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EM 081 - Assignment 6 - Rev 5
EM 081 - Assignment 6 - Rev 5
SECTION A
A.1. QUESTION 1
A.1.1.
Yes, there is a valid contract of sale between Jennifer Harris and Grant Adams.
Both Jennifer Harris and Grant Adams are over the age of 18 and are natural persons.
They both therefore have contractual capacity.
There is legality as the sale is not contrary to any legislation, public policy or good morals,
and Grant Adams is the owner of the motor cycle.
There is physical possibility in that it is absolutely objectively possible for both parties to
perform their respective obligations stemming from the agreement. The performance is
clearly defined in that Grant Adams will sell his motor cycle to Jennifer Harris and
Jennifer Harris will pay Grant Adams R20, 000.00 for it. There is also a clear date of
when delivery is required to take place and when payment is required to be made.
There is consensus between the parties as Jennifer Harris made an offer to purchase the
motor cycle from Grant Adams for R20, 000.00 and Grant Adams has accepted that offer.
Both parties have accepted the delivery date and purchase price which they indicated by
signing the written contract.
There are no required formalities for a purchase agreement where the contract itself does
not call for any. The fact that both parties have signed a written contract solidifies the
contents of the agreement.
Further to this the specific elements required for a purchase and sale contract are also
adhered to in that there is an intention to buy and sell which is specifically present and
the object of sale is clearly determinable, the motor cycle (however I do feel that the
description of motor cycle is very vague and could lead to unnecessary confusion as
there is no mention of colour, make, model or year model, engine capacity or even a
photo) and the price has clearly been determined, R20, 000.00
Then between Jennifer Harris and Pauline Scott there is a cash sale. Although the
contract between Jennifer Harris and Pauline Scott is concluded before Jennifer Harris
has ownership of the motor cycle, it is still a valid contract as ownership is not a
requirement to sell or concluding contract for purchase and sale. There is an intention to
pass or receive ownership between Jennifer Harris and Pauline Scott. Jennifer Harris has
ownership of the motor cycle as of 10 January 2012, so when Jennifer Harris delivers the
motor cycle on 15 January 2012 the ownership of the motor cycle passes from Jennifer
Harris to Pauline Scott. Therefore on 16 January 2012 Pauline Scott is the owner of the
motor cycle.
A.1.3.
The event that leads to Grant Adams accident is a force majeure event as the fault of the
accident was not Grant Adams or Jennifer Harris but rather the drunk driver of the other
car that not Grant Adams. In light of this there is no fault of any party to the contract.
Since the signing of the contract was on 01 January 2012 and Grant Adams was on his
way to deliver the motor cycle to Jennifer Harris on 10 January, so at this point ownership
still had not passed from Grant Adams to Jennifer Harris, and Grant Adams was involved
in an accident which makes it impossible for Grant Adams to deliver the motor cycle due
to a force majeure event, then Jennifer Harris carries the risk of damage/loss to the motor
cycle if the contract is perfecta.
There is no suspensive condition in the contract between Grant Adams and Jennifer
Harris. The price is clearly determined and the goods are determinable so the contract is
perfecta. Therefore Jennifer Harris carries the risk of damages/loss to the motor cycle.
AGREEMENT
Whereas the Client requires that certain Services as further defined in the Agreement should
be performed by the Contractor, as an independent contractor and not as an employee of the
Client and the Client has agreed to pay the Contractor for such services as defined in the
Agreement.
1) Services
The Contractor agrees to design a new suspension bridge, supporting 4 lanes of traffic for
both passenger and commercial vehicles, including all support structures, which is to be
constructed over the Sable River mountain pass.
2) Time
The Contractor agrees to complete and deliver the design in its entirety to the Client by 18
July 2013. The Client shall provide the Contractor with access to site from 18 February
2013 to 28 February 2013 to complete final measurements for the design.
4) Suspensive Condition
This Agreement will not come into full force and effect until such time as the Contractor
provides proof of active registration as a structural engineer with the Engineering Council
of South Africa (ECSA) to the Client.
6) Cancellation
If any Party to this Agreement breaches a material obligation in terms of the Agreement,
the other Party shall give the defaulting Party written notice of the breach and afford the
defaulting Party 14 (fourteen) calendar days to remedy the breach. Where the breach is
not so remedied, the aggrieved Party may terminate the Agreement immediately.
7) Penalties
Should the Contractor fail to deliver the final design by 18 July 2013, the Contractor will
incur penalty costs of R10, 000.00 (ten thousand rand) per calendar day of delay. The
Client may elect to claim the agreed penalty, or to claim common law damages. The Client
may retain any drawings, partial designs, and electronic communications and / or any
other performance provided by the Contractor in terms of this Agreement, continue to
enforce the further performance of the Agreement, without prejudice to the Client’s right to
claim the agreed penalty.
ii) If either party is prevented from performing any of its obligations under the
Agreement by and event if Force Majeure, it shall give written notice to the other
party of the vent in question and shall specify the extent to which performance of
its obligations is or will be prevented. Such notice shall be given within 14
(fourteen) calendar days after the affected party became aware, or should have
become aware of the relevant event. Having given such notice, the affected party
shall be excused performance of such obligations for as long as the relevant
event prevents it from performing them.
iii) If an event of Force Majeure prevents the affected party from performing its
obligations under the Agreement for a continuous period of 28 (twenty-eight)
calendar days or multiple periods which total more than 36 (thirty-six) calendar
days, that party will be entitled to terminate the Agreement upon 7 (seven)
calendar days written notice.
9) Amendment
Any and all changes or amendments to the Agreement, including to this clause, must be in
writing and signed by both parties hereto.
____________________________
Contractor
____________________________
For and on behalf of the Client, warranting his authority to do so
Full Names: Donovan Phillip Richardson
Designation: Project Manager
B.2. QUESTION 2
B.2.1. 2
B.2.2. 4
B.2.3. 45
B.2.4. 2
B.2.5. 21
B.2.6. 6
B.2.7. 2
B.2.8. 4
B.2.9. 3
B.2.10. 0
B.3. QUESTION 3
B.3.1.
Michelle has been subject to unfair labour practice in that she was not consulted or informed
as to why she was being demoted. Michelle has suffered on occupational detriment in
contravention of the protected disclosures act, 200 (act No.26 of 2000), on account of her
having made a protected disclosure defined in that act.
B.3.2.
If Michelle had been dismissed instead of demoted this would be an automatic unfair
constructive dismissal and would be discrimination. Michelle could go straight to the CCMA
and inform them that she had been dismissed after she had made a protected disclosure
defined in the protected disclosures act, 200 (act No.26 of 2000). The CCMA can order, upon
finding in favour of Michelle, the company to pay a maximum penalty of 2 years’ salary to
Michelle.