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1. Kobus wants to buy the tyre fitment centre owned by his arch-rival Jaco. He is convinced that Jaco would never sell to him out

1. Kobus wants to buy the tyre fitment centre owned by his arch-rival Jaco. He is convinced that Jaco would never sell to him out of spite so he appoints Gawie as his agent with the specific instruction that Gawie must not disclose to Jaco that he is acting as an agent. Gawie successfully negotiates a purchase agreement and then drops the bombshell on Jaco that he was in fact acting as Kobus's agent. a. What is this type of arrangement called?

2.Three months into the lease Thandi sells the apartment to Dave who wants to move in himself. He sends a notice to Vanessa on 1 September advising that he is the new owner and cancelling the lease with effect from 30 September.

Advise Vanessa of her rights.

3.Thandi agrees to lease out her Camps Bay apartment, in which she previously lived, to Vanessa

for R20 000 per month rental. They agree to a two year lease starting on 1 July 2015.

a. Vanessa opens a beauty salon in the flat which causes the neighbours to complain to

Thandi because of the noise. When Thandi speaks to Vanessa she tells Thandi that as

long as she is paying the rent on time she can do what she likes. Advise Thandi.

4.Vanessa pays her rent on time every month until December when she does not pay on the 1st as agreed. Thandi wanted the money for Christmas so she comes to you for advise as she has another tenant ready to pay and move in and her brother has offered to evict Vanessa. Is Thandi entitled to cancel the lease and evict Vanessa?

5.Seventeen year old widow Candice enters into a verbal contract with forty year old alcoholic Dave on Friday night while they are both sitting at the local bar to purchase his 2014 model Mercedes Benz C180 for R200 000.00. They agree that that Candice will pay the money on the following Monday to Dave at 17:00 in cash at which time he will give her the car.

Answer the following questions with reference to the above facts:

a. Discuss in detail whether or not the contact is valid based on the contractual capacity of the parties.

6.On Sunday morning Dave receives an SMS from Candice reading "Just won a car, don't need yours anymore. Tks, C". Is this a valid cancellation of the contract? If not, explain what it is and what remedies would be available to Dave.

7.Jane agrees to accompany Sipho to dinner and the movies on Friday night. However at the last minute Sipho agrees to go with Dave to watch a soccer match. Does Jane have valid grounds on which to sue Sipho for breach of contract? Explain.

8._______.During a furlough from her work, LuAnn maxed out her credit card, hitting her limit of $6,000 while awaiting her return to work.Despite her expectations, LuAnn was not called to return to work for six months.After maxing out her credit card, LuAnn made two minimum payments of $150.00 before defaulting on her card.When the card issuer sent LuAnn a notice advising that there was a balance of $5,700 now due in full with interest, LuAnn called the company, explained her situation and made an agreement with the card issuer to make six payments of $500 to settle her outstanding debt.When LuAnn missed the last four payments, the card issuer demanded full payment of the outstanding balance of $4,700 plus interest and penalties under the original card agreement.When the credit card company sues LuAnn for the outstanding balance of $4,700 plus interest and penalties, what will be the likely result?

A.The credit card company will be awarded a judgment against LuAnn but only for $2,000 because of the company's agreement to settle LuAnn's pre-existing debt.

B.The credit card company will be awarded a judgment against LuAnn for the outstanding balance of $4,700 under the original card agreement because there was no valid consideration given by LuAnn under the settlement and she owed the pre-existing debt.

C.The credit card company will lose the case against LuAnn because it waived its right to sue her by entering into a settlement.

D.None of the above are likely outcomes.

9._______.Which of the following constitutes the proper measure of legal, consequential damages awarded under the common law for a breach of contract?

A.Benefit-of-the-Bargain damages

B.Incidental damages

C.Liquidated damages

D.Exemplary damages

10._______.Which of the following is NOT a legal principle under the common law that applies to an offer to contract?

A.The offeror fixes the terms of an offer and manner of acceptance.

B.The offeror may revoke a valid offer at any time.

C.The offeror must manifest an intent to be bound by the offer.

D.The offeror must communicate an offer that is clear in order for it to be valid.

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