South Africa Case Law

Kretzman v Kretzmann and Another (2644/2018)

Kretzman v Kretzmann and Another (2644/2018) [2019] ZAECPEHC 54; 2020 (1) SA 162 (ECP) (27 August 2019)

Court

Eastern Cape High Court, Port Elizabeth

Case number

2644/2018

Judge

J W Eksteen

The court held that while an option agreement (the pactum de contrahendo) relating to the sale of land need not be in writing, the substantive offer to purchase must comply with the formalities prescribed by section 2(1) of the Alienation of Land Act. In this case, both the option agreement and the terms of sale were orally concluded. Since the offer was not in writing, it could not result in a binding contract upon acceptance, and the oral option agreement could not be validly exercised. Therefore, the plaintiffs' claim based on the oral agreement fails to disclose a cause of action and must…

Source excerpt

• Alienation Of Land Act
• Option To Purchase
• Formalities Of Contracts
• Exception Procedure

Scholtz v Scholtz (209/2011)

Scholtz v Scholtz (209/2011) [2012] ZASCA 9; 2012 (5) SA 230 (SCA); [2012] 2 All SA 553 (SCA) (14 March 2012)

Court

Supreme Court of Appeal

Case number

209/2011

Judges

Brand, Cloete, Cachalia, Tshiqi, Plasket

The Supreme Court of Appeal held that the absence of an explicit term regarding liability for the mortgage bond in the deed of donation does not automatically render the donation agreement invalid under s 5 of the General Law Amendment Act 50 of 1956. The court found that material terms may be incorporated by proper interpretation of the express terms or by way of tacit terms, which are considered part of the written agreement. The respondent's defence failed because he did not establish that the omission of the bond liability term rendered the agreement void ab initio. The court set aside th…

Source excerpt

• Donation Of Immovable Property
• Formalities Of Contracts
• Mortgage Bond Liability
• Specific Performance
• Tacit Terms
• Interpretation Of Contracts

Slabbert and Others v Slabbert and Others (A55/2011)

Slabbert and Others v Slabbert and Others (A55/2011) [2011] ZAFSHC 165 (20 October 2011)

Court

Free State High Court, Bloemfontein

Case number

A55/2011

Judges

Ebrahim, Van der Merwe, Mathebula

The High Court held that a farm sale was unenforceable because the written agreement did not stipulate the time for payment, and dismissed claims based on notice.

• Alienation Of Land Act
• Formalities Of Contracts
• Double Sale Of Immovable Property
• Doctrine Of Notice
• Alienation-of-land-act
• Formalities-of-sale-agreements

Nelson Mandela Bay Metropolitan Municipality v Fourie and Others (2958/09)

Nelson Mandela Bay Metropolitan Municipality v Fourie and Others (2958/09) [2010] ZAECPEHC 48 (10 August 2010)

Court

Eastern Cape High Court, Port Elizabeth

Case number

2958/09

Judge

Y Ebrahim

The High Court held that land sale agreements were invalid because two mutually exclusive payment options were left unclarified, breaching statutory formalities.

• Alienation Of Land Act
• Formalities Of Contracts
• Invalidity Of Sale Agreements
• Rectification
• Consensus Requirement
• Alienation-of-land-act

Chetty and Chetty and Others (3297/07)

Chetty and Chetty and Others (3297/07) [2008] ZAKZHC 69 (9 September 2008)

Court

High Courts - Kwazulu Natal

Case number

3297/07

Judge

Msimang

The High Court held that the sale agreements for immovable property were not invalid under section 2(1) of the Alienation of Land Act and dismissed the point in limine.

• Alienation Of Land Act
• Formalities Of Contracts
• Sale Of Immovable Property
• Parol Evidence Rule
• Alienation-of-land-act
• Sale-of-immovable-property

Just Names Properties 11 CC and Another v Fourie and Others (324/06)

Just Names Properties 11 CC and Another v Fourie and Others (324/06) [2007] ZASCA 126; [2007] SCA 126 (RSA); [2008] 2 All SA 487 (SCA); 2008 (1) SA 343 (SCA) (28 September 2007)

Court

Supreme Court of Appeal

Case number

324/06

Judges

Brand, Heher, Mhlantla

The Supreme Court of Appeal held that the agreement for the sale of immovable property did not comply with section 2(1) of the Alienation of Land Act 68 of 1981 because the sellers signed two blank pages, which were subsequently completed. The Act requires that the deed of alienation be signed by the parties in its completed form, signifying their assent to the terms as written. The argument that the amendment constituted a counter-offer was rejected, as the evidence showed that the purchaser remained the offeror and the sellers did not make a written counter-offer. The invalidity of the agre…

Source excerpt

• Alienation Of Land Act
• Formalities Of Contracts
• Invalidity Of Sale Agreement
• Signature Requirements
• Counter Offer
• Fraud In Contract

Gatri and 'n Ander v Melk en 'n Ander (5363/2006)

Gatri and 'n Ander v Melk en 'n Ander (5363/2006) [2007] ZAFSHC 35 (26 April 2007)

Court

Free State High Court, Bloemfontein

Case number

5363/2006

Judge

C.J. Musi

The court found that the written agreement failed to stipulate the essential terms required by section 2(1) of the Alienation of Land Act, specifically the method of payment. Clause 2 of the agreement did not specify how or when the purchase price would be paid, and clause 12 regarding the mortgage bond was left blank. The absence of these essential particulars rendered the contract void for uncertainty. The court held that extrinsic evidence cannot be admitted to cure these deficiencies, as the statutory requirements demand that all material terms be recorded in writing. Consequently, the ap…

Source excerpt

• Alienation Of Land Act
• Formalities Of Contracts
• Specific Performance
• Transfer Of Property