Law of contracts

QUESTIONS TO CONSIDER

Know the meanings of the terms contract assertor and contract denier.

Know and understand iustus error

Distinguish between a unilateral mistake, a mutual mistake and a common mistake.

X wants to buy Daisy the milk cow, which belongs to Y. He makes Y an offer of R1000 for his milk cow, thinking Y only own one cow. Y, who owns two cows thought X meant his cow Bella and accepts the offer.

Did X and Y enter into a valid contract? What is the reason for your answer?

Would your answer be different if X wanted to buy any cow?

What is a relevant mistake and what is an irrelevant mistake? What is the relevance of such difference?

Do you know the differences between the different types of mistakes and can you identify them.

What is the effect of a unilateral mistake caused by the other party and what is the importance of the distinction between this and a mistake, which arises from a misrepresentation

Indicate if the following statements would amount to a misrepresentation:

1. X, a car salesman tells Y that this is the best car in the world.

2. X, a car salesman tells Y that the car, in his opinion is the best in that range.

3. X, a car salesman tells Y that the seats in his new car will be leather, when Y goes to collect his new car he discovers that the seats are not leather and X informs him that he would have to pay extra for leather seats.

Can a misrepresentation be made by silence?

What is the remedies available to the aggrieved party in each of the following cases:

¨ Innocent misrepresentation

¨ Negligent misrepresentation

¨ Fraudulent misrepresentation

Define a dicta et promissa and indicate what would the remedies be for a dicta et promissa.

What is the significance of the decision in Bayer South Africa (Pty) Ltd v Frost 1991 SA 559 `(A) with regard to damages?

Critically discuss the extent of the intent with which a misrepresentation must be made in order to justify the innocent party in rescinding the contract and claiming damages.

What is the difference between undue influence and duress?

Fully discuss the contractual capacity of minors.

What is restitution and when will it apply