PVL3702 EXAM PACK 2024/2025 {QUESTIONS AND ANSWERS }
The Law of Contract in South Africa CASE STUDIES & ANSWERED QUESTIONS
PVL3701 Assignment 1 COMPLETE ANSWERS) Semester 2 2024 - DUE 9 September 2024
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University of South Africa
Law of Contract
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, Jack is a property developer who is well known for building
residential developments. He recently built cluster homes in an
upmarket suburb in Cape Town. All the cluster homes are built
with the same size and layout, and they only differ with the
positioning of each cluster in the complex. This development is
brand new, and Jack is marketing the development himself. Jack
shows Gloria a beautiful cluster home in the complex, which is
next to the guardhouse at the entrance of the complex. Gloria
immediately falls in love with this cluster home and a few days
later she as the purchaser signs the offer to purchase document
presented to her by Jack, who completed all the relevant details on
the document relating to the description of the property. The
document is later also signed by Jack as the seller. However, it
subsequently turns out that the cluster home referred to in the
signed document is not the one that Gloria viewed and fell in love
with. The one she signed for and the one she viewed are different
properties. In fact, the cluster home she signed for is right at the
back of the complex which she never viewed, and which is not in
the best position in the complex. Jack is of the view that a legally
binding contract was concluded with Gloria, in accordance with
the written signed document, for the cluster home described in the
document. Gloria approaches you for legal advice as she thought
that she was signing for the cluster home that was next to the
guardhouse at the entrance of the complex. Apply the will theory
and the direct reliance theory and advise Gloria whether she
concluded a legally binding contract with Jack, based on the
written document that they both signed, for the cluster home
described in the document. Discuss fully and refer to case law in
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