, C has paid D R30 000 by cheque. A day later C instructs
her bank, E to countermand (stop) the cheque. Despite the
countermand, E bank pays out the cheque to D when he
presented the cheque and debited C’s account. C wants
the debit reversed. Advise C and E about the validity of the
debit and whether either of them has an enrichment claim
against D. Refer to relevant case law. Discuss (by reference
to relevant case law) the requirement that the enrichment
must have been sine causa. (10) K rents a farm from L. K
effected the following improvements on the farm without
L’s knowledge: (a) built a dam at a cost of R30 000,00; (b)
built a luxury lapa on the edge of the dam at a cost of
R100 000,00; and (c) sank a borehole at a cost of R20
000,00. K also repaired the roof of the farmhouse which
had started to leak at a cost of R10 000,00. Discuss fully
the legal position with regard to these improvements
when the lease expires. Also briefly discuss whether the
position would have been different if the lease agreement
between K and L had been invalid. A is the owner of a car
manufacturing factory in Gqeberha (formerly known as
Port Elizabeth). He recently settled his electricity bill in full
with the Nelson Mandela Metropolitan Municipality.
However, to his surprise he has just received a letter from
the same municipality in which they threaten to cut his
electricity if he doesn’t immediately pay his “arrear
her bank, E to countermand (stop) the cheque. Despite the
countermand, E bank pays out the cheque to D when he
presented the cheque and debited C’s account. C wants
the debit reversed. Advise C and E about the validity of the
debit and whether either of them has an enrichment claim
against D. Refer to relevant case law. Discuss (by reference
to relevant case law) the requirement that the enrichment
must have been sine causa. (10) K rents a farm from L. K
effected the following improvements on the farm without
L’s knowledge: (a) built a dam at a cost of R30 000,00; (b)
built a luxury lapa on the edge of the dam at a cost of
R100 000,00; and (c) sank a borehole at a cost of R20
000,00. K also repaired the roof of the farmhouse which
had started to leak at a cost of R10 000,00. Discuss fully
the legal position with regard to these improvements
when the lease expires. Also briefly discuss whether the
position would have been different if the lease agreement
between K and L had been invalid. A is the owner of a car
manufacturing factory in Gqeberha (formerly known as
Port Elizabeth). He recently settled his electricity bill in full
with the Nelson Mandela Metropolitan Municipality.
However, to his surprise he has just received a letter from
the same municipality in which they threaten to cut his
electricity if he doesn’t immediately pay his “arrear