QUESTION: 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...
Important Information Relating to the PVL3702 Assignments You must note that the
timeous submission of Assignment 01 will grant you admission for the PVL3702
examination. You must further note that you will be required to submit two (2)
assignments for this module. One of the assignments will carry a 10% weighting and the
other assignment will carry a 90% weighting towards your year mark. It is only after the
due dates for the submission of both assignments have expired, will all students be
informed which assignment had a 10% weighting and which one carried a 90%
weighting towards your year mark. Instructions and Assignment Question for
Assignment 01
IT IS VERY IMPORTANT THAT YOU UNDERSTAND THAT YOU ONLY HAVE 1
ATTEMPT TO SUBMIT ASSIGNMENT 1. THE ONUS IS ON YOU TO SUBMIT THE
CORRECT ASSIGNMENT, AND TO SUBMIT AN ASSIGNMENT THAT IS COMPLETE
BECAUSE YOU ONLY HAVE 1 ATTEMPT TO SUBMIT PVL3702 ASSIGNMENT
1. Serious adverse consequences can apply if a lawyer in practice serves the
wrong document to the opposing party in the case, or even if an
incomplete/incorrect document or pleading is served or filed in the court file.
Therefore, ensure that you submit the CORRECT PVL3702 Assignment 1 as you
have 1 attempt to do so.
• The due date for the submission of Assignment 01 is NOT LATER THAN
20H00 on 19 August 2024.
• The Unique Number for Assignment 01 is 718515.
, • This assignment must be submitted by all students who are registered for the
PVL3702 module in the second semester of 2024.
• Your answer must not exceed two typed pages or three written pages
(excluding the bibliography) and you must comply with the requirements for
assignments. You must provide references as authority and prepare a
bibliography on a separate page. See Tutorial Letter 301 in this regard.
• This assignment covers study units 1 to 10 in the study guide.
• Keep the checklist and marking rubric in mind when doing this assignment
. • This assignment question is worth 10 marks (see the marking rubric below).
ASSIGNMENT 01
QUESTION: 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 your answer. Do not apply the Consumer Protection Act 68 of 2008.
[10] Regards,
Under the will theory of contract formation, a contract is formed when the parties
express their intention to be bound by the terms of the agreement. This theory focuses
on the outward expression of the parties' intentions rather than their actual intentions.
On the other hand, the direct reliance theory emphasizes the reliance of one party on
the other party's representations or conduct, leading to the formation of a contract.
In Gloria's case, based on the will theory, a legally binding contract was concluded
between her and Jack for the cluster home described in the signed document. This is
because both parties signed the offer to purchase document, which contained the
description of the property. The document serves as evidence of their intention to be
bound by the terms specified therein, regardless of any misunderstandings or mistakes
that may have occurred during the signing process.
However, under the direct reliance theory, Gloria may have a valid argument that she
relied on Jack's representations or conduct regarding the specific cluster home she
viewed and fell in love with. If Gloria can demonstrate that her decision to sign the
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