House of Trucks (Edms) Beperk v De Swardt (A558/2003) [2004] ZAFSHC 168 (26 November 2004)

House of Trucks (Edms) Beperk v De Swardt (A558/2003) [2004] ZAFSHC 168 (26 November 2004)

The court found that on 8 February 2001, the purchase price for the tanker trailers was not finally determined and that the written quotation to be provided later would set the final price. Since the determination of the price was left solely to one party, the contract was void for vagueness. The essential requirement for a valid contract of sale—a fixed or fixable price—was not satisfied at the time of the alleged agreement. Consequently, the trial court erred in finding that a valid contract had been concluded, and the appeal succeeded. The correct order was absolution from the instance with costs, including the costs of two counsel.

Citation
[2004] ZAFSHC 168
Parties
Appellant: THE HOUSE OF TRUCKS (EDMS) BEPERK; Respondent: DALEEN ALTA DE SWARDT
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
26 November 2004
Case Number
A558/2003
Procedural Posture
Civil Appeal / Appeal From the Decision of the Trial Court
Outcome
Appeal upheld; order of absolution from the instance with costs, including costs of two counsel.
Judges
Lombard R, Hattingh, Kruger RR
Legal Topics
Contract Formation, Sale of Goods, Certainty of Price
Commercial and Corporate Contract Formation Sale of Goods Certainty of Price

Case Brief

Summary, issues, holding and outcome

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Parties

THE HOUSE OF TRUCKS (EDMS) BEPERK

Appellant

DALEEN ALTA DE SWARDT

Respondent

Procedural Posture

Civil Appeal / Appeal From the Decision of the Trial Court

Legal Issues

  1. 1 Whether a valid contract of sale was concluded between the parties on 8 February 2001.
  2. 2 Whether the terms of the alleged contract included consequential damages.

Ratio Decidendi

The court found that on 8 February 2001, the purchase price for the tanker trailers was not finally determined and that the written quotation to be provided later would set the final price. Since the determination of the price was left solely to one party, the contract was void for vagueness. The essential requirement for a valid contract of sale—a fixed or fixable price—was not satisfied at the time of the alleged agreement. Consequently, the trial court erred in finding that a valid contract had been concluded, and the appeal succeeded. The correct order was absolution from the instance with costs, including the costs of two counsel.

Court Disposition

Appeal upheld; order of absolution from the instance with costs, including costs of two counsel.

Orders

  • The appeal is upheld with costs, including the costs of two counsel.
  • The decision of the trial court is set aside and replaced with an order of absolution from the instance with costs.