Mercantile Law N4 — Document
November 2019 — N4 — Mercantile Law
N4
2019
Nated Business
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Q1— Section header —
1.1Various options are given as possible answers to the following questions. Choose the answer and write only the letter (A D\ n ext to the question number (1.1 .1 1. 1. 10\in the ANSWER BOOK.
1.1.1being a gainst the good morals of society
1.1.2Small agre ements include the principal debt.
1.1.3A drunk person has contractual capacity and can conclude a contract. a valid contract. no contractual capacity an
1.1.4elivery with the long hand. ctual delivery from one hand to another.
1.1.5Which ONE of the following is NOT a requirement for acceptance? The acceptance must be consistent with the essentials of the contract. The acceptance must be clear and unamb
1.1.6upervening impossibility of performance. the e xpiration of a specified period of lease.
1.1.7John's child Cathy is undergoing s urgery to remove her tonsils. Jo leave.
1.1.8Wade wants to rent his house to Corrin, while Corrin thinks she is purchasing the house from Wade his is an example of error in
1.1.9Scott buys a watch from jeweller Pearl and leaves the watch with Pearl so tha t the strap may be adjusted his is an example of
1.1.1Which ONE of the following is NOT a remedy in cases of breach of contract?
1.2Choose the correct word or words from those given in brackets. Write only the word or words next to the questi on number (1.2.1
1.2.15\in the ANSWER BOOK.
1.2.1(Obiter dicta/R atio decidendi\ means reason for decision.
1.2.2(Mistake/Misrepresentation\ means there is no valid binding contract.
1.2.3An added term to a contract is a (warranty/representation\
1.2.4When the risk passes to the buyer at the time of the agreement this is regarded as (resolutive/suspensive\dition. 13030094
1.2.5Credit (provider ureau s\ include banks and micro lenders.
1.2.6The principle of (h uur gaat voor koop/Placaat\is applicable where tenant made improvements to the leased property.
1.2.7(Organisation/Control test\ means the employee forms part of the employers.
1.2.8The law of o bligations deals with (personal/real\ rights.
1.2.9(Prodigals/Drunk persons\ has limited contractual capacity.
1.2.10(Caveat emptor/Ex lege\ means let the buyer be aware.
1.2.11awful/Unlawful\ means that a consumer gives an identity document.
1.2.12A contract for an indefinite period is t erminated by (notice/ cancellation\
1.2.13The (employee/e mploy er\ must provide a safe and healthy working environment.
1.2.14The person against whom an action is instituted is known as the (plaintiff/d efendant\
1.2.15
1.3Choose a description from COLUMN B that matches a term in COLUMN A. Write only the letter (A E\next to the question number (1.3.1
1.3.5\in the ANSWER BOOK. COLUMN A COLUMN B
1.3.5Stipulati alteri Loc atio conductio operis Res vendita Constitutional l aw Void
Q2— Section header —
2.1List FIVE requirements for acceptance to be valid. (5\
2.2Read the scenario below and answer the questions. Betty is a lessee of a flat be longing to Veronica . T he lease is for a period of five years. After two years Veronica sells the flat to Archie who is aware of the
2.2.1Advise Betty of her legal position in relation to the lease. (6\
2.2.2Suppose it was a registered long term lease, what would Betty 's position then be (2\
2.2.3Could Betty be evicted if Archie inherited the flat? (2\
2.3
2.4
2.5
2.6
2.7Give the essentialia of a contract of sale. (1\ [50]50
Q3— Section header —
3.1Differe ntiate between mistake and misrepresentation and give an example of each. (5 + 5
3.2List FOUR types of leave. (4\
3.3Dawson is employed by E xotic Fruit Market as a driver. On his way to deliver ruit he collides with a motor vehicle due to his own negligence. he motor
3.4Briefly explain each of the following acts
3.4.1Employment Equity Act 55 of 1998
3.4.2Labour Relations Act 66 of 1995
3.4.3
3.5Indicate whether the following statements are TRUE or FALSE. Choose the answer and write only 'True' or 'False' next to the question umber (3. .1
3.5.10\the ANSWER BOOK.
3.5.1Rent can consist of an agreed proportion of produce or harvest.
3.5.2A tenant may cancel the lease if the breach of contract is very serious.
3.5.3Cession means tha t the landlord transfers his/ her r ight of occupation to a third party.
3.5.4A lease can be terminated by a merger.
3.5.5The principle of Placaat is applicable where the landlord made improvements to the leased property.
3.5.6Repudiation of a contract is also a breach of c ontract.
3.5.7There is no difference between an unregistered long term lease and a registered long term lease.
3.5.8Insolvency of a tenant terminates the lease.
3.5.9Impossibility of performance terminates the contract but does not free t he parties from their obligations.
3.5.10
3.6List THREE differences between locatio conductio operarum (contract of service\ and locatio conductio operis (independ ent contractor\.
3.7Briefly distinguish between acquisitive prescription and extinctive prescription (2 + 2 (4
Q4— Section header —
4.1Read the scenarios below and answer the questions.
4.1.1Tony and Johnny e nters into a contract with Jeff to poach rhino horns and transport it over the South African boarder. Is this a valid contract? Substantiate the answer. (4\
4.1.2Jack and Jill en ters into a contract to open a b rothel. Jill invested al l her savings into the bro thel. After two months Jill wants her money back. Discuss the par d
4.2
4.3Name the type of breach of contract in each of the following cases and briefly give a definition of each
4.3.1Zandie ordered flowers from Tando's Florist to be delivered on 9 July at 13:00. Zandie waited for an hour for the flowers to be delivered and then left the premises. Tando arrived at 15:00 only to find the premises locked.
4.3.2Victor or dered a lo unge suite from ABC Furnishers. They agree that the l ounge suite must be delivered at Victor s premises on Saturday at 12:00
4.4
4.5Give THREE duties of a seller. (3\
4.6Give FOUR duties of an employee. (4\
4.7
4.8List THREE special contracts of sale. (3\ [50] 13030094\ Copyright reserved50
Q5— Section header —
5.2Indicate whether the following statements are TRUE or FALSE. Choose the answer and write only 'True' or 'False' next to the que stion number (5.2.1
5.2.10\the ANSWER BOOK.
5.2.1An i nterdict can also be obtained to stop the misuse of property.
5.2.2Credit providers may only charge collective cost.
5.2.3Traditio longa manu means delivery with the long hand.
5.2.4Debts from negotiab le instruments prescribe after six ye ars.
5.2.5Condictio indebit is a remedy where payment made in error can be reclaimed.
5.2.6Where a contract of sale is conditional the risk will not pass to the buyer.
5.2.7No prescribed process is needed for an eviction to be legal.
5.2.8Serious misconduct may lead to summary dismissal.
5.2.9Credit providers include retail stores.
5.2.10
5.3Briefly discuss consensus (5\
5.4
5.5
5.6Give THREE examples of latent defects. (3\
5.7List SEVEN ways in which an offer can be terminated. (7\ [50] TOTAL SECTION B: GRAND TOTAL: 150 20050
Topics Identified
1
Business Environments
Mark Allocation
Total150 marks
Sections50 + 50 + 50 + 50 + 50 = 250 marks
Paper information
TitleDocument
SubjectMercantile Law
LevelN4
Document typeQuestion paper
Year2019
MonthNovember
Pages9
Downloads2
Examination context
Decade2010s
Years ago7y
SeasonSpring (SH)
Start dayFriday
Exam periodNovember 2019
Days since exam2,535
About Mercantile Law examination preparation
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