Exceptions to the nemodat rule: Sale under voidable title: When the seller of the goods has a voidable title to them, but his title has not been avoided at the time of the sale, the buyer acquires a good title. Read More …
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Month: September 2020
Peter Manu, a manufacturer, entered into a contract to make 10,000 candles for Paul Mwadali, a wholesaler. Paul Mwadali issued an order to Peter Manu for the supply of the candles. Subsequently, there was a major power blackout which lasted for three days thereby affecting the operations at Peter Manu’s processing plant. In addition, Peter Manu’s machine broke down due to the power blackout after he had made 8,000 candles. Peter Manu has submitted a claim to Paul Mwadali for payment for the 8,000 candles. Paul Mwadali has refused to pay Peter Manu on the ground that the contract is not fully executed. Explain the legal principles applicable in the case and advise Peter Manu.
Legal principle is discharge of a contract by performance. A contract is only discharged if parties precisely perform their obligations in line with the terms otherwise it will not be discharged. However if a person substantially performs the obligations but Read More …
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The general rule is that silence cannot constitute a misrepresentation. A party to a contract is therefore under no duty to disclose all material facts. Explain the exceptions to this rule.
The following facts must be disclosed Those that can influence the other parties’ decision. Changed circumstances which affect the truthfulness of facts already given if the contract has not yet been entered to. Facts likely to increase the liability of Read More …
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An offer is a promise which when accepted constitutes an agreement. It may be terminated by revocation, counter- offer or by lapsing. Discuss four ways in which an offer could lapse.
Ways in which an offer could collapse When not accepted in the prescribed manner When not accepted at the prescribed time Counter offer Rejection By revocation
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In relation to the law of contracts, describe three mistakes that render a contract void.
According to the law of contracts the following mistakes render a contract void: Common mistake This is a mistake as to the existence or ownership of the subject matter. Each party in the contract makes the same mistake which Read More …
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The general rule that “for a contract to be discharged by performance, the performance must be precise and exact” was modified by exceptions to mitigate its harshness. Discuss five exceptions to this general rule.
Five exceptions to the general rule that performance must be precise and exact performance are as follows: Divisible contracts: Some contracts are by their nature divisible and performance of a part thereof entities the performer to payment for work done. Read More …
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Lena Zola contracted Mariene Kamonya, a musician, to perform during a talent music award. Two days before the much awaited event, Mariene Kamonya contracted a severe bout of malaria and was hospitalised. She was therefore unable to perform at the award. Lena Zola is aggrieved as she had already paid a deposit to Mariene Kamonya. www.masomomsingi.co.ke Page 12 Advise Lena Zola.
Advise to Lena Zola This is a case of discharge of contract by frustration. Mariene Kamonya’s illness was an unforeseen circumstance which prevented her from performing her part of the contract. Money paid by Lena Zola is recoverable on a Read More …
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Explain four consequences of illegal contracts.
Consequences of illegal contracts The contract is void. Money paid and chattels or land transferred are irrecoverable. A subsequent contract which is founded on or springs from an illegal transaction, is illegal and void. It is legally unenforceable.
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In relation to the law of contract: Outline six elements of a valid contract.
Elements of a valid contract Offer and acceptance, Intention to create legal relations Lawful consideration. Capacity of the parties. Free consent. Lawful object. Possibility of performance.
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In relation to the law of contract: Explain three essential features of an offer.
Essential features of an offer It must be an expression of the willingness to do or abstain from doing something. The expression of willingness must be to another person. The expression of willingness must be made with a view to Read More …
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