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2 Dlamini runs a wholesale gloves business, making gloves and selling them to shops. In August 2017, Dlamini sent a quotation to Boitumelo, who owns
2 Dlamini runs a wholesale gloves business, making gloves and selling them to shops. In August 2017, Dlamini sent a quotation to Boitumelo, who owns a clothing shop, for 500 pairs of mens brown gloves, at a price of P300.00 per pair, delivery 1 November. In the accompanying letter, she stated, I have to sell these and, as you are my best customer; I will assume them sold to you unless I hear from you by the end of next week. Boitumelo did not respond to this letter, as she was already over-stocked with mens brown gloves. Two weeks later, Dlamini received an email from Boitumelo asking whether she would be prepared to supply 1,000 womens medium blue leather gloves for delivery on 1 December. Dlamini replied, sending a quotation of P50.00 per pair, subject to her standard terms and conditions. These included a price variation clause providing for the price to be increased by DEGREE Assignment July-December BBLAW721 Business Law BOU 2023 Page 3 of 4 P100.00 per pair if the cost of leather increased between placing the order and delivery of the gloves. Boitumelo responded by sending Dlamini an order form for the gloves at P50.00 per pair. Boitumelos order form contained terms and conditions with no price variation clause. The order form had a tear-off slip for acknowledging the terms of the order. Dlamini signed and returned the tear-off slip to Boitumelo. Dlamini decided to get her glove-making machine serviced to enable her to manufacture the gloves. She entered into a personal contract with Radijeng to service it at a cost of P4000, P1000 to be paid a week in advance, and P3000 to be paid on completion of the servicing. Radijeng spent P600 preparing his tools to carry out the service. Unfortunately, Radijeng had a serious car accident the day before he was due to service the glove-making machine and was not able to carry out the work. Dlamini had not paid any sums under the contract. Dlamini found someone else to service the machine. She has now sent two invoices to Boitumelo, one for P15000 for the mens brown gloves, and one for P60,000 for the womens medium blue gloves because of increases in the cost of leather. i. (a) Explain what is meant by frustration of a contract? (3 marks) (b) Identify three features of Dlaminis quotation for the mens brown gloves which show it to be an offer. (3 marks) (c) Explain whether Boitumelo has entered into a binding contract to buy the mens brown gloves. (4 marks) ii. (a). Explain what is meant by the battle of the forms. (4 marks) (b) Explain whether there is a contract between Dlamini and Boitumelo for the womens blue gloves, and, if so, what price Boitumelo must pay for them. (6 marks)
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