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MRL2601 Assignment 1 Semester 2 2023 Solutions.

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MRL2601 Assignment 1 Semester 2 2023 Solutions. QUESTION 1 Two partners who are practicing as dentists, Susan and Jane, decide to dissolve their partnership by agreement. The partnership agreement is silent regarding the goodwill of the partnership. Jane continues practicing as a dentist and de facto takes the partnership’s clients (valued at R1 million) over for her own benefit. Susan feels it is unfair that Jane has taken over all of the clients and wishes to institute a legal action to claim her part of the goodwill. Explain whether there is a remedy to Susan’s disposal in these circumstances. (Your answer should not exceed ½ a page) QUESTION 2 Name (do not discuss) five (5) different reasons for which a partnership can be terminated. (Your answer should not exceed one ½ a page) QUESTION 3 Explain the difference between the two types of trusts are envisaged in the Trust Property Control Act 57 of 1988. (Your answer should not exceed one ½ a page) QUESTION 4 Briefly explain what the purpose of the establishment of a trust is and what parties are involved in a trust. (Your answer should not exceed ½ a page)

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MRL2601
Assignment 1 - Semester 2 - 2023
Unique Number: 588435



QUESTION 1

Two partners who are practicing as dentists, Susan and Jane, decide to dissolve
their partnership by agreement. The partnership agreement is silent regarding
the goodwill of the partnership. Jane continues practicing as a dentist and de
facto takes the partnership’s clients (valued at R1 million) over for her own
benefit. Susan feels it is unfair that Jane has taken over all of the clients and
wishes to institute a legal action to claim her part of the goodwill. Explain
whether there is a remedy to Susan’s disposal in these circumstances. (Your
answer should not exceed ½ a page) (5)

As a general rule, one of the naturalia of a partnership is that partners are co-owners
of the assets of the partnership in joint undivided shares. The relevant remedy is the
Actio communi dividend. This is an action for the physical division of things held in co-
ownership. The effect of the action communi dividundo has been extended to
intangible things such as copyright, patents and goodwill by means of utilising the
action communi dividundo. Thus, there is a remedy for Susan’s disposal.



QUESTION 2

Name (do not discuss) five (5) different reasons for which a partnership can be
terminated. (Your answer should not exceed one ½ a page) (5)

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