, PVL3702 ASSIGNMENT 1 SEMESTER 2 2025
DUE DATE: 26 AUGUST 2025
Legal Opinion
Introduction
The present dispute concerns whether the failure by Porsche Johannesburg’s authorised
representative to sign the “Contract of Sale” prevents the conclusion of a valid and
enforceable contract with Shane. The central and only issue is whether the prescribed
mode of acceptance was complied with, and if not, whether the parties nevertheless
concluded a valid contract of sale in terms of South African contract law. Waiver, breach of
contract, and the Consumer Protection Act 68 of 2008 are excluded from this opinion, as
required.
General Principles of Acceptance in South African Contract Law
For a valid contract to arise, there must be (i) consensus, (ii) capacity to contract, (iii) legality,
(iv) certainty, and (v) compliance with any prescribed formalities.1 The requirement of
consensus demands that there be a valid offer and acceptance. Acceptance must mirror the
offer and be communicated in the manner stipulated by the offeror or, failing that, in a
manner that is reasonable in the circumstances.2
Where a specific mode of acceptance is stipulated, the South African courts have
consistently emphasised that the parties’ intention is decisive.3If the parties intended the
prescribed mode to be the only valid method of acceptance, then compliance is necessary
for contractual validity.4However, if the stipulated mode is not an essential formality but
rather an administrative or evidentiary mechanism, then non-compliance does not
automatically prevent a contract from arising, provided that consensus can be proved
through other means.5
In Broodryk v Smuts NO, the court drew a distinction between essential formalities and non-
essential formalities, holding that non-compliance with a formality will not nullify an
1
Hutchison, D. & Pretorius, C.J. Law of Contract in South Africa. 3rd ed. OUP, 2017.
2
Christie, R.H. & Bradfield, G.B. Christie’s Law of Contract in South Africa. 7th ed. LexisNexis, 2016.
3
Van der Merwe, S. et al. Contract: General Principles. 5th ed. Juta, 2019.
4
Kerr, A.J. Principles of the Law of Contract. 6th ed. Butterworths, 2002.
5
Bhana, D., Boniface, A. & Nortjé, M. Students’ Guide to the Law of Contract. 4th ed. Juta, 2020.
DUE DATE: 26 AUGUST 2025
Legal Opinion
Introduction
The present dispute concerns whether the failure by Porsche Johannesburg’s authorised
representative to sign the “Contract of Sale” prevents the conclusion of a valid and
enforceable contract with Shane. The central and only issue is whether the prescribed
mode of acceptance was complied with, and if not, whether the parties nevertheless
concluded a valid contract of sale in terms of South African contract law. Waiver, breach of
contract, and the Consumer Protection Act 68 of 2008 are excluded from this opinion, as
required.
General Principles of Acceptance in South African Contract Law
For a valid contract to arise, there must be (i) consensus, (ii) capacity to contract, (iii) legality,
(iv) certainty, and (v) compliance with any prescribed formalities.1 The requirement of
consensus demands that there be a valid offer and acceptance. Acceptance must mirror the
offer and be communicated in the manner stipulated by the offeror or, failing that, in a
manner that is reasonable in the circumstances.2
Where a specific mode of acceptance is stipulated, the South African courts have
consistently emphasised that the parties’ intention is decisive.3If the parties intended the
prescribed mode to be the only valid method of acceptance, then compliance is necessary
for contractual validity.4However, if the stipulated mode is not an essential formality but
rather an administrative or evidentiary mechanism, then non-compliance does not
automatically prevent a contract from arising, provided that consensus can be proved
through other means.5
In Broodryk v Smuts NO, the court drew a distinction between essential formalities and non-
essential formalities, holding that non-compliance with a formality will not nullify an
1
Hutchison, D. & Pretorius, C.J. Law of Contract in South Africa. 3rd ed. OUP, 2017.
2
Christie, R.H. & Bradfield, G.B. Christie’s Law of Contract in South Africa. 7th ed. LexisNexis, 2016.
3
Van der Merwe, S. et al. Contract: General Principles. 5th ed. Juta, 2019.
4
Kerr, A.J. Principles of the Law of Contract. 6th ed. Butterworths, 2002.
5
Bhana, D., Boniface, A. & Nortjé, M. Students’ Guide to the Law of Contract. 4th ed. Juta, 2020.