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Gauke Buyl [DO NOT DISTRIBUTE]CPA UNIT 5 – RIGHT OF CHOICE
Study material:
- Nagel et al (2019) paras 41.32 – 41.46
- CPA 68/2008 Section delineation 13 – 21
Section 13(1) – May not have as a condition of offering to supply g & s:
✓ Consumer must purchase other goods from that supplier
✓ Enter into additional agreement with supplier OR designated 3 rd party OR
✓ Agree to buy g & s from designated 3rd party UNLESS the supplier can show
(onus therefore on supplier)
o Convenience outweighs limitation to consumer’s right of choice
o Bundling results in economic benefit OR
o Offer bundled g & s separately as well
Section 13(2): Franchise agreements
❖ Take into account other law and legislation
❖ Franchisor will have a defense against s 13 as bundling is part of the nature of
franchise agreements
Indicate and apply what the position is regarding prior authorization of repair or
maintenance services (section 15)
Pre-authorization of repair or maintenance services → Section 15
When will Section 15 Apply?
1. Only applies to estimate/ quote for any services above R1(THRESHOLD)
AND
2. If in terms of that agreement; if service-provider supplies:
o Repair/maintenance service or
o Installs replacement parts / components of property of consumer AND
(1) And takes possession of that property for this purpose OR
(2) Consumer requests estimate BEFORE repair / maintenance
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