QUESTION 2

Melissas business venture with John has been a huge success, Melissa wishes to expand her fleet of cars. She further decides to enter into a lease agreement for a showroom for the cars. She researches for available property online, and comes across a property in Umhlanga Rocks, Durban. She is extremely interested and contacts the estate agent. The estate agent advises that the property is available to lease for a period of one year. The building is owned by Mr William. Melissa decides that this is the perfect fit for her company. She signs the lease agreement and is happy with the terms. Melissa has noticed that on more than one occasion, the blinds have been moved. She further notes that there are new lights which have been fitted in the showroom. William does not notify Melissa regarding any upgrades and decides to also perform maintenance during the day whilst clients are in the showroom. Melissa is rather upset about this, and notifies the estate agency. She is then notified that Mr William has been including useful upgrades to the property. Mr Williams notes that he is acting well within his rights as a landlord.

2.1 Outline the duties of the lessor AND the lessee respectively. You are required to provide practical examples for each duty listed. (12 Marks)

2.2 Based on the legal elements associated with the above scenario, determine whether Mr William is acting in terms of his duties as a landlord. You are required to cite the applicable South African case law in substantiation of your answer