MRL2601 Assignment
2 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 8 April
2026;
Kenneth Githaiga
, MRL2601 Assignment 2 (COMPLETE ANSWERS) Semester 1 2026 - DUE 8
April 2026;
Question 1 1.1 Mandla and Suzan want to incorporate a company called
Uniq Ltd. Briefly explain the steps that would need to be taken in order to
incorporate the company. (6) 1.2 While driving one afternoon, Suzan notices
an office building that will be perfect for the company that they intend to
register. She has heard that concluding a pre-incorporation contract may
result in her being held personally liable if Uniq Ltd is not subsequently
registered. List (do not discuss) the common law alternatives that she can
consider instead of concluding a pre-incorporation contract in terms of
section 21 of the Companies Act. (4)
Question 2 Bapela, Babra and Maite decided to establish a close corporation.
The close corporation specialises in the renovation of immovable property,
offering a range of services that enhance and restore various types of real
estate. Recognising the importance of clarity and structure in their
professional relationship, Bapela, Babra, and Maite, who are all members of
the close corporation, have decided to draft an association agreement, which
details specific rules and regulations that govern their respective duties and
responsibilities within the corporation. Part of the association agreement is
that no member should be able to contract services outside their specialities.
Bapela, while acting on behalf of the close corporation, concludes a contract
with Tment Pty (Ltd) to sell cars which fall outside the scope of the close
corporation. As a result, Bapela’s actions have affected the close
corporation’s operations. With reference to the relevant provisions of the
Close Corporations Act 69 of 1984 discuss whether the close corporation will
be bound by the contract. Refer to relevant case law in your answer.
MRL2601 – Business Entities
Assignment 2: Complete Solutions
Semester 1 – 2026
Due Date: 8 April 2026
Table of Contents
1. Introduction
2 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 8 April
2026;
Kenneth Githaiga
, MRL2601 Assignment 2 (COMPLETE ANSWERS) Semester 1 2026 - DUE 8
April 2026;
Question 1 1.1 Mandla and Suzan want to incorporate a company called
Uniq Ltd. Briefly explain the steps that would need to be taken in order to
incorporate the company. (6) 1.2 While driving one afternoon, Suzan notices
an office building that will be perfect for the company that they intend to
register. She has heard that concluding a pre-incorporation contract may
result in her being held personally liable if Uniq Ltd is not subsequently
registered. List (do not discuss) the common law alternatives that she can
consider instead of concluding a pre-incorporation contract in terms of
section 21 of the Companies Act. (4)
Question 2 Bapela, Babra and Maite decided to establish a close corporation.
The close corporation specialises in the renovation of immovable property,
offering a range of services that enhance and restore various types of real
estate. Recognising the importance of clarity and structure in their
professional relationship, Bapela, Babra, and Maite, who are all members of
the close corporation, have decided to draft an association agreement, which
details specific rules and regulations that govern their respective duties and
responsibilities within the corporation. Part of the association agreement is
that no member should be able to contract services outside their specialities.
Bapela, while acting on behalf of the close corporation, concludes a contract
with Tment Pty (Ltd) to sell cars which fall outside the scope of the close
corporation. As a result, Bapela’s actions have affected the close
corporation’s operations. With reference to the relevant provisions of the
Close Corporations Act 69 of 1984 discuss whether the close corporation will
be bound by the contract. Refer to relevant case law in your answer.
MRL2601 – Business Entities
Assignment 2: Complete Solutions
Semester 1 – 2026
Due Date: 8 April 2026
Table of Contents
1. Introduction
