CLA1503 TEST BANK
QUESTION 1
Which ONE of the following legal systems is the basis of the South African legal
system?
1. Dutch law
2. Roman law
3. English law
4. Roman-Dutch law 4 is CORRECT.
Explanation
The works of the Roman-Dutch jurists, the statutes of Holland and the collections of
old Dutch opinions and court decisions, form the basis of the South legal system.
QUESTION 2
Constitutional supremacy means that...
1. there may be no interference with judicial independence when a court applies
the Constitution.
2. the Constitution is the highest law of the country and any law which is contrary
to its provisions may be declared invalid. 2 is CORRECT.
3. Parliament is the highest legislative body and is entitled to make legislation
without any interference.
4. no right given by the Constitution may be limited.
Explanation
Constitutional supremacy means that the Constitution is the highest law of the
country. Any law which is contrary to its provisions may be declared invalid.
QUESTION 3
In which ONE of the following situations was a VALID contract concluded?
1. Sally engages a professional seafood caterer to provide seafood for her
birthday party, to which twenty guests have been invited. All the guests
confirm that they will attend Sally’s birthday party. The day before the party,
ten of the guests inform Sally that they will not attend the party because they
prefer to attend a street party on the same time and date in Sandton.
, 2. Nicolas enters into a agreement with himself and undertakes that he will save
R500 each month by paying R500 into his savings account on the first day of
each month.
3. Peter purchases a new pair of running shoes for R600 on the official website
of Nike. The shoes will be delivered at his flat in Pretoria. The shoes will be
delivered at his flat in Pretoria. 3 is CORRECT.
4. Reeze undertakes to sell the moon and one star to Shana for R500.
Explanation
All five requirements for a valid contract have been satisfied. Online contracting is
possible in terms of the Electronic Communications and Transactions Act 25 of 2002
which regulates electronic contracts.
QUESTION 4
Mandla is a general dealer. He needs to appoint a sales person and to replace his
delivery van with a bigger vehicle. If Mandla finds a buyer for the van and a suitable
sales person he will conclude two contracts: a contract of sale in respect of the old
vehicle and a contract of employment with the suitable applicant.
Which ONE of the following persons does NOT have the full capacity to conclude
both of the contracts with Mandla?
1. Gloria, seventeen years old, who has been married to Dan for the last two
years. They are married out of community of property.
2. Steven, whose estate was sequestrated after he lost a fortune in a shady
business deal. Steven has not been rehabilitated yet. 2 is CORRECT.
3. Arthur, who is married in community of property to Stella.
4. Themba, sixteen years old, whose parents left him behind when they
immigrated to America because he had his own job and flat.
Explanation
Steven, as an unrehabilitated insolvent may not take up employment with a general
dealer without the consent of his curator. Mandla is a general dealer. Steven will
need the consent of his curator to enter into the contract of sale because the
purchase of the van may have a negative effect on the insolvent estate. Steven can
therefore not conclude either of the contracts independently.
QUESTION 5
Moses undertakes to buy Xolile a new truck one month after Simon’s death has
occurred. Simon is currently very healthy.
,Which ONE of the following statements is CORRECT?
1. The moment for performance cannot be determined since it is uncertain when
Simon will die.
2. A contractual relationship between Moses and Xolile arises and neither of
them may rescind the contract. 2 is CORRECT.
3. This is an example of a resolutive time clause since the contractual obligation
only has effect until the occurrence of a certain event.
4. This is an example of a suspensive condition since the contractual obligations
are suspended until the condition is fulfilled.
Explanation
As soon as the contract is concluded, a contractual relationship between Moses and
Xolile arises, although it is subject to a suspensive time clause, and performance is
only claimable when Simon dies.
QUESTION 6
Donny sells his car to Stuart and his library of rare books to Chris. It is an express
term of his contract with Stuart that the car must be delivered by 6 June. The
contract between Donny and Chris does not stipulate any date for the delivery of the
books to Chris. Donny does not deliver the car to Stuart or the books to Chris.
Which ONE of the followings statements is CORRECT in respect of the legal steps
that may be taken against Donny?
1. Stuart and Chris may, in principle, claim delivery of the car and the books
respectively. 1 is CORRECT.
2. Stuart cannot claim delivery of the car but can only cancel the contract.
3. Chris is immediately entitled to cancel the contract for the sale of the books.
4. Stuart cannot apply for an interdict to prevent Donny from selling the car to
Edward at a higher price.
Explanation
The innocent parties, Stuart and Chris may claim specific performance, that is,
delivery of the car and the books.
QUESTION 7
Tshepo wins a gift voucher from Shine Car Fixtures. In terms of the voucher, she is
entitled to a free carwash. Since she does not own a car, she cedes her right to the
carwash to her friend Mpho.
, Which ONE of the following statements is CORRECT?
1. An agreement between Tshepo and Shine Car Fixtures in terms of which a
new obligation is created between Shine Car Fixtures and Mpho, is a cession
of rights.
2. An agreement between Tshepo and Mpho in terms of which Mpho becomes
entitled to performance by Shine Car Fixtures, is a cession of rights. 2 is
CORRECT.
3. An agreement between Tshepo and Mpho in terms of which a new obligation
is created between Shine Car Fixtures and Mpho, is a cession of rights.
4. An agreement between Shine Car Fixtures and Mpho in terms of which a new
obligation is created between Shine Car Fixtures and Mpho, is a cession of
rights.
Explanation
Cession is an agreement between the holder of a right (Tshepo in our case) and a
third party (Mpho) to the effect that the third party shall henceforth be the holder of
the right. In other words, it is an agreement by which a personal right (the free
carwash) is transferred to Mpho.
QUESTION 8
Roelf, a motivational speaker, rents a room from Jason to use as a consultation
room. Roelf and Jason agree about the rent but forget to discuss the date on which
the rent must be paid. Roelf’s consultations go well for the first two weeks until
Jason’s son, Mawethu, brings some items into the room alleging that his father gave
him permission to use part of the room as a tuckshop.
Which ONE of the following statements is CORRECT?
1. Jason has performed his duty to deliver the room to Roelf by merely putting
the room at Roelf's disposal.
2. There is no contract of lease between Roelf and Jason because they did not
agree about the date of payment of the rent. 3 is CORRECT.
3. There is a contract of lease between Roelf and Jason because they have
agreed about the rent to be paid by Roelf.
Explanation
The payment of rent is an essential element of a contract of lease. It may not be
excluded, not even by agreement between the parties. When a contract of lease is
concluded the lessee (Roelf) must undertake to pay rent in return for the use and
enjoyment of the lessor’s (Jason) thing (the room).
QUESTION 9
QUESTION 1
Which ONE of the following legal systems is the basis of the South African legal
system?
1. Dutch law
2. Roman law
3. English law
4. Roman-Dutch law 4 is CORRECT.
Explanation
The works of the Roman-Dutch jurists, the statutes of Holland and the collections of
old Dutch opinions and court decisions, form the basis of the South legal system.
QUESTION 2
Constitutional supremacy means that...
1. there may be no interference with judicial independence when a court applies
the Constitution.
2. the Constitution is the highest law of the country and any law which is contrary
to its provisions may be declared invalid. 2 is CORRECT.
3. Parliament is the highest legislative body and is entitled to make legislation
without any interference.
4. no right given by the Constitution may be limited.
Explanation
Constitutional supremacy means that the Constitution is the highest law of the
country. Any law which is contrary to its provisions may be declared invalid.
QUESTION 3
In which ONE of the following situations was a VALID contract concluded?
1. Sally engages a professional seafood caterer to provide seafood for her
birthday party, to which twenty guests have been invited. All the guests
confirm that they will attend Sally’s birthday party. The day before the party,
ten of the guests inform Sally that they will not attend the party because they
prefer to attend a street party on the same time and date in Sandton.
, 2. Nicolas enters into a agreement with himself and undertakes that he will save
R500 each month by paying R500 into his savings account on the first day of
each month.
3. Peter purchases a new pair of running shoes for R600 on the official website
of Nike. The shoes will be delivered at his flat in Pretoria. The shoes will be
delivered at his flat in Pretoria. 3 is CORRECT.
4. Reeze undertakes to sell the moon and one star to Shana for R500.
Explanation
All five requirements for a valid contract have been satisfied. Online contracting is
possible in terms of the Electronic Communications and Transactions Act 25 of 2002
which regulates electronic contracts.
QUESTION 4
Mandla is a general dealer. He needs to appoint a sales person and to replace his
delivery van with a bigger vehicle. If Mandla finds a buyer for the van and a suitable
sales person he will conclude two contracts: a contract of sale in respect of the old
vehicle and a contract of employment with the suitable applicant.
Which ONE of the following persons does NOT have the full capacity to conclude
both of the contracts with Mandla?
1. Gloria, seventeen years old, who has been married to Dan for the last two
years. They are married out of community of property.
2. Steven, whose estate was sequestrated after he lost a fortune in a shady
business deal. Steven has not been rehabilitated yet. 2 is CORRECT.
3. Arthur, who is married in community of property to Stella.
4. Themba, sixteen years old, whose parents left him behind when they
immigrated to America because he had his own job and flat.
Explanation
Steven, as an unrehabilitated insolvent may not take up employment with a general
dealer without the consent of his curator. Mandla is a general dealer. Steven will
need the consent of his curator to enter into the contract of sale because the
purchase of the van may have a negative effect on the insolvent estate. Steven can
therefore not conclude either of the contracts independently.
QUESTION 5
Moses undertakes to buy Xolile a new truck one month after Simon’s death has
occurred. Simon is currently very healthy.
,Which ONE of the following statements is CORRECT?
1. The moment for performance cannot be determined since it is uncertain when
Simon will die.
2. A contractual relationship between Moses and Xolile arises and neither of
them may rescind the contract. 2 is CORRECT.
3. This is an example of a resolutive time clause since the contractual obligation
only has effect until the occurrence of a certain event.
4. This is an example of a suspensive condition since the contractual obligations
are suspended until the condition is fulfilled.
Explanation
As soon as the contract is concluded, a contractual relationship between Moses and
Xolile arises, although it is subject to a suspensive time clause, and performance is
only claimable when Simon dies.
QUESTION 6
Donny sells his car to Stuart and his library of rare books to Chris. It is an express
term of his contract with Stuart that the car must be delivered by 6 June. The
contract between Donny and Chris does not stipulate any date for the delivery of the
books to Chris. Donny does not deliver the car to Stuart or the books to Chris.
Which ONE of the followings statements is CORRECT in respect of the legal steps
that may be taken against Donny?
1. Stuart and Chris may, in principle, claim delivery of the car and the books
respectively. 1 is CORRECT.
2. Stuart cannot claim delivery of the car but can only cancel the contract.
3. Chris is immediately entitled to cancel the contract for the sale of the books.
4. Stuart cannot apply for an interdict to prevent Donny from selling the car to
Edward at a higher price.
Explanation
The innocent parties, Stuart and Chris may claim specific performance, that is,
delivery of the car and the books.
QUESTION 7
Tshepo wins a gift voucher from Shine Car Fixtures. In terms of the voucher, she is
entitled to a free carwash. Since she does not own a car, she cedes her right to the
carwash to her friend Mpho.
, Which ONE of the following statements is CORRECT?
1. An agreement between Tshepo and Shine Car Fixtures in terms of which a
new obligation is created between Shine Car Fixtures and Mpho, is a cession
of rights.
2. An agreement between Tshepo and Mpho in terms of which Mpho becomes
entitled to performance by Shine Car Fixtures, is a cession of rights. 2 is
CORRECT.
3. An agreement between Tshepo and Mpho in terms of which a new obligation
is created between Shine Car Fixtures and Mpho, is a cession of rights.
4. An agreement between Shine Car Fixtures and Mpho in terms of which a new
obligation is created between Shine Car Fixtures and Mpho, is a cession of
rights.
Explanation
Cession is an agreement between the holder of a right (Tshepo in our case) and a
third party (Mpho) to the effect that the third party shall henceforth be the holder of
the right. In other words, it is an agreement by which a personal right (the free
carwash) is transferred to Mpho.
QUESTION 8
Roelf, a motivational speaker, rents a room from Jason to use as a consultation
room. Roelf and Jason agree about the rent but forget to discuss the date on which
the rent must be paid. Roelf’s consultations go well for the first two weeks until
Jason’s son, Mawethu, brings some items into the room alleging that his father gave
him permission to use part of the room as a tuckshop.
Which ONE of the following statements is CORRECT?
1. Jason has performed his duty to deliver the room to Roelf by merely putting
the room at Roelf's disposal.
2. There is no contract of lease between Roelf and Jason because they did not
agree about the date of payment of the rent. 3 is CORRECT.
3. There is a contract of lease between Roelf and Jason because they have
agreed about the rent to be paid by Roelf.
Explanation
The payment of rent is an essential element of a contract of lease. It may not be
excluded, not even by agreement between the parties. When a contract of lease is
concluded the lessee (Roelf) must undertake to pay rent in return for the use and
enjoyment of the lessor’s (Jason) thing (the room).
QUESTION 9
