1 ACL3631 Commercial Law A COMPENSATORY ASSIGNMENT 1 Question 1 10 marks Samuel is the owner of a 2018 Toyota corolla. After a standard service he was informed that the rings in the engine are damaged. There is nothing visibly wrong with the car, the performance is good and there is no excessive smoke. Samuel decides to sell the car without having it repaired. He sells the car to Peter for the purchase price of N$ 4000 without disclosing the fact the vehicles is in need of repair. Shortly afterwards the car breaks down. The garage owner tells him the rings were damaged and the cost of the repair would be N$ 3000. Advise Peter as to his rights and the remedies he may have against Samuel. Question 2 10 marks Sea Breeze Properties CC is building a beach house for Hilde, an Architect. When the project reached halfway stage, Hilde came to inspect the Job-site. While she was looking around, Simon, a bricklayer in the employment of Sea Breeze Properties CC, negligently dropped a cement bucket on her brand new Mercedez Benz. Hilde wants to know whether she has a claim against Sea Breeze Properties CC. Motivate your answer. Question 3 10 marks Petrina dog is pregnant. She agrees to sell all the puppies to Cilla for the Total amount of N$5000. Is this a valid sales agreement? Would your answer be different if they agreed that Cilla would buy the puppies N$50 each? Discuss in full. Question 4 10 marks In each of the following instances, state whether the principal (P) will be bound to the contract entered into by the agent (A) Motivate your answer. (i) P owns a restaurant. His manager, A, regularly buys wine for the restaurant from a specific wine merchant. A hears that a particular vintage is on special offer and, without the permission of P. orders 10 cases. 2 (ii) A, a partner in the partnership (P) that sells stationery , orders 50 boxes of paper for resale on behalf of the partnership (P). (iii) P’s washing machine is broken. Her friend A orders a brand new washing Machine in P’s name from Gam