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Exam Question Examples - PR 372
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Exam QuestionsThese exam questions are taken from various past test/exam papers, and have been
organised according to which section of the work it deals with.
Semester 1 Topics:
Introduction
Write a short explanatory note on the distinction between an agreement and a
contract (5 marks)
« The characteristics of natural obligations are unclear. » Discuss. (5 marks)
Discuss critically and with reference to relevant case law, the distinction between
civil and natural obligations (5 marks)
Briefly discuss the treatment in Bredenkamp v Standard Bank of South Africa of
the principle of pacta servanda sunt and the notion that the enforcement of a
contractual term must be fair. (5 marks)
A Stellenbosch farmer buys a tractor from his neighbor for R200 000. Explain
whether this contract is subject to the Consumer Protection Act. (5 marks)
Discuss critically the possibility that contracts do not only create personal rights
between the parties to the contract but also have consequences for third parties.
(4 marks)
Consensus as a Requirement for Contractual Liability
Write a short explanatory note on a unilateral, mutual and common mistake. (5
marks)
A sends an SMS to B in which he offers to sell his motorbike to B for R120 000
and indicates that B has a week to consider the offer. The following day, A receives
an offer from C to buy the motorbike from A for R150 000. A then telephones B an
informs him that he is revoking his offer. However, B replies that he already
decided to buy the motorbike and that a valid contract of sale was concluded
between the parties. A denies the existence of such a contract, alleging that he
was always entitled to revoke his offer. Is A correct? Motivate your answer, taking
into account the rules relating to the time and place of contract conclusion and
those relating to the revocability of an offer. (10 marks)
Under what circumstances may silence in terms of the common law and consumer
legislation amount to acceptance? (5 marks)
Ought an agreement creating a right of preference (eg a right of pre-emption) to
comply with the same formalities as the main agreement which it is aimed at?
Motivate your answer. (5 marks)
Discuss the relevance of fault in establishing objective corrective liability. (5 marks)
« The information theory should be repacked by the reception theory as a point of
departure in South African law. » Do you agree? Motivate your answer. (5 marks)
A writes a letter to B in which he offers to sell his flat to B for R2 million and offers
to keep this offer open against the payment of R1000 per month. It is not stated
, how long this will last. B faxes A that he accepts the offer to keep the offer open
and that he would pay A R1200 per month. Afterwards it appears that the amount
of R1200 is a typing error but that B did not read the fax before signing it. A sells
and transfer the flat to C. Advise B on the legal position if B wants to hold A liable.
(10 marks)
Discuss critically the possibility that an offer can unilaterally be made irrevocable.
(5 marks)
Discuss the legal consequences if a party unilaterally withdraws from negotiations.
(5 marks)
Contractual Liability in Absence of Consensus
Write an explanatory note on the distinction between a material mistake and a
material misrepresentation (5 marks)
Write a short explanatory note with reference to Saambou-Nasionale
Bouvereniging v Friedman, on the relevance of a third party’s fraud in determining
whether a contract exists between the contracting parties (5 marks)
One party could be mistaken due to another’s silence. Discuss with reference to
relevant authority what the consequences of such silence could be if it causes the
following type of mistake:
A material mistake.
A mistake in motive (10 marks)
Q offers to buy P’s painting for R200 000. After P tells Q that it is a work by the
famous artist X (although P knows this is not true), and that he wants R500 000 for
the paint, Q agrees to pay that price. Full performance takes place. Afterwards it
transpires the the painting is by Y and that it is worth R600 000. How much
delictual damages, if any, is Q entitled to claim from P? Motivate your answer. (5
marks)
C misleads A by convincing A that an agreement of sale exists between them,
whereby A must pay a purchase price of R100 000 to C. C owes B R50 000. C
instructs A to undertake towards B to pay B R50 000 on behalf of C. A makes this
undertaking towards B. Afterwards, A realises that C misled him and that he
actually does not owe C anything. Discuss with reference to relevant authority
whether B can enforce the undertaking by A. (10 marks)
A visits car dealer B, who shows him a motor car with a sign that reads « R250
000, as good as new, only one previous owner. » A decides to buy the motor car
and signs a standard term contract containing a provision that no representations
of any nature had been made to any of the parties. A subsequently realises that the
document incorrectly reflects the purchase price as R200 000 and that the car had
three previous owners, one of whom used it for motor racing. According to A, he
would have paid R100 000 less for the car if he had been aware of this history.
Advise A on the legal position under the common law and consumer legislation.
(20 marks)
Briefly and with reference to relevant authority discuss the impact of common
mistake on contractual liability. (5 marks)
Discuss the protection that the Consumer Protection Act could provide in the so-
called ‘ticket’ cases. (5 marks)
Discuss whether a misrepresentation must be material in order to be actionable. (4
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