Assessment 1 : 2015

Class Test for Commercial Law for Cooperatives 22 April 2015 (CCDL311)

Duration: 1 Hour and 30 Minutes

Instructions:

·       Answer all questions

Question One

Explain the differences between the following words/terms in your own words:

(a)       Law and morality;                                                                                                   (2)

(c)       A legal subject and a legal object;                                                                        (2)

(d)       A natural and a juristic person;                                                                            (2)

(e)       A duty and an obligation;                                                                                      (2)

Question Two

Explain how each of the following is a source of South African Law:

·       Constitution;                                                                                                            (2)

 

·       Legislation;                                                                                                               (2)

 

·       Roman-Dutch Law;                                                                                                 (2)

 

·       Judicial precedent;                                                                                                 (2)

 

·       Customary law;                                                                                                      (2)

 

·       Common law                                                                                                                                                                                        

 

Question three

Z , a cattle rancher and successful businessman sells his stud bull to Y, a neighbouring farmer  who runs small butcheries in the district for a purchase price of R7 000. Identify the breach, the party who commits the breach and the obligation to which the breach relates in the following situations:

- Before delivery of the bull, Z calls Y and tells him that he has changed his mind; his bull is not for sale after all.                                                                                 

- When Z delivers the bull to Y, Y is not ready to receive it because he had not mended his farm fence. Z has to take the bull back and wait for Y to accept delivery of the bull well after the due date for delivery.                                                                   

- Z has visitors from Thailand who like bull meat and he slaughters the bull for them. He tells Y he will have to refund him.                                                              

-  The bull is delivered, but it is a young and emaciated one which is not the one Z pointed out to Y during the sale negotiations.                                                                   

Question Four

Read the cases narrated below and identify the form of breach in question and the most suitable remedy for the breach. Also explain why you think the remedy you have identified is the most appropriate.

(a)   Nkemenkeme sells 100 bags of maize to Nomfuneko. Upon delivery, about 40 of the bags have rotten and mouldy maize which cannot be used. Nomfuneko is very angry about this and approaches you for advice. Advise Nomfuneko.                                                                              (4)

 

(b)   You arrange a graduation party and you conclude a contract with your neighbour in terms of which she will bake and deliver a cake at least 20 minutes before the graduation party starts. It is now 2 hours after the graduation party has started and your neighbour has not delivered the cake. She cannot be reached on her cell phone which is now on voicemail. What form of breach of contract has your neighbour committed and what is the appropriate remedy for you? Why do you think this remedy is appropriate?                                                                                               (4)

  TOTAL MARKS FOR TEST 50