BLA100 / BLA152 Assignment 1 (QUALITY ANSWERS) Semester 1 2024 - DUE 22 April 2024

This document contains workings, explanations and solutions to the BLA100 / BLA152 Assignment 1 (QUALITY ANSWERS) Semester 1 2024 - For assistance call or Whats-App us on 0.6.8...8.1.2...0.9.3.4........ Question 1 (10 marks) TRUE/FALSE QUESTIONS Consider the following list of statements. Each statement is either true or false. You must read each statement carefully and then select the option that you believe is correct as your answer. In your answer book, write down only the question number and either “True” or “False” next to the number. Example: If you believe sub-question 1.6 is true, write down: 1.6 True. 1.1 Judgements of the courts are the supreme law of South Africa. (2) 1.2 Law of persons deals with a natural person’s rights to their physical being, dignity and their reputation. (2) 1.3 If there is consensus, but it was obtained in an improper manner, there is a valid contract but the contract will be voidable. (2) 1.4 One of the essentials for a contract of lease is an undertaking to pay rent. It can either be a sum of money or a share in fruits. (2) 1.5 The parole evidence rule (contracts) is only applicable to written contracts. (2) Question 2 (5 marks) South African law is derived from several sources. Distinguish between authoritative sources, and sources with merely persuasive authority. Illustrate with an example of each. Question 3 (14 marks) 3.1 Peter opened a new coffee shop. He purchases his coffee beans from a supplier from Ethiopia. Gabriel approaches Peter to rather buy the coffee beans directly from him. He further threatens that if Peter does not enter into an agreement with him something might happen to Peter’s family. Peter is aware of Gabriel’s connection to a dangerous gang and to protect his family Peter signs a contract with Gabriel to supply him with coffee beans at a higher price than what he is currently paying for the next twelve (12) months. ©STADIO Assignment – 2024 Semester 1 BLA 100/152 Introduction to Business Law Page 4 of 7 Answer the following: 3.1.1 Discuss the requirements for a valid contract. (5) 3.1.2 Referring to the case study, evaluate whether a valid, enforceable contract was concluded and what Peter would have to prove to avoid liability for performance in terms of the agreement. Also, indicate what remedies Peter would have at his disposal under these circumstances. (9) Question 4 (6 marks) In a contract of sale, the seller is obliged to deliver the item to the purchaser. Identify and briefly discuss the method of delivery in the following two case studies: 4..1 Vincent owns a cattle farm with 1 000 cattle. John buys 300 cattle from Vincent and pays Vincent for the cattle. Vincent puts the 300 cattle in a kraal and points them out to John so that John can exercise control over them. (3) 4..2 Grace buys a car from Paul. Grace pays Paul and Paul gives Graze the car keys. (3) Question 5 (4 marks) Match Column B with Column A. For example: 5.1 – A: COLUMN A COLUMN B 5.1 Sole Proprietorship A. A legal/juristic person with characteristics of both a company and a partnership. 5.2 Partnership B. A trust where the trustees use the trust assets to carry on a business for profit to benefit the trust beneficiary/ies or to further the aims of the trust. 5.3 Company C. Companies and Intellectual Property Commission. 5.4 Close corporation D. Must advise directors on law and legislation applicable to the company. E. An enterprise with a single owner. F. Subject to fiduciary duties and obligations of care and skill to a company. G. A legal/juristic person established and run according to the Companies Act 71 of 2008. H. Common Law ©STADIO Assignment – 2024 Semester 1 BLA 100/152 Introduction to Business Law Page 5 of 7 COLUMN A COLUMN B I. An organisation of its own kind acting for the benefit of its shareholders and producing members. J. A legal relationship, which arises contractually between two (2) or more persons, but not more than twenty (20) in terms of which they agree to each contribute to a common business with the object of making a profit for division between each of them. Question 6 (6 marks) 6.1 With respect to unlawful competition, identify the form of infringement in the following scenarios: 6.1.1 GFC has spread an allegation that the fried chicken of Lando’s is harmful to its competitors. 6.1.2 A taxi boss owner operating on the northern side of Pretoria has started assaulting the customers using the services of the taxis on the southern side of Pretoria. 6.1.3 A new fast-food restaurant, MacDonalds, has opened up a restaurant right next to the well-known fast-food restaurant, McDonald’s. MacDonalds uses the same distinct red and yellow colours on their packaging and the well-known ‘M’ logo on all their products which is identical to that of McDonald’s. Customers buying from MacDonalds are under the impression they are buying from McDonald’s. 6.1.4 Motorboat Company (Pty) Ltd uses the moulds of Boats Galore (Pty) Ltd to build its motorboats, which Motorboat Company (Pty) Ltd sells at a profit. 6.1.5 A supplier of goods refuses to have trade relations with another undertaking. 6.1.6 Superior Electronics (Pty) Ltd is a company situated in the southern part of Johannesburg. The company sells laptops. Superior Electronics (Pty) Ltd advertises its products as ‘the best in the country’ and claims that the performance of its laptops is unmatched due to superior quality of the components used in assembling the laptops. Upon investigation, it is determined that the company’s products barely function and that the components used to produce the laptops are of an inferior quality. ©STADIO Assignment – 2024 Semester 1 BLA 100/152 Introduction to Business Law Page 6 of 7 Question 7 (5 marks) You are a paralegal at a prestigious insolvency law firm. One of your clients, Mr Moloi, comes to the firm you are working at to ask for legal advice. 7.1 State what effect sequestration has on civil proceedings that have been instituted against the insolvent debtor pending the appointment of a trustee . (1) 7.2 Indicate what a creditor applying for compulsory sequestration must prove before a sequestration order will be granted by the court. (4) Question 8 (10 marks) 8.1 The person who establishes a trust is known as the ______. (1) 8.2 The person who administers the trust is known as the ______. (1) 8.3 The people for whose behalf the trust property is held and is administered, are known as the ______. (1) 8.4 For a trust to be valid, the trust property must be defined with ______ clarity . (1) 8.5 The office of trustee can be lost through ______ or resignation. (1) 8.6 A trust where ownership of trust property is transferred to the beneficiaries is called a ______ trust. (1) 8.7 A trust where ownership of trust property is transferred to the trustee is called an ______ trust. (1) 8.8 A _______ trust is a trust where the trustees are given the power to appoint the beneficiaries of a trust. (1) 8.9 The trust objective may not be in conflict with any legal rule, good morals or ____ _____. (1) 8.10 A trust can be created through writing or a(n) ______ order. (1) ©STADIO Assignment – 2024 Semester 1 BLA 100/152 Introduction to Business Law Page 7 of 7 Question 9 (15 marks) Write a short research-based essay in which you discuss repudiation as a form of breach of contract. Marks will be given for the following: A good introduction. (1 mark) A body that discusses the definition requirements of repudiation as a form of breach of contract. Also included in the body, is a case law discussion of at least three South African judicially decided cases that specifically dealt with repudiation as a form of breach of contract. (9 marks) Marks will be awarded for your case name (1), the issue before the court, (1) and the court decision. (1) A concise conclusion that draws everything together. (1 mark) Good academic writing. (1 mark) The prescribed referencing style of the Journal of Contemporary Roman-Dutch Law (THRHR) applies. The word limit is 1 000 words.