Commercial Law 1C
CLA1503
Department of Mercantile Law
Assignment 01 for Semester 01 (compulsory)
Unique Number 707622
Due: 26 March 2021
4 RESOURCES
4.1 Prescribed book(s)
The prescribed textbook for CLA1503 is General Principles of Commercial Law 9th ed
(2019) Juta, co-authored by H Schulze, T Manamela, P Stoop, E Manamela, E Hurter, B
Masuku and C Stoop. You should purchase this prescribed textbook. The prescribed books
can be obtained from the University's official booksellers. If you have difficulty finding the
book at these booksellers, please contact the Prescribed Books Section at 012 429 4152 or
email . The prescribed textbook is also an e-book and can be
purchased at www.juta.co.za.
Only the following chapters in the prescribed textbook have to be studied for this module:
Chapter 1: The South African Legal System
Chapter 2: Introduction to the Science of Law
Chapter 3: Law of Contract: Introduction
Chapter 4: Consensus
Chapter 5: Capacity to Perform Juristic Acts
Chapter 6: The Agreement must be Possible
Chapter 7: Formalities
Chapter 8: Terms of the Contract
Chapter 10: Breach of Contract
Chapter 11: Remedies for Breach of Contract
Chapter 12: Transfer and Termination of Personal Rights (Please Note: Only paragraphs 12.1
(Introduction), 12.2 (Cession) and 12.2.1 (The consequences of cession) are prescribed)
Chapter 13: The Contract of Sale
Chapter 14: The Contract of Lease
Chapter 15: The Contract of Insurance
Chapter 20: The Law of Agency
Chapter 21: Forms of Business Enterprise (Please Note: Paragraph 21.4 (21.4.1-21.4.8)
(Company Law) is not prescribed)
Chapter 23: Security
Chapter 30: Consumer Protection
, 4.2 Recommended book(s)
There are no recommended books for CLA1503.
QUESTION 1
Moses enters into a contract of sale with Xolile to buy a new truck from him (Xolile) one
month after Simon's death.
Answer the following questions:
(i) Distinguish between a time clause and a condition. (2)
(ii) Describe the legality of the contractual relationship between Moses and Xolile. (3)
(iii) Name and describe the type of clause applicable in this case. (2)
[7]
Answer:
(i)
The difference between a condition and a time clause is the following: a condition
depends on an uncertain future event, whereas a time clause depends on a certain
future event, although the specific time at which the event will occur may be uncertain. (For
example, although it is certain that Bertie will die, it is uncertain precisely when it will
happen.)
Refer to page 105 of the prescribed textbook:
8.4 The time clause
The time clause must be distinguished from the condition. Unlike a condition, where a
contract comes into operation or is dissolved upon the occurrence or non-occurrence of a
specified uncertain future event, the time clause is brought into operation by the reaching
of a certain and determined or ascertainable time which has been agreed upon.
CLA1503
Department of Mercantile Law
Assignment 01 for Semester 01 (compulsory)
Unique Number 707622
Due: 26 March 2021
4 RESOURCES
4.1 Prescribed book(s)
The prescribed textbook for CLA1503 is General Principles of Commercial Law 9th ed
(2019) Juta, co-authored by H Schulze, T Manamela, P Stoop, E Manamela, E Hurter, B
Masuku and C Stoop. You should purchase this prescribed textbook. The prescribed books
can be obtained from the University's official booksellers. If you have difficulty finding the
book at these booksellers, please contact the Prescribed Books Section at 012 429 4152 or
email . The prescribed textbook is also an e-book and can be
purchased at www.juta.co.za.
Only the following chapters in the prescribed textbook have to be studied for this module:
Chapter 1: The South African Legal System
Chapter 2: Introduction to the Science of Law
Chapter 3: Law of Contract: Introduction
Chapter 4: Consensus
Chapter 5: Capacity to Perform Juristic Acts
Chapter 6: The Agreement must be Possible
Chapter 7: Formalities
Chapter 8: Terms of the Contract
Chapter 10: Breach of Contract
Chapter 11: Remedies for Breach of Contract
Chapter 12: Transfer and Termination of Personal Rights (Please Note: Only paragraphs 12.1
(Introduction), 12.2 (Cession) and 12.2.1 (The consequences of cession) are prescribed)
Chapter 13: The Contract of Sale
Chapter 14: The Contract of Lease
Chapter 15: The Contract of Insurance
Chapter 20: The Law of Agency
Chapter 21: Forms of Business Enterprise (Please Note: Paragraph 21.4 (21.4.1-21.4.8)
(Company Law) is not prescribed)
Chapter 23: Security
Chapter 30: Consumer Protection
, 4.2 Recommended book(s)
There are no recommended books for CLA1503.
QUESTION 1
Moses enters into a contract of sale with Xolile to buy a new truck from him (Xolile) one
month after Simon's death.
Answer the following questions:
(i) Distinguish between a time clause and a condition. (2)
(ii) Describe the legality of the contractual relationship between Moses and Xolile. (3)
(iii) Name and describe the type of clause applicable in this case. (2)
[7]
Answer:
(i)
The difference between a condition and a time clause is the following: a condition
depends on an uncertain future event, whereas a time clause depends on a certain
future event, although the specific time at which the event will occur may be uncertain. (For
example, although it is certain that Bertie will die, it is uncertain precisely when it will
happen.)
Refer to page 105 of the prescribed textbook:
8.4 The time clause
The time clause must be distinguished from the condition. Unlike a condition, where a
contract comes into operation or is dissolved upon the occurrence or non-occurrence of a
specified uncertain future event, the time clause is brought into operation by the reaching
of a certain and determined or ascertainable time which has been agreed upon.
