PVL3702
Assignment 1 Semester 2
Unique No: 148712
Due 26 August 2025
, PVL3702 ASSIGNMENT 01 – LEGAL OPINION
UNISA Student Number: [Insert your student number]
Unique Number: 148712
Semester 2, 2025
Due date: 26 August 2025
Legal Opinion on Prescribed Mode of Acceptance in Contract Law
Assignment Question
Scenario Recap:
Shane signed a written contract for the purchase of a Porsche from a dealership and
paid the full purchase price, including additional fees. The dealership later refused to
deliver the car, claiming the contract was not concluded because their representative
never signed the agreement.
1. Identifying the Legal Problem
The legal issue in this scenario revolves around contract formation, specifically whether
a contract can be valid and binding when a party does not follow the prescribed mode of
acceptance in this case, a signature.
2. Applicable Law and Legal Sources
According to the objective theory of contract (Hutchison & Pretorius, 2022), the
existence of a contract is judged based on the parties' outward conduct, not their
internal intentions. This principle focuses on whether a reasonable person would
conclude that consensus was reached.
Where the offeror prescribes a specific mode of acceptance, such as a signature, the
offeree is usually bound to follow this instruction (Pillay v Shaik 2009 (4) SA 74 (SCA)).
However, South African courts have held that failure to comply with the mode of
Assignment 1 Semester 2
Unique No: 148712
Due 26 August 2025
, PVL3702 ASSIGNMENT 01 – LEGAL OPINION
UNISA Student Number: [Insert your student number]
Unique Number: 148712
Semester 2, 2025
Due date: 26 August 2025
Legal Opinion on Prescribed Mode of Acceptance in Contract Law
Assignment Question
Scenario Recap:
Shane signed a written contract for the purchase of a Porsche from a dealership and
paid the full purchase price, including additional fees. The dealership later refused to
deliver the car, claiming the contract was not concluded because their representative
never signed the agreement.
1. Identifying the Legal Problem
The legal issue in this scenario revolves around contract formation, specifically whether
a contract can be valid and binding when a party does not follow the prescribed mode of
acceptance in this case, a signature.
2. Applicable Law and Legal Sources
According to the objective theory of contract (Hutchison & Pretorius, 2022), the
existence of a contract is judged based on the parties' outward conduct, not their
internal intentions. This principle focuses on whether a reasonable person would
conclude that consensus was reached.
Where the offeror prescribes a specific mode of acceptance, such as a signature, the
offeree is usually bound to follow this instruction (Pillay v Shaik 2009 (4) SA 74 (SCA)).
However, South African courts have held that failure to comply with the mode of
