FACULTY OF LAW

MODULE LEARNING GUIDE (LG)

YEAR: 2024

GENERAL PRINCIPLES OF CONTRACT

(Module Code: LGP 212E)

DR T SHUMBA
LLB Cum Laude (UFH), LLM (UCT), LLD (Stellenbosch)
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TABLE OF CONTENTS

Cover Page 1
Table of Contents 2

PART A: ORGANISATIONAL COMPONENT

1. Welcome Statement 3
2. Contact details 3
2.1. Role Players 3
2.2. Consulting times 3
3. Overview of the Qualification 4
3.1. Name of the Qualification or Programme 4
3.2. Rationale for the Degree 4

PART B: LEARNING COMPONENT

1. Structure of the Module/Course 4
2. Level of descriptors of the Module 4
3. Purpose of the Module/Course 4
4. Learning Outcomes and Associated Assessment Criteria 5
5. Teaching-Learning Methods 7
6. Assessment 7
7. Course Outline 7
8. Faculty Requirements 11
9. Plagiarism 13
10. Faculty Referencing Style 13
11. Consequences of Cheating/Fraud 14
12. Prescribed Books 14
13. Highly Recommended Works 14
14. Case Law List 14
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PART A: ORGANIZATIONAL COMPONENT

1. WELCOME STATEMENT

The law of contract is the collection of legal rules which govern contract. These
rules, in turn, are part of the law of obligation (‘verbintenisreg’), a subdivision of the
law of property (‘vermoensreg’), which is traditionally regarded as part of private
law. ‘Private’ law governs persons (legal subjects) in their personal or ‘private’
capacity before the law in relation to other legal subjects. To this end, the rules
and concepts of private law define, balance and protect legitimate individual
interests. Traditionally private law, being concerned with individual values and the
private activities of individuals, is contrasted with public law. Public law consists of
the rules governing subjects in their relations with the organised authority in a
society. The focus of public law, therefore, is on the promotion and protection of
collective interests. This system or division of the rules of the law is by no means
logically compelling for jurisprudentially indefeasible; other distinctions exist. Any
emphasis on the law of contract as an aspect of private law cannot deny the
increasing degree to which certain traditional areas of private and public law have
come to overlap. The division made above has, however, become part and parcel
of the prevailing law and legal theory in South Africa.

2. CONTACT DETAILS

2.1 ROLE PLAYERS

PERSON NAME ROOM TEL E-MAIL

EXT.
Lecturer(s) DR T SHUMBA 608 7649 [email protected]
Class Kholelwa Dube Kholelwa Dube
Representatives Mmabontle [email protected]
Nkadimeng Mmabontle
Mzukhona Nkadimeng
Gumbi [email protected]
Sinetemba Mzukhona Gumbi
Makuleni [email protected]
Sinetemba Makuleni
[email protected]
Faculty Manager K Mkiva 612 7531 [email protected]

2.2 CONSULTATION TIME

The Lecturer is available for consultation for 60 minutes/1h from the end of every
lecture as per Timetable.
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3. OVERVIEW OF THE QUALIFICATION

3.1 Name of the Qualification/Programme: Bachelor of Laws

3.2 Rationale for the Degree

In taking up the study of law, one embarks on the challenging process of becoming
a member of one of the oldest and most rewarding vocations that exists. Legal
training is steeped in a long tradition of liberalism. It develops skills in the mastering
of facts and theory as well as in lucid and logical expression. A successful learner
will acquire these qualities and discover them to be greatly to his/her advantage in
his/her leadership role in society. The lawyer enjoys a status shared by few others
and has a wide choice of careers. He or she can practise as an attorney or
advocate, serve within the judiciary as prosecutor, magistrate or judge, or enter
government or the business world as legal advisor or senior executive. The LLB is
now the only recognised qualification for legal practice. Formerly holders of a B
Proc were allowed to enter into the attorney’s profession and holders of a B Juris
could serve in the civil service as magistrates or prosecutors. The B Proc and B
Juris programmes have been phased out. No new candidates were allowed to
register for these programmes with effect from 2004.
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PART B: LEARNING COMPONENT

1. STRUCTURE OF THE COURSE/MODULE

Module Title: General Principles of Contract

Module Code: LGP 212E

Credit Value: 16 credits

Place in Programme: Compulsory in Bachelor of Laws (New LLB)

Name of Lecturer: DR T SHUMBA

2. LEVEL OF DESCRIPTORS OF THE MODULE

NQF Level: 6

3. PURPOSE OF THE COURSE/MODULE

This module is designed to provide law students (as future legal

practitioners and advisers) with a foundational/basic understanding of the
general legal principles governing contractual relationships in South Africa.
In so doing, it will allow learners the first opportunity to acquire elements of
the competencies required to provide legal or policy advice/support or
manage matters relating to commercial and quasi-commercial transactions.
The module will also provide exposure to the policy concerns and rationales
underlying the relevant principles and jurisprudence.

4. LEARNING OUTCOMES AND ASSOCIATED ASSESSMENT CRITERIA

Learning Outcome 1

Learners develop a sound understanding of, and the ability to competently

apply, the legal rules and regulations governing contracts and the resulting
relationships.

Assessment Criteria:

1.1 The legal rules applicable to an issue or set of facts are identified.

1.2 The rights and obligations created by the applicable legal rules are
determined and articulated.
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1.3 Legal advice or opinion is given based on a practical application of the

relevant legal rules.

Learning Outcome 2

Learners develop an understanding of the policy concerns and objectives

driving both the Legislature and the Judiciary in developing the rules which
constitute the South African Law of Contract.

Assessment Criteria:

2.1 The policy issues and/or objectives implicated either in a given set of facts
or in an area of contractual relations are identified.

2.2 The manner in which the relevant national rules address the implicated
policy issues or questions is identified, justified and/or criticized.

2.3 Proposals for change are developed and articulated based on identified
inadequacies in the current regime.

Learning Outcome 3

Learners demonstrate willingness and ability to work with others in solving

given problems of Contract Law.

Assessment Criteria

3.1 Participation of each learner is meaningful and contributes to attainment of

group learning goals.

Learning Outcome 4

The learner demonstrates the ability to communicate effectively using

language skills in both the oral and written modes.

Assessment Criteria:

4.1 Group discussions are conducted in the medium of instruction.

4.2 Expression is clear and articulate.

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Learning Outcome 5

Learners demonstrate ability to collect, analyse, organise and evaluate

information.

Assessment Criteria:

5.1 Tests are well structured.

5.2 Presentation is logical.

5.3 Sources used are acknowledged.

Learning Outcome 6

Learners organize and manage themselves responsibly and effectively.

Assessment Criteria:

6.1 Deadlines for submitting work are observed.

6.2 Given guidelines are followed.

5. TEACHING-LEARNING METHODS

Expository lectures, class presentations and take-home assignments

6. ASSESSMENT

(i) Two tests carrying 25% marks each.

(ii) One Final Examination carrying 50%.

6.1 Assessment Plan

Test Description / Topic Value
Test 1 All work done up to the date of test. 25%
Date: TBA

Venue: TBA
Test 2 All work done up to the date of test. 25%
Date: TBA .

Venue: TBA
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TOTAL MARK 50%

Final Examination 50%

FINAL MARK: 100

%

7. COURSE OUTLINE

Lecture 1 Introduction
Lecture 2 Formation of a Contract/Consensus – offer and acceptance
Lecture 3 Mistake
Lecture 4 Improperly obtained consent
Lecture 5 Contractual Capacity
Lecture 6 Formalities
Lecture 7 Legality
Lecture 8 Possibility
Lecture 9 Certainty
Lecture 10 Contents and Operation of Contracts
Lecture 11 Variation, Transfer and Termination of Rights Obligations
Lecture 12 Breach of Contract and Remedies

Lecture TOPIC CONTENT Prescribed

Readings
1 Introduction • The Notion of D Hutchison
contract et al, The
• The requirements Law of
of a valid contract Contract in
• The nature of a South Africa
contract Chapter 1
• Contract and the
law of Obligations
• The development
of the modern
notion of contract
• The basis of
contract
• The cornerstones
of contract
• Consumer
Protection Act 68
of 2008
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• Impact of the
Constitution
2 Formation of a • Introduction D Hutchison
contract/Consensus • The Offer et al, The
• The Acceptance Law of
• Breaking off Contract in
negotiations South Africa
• Pacta de Chapter 2
contrahendo
3 Mistake/Absence of • Introduction D Hutchison
Consensus • Classification of et al, The
Mistakes Law of
• Limitations of Will Contract in
Theory South Africa
• Reliance-based Chapter 3
correctives
• The Subjective
approach as
qualified by
estoppel and
quasi-mutual
assent
• Reconciliation of
Subjective and
Objective
approaches
• Common mistake
• Rectification
4 Improperly Obtained • Introduction D Hutchison
Consensus • Misrepresentation et al, The
• Duress Law of
• Undue influence Contract in
• Commercial South Africa
bribery Chapter 4
• Further grounds
for rescission
• Consumer’s right
to fair and honest
dealing under the
Consumer
Protection Act.
5 Contractual • Legal capacity D Hutchison
Capacity • Contractual et al, The
capacity Law of
• Natural persons
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• Juristic persons Contract in

• The State South Africa
Chapter 5
6 Formalities • Introduction D Hutchison
• Formalities et al, The
prescribed by law Law of
• Formalities Contract in
stipulated by the South Africa
parties Chapter 6
7 Legality • Introduction D Hutchison
• Illegal contract et al, The
that are void Law of
• Illegal contracts Contract in
that are valid but South Africa
unenforceable Chapter 7
8 Possibility • The general rule D Hutchison
• Different types of et al, The
impossibility Law of
• Exceptional Contract in
cases: liability South Africa
despite Chapter 8
impossibility
• The
Consequence pf
impossibility
9 Certainty • The general rule D Hutchison
• The application of et al, The
the certainty Law of
requirement Contract in
• The South Africa
consequences of Chapter 8
not meeting the
certainty
requirement
10 Contents and • Parties to a D Hutchison
Operation for contracts et al, The
Contracts • Obligations and Law of
Terms Contract in
• Interpretation of South Africa
contracts Chapter 9 -
11
11 Variation, Transfer • Cession D Hutchison
and Termination of • Termination of et al, The
Rights Obligations Obligations Law of
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Contract in
South Africa
Chapter 14-
15
12 Breach of Contract • Forms of Breach D Hutchison
and Remedies • Mora debitoris et al, The
• Mora creditoris Law of
• Positive Contract in
malperformance South Africa
• Repudiation Chapter 12-
• Prevention of 13
performance
• Remedies for
Breach
• Choices,
alternative and
concurrence of
remedies
• Remedies aimed
at keeping the
contract alive
• Cancellation
• Damages
• Interest
• Other remedies
13 REVISION

8. FACULTY REQUIREMENTS

Due Performance Requirements (Faculty Rule L.8)

The following requirements MUST be satisfied in order for a student to

qualify to write the examinations in this module.

8.1. Class attendance

Class attendance is compulsory for all law modules. Accordingly,

attendance registers shall be circulated in class and must be completed by
learners. A learner’s class attendance record shall be considered for the
purposes of considering condonations of final marks and any other
discretionary student matters.

Special note:
Class attendance is compulsory for all law students. Therefore every
student should obtain 100% lecture attendance in each module. A leave of
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absence will only be granted to students who, by reason of illness or other

special circumstances, are unable to attend lectures; provided that no
student shall be absent from lectures for a period/periods exceeding 25%
of the required attendance in each module. Every application for leave of
absence should be accompanied by satisfactory evidence of such illness or
special circumstances and, further, should be submitted to the Faculty
Secretary prior to the date of absence from class.

8.2. Attendance at tutorials

75% attendance at tutorials is the minimum required. This is applicable

to modules where tutorials are part of the learning programme.

8.3. Participation in tests and assignments

100% participation in mandatory tests and assignments is required by

the Faculty.

8.4. Requirement of an examination entrance (due performance) sub-

minimum (General Rule 5.9)

A student shall not be eligible to write the degree or supplementary

examination in any module for which s/he is properly registered unless
s/he has obtained a minimum semester (DP) mark of 40% in the
module. For the avoidance of doubt, this rule shall not apply to a student
who is registered for a module under General Rule 7 or under any other
institutional rule that exempts her/him from the requirement of a
semester (DP) mark.

8.5. Requirement of an examination sub-minimum (General Rule 5.10)

Notwithstanding the provisions of General Rule 5.8, a student shall only

be credited with a pass in a module if s/he obtained a minimum of 40
percent in the degree or supplementary examination.
A student who has been unsuccessful in obtaining the examination sub-
minimum mark of 40 in the degree examination shall be entitled to a
second chance at obtaining the said sub-minimum mark (through the
supplementary examination) provided s/he obtained a minimum final
mark of 45.

9. PLAGIARISM ALERT – ADDITIONAL LEARNER RESPONSIBILITY

Learners must be aware that plagiarism is an academic offence

prohibited in terms of the UFH Plagiarism Policy. With regard to what
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constitutes plagiarism, etc, see the following extract from the said
policy.

DEFINITIONS

Plagiarism, in an academic, university context, may be defined as taking

and using the ideas, writings, works or inventions of another, from any
textual or internet-based source, as if they were one’s own.

This definition covers the following aspects:

• Using the direct words of another without using quotation marks (even if the
passage is referenced);
• The unacknowledged copying of a sentence or two of text; copying more
extensive blocks of text;
• The syndication of a single piece of work by more than one student (unless
the assignment task is a legitimate group assignment);
• The borrowing and using of another person’s assignment (with or without
their knowledge and permission);
• Stealing an entire essay from another person or from the Internet; or
infringing copyright.

For the purposes of this policy, the intention, negligence or innocence of a

person is not relevant to the finding as to whether plagiarism, as a fact, has
occurred. However, the state of mind of the person will be highly significant
in determining how to deal with the case as far as taking remedial action or
imposing a penalty is concerned.

Students should note that their assignment may be submitted to an

electronic plagiarism detection software programme now available to the
Faculty.

10. FACULTY REFERENCING STYLE

In preparing and submitting assignments which require students to

acknowledge their authorities and sources in footnotes, Faculty requires
that ALL students use the house style of Speculum Juris (the law journal
published jointly by the Faculty). For this purpose, students should therefore
familiarize themselves with Speculum Juris Style Guide online. Copies of
Speculum Juris are also available in the Library.

11. CONSEQUENCES OF CHEATING/FRAUD

Students should carefully note that the Dean of Law will not provide a
testimonial in respect of any law student who is convicted of cribbing,
plagiarism or any other form of cheating/dishonest conduct in a
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test/examination or on an assignment or any assessment exercise. Without

a testimonial from the Dean, a law graduate will not (a) be admitted as an
attorney; or (b) be allowed to register for articles of clerkship – which is
necessary in order to qualify for admission as an attorney. Also, a law
graduate who is not in possession of a testimonial issued by the Dean may
not (a) be admitted as an advocate; or (b) be accepted for pupilage training
– which is necessary for admission to the bar (of advocates).

12. PRESCRIBED WORKS

1. D Hutchison and C Pretorius, The Law of Contract in South Africa,
Latest Edition (Oxford University Press).
2. Bhana, Bonthuys & Nortje Student’s Guide to the Law of Contract,
Latest edition (Cape Town: Juta & Co).
3. Van der Merwe, van Huysteen, Reinecke, and Lubbe Contract –
General Principles, Latest Edition (Cape Town: Juta & Co).
4. R H Christie and G Bradfield, Christie's law of contract in South
Africa, Latest Edition (Durban: LexisNexis).

13. HIGHLY RECOMMENDED WORKS

1. A J Kerr, The Principles of the Law of Contract, Latest Edition (Lexis,

Nexis, Butterworths)

14. CASE LAW LIST

A list of essential cases will be provided