August 2025; 100% CORRECT AND TRUSTED SOLUTIONS
Legal Opinion for Shane: Validity of Contract Based on Prescribed Mode
of Acceptance
1. Introduction
This legal opinion is prepared in response to a query raised by Shane regarding the enforceability
of a contract of sale entered into between himself and Porsche Johannesburg, a local dealership.
The matter at hand specifically concerns the legal effect of the alleged failure by the
dealership’s authorised representative to sign the ‘Contract of Sale’ document, despite the
fact that Shane signed the agreement and complied fully with its payment terms.
The central legal issue to be addressed in this opinion is whether a valid and binding contract
of sale was concluded between the parties, despite the alleged non-compliance with the
prescribed mode of acceptance, namely the dealership's signature on the contract. In particular,
this opinion will focus on whether the absence of a signature by the seller’s authorised
representative constitutes a failure to accept the offer in the prescribed manner, and if so,
whether such failure invalidates the formation of the contract.
For the purposes of this analysis, it is accepted—based on the facts provided—that when Shane
signed the ‘Contract of Sale’ document, it constituted a clear, unequivocal, and valid offer to
purchase the limited-edition Porsche vehicle on the terms set out in the document. Furthermore,
it is assumed that no other disputes arise in relation to the validity of the offer or performance
under the contract, and that the sole contentious issue is whether the dealership’s failure to
sign the contract constitutes a lack of valid acceptance.
This opinion does not address other legal aspects such as waiver, breach of contract, or the
application of the Consumer Protection Act 68 of 2008, as these matters fall outside the scope of
the present query. The purpose of this opinion is therefore to analyse, through the lens of South
African contract law, whether a legally binding agreement was formed despite the dealership’s
omission, and whether the conduct of the dealership could otherwise constitute valid acceptance,
either in terms of the law relating to prescribed modes of acceptance or tacit acceptance
through conduct.
2. General Principles of Contract Law: Acceptance and Prescribed Modes
In terms of South African contract law, a contract is formed through the meeting of
minds (consensus ad idem) between two or more parties, typically achieved by one
party making an offer and the other conveying acceptance of that offer. The