[TYPE THE COMPANY NAME]
CLA2601
Assignment 1
Semester 1 |
Due 7 April 2025
NO PLAGIARISM
[Pick the date]
[Type the abstract of the document here. The abstract is typically a short summary of the contents of
the document. Type the abstract of the document here. The abstract is typically a short summary of
the contents of the document.]
, Exam (elaborations)
CLA2601 Assignment 1 Semester 1 | Due 7
April 2025
Course
Commercial Law IIA (CLA2601)
Institution
University Of South Africa (Unisa)
CLA2601 Assignment 1 Semester 1 | Due 7 April 2025. All questions
answered.
Question 1 Zane, Bongi, Muthu and Sophy are friends who decide to form a
partnership to purchase and sell new and secondhand mobile phones. Sophy
and Bongi will provide the capital to purchase the initial stock for the
partnership. Zane will be responsible for the repair of mobile phones and
Muthu will be responsible for the day-to-day activities regarding the sales,
administration and marketing of the mobile phone business. The parties
agree that the profit derived from the partnership will be divided equally
between Bongi, Sophy and Zane, and that Muthu will receive a monthly
salary for his services. Discuss and explain whether the above terms
constitute a valid partnership agreement. Refer to relevant case law in your
answer. 10 marks
Analysis of the Partnership Agreement between Zane,
Bongi, Muthu, and Sophy
To determine whether the terms agreed upon by Zane, Bongi, Muthu, and Sophy constitute a
valid partnership agreement, we need to examine whether their arrangement meets the essential
requirements for the formation of a partnership under the relevant legal principles. While specific
partnership legislation may vary across jurisdictions, the fundamental elements are generally
consistent, often drawing from common law principles.
A partnership is generally defined as a contractual relationship between two or more persons
who agree to carry on a lawful business in common with a view to profit. Based on this
definition, we can analyze the terms provided:
1. Agreement to Carry on a Business:
The friends have clearly agreed to carry on a business: purchasing and selling new and
secondhand mobile phones. This indicates a shared intention to engage in a commercial activity.
2. In Common:
CLA2601
Assignment 1
Semester 1 |
Due 7 April 2025
NO PLAGIARISM
[Pick the date]
[Type the abstract of the document here. The abstract is typically a short summary of the contents of
the document. Type the abstract of the document here. The abstract is typically a short summary of
the contents of the document.]
, Exam (elaborations)
CLA2601 Assignment 1 Semester 1 | Due 7
April 2025
Course
Commercial Law IIA (CLA2601)
Institution
University Of South Africa (Unisa)
CLA2601 Assignment 1 Semester 1 | Due 7 April 2025. All questions
answered.
Question 1 Zane, Bongi, Muthu and Sophy are friends who decide to form a
partnership to purchase and sell new and secondhand mobile phones. Sophy
and Bongi will provide the capital to purchase the initial stock for the
partnership. Zane will be responsible for the repair of mobile phones and
Muthu will be responsible for the day-to-day activities regarding the sales,
administration and marketing of the mobile phone business. The parties
agree that the profit derived from the partnership will be divided equally
between Bongi, Sophy and Zane, and that Muthu will receive a monthly
salary for his services. Discuss and explain whether the above terms
constitute a valid partnership agreement. Refer to relevant case law in your
answer. 10 marks
Analysis of the Partnership Agreement between Zane,
Bongi, Muthu, and Sophy
To determine whether the terms agreed upon by Zane, Bongi, Muthu, and Sophy constitute a
valid partnership agreement, we need to examine whether their arrangement meets the essential
requirements for the formation of a partnership under the relevant legal principles. While specific
partnership legislation may vary across jurisdictions, the fundamental elements are generally
consistent, often drawing from common law principles.
A partnership is generally defined as a contractual relationship between two or more persons
who agree to carry on a lawful business in common with a view to profit. Based on this
definition, we can analyze the terms provided:
1. Agreement to Carry on a Business:
The friends have clearly agreed to carry on a business: purchasing and selling new and
secondhand mobile phones. This indicates a shared intention to engage in a commercial activity.
2. In Common:
