NOT a requirement for a valid contract?
1 Consensus
2 Formalities
3 Possibility
4 Reciprocity
5 Certainty (1)
Answer
4.
Discussion
See Hutchison and Pretorius (eds) The law of Contract in South Africa Oxford
University Press
Southern Africa 2012 6.
Question 2
Which statement is INCORRECT?
1 A contract is a unilateral or even bilateral juristic act.
2 A contract entails promises or undertakings on one or both sides.
3 An undertaking in a contract that a certain state of affairs exists, or has
existed, is known as a warranty.
4 The conclusion of a contract can be multilateral.
5 Freedom of contract means that the parties can agree to anything that is
possible and lawful. (1)
Answer
1.
Discussion
A contract is never a unilateral juristic act. See Hutchison and Pretorius
Contract
Question 3
Which statement is INCORRECT?
1 An obligation is a legal bond between a debtor and a creditor.
2 With a contract of sale, the seller is the debtor in respect of the duty to
deliver the thing sold, and the seller is the creditor in respect to the obligation
relating to the duty to pay the price.
3 An obligation comprises a right and a corresponding duty: the right of the
creditor to demand a performance by the debtor, and the duty of the debtor to
make that performance.
“The expert in anything was once a beginner”
, 3
4 A natural obligation is unenforceable in a court of law.
5 The right created by an obligation is a real right. (1)
Answer
5.
Discussion
The right created by an obligation is always a personal and never a real right.
See Hutchisonand Pretorius Contract 8.
Question 4
Which statement is INCORRECT?
1 A delict is wrongful and blameworthy conduct that causes harm to a person,
and which obliges the wrongdoer to compensate the injured party.
2 Concurrent liability exists where the same conduct might constitute both a
delict and a breach of contract, as when a surgeon who has contracted to
perform an operation negligently leaves a cotton swab inside the patient’s
body.
3 The essential difference between contractual and delictual obligations is that
the latter are, as a general rule, voluntarily assumed by the parties
themselves, whereas the former are imposed by law, irrespective of the will of
the parties.
4 The courts have shown great reluctance to permit claims in delict for
economic losses caused by a breach of contract.
5 Unjustified enrichment occurs when there is a shift of wealth from one
person’s estate to another’s without a good legal ground or cause for this
shift. (1)
Answer
3.
Discussion
Contractual obligations are, as a general rule, voluntarily assumed by the
parties themselves, whereas delictual obligations are imposed by law,
irrespective of the will of the parties. See Hutchison and Pretorius Contract 8.
Question 5
Which statement relating to the Bill of Rights in the Constitution of the
Republic of South Africa, 1996, is CORRECT?
1 Vertical application relates to relationships between private persons, as in
most contractual situations.
2 Horizontal application relates to relationships between the state and the
individual.
“The expert in anything was once a beginner”
LAW OF CONTRACT
REVISION STUDY PACK
EXAM PREPARATION / TUTORIAL CLASSES / EXAM PACKs CONTACT: 0784683517
JOSEPH
0784683517
“The expert in anything was once a beginner”
, 1
Answering Problem-Type
Questions
A useful way to approach problem type questions is to use the IPAC scheme:
I =IDENTIFY the legal issues involved.
P= set out the applicable legal PRINCIPLES.
A= APPLY the legal principles to the facts.
C= give your CONCLUSION.
IDENTIFYING THE PROBLEM
Identifying the relevant issues correctly is the most important step in answering the
question.
TIPS
• Start broadly and then narrow down the topic. For example, ask yourself
whether the question is about the validity of the contract, the contents of the
contract or the breach of the contract. Usually, the wording of the question
will give you an indication of this. If you decide it is about the validity of the
contract, ask yourself which specific requirement of validity is involved. Carry
on until you are sure that you have sufficiently narrowed down the topic.
• If you think more than one legal issue is involved, discuss both, but pay more
attention to the issue you regard as most relevant to the question.
• If you are not sure what the legal issue is, do not use the ‘shotgun’ approach!
Writing down everything you know about a certain topic, simply creates the
impression that although you might know the work, you do not understand it.
PRINCIPLES
Here you will summarise the legal principles applying to the legal issue. These can
usually be set out in the following form:
The rule= Requirements for the rule to apply + Consequences if the rule applies (
Authority)
TIPS
• Do not discuss all the legal principles in complete detail. Summarize the main
points to start off with. When you start applying the principles to the facts,
give a more detailed discussion on the specific principles that are relevant to
your application.
APPLICATION
This is a very important part of your answer, and what usually distinguishes a simple
pass from a first class pass. What you have to do, is to link the facts to the legal
principle involved. Motivating your answer is very important-part of being able to
construct a proper argument is to give reasons for your answer.
Example: Caveat Subsciptor rule: If a party has signed a written contract
(requirements), he will generally be bound to the contract (consequences)according
to the case of George v Fairmead (authority).
CONCLUSION - This is usually short, where you simply summarise what
your answer to the question is.
“The expert in anything was once a beginner”
, 2
Question 1
Which of the following is NOT a requirement for a valid contract?
1 Consensus
2 Formalities
3 Possibility
4 Reciprocity
5 Certainty (1)
Answer
4.
Discussion
See Hutchison and Pretorius (eds) The law of Contract in South Africa Oxford
University Press
Southern Africa 2012 6.
Question 2
Which statement is INCORRECT?
1 A contract is a unilateral or even bilateral juristic act.
2 A contract entails promises or undertakings on one or both sides.
3 An undertaking in a contract that a certain state of affairs exists, or has
existed, is known as a warranty.
4 The conclusion of a contract can be multilateral.
5 Freedom of contract means that the parties can agree to anything that is
possible and lawful. (1)
Answer
1.
Discussion
A contract is never a unilateral juristic act. See Hutchison and Pretorius
Contract
Question 3
Which statement is INCORRECT?
1 An obligation is a legal bond between a debtor and a creditor.
2 With a contract of sale, the seller is the debtor in respect of the duty to
deliver the thing sold, and the seller is the creditor in respect to the obligation
relating to the duty to pay the price.
3 An obligation comprises a right and a corresponding duty: the right of the
creditor to demand a performance by the debtor, and the duty of the debtor to
make that performance.
“The expert in anything was once a beginner”
, 3
4 A natural obligation is unenforceable in a court of law.
5 The right created by an obligation is a real right. (1)
Answer
5.
Discussion
The right created by an obligation is always a personal and never a real right.
See Hutchisonand Pretorius Contract 8.
Question 4
Which statement is INCORRECT?
1 A delict is wrongful and blameworthy conduct that causes harm to a person,
and which obliges the wrongdoer to compensate the injured party.
2 Concurrent liability exists where the same conduct might constitute both a
delict and a breach of contract, as when a surgeon who has contracted to
perform an operation negligently leaves a cotton swab inside the patient’s
body.
3 The essential difference between contractual and delictual obligations is that
the latter are, as a general rule, voluntarily assumed by the parties
themselves, whereas the former are imposed by law, irrespective of the will of
the parties.
4 The courts have shown great reluctance to permit claims in delict for
economic losses caused by a breach of contract.
5 Unjustified enrichment occurs when there is a shift of wealth from one
person’s estate to another’s without a good legal ground or cause for this
shift. (1)
Answer
3.
Discussion
Contractual obligations are, as a general rule, voluntarily assumed by the
parties themselves, whereas delictual obligations are imposed by law,
irrespective of the will of the parties. See Hutchison and Pretorius Contract 8.
Question 5
Which statement relating to the Bill of Rights in the Constitution of the
Republic of South Africa, 1996, is CORRECT?
1 Vertical application relates to relationships between private persons, as in
most contractual situations.
2 Horizontal application relates to relationships between the state and the
individual.
“The expert in anything was once a beginner”
