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Principles Of Law 
Law Of Contract
PRINCIPLES OF LAW 
The concept of Law – Define what is meant by the term Law 
 LAW are rules established by authority to regulate the behaviour of members of a community, society 
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or country. 
 LAW are legal rules. 
 Law is a system of rules, usually enforced through a set of institutions. It shapes politics, economics 
and society in numerous ways and serves as a primary social mediator of relations between people. 
 Law- That which is laid down, ordained, or established. A rule or method according to which phenomenon or actions 
co-exist or follow each other. Law, in its generic sense, is a body of rules of action or conduct prescribed by controlling 
authority, and having binding legal force 
ANALYSIS OF THE DEFINITION 
“Bodies of rules governing human conduct” 
 Law in its sense, prescribes what must, what may and what may not Be done. It is an 
instrument designed to regulate human behaviour and order in the society. 
“Recognized as binding by the state” 
 When Law finds acceptance in the common Law it is regarded as binding by the state. Here 
we are concerned with conscience of the individuals’ own view of what is wrong or right, i.e. 
what an individual considers desirable or undesirable as regards conduct. 
 e.g. Ethical principles like, “l must be helpful to others” or “l must respect my parents”. 
 An ethical principle or rule is a code of conduct, which is carried personally by an individual 
and acts as a motive to behave in a certain fashion. Such principles come about during the 
course of a life of an individual. Law must conform to the prevailing sense of justice in a 
community or it will fail to preserve peace. 
“Enforcement” 
 In order to ensure that rules of human conduct are obeyed by all the inhabitants of the state 
it is necessary to have some form of compulsion or influence which induces them to comply 
with the rules. 
 No rule can be effective without the method of compulsion called a “sunction” 
 NB: A Sunction is some unpleasant or inconvenient consequence which a person knows 
beforehand will be inflicted on him if he doesn’t follow a rule. 
 A breach of the Law often invites punishment in the form of imprisonment, a fine or 
compensation. Associated with punishment, as far as the Law is concerned, are the 
mechanisms to enforce these legal forms. Thus the police, courts and penal institutions are 
set up to effect punishment. Such formal mechanisms are not evident in the field of ethics 
and positive morality where censure and punishment are more subtle.
PRINCIPLES OF LAW 
The elements of Law and the difference between real and personal rights 
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PRINCIPLES OF A JUST LAW. 
1. Equality 
 Law consist of rules, which apply to all persons in the same condition. What applies to Sam 
has equal application to Jeff, provided they fall in the same classification. Rich or poor, 
employer or employee, all men are the same in the eyes of Law if they fall in the same class. 
If Tom drives a car, Sam walks along the road and Dick cycles, they all fall into different 
categories applicable to road users and rules applying to one do not necessarily apply to 
others. 
Each would be subject to Laws governing the activities they are engaged in: 
• The fact that Jill drives a Datsun and Ben drives a Benz is immaterial to the application of 
rules of negligence or Law against drunken driving. 
• Exceptions to equality are insanity, minors but considerations must be based on distinctions 
which are objective and logical. 
• If B a Lawyer sexually abuses a minor and C a teacher commits the same offence, the Law 
pertaining to the case will be applied equally regardless of status. 
NB: these considerations must be based on distinctions which are both objective and logically 
relevant. 
2. Uniformity 
 Uniformity simply means all people in all areas should be treated uniformly. The same Law 
that applies to Joe in Gokwe should apply to Tom in Mutare, provided they have committed 
a similar offence. If Mr. X a Lawyer in Harare and Mr. Z a bus driver in Kwekwe commits 
the same offense, the legal fate that is visited upon them is identical. The aspect of authority 
of the High Court ensures the uniform application of Law as far as possible. If a person is a 
foreigner and commits a crime he/she is treated applying the principles of Law in that 
country. 
3. Certainty 
 Certainty in the Law prescribes how a person must, or may, or may not act, and to that 
extend it safeguards the rights and liberties of the people themselves. If X infringes Y’s right, 
Y will know that because the rules of Law are certain a remedy lies in the courts. 
 Inn the same way, people can order their affairs knowing what the legal consequences of a 
particular course or courses of action will be. 
 Certainty also acts as a limitation on the tries of fact in that they are bound to follow the 
establishment rules of law as set out beforehand and in so doing silly or arbitrary decision 
making is checked. 
Requirements of certainty are: 
• Rules must be formulated in clear and unambiguous terms; 
• Law must be known i.e. new laws must be disclosed i.e. promulgated (made known). By 
publication in the Government gazette. Once this process has been carried out, the legal 
maxim IGNORANTIA LEX NEMINEM EXCUSAT (ignorance of the law excuses no 
one) is said to apply.
PRINCIPLES OF LAW 
e.g. if an individual who has been out of the country in search of work for years contravenes 
a new law published in his absence he is nevertheless guilt of the relevant offence although 
he had no possible chance of having learnt the new law. 
However, this concept has been subject to criticism in that in practice so many laws are 
promulgated that even lawyers cannot possibly presume to know them all. The access to the 
gazettes and the level of literacy of a person to be able to comprehend the gazette are other 
issues of concern. 
Despite all that, as things stand at present the maxim still applies in Zimbabwe. 
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4. Generality 
 In order to be just the law must be consistant and it must be applied without distinction to 
all persons of the same class and in the same circumstances. The general rule should remain 
fixed as a constant and not to be varied arbitrarily from one case to the other simply because 
of the magistrates or judges personal feelings. 
5. Authority 
 This applies to the Law enforcement machinery clothed in authority by parliament to 
enforce Law equally, uniformly to all races, tribes and so on. Authority signifies that all Laws 
used should be applied by only bodies given the authority. 
6. Reasonableness 
 According to VOET, (Legal Jurist), “Law must order what is honourable and prohibit what 
is reprehensible”. This simply means law should be a code of conduct that governs society. 
Law should be just in that, what is wrong to be treated as wrong and what is good to be 
treated as good. Thus arbitrary, absurd and senseless rules will tend to be disobeyed. The 
concept of “reasonableness” or “the reasonable person “ is of wide application in our legal 
system and if the law expects those to whom it applies to behave reasonably, then surely the 
law itself must be seen to be reasonable. 
The difference between real and personal rights 
Personal rights are those rights that someone has regarding his/ her body, eg. body 
protection and self-esteem and self respect while real rights refers to those rights that bind 
all the citizens of the country, those rights will include no rape, no crime, no smoking in 
public and etc. 
The concept of legal personality and the difference between natural and 
juristic persons 
The concept of legal personality 
 Legal personality (also artificial personality, juridical personality, and juristic personality) is the 
characteristic of a non-human entity regarded by law to have the status of a person. 
 A legal person (Latin persona ficta), also legal person, artificial person, juridical person, juristic 
person, and body corporate) has rights, protections, privileges, responsibilities, and liabilities under 
law, just as natural persons (humans) do. The concept of legal personality is perhaps one of the most
PRINCIPLES OF LAW 
fundamental legal fictions. It is pertinent to the philosophy of law, as well as corporations law (the law 
of business associations). 
 Legal personality allows one or more natural persons to act as a single entity (a composite person) for 
legal purposes. In many jurisdictions, legal personality allows such composite to be considered under 
law separately from its individual members or shareholders. They may sue and be sued, enter into 
contracts, incur debt, and have ownership over property. Entities with legal personality may also be 
subject to certain legal obligations, such as the payment of tax. An entity with legal personality may 
shield its shareholders from personal liability. 
 The concept of legal personality is not absolute. Piercing the corporate veil refers to a legal 
decision in which the rights or duties of a corporation as the rights or liabilities of its shareholders or 
directors. Legal persons may not have all the same rights as natural persons - for example, human 
rights, including the right to freedom of speech. 
 Although the concept of a legal person is more central to Western law in both common law and civil 
law countries, it is also found in virtually every legal system. 
Some examples of legal persons include: 
• Cooperatives (co-ops), which are business organization owned and democratically operated by a group of 
individuals for their mutual benefit, are legal persons. 
• Corporations are by definition legal persons. A corporation sole is a corporation constituted by a single member, 
such as The Crown in the Commonwealth realms. A corporation aggregate is a corporation constituted by more 
than one member. 
• Companies, a form of business association that carries on an industrial enterprise, are usually corporations, 
although some companies may take forms other than a corporation, such as associations, partnership, unions, 
joint stock companies, trusts, and funds. Limited liability companies are are unincorporated associations having 
certain characteristics of both a corporation and a partnership or sole proprietorship. LLCs, like both 
incorporated and unincorporated companies, are legal persons. 
• Sovereign states are legal persons. 
• Municipalities, as creatures of statute are legal persons. Other organizations or types of organizations may be 
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created by statute as legal persons, 
• In the international legal system, various organizations possess legal personality. These include 
intergovernmental organizations (the United Nations, the Council of Europe) and some other international 
organizations (including the Sovereign Military Order of Malta, a religious order). 
• Temples, in some legal systems, have separate legal personality. 
Not all organizations have legal personality. For example, the board of directors of a 
corporation, legislature, or governmental agency typically are not legal persons in that they 
have no ability to exercise legal rights independent of the corporation or political body which 
they are a part of. 
The difference between natural and juristic persons 
A juristic person is synonymous with a juridical person, legal person or artificial 
person. Such persons are created, either by obtaining the express approval of the legislature 
or by following special procedures for the creation of such persons. Juristic persons may also 
be known as companies, corporations, incorporations, societies, associations or similar terms 
depending on local legislation. 
The term natural person is somewhat unusual, but would normally be interpreted as 
meaning a person that is not created but who is born. A synonym would be non juristic 
person. 
The purposes and functions of the law 
PURPOSE OF LAW 
1.Presevation of Order
PRINCIPLES OF LAW 
 The Law would not be required if all people were perfect. In providing the rules of conduct, 
the Law stipulates what must be done and may not be done. This is in order that the 
individual and collective rights of each member of the community may be protected. The 
Law tries to prevent one person’s right clashing with each others rights or rights of an 
individual from clashing with the rights of a community, thus preserving peace and order. If 
every person did just as he wished, allowing his instincts and desires uninhibited, there could 
be no society, no community and the Law of the judge would soon prevail. 
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2. Maintain Justice 
 For our purpose of Law we will consider justice to mean fairness, in other words justice is 
what appears to be right to a fair-minded person. Justice is not only the Law’s main object 
but it is also its chief instrument in fulfilling the Law’s other main object of preserving peace 
and order in the community. It is obvious that peace and order reign when the members of 
the community obey the Laws. 
3. Settlement of Disputes 
 Enforcement – a breach of Law often invites punishment in the form of imprisonment, fine 
or compensation. Associated with punishment are the mechanism to enforce these legal 
forms i.e. police, courts and other institutions were set up to effect punishment and to 
enforce the Law. 
NB: these are collectively referred to as the Law Enforcement Machinery. 
The sources of Law – legislation, judicial precedent, common law, etc. 
Sources of law are the materials and processes out of which law is developed. In modern 
nation states, the sources of law come either from the written law or the unwritten law . 
Constitution, statutes, case law, and regulations issued by government agencies. Sources of 
law for public international law and religious law differ, however, from the primary law of 
individual countries. The natural law theory argues that some rules objectively existing in the 
nature also are source of law, while legal positivism argues that only the rules made by 
sovereignty can be the sources of law. 
There are three main sources of law in the world. They are 
1. legislation (it includes constitution and statutes which are prepared by Parliament) 
2. case law or decisions of the higher court 
3. customary law or custom 
Sources of Zimbabwean Law 
1. Legislation 
 Legislation is law laid down by an organ of the State which has the power to do so. These laws are 
embodied in writing and are known as statutes (or acts). In Zimbabwe, Parliament is the highest organ 
that can pass legislation at the national level. There are also other bodies, that can pass subordinate 
legislation. These include the provincial legislatures which pass provincial acts and municipal councils 
which pass by laws. Legislation is a powerful source of law. In principle it binds the whole society. 
2. Precedent / Case law / Court Decisions
PRINCIPLES OF LAW 
 Courts are institutions that apply the law on daily basis. Judges and magistrates, like all 
lawyers consult legislation and rules of common law and custom applying to the particular 
case before them. Courts also take into account their previous judgements in similar cases, 
because they are bound to the approach followed in the past. Previous judicial decisions 
therefore constitute law and the way in which the law was applied there is authoritative. The 
reason for this lies in the system of judicial precedent, also called the doctrine of stare 
decisis, which applies in Zimbabwe. The application of the doctrine of precedent depends, 
among other things, on reported cases. 
Various concepts / Doctrines in the Application of Case Law. 
a). STARE DECISIS (Stare Decisis et non quieta movere) 
 Case Law is built upon the precedent system or doctrine of “Stare decisis et quieta movere” 
this term means “to stand by previous decision and not disturb settled points”. Once a court 
has given a certain decision it and those courts which are subordinate to it must in future 
give the same decision on the same point. 
 The main reason for this doctrine is to achieve certainty in the Law. If judges were allowed 
to create new principles on an “Ad hoc” basis or to arbitrarily change the Law as they 
pleased, it follows that the Law would vary from day to day and from judge to judge. 
 Consequently we could not go about our business in the certainty that what we were doing 
was lawful or unlawful. There will be no equal treatment before the law - in other words, no 
justice. 
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Application of Stare Decisis: 
The Hierarchy of the Courts. 
 The doctrine of stare decisis is also based on an understanding of the hierarchy of the courts. 
In Zimbabwean Courts, the Supreme Court is the highest court of authority. It is not bound 
to follow its own decisions. As a result it is possible for the Supreme Court to overrule 
previous decisions as erroneous(wrong /mistaken). This is important for the development of the 
Law. 
 NB: the Law is not static, though the change ought not to be too sudden. 
 Beneath the Supreme Court we have the High Court which is again a Superior Court of 
Record, and its decisions are binding on all the lower Courts which in practice generally 
means the Magistrates’ Courts in Zimbabwe. The decisions of the High Court are not 
binding on itself unless the Court operates as a “Lower Court”. e.g. a three-judge court’s 
judgment (i.e. three judges sitting) is binding on a two-judge Court e.t.c. However, where 
one judge decides a matter s/he need not follow the decisions of another judge of the High 
Court, although of course such decision will be highly persuasive. 
 The Inferior Courts, meaning the Magistrates’ Courts and the primary Court, are not obliged 
to follow the decisions of other Magistrates or presiding Officers as the case maybe. 
b). RATIO DECIDENDI 
 When in terms of the doctrine of “Stare Decisis” a court is obliged to follow the decisions of 
the superior Courts, it is the reasons or principles for the decision (Ratio decidendi) that
PRINCIPLES OF LAW 
must be followed. Various approaches to selecting the ratio decidendi have been suggested 
the ratio decidendi have been suggested by Jurists. 
 NB: An approach to selecting the Ratio Decidendi from a case by Dr A.L. Good-hart 1930. 
 Example: (Suppose) in a certain case the court finds that facts A, B and C exist. It then 
excludes fact A as immaterial, and on facts B and C it reaches conclusion X. what is the ratio 
decidendi of this case?. 
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 There are two principles: 
i. In any future case in which facts are A, B and C, the Court must reach conclusion X, and; 
ii. In any future case in which the facts are B and C the Court must reach conclusion X. 
 In second case the absence of fact A does not affect the result, for fact A has been 
held to be immaterial. 
 The court, therefore, creates a principle when it determines which the materials are 
and which are the immaterial facts on which it bases its decision. 
 If in a future case further material facts in addition to B and C are found, conclusion 
X will not necessarily be binding. The court may have to apply a new principle to 
reach a conclusion and thus the judge may choose not to follow the former case. 
 If the difference is so small as to be unimportant then the precedent case is 
indistinguishable and must be applied but; 
 If the difference between the two cases is so great that the Law laid in the precedent 
case is not really relevant., then the precedent case is distinguishable and should not 
be applied. 
c). OBITER DICTA 
 These are statements said in courts “by wayside” in the course of judgement and these are 
therefore incidental to central issues of the case or in the course of a judgement. A judge 
sometimes express his opinion upon a point of Law which is not necessary for the decision 
for the decision of the case such an expression of opinion is termed an “Obiter Dictum”. It 
is practiced especially as a result of custom since judge derived facts from custom. 
 Such statements may be of persuasive authority in future cases. Thus in “Jajbhay Vs 
Cassim” 1939 AD 537. Van Den Heever J.A. made the statement that in a case where two 
estate agents had been employed and it was impossible to determine which of the two the 
effective cuase of the sale was, both agents would be entitled to their full commission. 
 This statement was made Obiter, or by the way, because it was not necessary for or 
applicable to the decision in that case. However, this Obiter dictum was later accepted and 
formed part of the Ratio Decidendi in the case of “ Petersen Vs Jajbhay” 1940 TPD 182. 
Advantages: 
• It is convenient in that, instead of examining principle of Laws anew each time a case is 
brought before the court previous decision can be relied upon in applying principles of Law 
to the facts.
PRINCIPLES OF LAW 
• There is certainty, equality, reliability and uniformity. 
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Disadvantages: 
• Laws are usually outdated i.e. there is perpetuity of bad laws. 
• No promulgation or notice of the new Laws to the public and to the parties, the Law is not 
exposed. 
• Judicial Law is not comprehensive since one judge decides only on a single point of Law 
without debate and its implication may not have been considered. 
• It is not binding in some future cases. 
3. Customary Law 
• Customary law is generally unwritten law. It is fixed practices in accordance with which 
people live because they regard it as the law. Customary law therefore does not concern all 
customs or practices, such as practices of polite behaviour. Old Germanic law also consisted 
of customs. The same can be said of indigenous law. In modern law custom does not play 
such an important role as a formative source of law. Any assertion of a custom as law has to 
be proved. 
CUSTOMS 
 These are rules of conduct, habitually observed by individuals of a particular community. 
 Or, 
 May be defined as those habits, norms or instincts or usually practice of behaviour, inherited 
by groups of people in a society or community. 
 Customary Law is the oldest form of Law known to man. In primitive communities almost 
the whole of the Law existed in the shape of customs. The people regulated their conduct 
according to rules, which their ancestors had been accustomed to observe in the past. These 
rules were not recorded but were binding in the course of ages through their observance 
some of the customs were based on religious belief. 
 Custom may mean a social custom or may mean a legal custom. 
a). Social Custom. 
 Are rules of contact habitually observed by individuals of a particular community. The social 
customs therefore are persuasive and usually observed by those persons adhering to the 
custom consent out of the need of social acceptance in the chosen community or group. 
Punishment is done by the local section of the community hence presiding officers should 
be accustomed with some of the Laws e.g. Kraal head, Headman, Chiefs etc. 
b). Legal Custom. 
 It involves state control and entails duties which must be observed where as social custom 
entails practices. Punishment is done by the state in legal custom e.g. customary marriage. 
Requirements for a custom to be legally binding. 
1. Reasonable
PRINCIPLES OF LAW 
 The requisite of reasonable is very important and always scrutinized by the courts. Courts 
can only hold a custom to be reasonable where the custom was design to prevent disputes 
among persons engaged in certain activities .e.g. fishing: Case: Van Breda Vs Jacobs. 
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2. Certainty 
 This stipulates that for a custom to be accepted it must be known. The persons to whom 
the custom is claimed to have force of Law must known the existence of such a custom for 
it to be accepted as binding. 
3. Long establishment of custom 
 The custom should have been practiced for a reasonable period of time. It is necessary that 
the custom must have existed for a sufficient length of time to have it become generally 
known. 
4. Uniformity of observance 
 Means that the custom must have been invaluably complied by the class of persons to whom 
it applies and the custom should be obligatory and not optional. 
5. Number of witnesses. 
 A substantiated number of witness are necessary. A Roman-Dutch Jurist suggested that 
these should be not less than Ten (10). 
 NB: These principles were enunciated in this case: 
CASE: Van Breda Vs Jacobs 
FACTS: 
 The case concerned a custom which prevailed amongst fisherman at False Bay in the Cape 
Province, S.A. it had been a standing custom known as first come first pull amongst local 
fisher man at the False Bay that once fisherman had set line or nets in a beach between the 
Cape points where no boats were permanently stationed. Other fisherman were not entitled 
to set their lines within a reasonable distance in order to poach an others’ fish. 
HELD: 
i. It was held by the court that this practice was “reasonable” in that it was designed to 
prevent disputes amongst fisherman. 
ii. It was held that the custom had been “Uniformly observed” amongst the fisherman 
at the time. 
iii. It was proved that the custom had “existed for some 45 years” and had been 
generally observed by all the fishermen in this locality. 
The court having established these facts recognized the custom as being legally binding.
PRINCIPLES OF LAW 
Another Example of Custom Law practiced in the Netherlands was: 
The nucleus of these Custom Laws was influenced by Roman-Dutch Laws. And of these customs 
were family relations, and business relations. The following Laws were to be observed: 
i. No one should be enriched to the prejudice of another; 
ii. No-one should improve his position by means of his own wrong. 
iii. Relationship by blood confers rights in respect of a deceased persons’ property. 
• Customary Law can never contradict an Act of Parliament; 
• It can never be contrary to natural justice. 
 Custom still applies in primary courts. The significance of the customary law and 
Primary Courts Act of 1981 is that for the first time in Zimbabwe, customary Law is 
administered by a single hierarchy of courts, i.e. to say that ultimately customary 
Law matters are appealable to the Supreme Court. Outdated Customs will be 
relegated in time to the archives. 
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NB: Limits to changing of Customary Law: 
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4. Common Law 
 When a specific matter is not governed by legislation, common law usually applies. Zimbabwen 
common law is mainly the 17th and 18th century Roman-Dutch law that was transplanted to the Cape. 
This forms the basis of modern Zimbabwen law and has binding authority. Examples of common law 
crimes include murder, robbery and rape, etc. Whilst Zimbabwen common law is mainly Roman- 
Dutch law, not all the principles of Roman-Dutch law were transplanted to Zimbabwe. Sometimes 
English law had, by means of precedent, influenced Zimbabwen common law. Some common law 
principles are, for this reason, no longer pure Roman-Dutch law. The sources of Roman-Dutch law are 
the old sources which are the following: 
• Legislation (placaaten) - few of these still apply in Zimbabwe 
• Judgements of the old Dutch courts 
• Writings of learned authors (the so-called old authorities) such as Hugo de Groot, Voet, van Leeuwarm 
and van der Linden. 
5. Authoritative texts 
 It has already been pointed out that the writings of the old authorities on common law have binding 
force as a source of law. Many academics and other lawyers write books and articles in law journals. 
There are useful sources in which to find legal principles. The authors explain the whole legal position 
with respect to legislation, common law and case law. Legal practitioners, the courts and students 
consult these writings on regular basis. Although these writings do not have binding authority, they can 
sometimes have persuasive authority. A court may decide to follow the opinion of a particular author, 
or to depart from a precedents which is at variance with such an opinion. In this way modern authors 
can influence legal reform. 
6. Indigenous Law (south Africa) 
 Many black communities live according to indigenous law, which also takes on the form of written or 
unwritten customary law. Indigenous law is applied in the ordinary courts. The Evidence Amendment 
Act, (Act 45 of 1988) stipulates that a court can take judicial notice of indigenous law, provided that it 
is not in conflict with the principles of public policy or natural justice. In some instances an expert will 
have to give testimony on the content of these rules. The Black Administration Act, 1927 constitutes a 
partial codification of the principles of indigenous law albeit in a distorted form. The Code of Zulu Law 
is an example of codified African Customary Law. Case law on African Customary law is also applied. 
 The big challenge facing democratic South Africa is to free indigenous law from the effects of colonial 
and apartheid domination and to develop a legal system that reflects the true values of a new 
democratic South Africa. The entire South African legal system and its sources must be re-examined
PRINCIPLES OF LAW 
critically. All law is being subjected to critical scrutiny to reflect the new constitutional order. The 
central values of the South African Constitution mainly democracy, equality, dignity and freedom 
require a fresh look at South African common law, indigenous law, and religious personal law so that 
the new South African legal system will reflect the plural nature of the South African society and put 
and end to South Africa's colonial and apartheid past in its legal system. The process of law reform has 
begun but is bound to be a long process. 
Detailed Notes Zimbabwe Context 
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1. The Legislature 
 Laws made by parliament 
 The most modern source of law 
 Most important and quickest method of making new law, changing existing 
law, amending or repealing or abrogating the law altogether. 
Legislation refers to the law validly enacted by the legislative authority of Zimbabwe and assented to by the 
President of Zimbabwe. In Zimbabwe the legislative authority of Zimbabwe vests in the President and 
parliament of Zimbabwe which is the Primary Legislation states as follows: 
The Legislature of Zimbabwe can confer powers on any authority to create binding laws. Currently the 
Legislature of Zimbabwe is a bicameral system consisting of a Lower House (Parliament) and an upper House 
(Senate). Legislation brought through parliament has to be scrutinized by the Senate before it goes for assent 
to the executive President. The senate was recently ushered in through Constitutional Amendment Number 17 
of 2005. 
The method of passing legislation is entrenched in Section 511 of the Constitution. All legislation in 
Zimbabwe is styled Acts of Parliament or Statutes. Other authorities such as the President, acting unilaterally, 
and Ministries can pass legislation known as Statutory Instruments, or Subsidiary Legislation. Subsidiary or 
Subordinate Legislation consists of the following: 
• Regulations made by a Minister for purposes specified in the Enabling Act of Parliament. 
• Bye-Laws created by specified local authorities such as Urban or Rural Councils, acting under powers 
given to them by the relevant Acts of Parliament. 
• Proclamations issued by the President for purposes such as dissolving Parliament. 
• Rules of the superior Courts to facilitate procedure and their operations. 
• Regulations made by the President under the Presidential Powers Temporary Measures Act. 
2. Case Law / Precedent 
Precedent refers to past decisions of the superior courts. Precedents establish the legal position of cases tried 
in the courts and establish the reasoning for decisions made by the judges in each particular case. Conversely, 
precedents therefore guide the courts in making future decisions in similar cases brought before them. 
Zimbabwe relied on precedents of Zimbabwen origin or those of any jurisdiction in which English law and 
Roman-Dutch law is applied and the precedents of Rhodesia. 
The maxim Stare Decisi at non queta movere best sums up the use of case law in Zimbabwe. The maxim means to 
stand by old decisions and not disturb settled points. Supreme Court decisions in Zimbabwe are binding on all 
interior courts. High court ruling also binds the lower courts such as the Magistrates courts. 
Stare decisis is the legal principle by which judges are obliged to respect the precedents established by prior decisions. 
The words originate from the Latin phrase Stare decisis et non quieta movere: stand by decisions and do not disturb the 
undisturbed. In a legal context, this is understood to mean that courts should generally abide by precedents and not disturb 
settled matters. 
Ratio decidendi is a Latin phrase meaning the reason or the rationale for the decision. The ratio decidendi is [t]he 
point in a case which determines the judgment or the principle which the case establishes. 
In other words, ratio decidendi - legal rule derived from, and consistent with, those parts of legal reasoning within a judgement 
on which the outcome of the case depends.
PRINCIPLES OF LAW 
It is a legal phrase which refers to the legal, moral, political, and social principles used by a court to compose the rationale 
of a particular judgment. Unlike obiter dicta, the ratio decidendi is, as a general rule, binding on courts of lower and later 
jurisdiction—through the doctrine of stare decisis. Certain courts are able to overrule decisions of a court of co-ordinate 
jurisdiction—however out of interests of judicial comity they generally try to follow co-ordinate rationes. 
An obiter dictum is Latin for a statement said by the way. Merriam-Webster Online Dictionary gives obiter dictum three 
definitions: 
• literally, something said [dictum] in passing [obiter] . . . 
• an incidental remark or observation 
• an incidental and collateral opinion that is uttered by a judge but is not binding 
In the third meaning, an obiter dictum is a remark or observation made by a judge that, although included in the body of the 
court's opinion, does not form a necessary part of the court's decision. In a court opinion, obiter dicta include, but are not 
limited to, words introduced by way of illustration, or analogy or argument. Unlike the rationes decidendi, obiter dicta are not 
the subject of the judicial decision, even if they happen to be correct statements of law. Under the doctrine of stare decisis, 
statements constituting obiter dicta are therefore not binding, although in some jurisdictions, such as England and Wales, 
they can be strongly persuasive. 
An example of an instance where a court opinion may include obiter dicta is where a court rules that it lacks jurisdiction to 
hear a case or dismisses the case on a technicality. If the court in such a case offers opinions on the merits of the case, such 
opinions may constitute obiter dicta. Less clear-cut instances of obiter dicta occur where a judge makes a side comment in an 
opinion to provide context for other parts of the opinion, or makes a thorough exploration of a relevant area of law. 
Another example would be where the judge, in explaining his ruling, provides a hypothetical set of facts and explains how 
he or she believes the law would apply to those facts. ``` 
The advantage of Precedents 
 Is that they ensure informality and consistency in the application of the law and they maintain 
certainty and equality of the law in similar circumstances. 
 The law becomes adaptable to changing circumstances. 
 Adoption is easy, does not require formalities of debate over lengthy periods of time. 
 Limits room for partiality. 
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Disadvantages 
 It comes by chance when there is a court case in changed circumstances and so to the parties the law 
comes after the event as there is no prior notice. 
 It is no comprehensive; it only deals with the point in issue. It requires a number of related cases to 
bring about a detailed body of law on any given aspect. 
 It can not improve on the statute law as compared to legislation. 
 It stifles the growth of the law by always looking back. 
3. Customary Law 
The customary law of Zimbabwe is generally unwritten. Customary law refers to the fixed customs and 
practices of the tribes of Zimbabwe which were in practice since time immemorial. The customs must be 
certain, reasonable and must had attained the recognition of formal law. For example the criminalization of 
incest, in the sexual offences Act and the Criminal Law (Codification and Reform) Act is the recognition of 
customary law which prohibits incest or sexual relationship with certain degrees of blood affinity. 
The constitution entrenches the recognition of African Customary Law. Section 89 of the Constitution of 
Zimbabwe in imposing the law to be administered, sets up African customary law as part of the law to be 
administered. Other Legislation, such as the: 
Q Customary Marriages Act 
Q Administration of Deceased Estates Act. 
Q Customary Law and Local Courts Act. 
The acts also establish the application of Customary Law in certain respect. 
The Customary Law of Zimbabwe is limited in scope in its application. It has no criminal Jurisdiction 
whatsoever and it governs some areas of Marriage, Inheritance and Guardianship only. 
4. Common Law 
Common law of Zimbabwe refers to the unwritten law or non- statutory law. Common law excludes the 
African customary Law. The common law of Zimbabwe is primarily the Roman-Dutch Law as applied at the 
Cape of Good Hope on the 10th of June 1891 as per the provisions of Section 89 of the Constitution of
PRINCIPLES OF LAW 
Zimbabwe. The Common Law was transplanted from the Cape and imposed to Zimbabwe. However, the 
common law at the Cape in 1891 had been heavily influenced by English Law, hence the common law of 
Zimbabwe must be said to be Anglo-Roman-Dutch Law. 
A recent development in Zimbabwe ousts the application of Common Law. The recent Codification of 
Zimbabwe's Criminal Law through the Criminal Law (Codification and Reform) Act jeopardizes the 
application of Common Criminal law Section 3 of the Act states unequivocally that Roman-Dutch Criminal 
Law no longer to apply. 
5. Authoritative Texts 
One cannot safely assert that authoritative text from acclaimed legal authors form part of Zimbabwe's law. 
However textbooks on law have persuasive authority upon which reliance can be had in making judicial 
decisions. The few authoritative legal authors in Zimbabwe rely on old Roman Dutch writers. They mainly 
write commentaries and guides to the law of Zimbabwe. Professor Geoff Feltoe has several Guides to the 
Laws of Zimbabwe which are widely used and referred to in litigation. His comments and assertions form 
persuasive grounds upon which cases can be decided. 
Understanding of the structure, hierarchy and composition of the 
Courts 
 A supreme court (also called a court of last resort, instance, or judgment; or a 
high or highest court) is in some jurisdictions the highest judicial body within that 
jurisdiction's court system, whose rulings are not subject to further review by 
another court. The designations for such courts differ among jurisdictions. Courts 
of last resort typically function primarily as appellate courts, hearing appeals from 
the lower trial courts or intermediate-level appellate courts. Many countries in fact 
have multiple supreme courts, with each being the court of last resort for a 
particular geographical region or on a particular area of law. 
 It is the superior court of record and final court of appeal. 
 It consists of the chief justice who is the head of the judiciary and judges of 
the Supreme Court. 
 It is not a court of first instance, except in constitutional matters. 
 Also known as the court of appeal. 
 It is a court of appeal from other courts unless the case is a constitutional 
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1) SUPREME COURT 
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one. 
 The court has unlimited jurisdiction in both criminal and civil cases. 
 There shall be no appeal from any judgement or order of the Supreme 
Court. 
 This is the highest court in the country. 
 Other courts are bound by the decision of the Supreme Court. 
2) HIGH COURT 
 Presided over by judges who are appointed according to the constitution of 
Zimbabwe. 
 The high court has full unlimited jurisdiction in both civil and criminal 
cases. 
 The court is also a court of appeal from the magistrate court. 
 It has jurisdiction and authority to review all proceedings and decisions of 
all inferior or courts below it. 
 Appeal from the high court lie with the Supreme Court. 
 This court can pass death penalty or life imprisonment.
PRINCIPLES OF LAW 
3) MAGISTRATES COURT e.g. regional, provincial, senior  ordinary 
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magistrates. 
 Presided over by a magistrate. 
 Magistrates are appointed by the Public Service Commission 
 All magistrates’ courts have no jurisdiction to try criminal cases involving 
the following; treason, murder or any offence where the person shall be 
sentenced to death if convicted. 
 They cannot dissolve civil marriages. 
 It can impose corporal punishment on minors. The strokes shall not exceed 
six. 
 Regional magistrates has special jurisdiction as to punishment for rape, 
public violence, arson, malicious injury to property or attempts to commit 
these offences. 
4) PRIMARY COURTS e.g. community court. 
 Simple courts which are not very formal. 
 Proceedings are not in written form. 
 Legal practitioners cannot represent clients in these courts. 
 The courts apply customary law only. 
 They do not have jurisdiction in criminal cases. 
 They cannot dissolve civil law marriages. 
 Presided over by a presiding officer appointed by the minister. 
5) SPECIALIST COURTS labour court, administrative court and small claims 
court. 
Detailed Notes Zimbabwean Context 
The Supreme Court 
Section 80 (1) of the Constitution provides for the creation of a Supreme Court which shall be the superior court of 
record and the final court of appeal for Zimbabwe. Subsection (2) and (3) provide that the Supreme Court shall 
consist of: (a) the Chief Justice; (b) such other judges of the Supreme Court, being not less than two, as the President may 
deem necessary, and (c) any additional judge or judges appointed for a limited period by the Chief Justice, such 
additional judges to be serving High Court or Supreme or former Supreme Court or high Court judges. 
As has been noted above, the Supreme Court, in addition to appellate jurisdiction, exercises original jurisdiction 
in cases where any person alleges that the Declaration of Rights has been, is being or is likely to be contravened in relation to 
him (or, in the case of a person who is detained, if any other person alleges such a contravention in relation to the detained person) 
that person may apply to the Supreme Court for redress. The Supreme Court therefore has a vital role to 
perform in the enforcement of the Declaration of Rights contained in the Constitution. 
Ordinary appeals are usually determined by a panel of at least three judges, one of who may not be an 
additional judge, and occasionally by a panel of two judges. In constitutional matters, the Justice Minister or 
the Chief Justice may direct that the case be heard by a panel of at least five judges, in which case only two 
members of the panel may be additional judges. The Chief Justice may, in his discretion, appoint a larger panel 
to hear any particular matter. 
The High Court 
Section 81 (1) of the Constitution provides for the creation of a High Court as a superior court of record. 
Subsection (2) and (3) provide that the High Court shall consist of: (a) the Chief Justice; (b) the Judge President 
of the High Court; and (c) such other judges of the High Court as may from time to time be appointed. And (d) any
PRINCIPLES OF LAW 
Supreme Court Judge appointed as an acting High Court Judge by the Chief Justice after consultation with the 
Judge President. 
The Administrative Court 
The Administrative court was established in 1979 by section 3 of the Administrative Court Act and has special 
jurisdiction conferred on it by statute over particular matters but generally, the Court acts as a court of appeal 
from a wide range of administrative tribunals. 
The Administrative Court is special within the meaning of section 92 of the Constitution. Administrative 
Court Judges, known as Presidents, are appointed by the President after consultation with the judicial Service 
Commission (section 92 (1)). The condition of service of an Administrative Court President may not be 
amended during his term of office nor may his office be abolished without his consent (section 92(1)). By 
virtue of the provision of section 79A (d) and79B, the judges of special courts such as the Administrative Court 
are subject to the same constitutional safeguards as regards independence of a judiciary as Supreme Court and 
High Court judges. However, the section 86(tenure) and 87 (removal) do not appear to apply to judges of 
special courts such as the Administrative Court. 
The jurisdiction of the Administrative Court includes original jurisdiction in relation to land acquisition cases 
under the Land Acquisition Act and also appellate jurisdiction in matters relating to various publication laws 
such as the Access to Information and Protection of Privacy Act. 
Magistrates' Court 
Magistrates' Courts are the courts of first instance in criminal matters and therefore occupy the important 
position of deciding on bail land remand accused persons in most cases. The importance of this position is 
thrown into relief when the large number of allegations of violence in police custody and the large number of 
cases in which charges are not preferred or are eventually withdrawn are considered. 
The System for the Administration of the Courts 
The central figure in the administration of the Zimbabwe court system is the Registrar of the relevant court. 
The court Registrar is responsible, inter alia, for fixing the amount of security to be lodged by an applicant 
following the filing of an election petition. The Registrar had direction as to whether to allow access to court 
records in the High Court and the Supreme Court. The Registrar is also the person administering the court roll 
and who is therefore in control of assigning hearing dates for cases. 
Messengers of the court and sheriffs are responsible for serving court process and enforcing court orders. It is 
self-evident that without the service of process or the effective enforcement of court orders, much of the 
purpose of litigation, both civil and criminal, is rendered otiose. 
The distinction between civil and criminal processes 
Criminal Cases 
A criminal case, which is handled by local, state, or federal courts, involves an acting representative 
of the government, generally a prosecutor, district, attorney, or grand jury, pressing charges against 
individuals or entities suspected of committing crimes. Crimes, and hence criminal cases, can be 
defined as those actions or disputes where a violation of public law occurs. For criminal cases, the 
alleged crimes may have also afflicted victims in a manner that also warrants civil suits being filed, 
which will allow victims to collect damages for their injuries and losses. 
Civil Cases 
Civil cases are initiated when a wronged party, the plaintiff, files a complaint with the court of 
appropriate jurisdiction. The delivery of this complaint against named wrongdoers, known as 
defendants, is the action known as filing a lawsuit or bringing suit. While civil cases may involve criminal 
actions, these trials are completely separate from the proceedings of a criminal trial. Additionally, 
civil cases cover the gamut of disputes, disagreements, and grievances a plaintiff feels cannot be 
resolved sufficiently with defendants without court intervention. 
Within the legal system, various types of civil cases may include: 
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PRINCIPLES OF LAW 
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• Divorce 
• Child support 
• Child Custody 
• Alimony 
• Contractual disputes 
• Personal injury tort claims 
• Product liability 
• Class action suits 
• Wrongful death 
• Medical malpractice 
• Intellectual property disputes 
• Libel, slander, and defamation of character 
• Estate planning disputes 
• Property and zoning disputes 
• 
In essence, any disagreement that is not in violation of criminal laws in a given jurisdiction is an 
eligible civil case, as well as the damages stemming from some criminal cases. 
In all civil cases, plaintiffs will be seeking remedy from a defendant or defendants. Remedy will often 
come in the form of a court mandated judgment that attempts to rectify, through judicial ruling, the 
outcome of a dispute. Additionally, remedy can be achieved in civil cases through settlement, which 
may be provoked in light of the costs and potential losses stemming from an impending civil trial. 
Remedies sought by plaintiffs in a civil case may take a number of forms including: 
• Settlement 
• Damages 
• Injunction 
• Declaratory judgment 
CRIMINAL LAW CIVIL LAW 
Regulates the conduct of individuals and the state. Regulates the conduct of individuals. 
State is involved. The state is not involved. 
The major aim is to rehabilitate the offender. The aim is to compensate the innocent party for 
wrong done. 
An act or the act prohibited must have happened. 
There cannot be a crime unless the prohibited act has 
happened. 
An action may arise even before the wrong has been 
done. 
The wrong doer must have had the intention to 
commit the offence. 
An action arises even if the wrong doer had no 
intention to prejudice or injure the other party 
The act complained of must be unlawful. There is no need to establish that the act is unlawful. 
Proof beyond reasonable doubt Proof is on a balance of probabilities 
If convicted or found guilty a fine or punishment is 
If found liable, damages are payable to the wronged 
imposed and payable to the state. 
party or person. 
Prosecution is initiated by the state. Action is initiated by the wronged party. 
Variable CRIMINAL CIVIL 
1.Definition Composed of rules 
formed/organized by the state 
which prohibit certain acts on pain 
of punishment. 
Concerns private affairs as opposed to 
state concerns 
2.Initiators The state initiates the case. The plaintiff starts the case 
3.Summons The member of the police issues it. Issued by the messenger of court 
4.Costs Costs are met by the state Costs are met by the individual 
5.Judgement Upon conviction, the offender may 
be subjected to a fine, 
imprisonment, whipping, and in 
extreme cases death penalties. 
Offender will be liable to a fine 
The basic idea behind a civil action is to 
compensate the individual who has been 
wronged or to declare rights and 
obligations.
PRINCIPLES OF LAW 
payable to the state and the injured 
ends up in no financial gain. 
6.standard of proof The onus of proving the crime rest 
on the state and the standard 
required is proof beyond 
reasonable doubt. 
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Rest upon a balance of probabilities. 
7.Prosecution The decision to prosecute a crime 
lies with the state more particularly 
with the state more particularly 
with the A.G. certain requirements 
must be met before a private 
prosecution is initiated. 
• A certificate (nolle 
prosequei) declining to 
prosecute must be 
obtained from the A.G’s 
Office. 
• The person seeking the 
action must show that 
s/he has a direct interest 
in the matter. The harm 
caused amounting to a 
crime must affect him/her 
directly. 
The plaintiff is the person bringing the 
action. The plaintiff has a discretion to 
bring action to court or to waiver his/her 
rights. 
8.Pleadings A docket is opened – to plead 
guilty/ not guilty. 
Only statements of claims are used by the 
plaintiff and the defendant. 
9.Parties involved Defendant Vs Complainant Plaintiff, Aggrieved, Wronged, Prejudiced 
Vs Defendant. 
10.Offence The act prohibited must have 
happened. There cannot be a crime 
unless the prohibited act has 
happened.e.g.Murder, somebody 
must have been killed. 
An action may arise even before the 
wrong has been done.e.g. one can seek an 
interdict that the other party be 
prevented from doing something.NB: the 
innocent party has a duty to minimize his 
loss. 
11.Intention The wrong must have had 
intention to commit the 
offence.e.g.murder; there must be 
intention to kill. 
An action arises even if the wrongdoer 
had no intention to prejudice or injure 
another. 
12.Unlawful acts The act complained of must be 
unlawful. 
There is no need to establish that the act 
is unlawful. 
13.Aim The major aim is to rehabilitate the 
offender. He is punished for his 
conduct. It also aims at deterring 
the offender and other like-minded 
persons. 
The aim is to compensate the innocent 
party for wrong done or to declare rights 
and obligations. 
(These topics carry weighting of 3% of the examination.)
PRINCIPLES OF LAW 
LAW OF CONTRACT 
Definition of a contract 
1. A contract is a lawful agreement between 2 or more 
persons/parties/people within the limits of their contractual capacity, 
with the serious intention of creating a legal obligation, 
communicating such intentions without vagueness, each to the other 
being of the same mind as to the subject matter, to perform positive 
or negative acts which are possible of performance. 
2. A contract is an agreement between two or more parties which, if it contains the 
elements of a valid legal agreement, is enforceable by law or by binding arbitration. That is to 
say, a contract is an exchange of promises with specific legal remedies for breach. These can 
include Compensatory remedy, whereby the defaulting party is required to pay monies that 
would otherwise have been exchanged were the contract honored, or an Equitable remedy 
such as Specific Performance, in which the person who entered into the contract is required 
to carry out the specific action they have reneged upon. 
3. A contract is an agreement that can be enforceable by law. An agreement is an offer and its 
acceptance. An agreement which can be enforceable by law must have some essential elements. 
The essentials for a valid contract – to be studied in detail viz.: 
1. The agreement must be lawful. 
 The objective of the agreement must be lawful. Any act prohibited by law will not be 
valid and such agreements cannot be treated as a valid contract. John rents out his 
house for the business of prostitution or for making bomb, the acts performing there 
are unlawful. Hence such agreement cannot be treated as a valid contract. Therefore the 
consideration as well as the object of the agreement should be lawful. 
CASES: 
Ex turpi causa rule, ( from a dishonorable cause an action does not arise) is a legal 
doctrine which states that a claimant will be unable to pursue a cause of action, if it arises in 
connection with his own illegal act. Particularly relevant in the law of contract, tort and 
trusts, ex turpi causa is also known as the illegality defence, since a defendant may plead that 
even though, for instance, he broke a contract, conducted himself negligently or broke an 
equitable duty, nevertheless a claimant by reason of her own illegality cannot sue. 
 MURPHY VS TENGENDE, The issue was about dealing in foreign currency, 
pounds and Zimbabwe dollars. It was held that the 2 had no license to deal in forex so 
their transaction was unlawful 
In pari delicto rule, “in equal fault (better is the condition of the possessor) is a legal term 
used to indicate that two persons or entities are equally at fault, whether the malfeasance in 
question is a crime or tort. 
The phrase is most commonly used by courts when relief is being denied to both parties in a 
civil action because of wrongdoing by both parties. The phrase means, in essence, that since 
both parties are equally at fault, the court will not involve itself in resolving one side's claim 
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PRINCIPLES OF LAW 
over the other, and whoever possesses whatever is in dispute may continue to do so in the 
absence of a superior claim. The doctrine is similar to the defense of unclean hands, both of 
which are equitable defenses. Comparative fault and contributory negligence are not the 
same as in pari delicto, though all of these doctrines have similar policy rationales. 
 DUBE VS KHUMALO, the 2 were involved in an adulterous affair, which was 
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rendered unlawful. 
2. Contractual capacity, 
 All majors or adults who do not suffer from any legal disability can enter into a contract. There 
are certain categories of persons who have either capacity or cannot enter into a contract at all. 
These are; 
o Minors (kids) 
o Insolvent persons 
o Drunken persons 
o Prodigals (Mitchell vs. 
Mitchell  Others) 
o Mentally ill persons 
(Pheasant Vs Warne) 
o Alien enemies 
o Artificial persons 
o Persons convicted of certain 
crimes 
 Parties entering into an agreement must be competent and capable of entering into a contract. If 
JOHN agrees to sell a Government property to ANGIE and ANGIE agrees to buy that 
property, it could not be treated as a valid agreement as JOHN is not authorized or owner of the 
property. 
 If any of the party is not competent or capable of entering into the agreement, that agreement 
cannot be treated as a valid contract. According to the law of contract, every person is competent to 
contract who is of the age of majority according to the law to which he is subject and who is of sound mind, and is 
not disqualified from contracting by any law to which he is subject. So it is clear that the party must be of 
sound mind and of age to enter into a valid agreement which can be treated as a valid contract. 
CASES: involving Minors capacity 
o EDELSTEIN VS EDELSTEIN 
o DAMA VS BERA 
o STATTAFORD VS OBERHOLZER 
CONTRACTUAL CAPACITY 
The agreement must be made within the limits of the parties’ contractual capacity. 
While the General rule is that every person is able to contract freely within the limits of the law, the following are persons of limited 
contractual capacity whose power to enter into binding agreements is subject to special rules: 
1. Minors 
2. Married women subject to the marital power of their husbands 
3. Mentally ill persons 
4. Drunk persons 
5. Prodigals/Spendthrifts 
6. Insolvent person 
7. Alien enemies 
8. Artificial Persons 
9. Illegal Associations 
In addition they may be subject to certain disqualifications under various statutes, just as persons who have been convicted of crime are. 
1. MINORS 
 A Minor is an unmarried person under the age of 18 years. He is under the custody and lawful authority of a guardian whose 
duty it is to maintain the minor until he can maintain himself, administer property and assist him in contracting. The guardian is 
normally a natural guardian, i.e. the father or the mother where the father is dead, a court has awarded the sole guardianship to 
her, or the child is illegitimate, but may be appointed by a deceased natural guardian’s will or by the High Court (the upper 
guardian of a child).
PRINCIPLES OF LAW 
 NB: When a person marries before majority age he is tacitly emancipated/acquires majority status. 
 Contracts made by a minor are considered under two heads: 
 a). Those made without the guardian’s assistance and;(unassisted contracts) 
 b). Those made with the guardian’s assistance or made on the minor’s behalf by the guardian.(Assisted contracts) 
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 UNASSISTED CONTRACTS 
 General Rule: a contract made by a minor without the guardian’s assistance is void as far as the minor is concerned and valid 
as far as other party is concerned. 
 The authority for this proposition is the Dutch Jurist, Voet, quoted in the case of Edelstein Vs Edelstein; 
 “from the principles of the law it is clear that a minor who contracts without the assistance of his guardian can render others 
under an obligation to himself, but does not himself become obliged to them….. [as] on the minor’s side a contract entered 
into without the assistance of his guardian is ipso jure (by the law itself) null and void.” 
 A minor who contracts without his guardian enjoys the best of both worlds. He binds the other party to him but does not bind 
himself to the other party. The option of treating the contract as void or valid rests with the minor (or, more precisely, his 
guardian who acts for him). If the minor elects to treat the contract as valid, he can compel the other party to perform; he will 
then also have to fulfill his own part of the contract. 
 If the minor prefers to treat the contract as void, the other party cannot compel him to perform his part of the bargain; a minor 
who has already performed can recover from the other party whatever he has paid or delivered, but he may not keep what he 
has received under the contract because this would unjustly enrich him at the other party’s expense. He must restore it, though 
not necessarily in full. 
 CASE: Edelstein Vs Edelstein 
 FACT: 
 A female minor whose parents were divorced ( the mother was awarded custody but the father remained the natural 
guardian)entered into an ante nuptial contract with E. later in 1918, she and E were married with the implied consent of her 
father, who was informed of the proposed marriage and did not object. In 1947 E died leaving over £100 000. and the wife, 
considering the marriage to have been out of community of property because of the ante nuptial contract, accepted certain 
benefits under E’s will. In 1949, when she consulted her legal advisers with a view to drawing up her own will, the validity of 
the ante nuptial contract was questioned and she sought an order declaring the marriage in community of property. Of the 
parties cited as respondents, only the Commissioner for Inland Revenue opposed the order to avoid losing £33 000. death 
duties. 
 HELD: 
 The wife was bound by the ante nuptial contract on the ground that, while it had excluded community of property and profit 
and loss, it had conferred benefits on her through promises in it of marriage settlements by E. 
 HELD: 
 A minor is not bound by an unassisted contract even one to his benefit. The minor may elect to hold the other party bound, in 
which event the minor will also have to perform his obligations. But should the minor choose to escape the contract, he is 
bound only to the extent of his enrichment. Furthermore, unlike an ordinary contract, an ante nuptial contract cannot be 
ratified by a minor on attaining majority as this would amount to an impermissible alteration of the matrimonial property 
regime. The wife was granted the order that the marriage was in community of property. 
 A minor may acquire without his guardian’s assistance a perfectly valid obligation, which is sometimes not 
contractual even though it arises in the course of attempting to contract, in the following circumstances: 
 a). ENRICHMENT 
 where a minor is unjustly enriched in terms of an unassisted contract, the contract remains void and he is not bound by it but 
he is under an obligation to make restitution to the other party to the extent to which he has been enriched; he is not obligation 
to restore whatever he has received pursuant to the contract, but only so much as still remains in his possession at the time of 
the action or the surrogates of such residue.(Case: Edelstein Vs Edelstein). 
 In other words, where necessaries are supplied to a minor, he incurs an obligation to pay their value property purchased with 
money, or the proceeds of property, originally received must be yielded up; money spent on necessaries which would otherwise 
have had to be paid for out of the minor’s estate has to be accounted for. He is not liable for depreciated or destruction of 
property, or for money squandered or lost. 
 CASE: Tanne Vs Foggitt 
 FACTS:
PRINCIPLES OF LAW 
 Foggitt a minor, without his guardian consent, entered into an agreement with T, the principal of a business college, to attend 
typing classes for two weeks in May and the whole of April. He paid for the March lessons but then stopped attending and 
refused to pay the April account. 
 HELD: 
 Foggitt benefited from the contract only to the extent of the lessons actually received and those lessons having been paid for. 
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There was no further obligation on him. 
 b). FRAUDULENT MISREPRESENTATION 
 Where a minor fraudulently misrepresents his age or pretends he has been emancipated and so deceives another person, who is 
induced to contract with the minor believing him to be of age and emancipated, the minor incurs an obligation. This obligation 
is not contractual for the contract is void and the minor is not bound by it, but delictual because fraud is a delict and the minor 
is bound to make good to the other party any loss he has suffered as a result of the fraud. 
 Moreover, the minor is precluded from obtaining the remedy of restitution by which would otherwise be entitled to reclaim 
whatever he has paid or delivered in pursuance of the agreement. 
 c). TACIT EMENCIPATION 
 Where a minor is tacitly emancipated, he can incur a binding contractual obligation within the field of his emancipation. Tacit 
emancipation occurs when one is allowed by his guardian to carry on business or any other occupation on his own behalf but 
the minor can contract to the extent to which he has been emancipated. i.e. the guardians consent has been given in advance. 
 The test for determining whether the minor has been emancipated is whether the minor is economically independent and 
whether his guardian allows him a measure of contractual freedom. 
 A separate place to live and the carrying on of his own business may be indicative that his guardian has permitted him to enter 
into contracts without assistance and that he has been emancipated but these factors are not conclusive evidence. 
 It must be borne in mind that whilst emancipation can provide capacity to act, it is not a means of terminating minority. An 
emancipated minor therefore still needs his guardian’s permission when he wants to get married. 
 He also requires the consent of his guardian if he wishes to alienate or burden any fixed property belong to him, for such 
transactions he may also require the consent of the courts. 
 CASE: Dama Vs Bera 
 FACTS: 
 Bera an Indian girl nearly 16 old had been earning her living as a servant for some 4 to 5 years. She lived with her parents but 
retained control of her income and paid a certain sum to them for board and lodging. The employer failed to pay the girl. 
 HELD: 
 Bera was tacitly emancipated and could sue Dama, her employer, for the wages due. 
 d). RATIFICATION 
 Where a minor contracts without his guardian’s consent the contract may be subsequently ratified by the minor on attaining 
majority either expressly or by conduct/impliedly. 
 CASE: Stuttaford and Company Vs Oberholzer 
 FACTS: 
 Oberholzer bought a motor cycle from Stuttaford on hire purchase while still a minor. After attaining his majority, shortly 
afterwards he continued to use the motorcycle but when sued for the installments due he set up his minority at the time as a 
defense to the action on the contract and tendered the return of the motor cycle and treats it as his own. 
 HELD: 
 Oberholzer had ratified the contract hence was bound by it. 
 e). STATUTORY EXCEPTIONS 
 A minor is entitled to contract on his own behalf under the following statutes: 
 Insurance Act (Cap 196 ;s 37), provides a minor without his guardian’s consent can effect a life policy and pay the premiums 
as they fall due but shall not cede or surrender the policy while he is a minor without guardians consent. 
 Post Office Savings Bank Act (Cap 249;s 9), provides deposits made by or on behalf of a minor may be repaid to him after 
he has attained the age of 7 years in every respect as if he were of full age.
PRINCIPLES OF LAW 
 Building Societies Act (Cap 189;s 19), provides a minor over the age of 16 years can be a member or depositor with any 
building society without his guardians’ consent and enjoy all the privileges and obligations attaching to the members or 
depositors. 
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 ASSISTED CONTRACTS 
 A minor is bound by contracts made on his behalf by his guardian or made by himself with his guardian’s assistance given at 
the time, beforehand or afterwards. 
 CASE: Skead Vs Colonial Banking and Trust Company Ltd 
 FACTS: 
 Skead, a minor, with his guardian’s consent, signed a promissory note for £37 in payment of the first premium in a twenty-year 
endowment assurance policy for £750. in favour of Skead, the note to become due eight days after he attained his majority. At 
the time Skead contemplated marriage and the policy was considered the best means of his saving money. 
 After the due date Skead was questioned by Colonial Bank, the holder of the note, and replied that he had no funds to pay it. 
 HELD: 
 Skead was liable because as the contract had been made with the consent of his guardian acting bonafide and reasonably as it 
was not to his prejudice, he was liable to pay. Since he was going to benefit even if the guardian died, the assurance policy 
doesn’t expire. 
 NB: if the contract is to the minor’s prejudice, he may obtain an order setting it aside, in which case the guardian may be 
personally liable. 
 CASE: Wood Vs Davies 
 FACTS: 
 The father and natural guardian of Wood, a minor who had inherited a sum of money, bought on his son’s behalf a house then 
worth £1550 for £1750, payable in installment until majority, installments were paid out of interest on the inheritance. On 
Wood attaining majority a considerable sum still owed and the installments would absorb a large portion of the interest. Wood, 
until majority, had lived in the house with his parents. On attaining majority Wood sued for cancellation of the sale and return 
of installments paid with interest. 
 HELD: 
 There was serious and substantial prejudice to Wood, he was entitled to restitution and the contract should be cancelled. But 
Davies the seller was to be given credit for a sum of money representing the value of the use of the house during the period in 
which Wood lived in it with his parents. 
 NB: The guardian’s consent may be express or tacit, or may be implied from the fact that the guardian with full knowledge of 
the transaction raised no objection. 
 NB: A guardian need not consent to the contract before it is made; it is sufficient if, knowing of the terms, he gives his consent 
after the event and so ratifies the contract. 
2. MARRIED WOMEN SUBJECT TO THE MARITAL POWER OF THEIR HUSBANDS. 
 Married women subject to the marital power of their husbands have limited power to contract. The wife’s capacity is similar to 
that of a minor under the guardianship of her husband. She ha no power to enter into any contract and bind herself, or her 
husband, without the knowledge or consent of her husband, unless such contract is subsequently ratified by him. If she 
purports to do so, the contract is void. 
 People marry without an ante nuptial contract in which case the subject themselves to the common law regime of community 
of property, community of profit and loss and marital power, or enter into an ante nuptial contract before their marriage 
excluding these common law consequences. 
 Variable consequences of: 
 Marriage in Community (Civil Marriage) Chapter 5.11. 
 (Without ante nuptial contract) 
 Community of Property 
 Property between spouses shall vest into a joint estate. This means that all their present and future property whether vested in 
them at the time of or during marriage becomes the common or joint property of both spouses in equal undivided shares.
PRINCIPLES OF LAW 
 Community of liabilities 
 All the liabilities of either spouse whether incurred by them before or during the marriage becomes the joint liability of both 
spouses. The property brought into the marriage by one party may consequently be sold to pay the premarital debt of the other. 
 Community of Profit and Loss 
 The legal effect is that all profits made by either party during the marriage fall into the community and all loses incurred by 
either party must be shared by both. It follows that the spouses have no separate property. 
 Insolvency of the Joint Estate 
 If the husband cannot pay the debts of the joint estate, the estate is in an insolvent condition. In this event, the joint estate may 
be sequestrated by the creditor but the private estate of the wife cannot be sequestrated.e.g. Inherited things 
 Marital Power of the Husband. 
 Husband acquires what is known as the marital power consisting of the guardianship of his wife and the power of 
administration. The husband shall not abuse the marital power. 
 Marriage out of Community of Property (with ante nuptial Contract) 
 It is made by the parties before the marriage and this means agreement before the marriage. Such a contract whether, in writing 
or not it is always binding on the parties themselves after the marriage but it has no force or effect against any other person 
unless it has been duly registered in the Deeds Registry. 
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 Customary Law Marriage. 
 A woman married in terms of customary law Chapter 5. 07 Customary Marriage Act, is incompetent to enter into contract and 
will need the assistance of the guardian or her husband. Marriages are in two forms. 
 Customary Union (kutizira) 
 Customary Marriage Act/African Marriage (this is done by any Magistrate) 
 Customary Law marriage is common law and the General Rule is that the marriage creates community of property, community 
of profit and Loss in a joint estate of which the husband has the sole right and power of administration and the wife has no say 
in this administration. The common law can be varied by ante nuptial contract entered into before marriage and properly 
executed and registered. The presumption of limited legal capacity to contract is waived if the women can show that she is 
emancipated. A married woman may own property acquired by her own labour.e.g. Cattle, pots and utensils and this is not 
subject to the husband’s control. 
 The following circumstances are where the Joint Estate incurs an obligation through the act of the Wife: 
 a). ENRICHMENT 
 If the wife purports the contract and the joint estate is enriched, the husband in his capacity as administrator of the joint estate 
will incur an obligation based on the law of unjust enrichment. 
 CASE: Karsten Vs Forster 
 FACTS: 
 Forster sued Karsten, a woman married in community of property, for £50 which Karsten had agreed to pay Forster in 
considering of his singing a certain option for the sale of a farm. Karsten pleaded that the contract was void because it was 
signed by her when she was married in community of property and the husband had not consented. 
 HELD: 
 Karsten and her husband had been enriched by the sale of the farm, which would not have taken place if Forster had not been 
induced to sign the option and the husband was bound by the contract. 
 b).NECESSARIES 
 (Include food, clothing, medical and dental expenses and other business connected with the household) 
 The General Rule is that; All wives, whether married in or out of community of property, are entitled to make contracts for 
household necessaries without reference to their husbands. 
 Where the marriage is in community of property, the Joint Estate is bound and only the husband in his capacity as its 
administrator may e sued during marriage. If the marriage is dissolved before the debt is paid, the trader can sue the husband 
for the whole debt or the wife for half, a husband who pays the whole debt will recover half from his ex-wife.
PRINCIPLES OF LAW 
 Where the marriage is out of community, husband and wife are jointly and severally liable to the trader, which means he can sue 
either husband or wife for the whole amount. If he collect payment from the husband, that is the end of the matter. When he 
chooses to sue the wife, or if she pays voluntarily, the wife has a right of recourse against the husband for his pro-rata of the 
debt, determined according to the relative means of the spouses. 
 When the parties are living together, even a notification to the supplier that the husband has withdrawn his wife’s right to 
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pledge his credit has no legal effect 
 It is no defense to a supplier’s claim for the husband to his wife had no need to buy on credit. 
 CASE: Clark  Co Vs Lynch 
 FACTS: 
 Clark sued Lynch for R122.in respect of necessaries of life and household necessaries supplied to his wife. 
 HELD: 
 The wife has power to bind the husband in respect of all those matters reasonably incidental to that organized family 
establishment, whether the articles furnished are consumed or used by the husband or the wife or children or their servants or 
anyone else who is living with them either permanently or temporarily as part of the joint establishment of the marriage 
partners. 
 A notification to a supplier that the husband has withdrawn his wife’s right to pledge his credit has no legal effect so long as the 
wife and husband continue to live in, or during any period when they subsequently re-establish, a common household. 
 The husband in an action for an amount owed in respect of necessaries supplied to his wife cannot rely on the fact that his wife 
has been provided with sufficient funds to make it unnecessary for her to buy on credit. 
 Where a wife abuses her rights her husband can terminate her authority to pledge his credit by obtaining an interdict from the 
court. 
 CASE: Traub Vs Traub 
 FACTS: 
 A wife was not short of any reasonable necessity or luxury but was incurring debts which amounted to gross extravagance and 
prodigality. 
 HELD: 
 The husband should be granted an interdict restraining his wife from binding his credit. 
 If the wife is living apart from her husband owing to his fault she can bind his credit, but not where the common household is 
broken up by the wife’s conduct. 
 CASE: Gammon Vs McClure 
 FACTS: 
 G met his wife on the way out to settle in South Africa and married her soon after arrival. Not long after settling in 
Grahamstown he grew tired of her and forced her to return to Cape Town where she bought necessaries. 
 HELD: 
 A husband is bound to support his wife who left him owing to his misconduct and is liable to pay for necessaries supplied to 
her. 
 NB: A husband is not liable for necessary services rendered to his wife after she has unlawfully deserted her husband and is 
living apart from him. 
 If, after the common household has broken up, the husband adequately provides for his wife and notifies a supplier that he is 
doing so and will not pay for necessaries supplied to her, the supplier cannot sue the husband for the cost of necessaries 
supplied after receipt of the notice. 
 If, although the marriage has actually been dissolved, the husband comport himself as if the marriage still exists, he will 
continue to be liable. 
 CASE: Thompson Vs Model Steam Laundry Ltd. 
 FACTS:
PRINCIPLES OF LAW 
 After divorce, T hired a house in which he, his children and his former wife, in the capacity of manageress of the household, 
lived , to outward appearance as a married couple with children. The former wife pledged his credit for laundry work. 
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 HELD: 
 T was liable on implied agency, namely authorization of his former wife to pledge his credit for household necessaries. 
 Whether articles bought by a wife are necessaries or not is for the court to decide and in deciding t has regarded to the social 
standing and means of the parties and their habits of life in the past. 
 C).PUBLIC TRADER 
 A public trade is one in which the wife indicates to the public, expressly or impliedly, that she is open to do business with any 
person, whatever the business or profession carried on. 
 A married woman openly carrying on any retail or wholesale trade may validly contract in all matters connected with such trade 
and may consequently bind herself and her husband and sell and burden the stock of the business. (Grotius 1.5.23) 
 Wessels J said: “It appears to e an established law that where a woman married in community of property carries on business as 
a public trader she is deemed to be acting as her husband’s agent in every transaction entered into by her in connection with 
that business. It is equally clear that the assets and liabilities of the business do not fall outside the joint estate of the parties so 
as to form part of a separate estate.” 
 The husband’s consent to the trading may be withdrawn y him or terminated by his insanity. 
 D). AUTHORITY OF THE COURT 
 Where a husband is absent from the country, or unreasonably withholds his consent to his wife’s contracts, the court may 
authorize her to contract, either specially or generally. 
 E). STATUTORY EXCEPTIONS 
 A woman married in community of property can contract under the following statutes. 
 Insurance Act (Chp 196; s 39) provides that a married woman may effect and own a life policy, hold acquire and dispose of any 
interest in a life policy, hold and dispose of any moneys, or any asset acquired with those moneys, accruing from any interest in 
a life policy, in all respects as if she were a single woman of full age and capacity. 
 Post Office Savings Bank Act (Chp 249; s 10) provides a married woman, whether under marital power or not, may be a 
depositor and with or without assistance execute all necessary documents, give all necessary aquittances and enjoy all the 
privileges and be liable to all the obligations attaching to depositors. 
 Building Society Act (Chp 189;s 19) provides that a married woman whether under marital power or not, may be a member of 
or deposit with any building society, and may, without her husband’s consent or assistance, execute all necessary documents 
and generally have all the privileges and obligations attaching to members or depositors. 
3. MENTALLY ILL PERSONS 
 A contract made by a mentally ill person is Void if at the time of the agreement he could not understand and appreciate the 
transaction into which he entered or if his consent was motivated or influenced by an insane delusion caused by mental disease. 
 CASE: Lange Vs Lange 
 FACTS: 
 At the time of his marriage L understood the nature of the contract and appreciated the nature of the obligations he was 
undertaking, but he was already suffering from a mental disease and his volition in entering into the marriage was influenced by 
auditory hallucinations caused by the disease. 
 HELD: 
 The marriage should be declared null and void ab intio ( from the beginning). 
 NB: it is not necessary to prove that a person, owing to mental disease, did not understand or appreciate the nature of the 
contract; proof that his consent was motivated or influenced by an insane delusion caused by mental disease is sufficient. 
 Whether or not a mentally ill person could understand and appreciate the transaction is a matter of fact in which the court will 
consider all the relevant evidence. 
 A mentally ill person may incur an obligation on the grounds of enrichment. 
 Where a person has been declared mentally disordered or defective under the Mental Health Act (Act 23 of 1976), the order 
operates while in force so as to create a rebuttable presumption that he is mentally ill and any contract made by him will be void 
unless it be proved that at the time he was in full possession of his faculties or his state of mind was such that he was able to 
understand the nature of the contract and appreciate properly the duties and responsibilities created by it.
PRINCIPLES OF LAW 
 CASE: Prinsloo’s Curators Vs Crafford and Prinsloo 
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 FACTS: 
 P, who had been declared of unsound mind by order of court, married C in community. At the date of the marriage the order 
was still in force but P was as a fact of sound mind and entered into the contract voluntarily and fully understanding its 
significance. 
 HELD: 
 The marriage was Valid. 
4. DRUNK PERSONS 
 Where a person enters into a contract while so drunk that he does not know he is entering into a contract or has no idea of the 
terms, the contract is void but not if the drunk person is merely more easily persuadable or more willing to conclude the 
contract. 
 Intoxicated Persons. 
 Intoxicated, acute or chronic, which makes a party unaware that he is contracting or unable to appreciate the nature of the 
contract, renders the contract void. Intoxication of a lesser degree will be of significance only if induced by the other party to 
the contract in order to gain an unfair advantage, in which case restitution will be granted. 
 NB: A drunk person can incur an obligation on the ground of enrichment. 
5. PRODIGALS. 
 A prodigal, who is a person declared by the court to be incapable of managing his affairs as a result of a propensity to squander 
his assets, cannot contract with regard to his property and if he does so the contract is void, but apart from his property he is 
entitled to contract freely. 
 A person who is recklessly frittering away his estate may, at the instance of a relative or other interested person, be interdicted 
from contracting without the assistance of a curator appointed by the court. 
 CASE: Cillie Vs Cillie 
 FACTS: 
 A wife alleged that her husband to whim she had been previously married but from whom she was now divorced, was 
squandering his assets and was almost continually under the influence of liquor. 
 HELD: 
 An order should be granted declaring C a prodigal, interdicting him from dealing with his property and appointing a curator 
bonis to his property. 
 CASE: Mitchell Vs Mitchell  Others 
 FACTS: 
 M had been declared incapable of managing his affairs and curator bonis had been appointed by the court. Thereafter M 
without the curators’ consent married. 
 HELD: 
 A curator bonis deals with the estate of a person under curatorship and not with his person. In his personal relationship to 
others not affecting his estate the curator has no right to interfere. If he chooses to marry, the curator cannot interfere except in 
so far as it relates to his property. Where a person under curatorship has not been declared a lunatic, the curator has no locus 
stand to upset his marriage merely because marriage entails maintenance. 
• If a prodigal contracts without his curator’s consent the contract may be subsequently ratified by the curator. 
6. INSOLVENT PERSONS. 
 Insolvency is the condition of a person when his financial position reaches the stage that he is unable to pay his debts or his 
liabilities exceed his assets. In such an event the condition of the debtor may be officially recognized by the law for the 
protection not only of his creditors, but also of other persons. The Insolvency Act (Chp 303) provides that the court may, at 
the instance of the debtor himself or of his creditors, grant an order sequestrating the estate of the debtor.
PRINCIPLES OF LAW 
 The effect of a sequestration order is that the debtor becomes statutorily insolvent and all his property is placed under the 
control of a trustee who realizes it and distributes the proceeds among the various creditors in accordance with the Insolvency 
Act. The Insolvent becomes subject to legal disabilities and these continue until his estate has been finally distributed and he 
has been rehabilitated. 
The following restrictions are placed on the Insolvent’s freedom of contract: 
a). An Insolvent may not contract in such a way as to purport to dispose of any property of his insolvent estate (s 37 (2) (a) of the 
Insolvency Act) 
b). He may not without the written consent of his trustee enter into any contract whereby his estate is likely to be adversely affected. (s 37 
(2) (b) ). 
c). He may not without the written consent of his trustee have any interest in, or be employed in, the business of a trader who is a general 
dealer or a manufacturer. (s37(3)) 
• If the Insolvent contracts in breach of these provisions, the contract is not void but remains valid until set aside by the trustee. 
• Also, where an insolvent without his trustee’s consent alienates property acquired after sequestration to a person who was not 
aware and had no reason to suspect that the estate was sequestrated, the alienation shall be valid. (s 40(1) 
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7. ALIEN ENEMIES 
 An Alien enemy is a person residing or carrying on business in enemy territory and any contract made with him in times of war 
is void as public policy requires that the state should not be hampered in its prosecution of the war nor the enemy in any way 
assisted. 
 Where an enemy subject resides in Zimbabwe, he has full contractual capacity and any contract made with him is valid unless 
bad as against public policy. His internment appears to make no difference unless performance becomes impossible as a result 
of supervening impossibility of Performance. 
8. ARTIFICIAL PERSONS 
 In principle an artificial person’s contractual capacity is determined by its constitution. If it is created by special statute (Cold 
Storage Commission or Air Zimbabwe), reference must be made to that statute; if by Royal Charter (British South African 
Company) to that Charter. If it is a company registered under the Companies Act (Chp 190), its contractual capacity is 
determined by the objects clause of its memorandum of association, either expressly there conferred or such as may fairly be 
regarded as incidental to , or consequential upon, the specified objects. 
 If an artificial person enters into a contract which it has no contractual capacity to make, the contract is void and cannot be 
ratified. 
 NB: Re Jon Beauforte (London) ltd. A company, which was authorized by its memorandum to carry on business of 
costumiers and gown-makers, embarked on the business of making veneered panels and erected a factory for this purpose. The 
company later went into liquidation. Three creditors, a firm of builders who constructed the factory, a firm who supplied 
veneer, and a firm who supplied coke, all proved in the liquidation. The liquidator rejected their claims. 
 HELD: 
 Their claims were rightly rejected on the ground that the contractors were ultra vires (beyond the company’s powers). 
 NB: Rules of unjust enrichment should apply to the rights of the parties in any ultra vires transaction. 
9. ILLEGAL ASSOCIATIONS 
 An illegal association has no locus standi in judicio (right to appear and be heard) and any contract made by it is void and 
unenforceable. 
 But under the doctrine of unjust enrichment a remedy lies against its members who have derived benefits at the expense of 
others to which they were not entitled and any person trading with an illegal association or with its members has a liability to 
pay for benefits received by him. 
3. Intention to contract, 
 The parties entering into a contract must have an intention to create a legal relationship. 
If there is no intention to create a legal relationship, that agreement cannot be treated as a 
valid contract. Generally there is no intention to create a legal relationship in social and 
domestic agreements. Invitation for lunch does not create a legal relationship. Certain
PRINCIPLES OF LAW 
agreements and obligation between father and daughter, mother and son and husband and 
wife does not create a legal relationship. An agreement wherein it is clearly mentioned that 
This agreement is not intended to create formal or legal agreement and shall not be subject 
to legal jurisdiction in the law of courts. cannot be treated as a contract and not valid. 
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CASES: 
 BLOOM VS AMERICAN SWISS WATCH COMPANY 1955 
 WATERMEYER VS MURRAY (counter offer), one party offered to sell a farm to the other 
party on certain terms, the other party did not accept unconditionally but countered the offer 
setting his own terms of the offer. The original offeror decided not to offer his farm. 
 CARLILL VS CARBOLIC SMOKEBALL COMPANY 
o One of the most famous cases on forming a contract is Carlill v. Carbolic Smoke Ball Company, 
decided in nineteenth century England. A medical firm advertised that its new wonder drug, 
the smokeball, would cure people's flu, and if it did not, buyers would receive £100. A 
significant number of people sued for their £100 when the product did not work. Fearing 
bankruptcy, Carbolic argued the advertisement was not to be taken as a serious, legally 
binding offer. It was merely an invitation to treat, or mere puff, a gimmick; however, the 
court of appeal held that to a reasonable man, Carbolic had made a serious offer. People had 
given good consideration for it by going to the distinct inconvenience of using a faulty 
product. Read the advertisement how you will, and twist it about as you will, said Lord 
Justice Lindley, here is a distinct promise expressed in language which is perfectly 
unmistakable. 
 CRAWLEY VS REX 
 KILBURN VS ESTATE KILBURN, the promise made by the husband was not a serious one 
that the husband had no intention of paying his wife the sum. The intention of the husband was 
that the wife should claim the sum if and when the husband went insolvent. It was held that there 
was no obligation and the wife could not claim the bond. 
4. Agreement to be communicated and not vague, 
 Wording of the agreement must be clear and not uncertain or vague. Suppose John agrees to 
sell 500 tones of oil to Mathew. But, what kind of oil is not mentioned clearly. So on the 
ground of uncertainty, this agreement stands void. If the meaning of the agreement can be 
made certain by the circumstances, it could be treated as a valid contract. For example, if 
John and Mathew are sole trader of coconut oil, the meaning of the agreement can be made 
certain by the circumstance and in that case, the agreement can be treated as a valid contract. 
According to the law of contract, Agreements, the meaning of which is not certain or capable of being 
made certain, are void. 
CASES: 
 CANTOR VS CANTOR 
 Husband promised wife that he will give her “something”, “sometime”. 
 LEVESTEIN VS LEVESTEIN, courts can give meaning on the contract from evidence 
before it. 
5. Parties must be of the same mind (consensus ad idem) 
 The parties to the contract have a mutual understanding of what the contract 
covers. For example, in a contract for the sale of a mustang, the buyer thinks 
he will obtain a car and the seller believes he is contracting to sell a horse, there is 
no meeting of the minds and the contract will likely be held unenforceable. 
CASES:
PRINCIPLES OF LAW 
 MARITZ VS PLATLEY, auction - marble metal piece on which stood a 
mirror, the auctioneer put it up and it was sold to Platley, when the auctioneer 
later put up the mirror, Platley protested claiming that he had bought the metal 
piece and the mirror. 
 GEORGE VS FAIRMCARD HOTEL, courts will not assist a foolish mistake 
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due to carelessness. 
 BHIKAGEE VS SOUTHERN AVIATION, even though he did not 
understand the language the party entered into a contract. 
6. The contract must be possible to perform. 
 If the act is impossible of performance, physically or legally, the agreement cannot be 
enforced by law. There must be possibility of performance of the agreement. Impossible 
agreements like one claims to run at a speed of 1000km/hour or Jump to a height of 100feet 
etc. would not create a valid agreement. All such acts which are impossible of performance 
would not create a valid contract and cannot treated as a valid contract. In essence, there 
must be possibility of performance must be there to create a valid contract. 
CASE: 
 PETERS  FLAMMAN VS KOKSTAD MUNICIPAL COMPANY 
o Before Peters  Flamman had completed to light the streets as per contract, World War 
broke out. The 2 were Germany nationals imprisoned as alien enemies as a result were 
not able to perform part of their obligation. The court ruled that as a result of 
imprisonment, it had rendered their performance impossible and consequently there was 
no breach of contract. It was a case of termination of contract due to supervening 
impossibility. 
OTHER ESSENTIALS FOR A CONTRACT TO BE VALID 
1. Agreement not expressly declared void: For example Restraint of marriage. If John promises to pay 
$50 to Mary if she does not marry throughout her life and Mary promise not to marry at all. But this 
agreement cannot be treated as a valid contract owing to the fact that, restraint of marriage expressly 
declared void. Some of the agreement which have been expressly declared void are agreement in restraint of 
legal proceedings, agreement in restraint of trade, agreement in restraint of marriage and agreement by way of wager. 
2. Proper offer and it s acceptance: To create a valid contract, there must be two or more parties. One 
who makes the offer and the other who accepts the offer. One person cannot make an offer and accept it. 
There must be at least two persons. Also the offer must be clear and properly communicated to the other 
party. Similarly acceptance must be communicated to the other party and the proper and unconditional 
acceptance must be communicated to the offerer. Proper offer and proper acceptance should be there to 
treat the agreement as a contract which is enforceable by law. 
The contract involves an offer (or more than one offer) to another party, who accepts the offer. For 
example, in a contract for the sale of a piano, the seller may offer the piano to the buyer for 
$1,000.00. The buyer's acceptance of that offer is a necessary part of creating a binding contract for 
the sale of the piano. 
Please note that a counter-offer is not an acceptance, and will typically be treated as a 
rejection of the offer. For example, if the buyer counter-offers to purchase the piano for $800.00, 
that typically counts as a rejection of the original offer for sale. If the seller accepts the counter-offer, 
a contract may be completed. However, if the seller rejects the counter-offer, the buyer will not
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PRINCIPLES OF LAW : LAW OF CONTRACT

  • 1. Principles Of Law Law Of Contract
  • 2. PRINCIPLES OF LAW The concept of Law – Define what is meant by the term Law LAW are rules established by authority to regulate the behaviour of members of a community, society Page 1 of 81 rmmakaha@gmail.com or country. LAW are legal rules. Law is a system of rules, usually enforced through a set of institutions. It shapes politics, economics and society in numerous ways and serves as a primary social mediator of relations between people. Law- That which is laid down, ordained, or established. A rule or method according to which phenomenon or actions co-exist or follow each other. Law, in its generic sense, is a body of rules of action or conduct prescribed by controlling authority, and having binding legal force ANALYSIS OF THE DEFINITION “Bodies of rules governing human conduct” Law in its sense, prescribes what must, what may and what may not Be done. It is an instrument designed to regulate human behaviour and order in the society. “Recognized as binding by the state” When Law finds acceptance in the common Law it is regarded as binding by the state. Here we are concerned with conscience of the individuals’ own view of what is wrong or right, i.e. what an individual considers desirable or undesirable as regards conduct. e.g. Ethical principles like, “l must be helpful to others” or “l must respect my parents”. An ethical principle or rule is a code of conduct, which is carried personally by an individual and acts as a motive to behave in a certain fashion. Such principles come about during the course of a life of an individual. Law must conform to the prevailing sense of justice in a community or it will fail to preserve peace. “Enforcement” In order to ensure that rules of human conduct are obeyed by all the inhabitants of the state it is necessary to have some form of compulsion or influence which induces them to comply with the rules. No rule can be effective without the method of compulsion called a “sunction” NB: A Sunction is some unpleasant or inconvenient consequence which a person knows beforehand will be inflicted on him if he doesn’t follow a rule. A breach of the Law often invites punishment in the form of imprisonment, a fine or compensation. Associated with punishment, as far as the Law is concerned, are the mechanisms to enforce these legal forms. Thus the police, courts and penal institutions are set up to effect punishment. Such formal mechanisms are not evident in the field of ethics and positive morality where censure and punishment are more subtle.
  • 3. PRINCIPLES OF LAW The elements of Law and the difference between real and personal rights Page 2 of 81 rmmakaha@gmail.com PRINCIPLES OF A JUST LAW. 1. Equality Law consist of rules, which apply to all persons in the same condition. What applies to Sam has equal application to Jeff, provided they fall in the same classification. Rich or poor, employer or employee, all men are the same in the eyes of Law if they fall in the same class. If Tom drives a car, Sam walks along the road and Dick cycles, they all fall into different categories applicable to road users and rules applying to one do not necessarily apply to others. Each would be subject to Laws governing the activities they are engaged in: • The fact that Jill drives a Datsun and Ben drives a Benz is immaterial to the application of rules of negligence or Law against drunken driving. • Exceptions to equality are insanity, minors but considerations must be based on distinctions which are objective and logical. • If B a Lawyer sexually abuses a minor and C a teacher commits the same offence, the Law pertaining to the case will be applied equally regardless of status. NB: these considerations must be based on distinctions which are both objective and logically relevant. 2. Uniformity Uniformity simply means all people in all areas should be treated uniformly. The same Law that applies to Joe in Gokwe should apply to Tom in Mutare, provided they have committed a similar offence. If Mr. X a Lawyer in Harare and Mr. Z a bus driver in Kwekwe commits the same offense, the legal fate that is visited upon them is identical. The aspect of authority of the High Court ensures the uniform application of Law as far as possible. If a person is a foreigner and commits a crime he/she is treated applying the principles of Law in that country. 3. Certainty Certainty in the Law prescribes how a person must, or may, or may not act, and to that extend it safeguards the rights and liberties of the people themselves. If X infringes Y’s right, Y will know that because the rules of Law are certain a remedy lies in the courts. Inn the same way, people can order their affairs knowing what the legal consequences of a particular course or courses of action will be. Certainty also acts as a limitation on the tries of fact in that they are bound to follow the establishment rules of law as set out beforehand and in so doing silly or arbitrary decision making is checked. Requirements of certainty are: • Rules must be formulated in clear and unambiguous terms; • Law must be known i.e. new laws must be disclosed i.e. promulgated (made known). By publication in the Government gazette. Once this process has been carried out, the legal maxim IGNORANTIA LEX NEMINEM EXCUSAT (ignorance of the law excuses no one) is said to apply.
  • 4. PRINCIPLES OF LAW e.g. if an individual who has been out of the country in search of work for years contravenes a new law published in his absence he is nevertheless guilt of the relevant offence although he had no possible chance of having learnt the new law. However, this concept has been subject to criticism in that in practice so many laws are promulgated that even lawyers cannot possibly presume to know them all. The access to the gazettes and the level of literacy of a person to be able to comprehend the gazette are other issues of concern. Despite all that, as things stand at present the maxim still applies in Zimbabwe. Page 3 of 81 rmmakaha@gmail.com 4. Generality In order to be just the law must be consistant and it must be applied without distinction to all persons of the same class and in the same circumstances. The general rule should remain fixed as a constant and not to be varied arbitrarily from one case to the other simply because of the magistrates or judges personal feelings. 5. Authority This applies to the Law enforcement machinery clothed in authority by parliament to enforce Law equally, uniformly to all races, tribes and so on. Authority signifies that all Laws used should be applied by only bodies given the authority. 6. Reasonableness According to VOET, (Legal Jurist), “Law must order what is honourable and prohibit what is reprehensible”. This simply means law should be a code of conduct that governs society. Law should be just in that, what is wrong to be treated as wrong and what is good to be treated as good. Thus arbitrary, absurd and senseless rules will tend to be disobeyed. The concept of “reasonableness” or “the reasonable person “ is of wide application in our legal system and if the law expects those to whom it applies to behave reasonably, then surely the law itself must be seen to be reasonable. The difference between real and personal rights Personal rights are those rights that someone has regarding his/ her body, eg. body protection and self-esteem and self respect while real rights refers to those rights that bind all the citizens of the country, those rights will include no rape, no crime, no smoking in public and etc. The concept of legal personality and the difference between natural and juristic persons The concept of legal personality Legal personality (also artificial personality, juridical personality, and juristic personality) is the characteristic of a non-human entity regarded by law to have the status of a person. A legal person (Latin persona ficta), also legal person, artificial person, juridical person, juristic person, and body corporate) has rights, protections, privileges, responsibilities, and liabilities under law, just as natural persons (humans) do. The concept of legal personality is perhaps one of the most
  • 5. PRINCIPLES OF LAW fundamental legal fictions. It is pertinent to the philosophy of law, as well as corporations law (the law of business associations). Legal personality allows one or more natural persons to act as a single entity (a composite person) for legal purposes. In many jurisdictions, legal personality allows such composite to be considered under law separately from its individual members or shareholders. They may sue and be sued, enter into contracts, incur debt, and have ownership over property. Entities with legal personality may also be subject to certain legal obligations, such as the payment of tax. An entity with legal personality may shield its shareholders from personal liability. The concept of legal personality is not absolute. Piercing the corporate veil refers to a legal decision in which the rights or duties of a corporation as the rights or liabilities of its shareholders or directors. Legal persons may not have all the same rights as natural persons - for example, human rights, including the right to freedom of speech. Although the concept of a legal person is more central to Western law in both common law and civil law countries, it is also found in virtually every legal system. Some examples of legal persons include: • Cooperatives (co-ops), which are business organization owned and democratically operated by a group of individuals for their mutual benefit, are legal persons. • Corporations are by definition legal persons. A corporation sole is a corporation constituted by a single member, such as The Crown in the Commonwealth realms. A corporation aggregate is a corporation constituted by more than one member. • Companies, a form of business association that carries on an industrial enterprise, are usually corporations, although some companies may take forms other than a corporation, such as associations, partnership, unions, joint stock companies, trusts, and funds. Limited liability companies are are unincorporated associations having certain characteristics of both a corporation and a partnership or sole proprietorship. LLCs, like both incorporated and unincorporated companies, are legal persons. • Sovereign states are legal persons. • Municipalities, as creatures of statute are legal persons. Other organizations or types of organizations may be Page 4 of 81 rmmakaha@gmail.com created by statute as legal persons, • In the international legal system, various organizations possess legal personality. These include intergovernmental organizations (the United Nations, the Council of Europe) and some other international organizations (including the Sovereign Military Order of Malta, a religious order). • Temples, in some legal systems, have separate legal personality. Not all organizations have legal personality. For example, the board of directors of a corporation, legislature, or governmental agency typically are not legal persons in that they have no ability to exercise legal rights independent of the corporation or political body which they are a part of. The difference between natural and juristic persons A juristic person is synonymous with a juridical person, legal person or artificial person. Such persons are created, either by obtaining the express approval of the legislature or by following special procedures for the creation of such persons. Juristic persons may also be known as companies, corporations, incorporations, societies, associations or similar terms depending on local legislation. The term natural person is somewhat unusual, but would normally be interpreted as meaning a person that is not created but who is born. A synonym would be non juristic person. The purposes and functions of the law PURPOSE OF LAW 1.Presevation of Order
  • 6. PRINCIPLES OF LAW The Law would not be required if all people were perfect. In providing the rules of conduct, the Law stipulates what must be done and may not be done. This is in order that the individual and collective rights of each member of the community may be protected. The Law tries to prevent one person’s right clashing with each others rights or rights of an individual from clashing with the rights of a community, thus preserving peace and order. If every person did just as he wished, allowing his instincts and desires uninhibited, there could be no society, no community and the Law of the judge would soon prevail. Page 5 of 81 rmmakaha@gmail.com 2. Maintain Justice For our purpose of Law we will consider justice to mean fairness, in other words justice is what appears to be right to a fair-minded person. Justice is not only the Law’s main object but it is also its chief instrument in fulfilling the Law’s other main object of preserving peace and order in the community. It is obvious that peace and order reign when the members of the community obey the Laws. 3. Settlement of Disputes Enforcement – a breach of Law often invites punishment in the form of imprisonment, fine or compensation. Associated with punishment are the mechanism to enforce these legal forms i.e. police, courts and other institutions were set up to effect punishment and to enforce the Law. NB: these are collectively referred to as the Law Enforcement Machinery. The sources of Law – legislation, judicial precedent, common law, etc. Sources of law are the materials and processes out of which law is developed. In modern nation states, the sources of law come either from the written law or the unwritten law . Constitution, statutes, case law, and regulations issued by government agencies. Sources of law for public international law and religious law differ, however, from the primary law of individual countries. The natural law theory argues that some rules objectively existing in the nature also are source of law, while legal positivism argues that only the rules made by sovereignty can be the sources of law. There are three main sources of law in the world. They are 1. legislation (it includes constitution and statutes which are prepared by Parliament) 2. case law or decisions of the higher court 3. customary law or custom Sources of Zimbabwean Law 1. Legislation Legislation is law laid down by an organ of the State which has the power to do so. These laws are embodied in writing and are known as statutes (or acts). In Zimbabwe, Parliament is the highest organ that can pass legislation at the national level. There are also other bodies, that can pass subordinate legislation. These include the provincial legislatures which pass provincial acts and municipal councils which pass by laws. Legislation is a powerful source of law. In principle it binds the whole society. 2. Precedent / Case law / Court Decisions
  • 7. PRINCIPLES OF LAW Courts are institutions that apply the law on daily basis. Judges and magistrates, like all lawyers consult legislation and rules of common law and custom applying to the particular case before them. Courts also take into account their previous judgements in similar cases, because they are bound to the approach followed in the past. Previous judicial decisions therefore constitute law and the way in which the law was applied there is authoritative. The reason for this lies in the system of judicial precedent, also called the doctrine of stare decisis, which applies in Zimbabwe. The application of the doctrine of precedent depends, among other things, on reported cases. Various concepts / Doctrines in the Application of Case Law. a). STARE DECISIS (Stare Decisis et non quieta movere) Case Law is built upon the precedent system or doctrine of “Stare decisis et quieta movere” this term means “to stand by previous decision and not disturb settled points”. Once a court has given a certain decision it and those courts which are subordinate to it must in future give the same decision on the same point. The main reason for this doctrine is to achieve certainty in the Law. If judges were allowed to create new principles on an “Ad hoc” basis or to arbitrarily change the Law as they pleased, it follows that the Law would vary from day to day and from judge to judge. Consequently we could not go about our business in the certainty that what we were doing was lawful or unlawful. There will be no equal treatment before the law - in other words, no justice. Page 6 of 81 rmmakaha@gmail.com Application of Stare Decisis: The Hierarchy of the Courts. The doctrine of stare decisis is also based on an understanding of the hierarchy of the courts. In Zimbabwean Courts, the Supreme Court is the highest court of authority. It is not bound to follow its own decisions. As a result it is possible for the Supreme Court to overrule previous decisions as erroneous(wrong /mistaken). This is important for the development of the Law. NB: the Law is not static, though the change ought not to be too sudden. Beneath the Supreme Court we have the High Court which is again a Superior Court of Record, and its decisions are binding on all the lower Courts which in practice generally means the Magistrates’ Courts in Zimbabwe. The decisions of the High Court are not binding on itself unless the Court operates as a “Lower Court”. e.g. a three-judge court’s judgment (i.e. three judges sitting) is binding on a two-judge Court e.t.c. However, where one judge decides a matter s/he need not follow the decisions of another judge of the High Court, although of course such decision will be highly persuasive. The Inferior Courts, meaning the Magistrates’ Courts and the primary Court, are not obliged to follow the decisions of other Magistrates or presiding Officers as the case maybe. b). RATIO DECIDENDI When in terms of the doctrine of “Stare Decisis” a court is obliged to follow the decisions of the superior Courts, it is the reasons or principles for the decision (Ratio decidendi) that
  • 8. PRINCIPLES OF LAW must be followed. Various approaches to selecting the ratio decidendi have been suggested the ratio decidendi have been suggested by Jurists. NB: An approach to selecting the Ratio Decidendi from a case by Dr A.L. Good-hart 1930. Example: (Suppose) in a certain case the court finds that facts A, B and C exist. It then excludes fact A as immaterial, and on facts B and C it reaches conclusion X. what is the ratio decidendi of this case?. Page 7 of 81 rmmakaha@gmail.com There are two principles: i. In any future case in which facts are A, B and C, the Court must reach conclusion X, and; ii. In any future case in which the facts are B and C the Court must reach conclusion X. In second case the absence of fact A does not affect the result, for fact A has been held to be immaterial. The court, therefore, creates a principle when it determines which the materials are and which are the immaterial facts on which it bases its decision. If in a future case further material facts in addition to B and C are found, conclusion X will not necessarily be binding. The court may have to apply a new principle to reach a conclusion and thus the judge may choose not to follow the former case. If the difference is so small as to be unimportant then the precedent case is indistinguishable and must be applied but; If the difference between the two cases is so great that the Law laid in the precedent case is not really relevant., then the precedent case is distinguishable and should not be applied. c). OBITER DICTA These are statements said in courts “by wayside” in the course of judgement and these are therefore incidental to central issues of the case or in the course of a judgement. A judge sometimes express his opinion upon a point of Law which is not necessary for the decision for the decision of the case such an expression of opinion is termed an “Obiter Dictum”. It is practiced especially as a result of custom since judge derived facts from custom. Such statements may be of persuasive authority in future cases. Thus in “Jajbhay Vs Cassim” 1939 AD 537. Van Den Heever J.A. made the statement that in a case where two estate agents had been employed and it was impossible to determine which of the two the effective cuase of the sale was, both agents would be entitled to their full commission. This statement was made Obiter, or by the way, because it was not necessary for or applicable to the decision in that case. However, this Obiter dictum was later accepted and formed part of the Ratio Decidendi in the case of “ Petersen Vs Jajbhay” 1940 TPD 182. Advantages: • It is convenient in that, instead of examining principle of Laws anew each time a case is brought before the court previous decision can be relied upon in applying principles of Law to the facts.
  • 9. PRINCIPLES OF LAW • There is certainty, equality, reliability and uniformity. Page 8 of 81 rmmakaha@gmail.com Disadvantages: • Laws are usually outdated i.e. there is perpetuity of bad laws. • No promulgation or notice of the new Laws to the public and to the parties, the Law is not exposed. • Judicial Law is not comprehensive since one judge decides only on a single point of Law without debate and its implication may not have been considered. • It is not binding in some future cases. 3. Customary Law • Customary law is generally unwritten law. It is fixed practices in accordance with which people live because they regard it as the law. Customary law therefore does not concern all customs or practices, such as practices of polite behaviour. Old Germanic law also consisted of customs. The same can be said of indigenous law. In modern law custom does not play such an important role as a formative source of law. Any assertion of a custom as law has to be proved. CUSTOMS These are rules of conduct, habitually observed by individuals of a particular community. Or, May be defined as those habits, norms or instincts or usually practice of behaviour, inherited by groups of people in a society or community. Customary Law is the oldest form of Law known to man. In primitive communities almost the whole of the Law existed in the shape of customs. The people regulated their conduct according to rules, which their ancestors had been accustomed to observe in the past. These rules were not recorded but were binding in the course of ages through their observance some of the customs were based on religious belief. Custom may mean a social custom or may mean a legal custom. a). Social Custom. Are rules of contact habitually observed by individuals of a particular community. The social customs therefore are persuasive and usually observed by those persons adhering to the custom consent out of the need of social acceptance in the chosen community or group. Punishment is done by the local section of the community hence presiding officers should be accustomed with some of the Laws e.g. Kraal head, Headman, Chiefs etc. b). Legal Custom. It involves state control and entails duties which must be observed where as social custom entails practices. Punishment is done by the state in legal custom e.g. customary marriage. Requirements for a custom to be legally binding. 1. Reasonable
  • 10. PRINCIPLES OF LAW The requisite of reasonable is very important and always scrutinized by the courts. Courts can only hold a custom to be reasonable where the custom was design to prevent disputes among persons engaged in certain activities .e.g. fishing: Case: Van Breda Vs Jacobs. Page 9 of 81 rmmakaha@gmail.com 2. Certainty This stipulates that for a custom to be accepted it must be known. The persons to whom the custom is claimed to have force of Law must known the existence of such a custom for it to be accepted as binding. 3. Long establishment of custom The custom should have been practiced for a reasonable period of time. It is necessary that the custom must have existed for a sufficient length of time to have it become generally known. 4. Uniformity of observance Means that the custom must have been invaluably complied by the class of persons to whom it applies and the custom should be obligatory and not optional. 5. Number of witnesses. A substantiated number of witness are necessary. A Roman-Dutch Jurist suggested that these should be not less than Ten (10). NB: These principles were enunciated in this case: CASE: Van Breda Vs Jacobs FACTS: The case concerned a custom which prevailed amongst fisherman at False Bay in the Cape Province, S.A. it had been a standing custom known as first come first pull amongst local fisher man at the False Bay that once fisherman had set line or nets in a beach between the Cape points where no boats were permanently stationed. Other fisherman were not entitled to set their lines within a reasonable distance in order to poach an others’ fish. HELD: i. It was held by the court that this practice was “reasonable” in that it was designed to prevent disputes amongst fisherman. ii. It was held that the custom had been “Uniformly observed” amongst the fisherman at the time. iii. It was proved that the custom had “existed for some 45 years” and had been generally observed by all the fishermen in this locality. The court having established these facts recognized the custom as being legally binding.
  • 11. PRINCIPLES OF LAW Another Example of Custom Law practiced in the Netherlands was: The nucleus of these Custom Laws was influenced by Roman-Dutch Laws. And of these customs were family relations, and business relations. The following Laws were to be observed: i. No one should be enriched to the prejudice of another; ii. No-one should improve his position by means of his own wrong. iii. Relationship by blood confers rights in respect of a deceased persons’ property. • Customary Law can never contradict an Act of Parliament; • It can never be contrary to natural justice. Custom still applies in primary courts. The significance of the customary law and Primary Courts Act of 1981 is that for the first time in Zimbabwe, customary Law is administered by a single hierarchy of courts, i.e. to say that ultimately customary Law matters are appealable to the Supreme Court. Outdated Customs will be relegated in time to the archives. Page 10 of 81 NB: Limits to changing of Customary Law: rmmakaha@gmail.com 4. Common Law When a specific matter is not governed by legislation, common law usually applies. Zimbabwen common law is mainly the 17th and 18th century Roman-Dutch law that was transplanted to the Cape. This forms the basis of modern Zimbabwen law and has binding authority. Examples of common law crimes include murder, robbery and rape, etc. Whilst Zimbabwen common law is mainly Roman- Dutch law, not all the principles of Roman-Dutch law were transplanted to Zimbabwe. Sometimes English law had, by means of precedent, influenced Zimbabwen common law. Some common law principles are, for this reason, no longer pure Roman-Dutch law. The sources of Roman-Dutch law are the old sources which are the following: • Legislation (placaaten) - few of these still apply in Zimbabwe • Judgements of the old Dutch courts • Writings of learned authors (the so-called old authorities) such as Hugo de Groot, Voet, van Leeuwarm and van der Linden. 5. Authoritative texts It has already been pointed out that the writings of the old authorities on common law have binding force as a source of law. Many academics and other lawyers write books and articles in law journals. There are useful sources in which to find legal principles. The authors explain the whole legal position with respect to legislation, common law and case law. Legal practitioners, the courts and students consult these writings on regular basis. Although these writings do not have binding authority, they can sometimes have persuasive authority. A court may decide to follow the opinion of a particular author, or to depart from a precedents which is at variance with such an opinion. In this way modern authors can influence legal reform. 6. Indigenous Law (south Africa) Many black communities live according to indigenous law, which also takes on the form of written or unwritten customary law. Indigenous law is applied in the ordinary courts. The Evidence Amendment Act, (Act 45 of 1988) stipulates that a court can take judicial notice of indigenous law, provided that it is not in conflict with the principles of public policy or natural justice. In some instances an expert will have to give testimony on the content of these rules. The Black Administration Act, 1927 constitutes a partial codification of the principles of indigenous law albeit in a distorted form. The Code of Zulu Law is an example of codified African Customary Law. Case law on African Customary law is also applied. The big challenge facing democratic South Africa is to free indigenous law from the effects of colonial and apartheid domination and to develop a legal system that reflects the true values of a new democratic South Africa. The entire South African legal system and its sources must be re-examined
  • 12. PRINCIPLES OF LAW critically. All law is being subjected to critical scrutiny to reflect the new constitutional order. The central values of the South African Constitution mainly democracy, equality, dignity and freedom require a fresh look at South African common law, indigenous law, and religious personal law so that the new South African legal system will reflect the plural nature of the South African society and put and end to South Africa's colonial and apartheid past in its legal system. The process of law reform has begun but is bound to be a long process. Detailed Notes Zimbabwe Context Page 11 of 81 rmmakaha@gmail.com 1. The Legislature Laws made by parliament The most modern source of law Most important and quickest method of making new law, changing existing law, amending or repealing or abrogating the law altogether. Legislation refers to the law validly enacted by the legislative authority of Zimbabwe and assented to by the President of Zimbabwe. In Zimbabwe the legislative authority of Zimbabwe vests in the President and parliament of Zimbabwe which is the Primary Legislation states as follows: The Legislature of Zimbabwe can confer powers on any authority to create binding laws. Currently the Legislature of Zimbabwe is a bicameral system consisting of a Lower House (Parliament) and an upper House (Senate). Legislation brought through parliament has to be scrutinized by the Senate before it goes for assent to the executive President. The senate was recently ushered in through Constitutional Amendment Number 17 of 2005. The method of passing legislation is entrenched in Section 511 of the Constitution. All legislation in Zimbabwe is styled Acts of Parliament or Statutes. Other authorities such as the President, acting unilaterally, and Ministries can pass legislation known as Statutory Instruments, or Subsidiary Legislation. Subsidiary or Subordinate Legislation consists of the following: • Regulations made by a Minister for purposes specified in the Enabling Act of Parliament. • Bye-Laws created by specified local authorities such as Urban or Rural Councils, acting under powers given to them by the relevant Acts of Parliament. • Proclamations issued by the President for purposes such as dissolving Parliament. • Rules of the superior Courts to facilitate procedure and their operations. • Regulations made by the President under the Presidential Powers Temporary Measures Act. 2. Case Law / Precedent Precedent refers to past decisions of the superior courts. Precedents establish the legal position of cases tried in the courts and establish the reasoning for decisions made by the judges in each particular case. Conversely, precedents therefore guide the courts in making future decisions in similar cases brought before them. Zimbabwe relied on precedents of Zimbabwen origin or those of any jurisdiction in which English law and Roman-Dutch law is applied and the precedents of Rhodesia. The maxim Stare Decisi at non queta movere best sums up the use of case law in Zimbabwe. The maxim means to stand by old decisions and not disturb settled points. Supreme Court decisions in Zimbabwe are binding on all interior courts. High court ruling also binds the lower courts such as the Magistrates courts. Stare decisis is the legal principle by which judges are obliged to respect the precedents established by prior decisions. The words originate from the Latin phrase Stare decisis et non quieta movere: stand by decisions and do not disturb the undisturbed. In a legal context, this is understood to mean that courts should generally abide by precedents and not disturb settled matters. Ratio decidendi is a Latin phrase meaning the reason or the rationale for the decision. The ratio decidendi is [t]he point in a case which determines the judgment or the principle which the case establishes. In other words, ratio decidendi - legal rule derived from, and consistent with, those parts of legal reasoning within a judgement on which the outcome of the case depends.
  • 13. PRINCIPLES OF LAW It is a legal phrase which refers to the legal, moral, political, and social principles used by a court to compose the rationale of a particular judgment. Unlike obiter dicta, the ratio decidendi is, as a general rule, binding on courts of lower and later jurisdiction—through the doctrine of stare decisis. Certain courts are able to overrule decisions of a court of co-ordinate jurisdiction—however out of interests of judicial comity they generally try to follow co-ordinate rationes. An obiter dictum is Latin for a statement said by the way. Merriam-Webster Online Dictionary gives obiter dictum three definitions: • literally, something said [dictum] in passing [obiter] . . . • an incidental remark or observation • an incidental and collateral opinion that is uttered by a judge but is not binding In the third meaning, an obiter dictum is a remark or observation made by a judge that, although included in the body of the court's opinion, does not form a necessary part of the court's decision. In a court opinion, obiter dicta include, but are not limited to, words introduced by way of illustration, or analogy or argument. Unlike the rationes decidendi, obiter dicta are not the subject of the judicial decision, even if they happen to be correct statements of law. Under the doctrine of stare decisis, statements constituting obiter dicta are therefore not binding, although in some jurisdictions, such as England and Wales, they can be strongly persuasive. An example of an instance where a court opinion may include obiter dicta is where a court rules that it lacks jurisdiction to hear a case or dismisses the case on a technicality. If the court in such a case offers opinions on the merits of the case, such opinions may constitute obiter dicta. Less clear-cut instances of obiter dicta occur where a judge makes a side comment in an opinion to provide context for other parts of the opinion, or makes a thorough exploration of a relevant area of law. Another example would be where the judge, in explaining his ruling, provides a hypothetical set of facts and explains how he or she believes the law would apply to those facts. ``` The advantage of Precedents Is that they ensure informality and consistency in the application of the law and they maintain certainty and equality of the law in similar circumstances. The law becomes adaptable to changing circumstances. Adoption is easy, does not require formalities of debate over lengthy periods of time. Limits room for partiality. Page 12 of 81 rmmakaha@gmail.com Disadvantages It comes by chance when there is a court case in changed circumstances and so to the parties the law comes after the event as there is no prior notice. It is no comprehensive; it only deals with the point in issue. It requires a number of related cases to bring about a detailed body of law on any given aspect. It can not improve on the statute law as compared to legislation. It stifles the growth of the law by always looking back. 3. Customary Law The customary law of Zimbabwe is generally unwritten. Customary law refers to the fixed customs and practices of the tribes of Zimbabwe which were in practice since time immemorial. The customs must be certain, reasonable and must had attained the recognition of formal law. For example the criminalization of incest, in the sexual offences Act and the Criminal Law (Codification and Reform) Act is the recognition of customary law which prohibits incest or sexual relationship with certain degrees of blood affinity. The constitution entrenches the recognition of African Customary Law. Section 89 of the Constitution of Zimbabwe in imposing the law to be administered, sets up African customary law as part of the law to be administered. Other Legislation, such as the: Q Customary Marriages Act Q Administration of Deceased Estates Act. Q Customary Law and Local Courts Act. The acts also establish the application of Customary Law in certain respect. The Customary Law of Zimbabwe is limited in scope in its application. It has no criminal Jurisdiction whatsoever and it governs some areas of Marriage, Inheritance and Guardianship only. 4. Common Law Common law of Zimbabwe refers to the unwritten law or non- statutory law. Common law excludes the African customary Law. The common law of Zimbabwe is primarily the Roman-Dutch Law as applied at the Cape of Good Hope on the 10th of June 1891 as per the provisions of Section 89 of the Constitution of
  • 14. PRINCIPLES OF LAW Zimbabwe. The Common Law was transplanted from the Cape and imposed to Zimbabwe. However, the common law at the Cape in 1891 had been heavily influenced by English Law, hence the common law of Zimbabwe must be said to be Anglo-Roman-Dutch Law. A recent development in Zimbabwe ousts the application of Common Law. The recent Codification of Zimbabwe's Criminal Law through the Criminal Law (Codification and Reform) Act jeopardizes the application of Common Criminal law Section 3 of the Act states unequivocally that Roman-Dutch Criminal Law no longer to apply. 5. Authoritative Texts One cannot safely assert that authoritative text from acclaimed legal authors form part of Zimbabwe's law. However textbooks on law have persuasive authority upon which reliance can be had in making judicial decisions. The few authoritative legal authors in Zimbabwe rely on old Roman Dutch writers. They mainly write commentaries and guides to the law of Zimbabwe. Professor Geoff Feltoe has several Guides to the Laws of Zimbabwe which are widely used and referred to in litigation. His comments and assertions form persuasive grounds upon which cases can be decided. Understanding of the structure, hierarchy and composition of the Courts A supreme court (also called a court of last resort, instance, or judgment; or a high or highest court) is in some jurisdictions the highest judicial body within that jurisdiction's court system, whose rulings are not subject to further review by another court. The designations for such courts differ among jurisdictions. Courts of last resort typically function primarily as appellate courts, hearing appeals from the lower trial courts or intermediate-level appellate courts. Many countries in fact have multiple supreme courts, with each being the court of last resort for a particular geographical region or on a particular area of law. It is the superior court of record and final court of appeal. It consists of the chief justice who is the head of the judiciary and judges of the Supreme Court. It is not a court of first instance, except in constitutional matters. Also known as the court of appeal. It is a court of appeal from other courts unless the case is a constitutional Page 13 of 81 1) SUPREME COURT rmmakaha@gmail.com one. The court has unlimited jurisdiction in both criminal and civil cases. There shall be no appeal from any judgement or order of the Supreme Court. This is the highest court in the country. Other courts are bound by the decision of the Supreme Court. 2) HIGH COURT Presided over by judges who are appointed according to the constitution of Zimbabwe. The high court has full unlimited jurisdiction in both civil and criminal cases. The court is also a court of appeal from the magistrate court. It has jurisdiction and authority to review all proceedings and decisions of all inferior or courts below it. Appeal from the high court lie with the Supreme Court. This court can pass death penalty or life imprisonment.
  • 15. PRINCIPLES OF LAW 3) MAGISTRATES COURT e.g. regional, provincial, senior ordinary Page 14 of 81 rmmakaha@gmail.com magistrates. Presided over by a magistrate. Magistrates are appointed by the Public Service Commission All magistrates’ courts have no jurisdiction to try criminal cases involving the following; treason, murder or any offence where the person shall be sentenced to death if convicted. They cannot dissolve civil marriages. It can impose corporal punishment on minors. The strokes shall not exceed six. Regional magistrates has special jurisdiction as to punishment for rape, public violence, arson, malicious injury to property or attempts to commit these offences. 4) PRIMARY COURTS e.g. community court. Simple courts which are not very formal. Proceedings are not in written form. Legal practitioners cannot represent clients in these courts. The courts apply customary law only. They do not have jurisdiction in criminal cases. They cannot dissolve civil law marriages. Presided over by a presiding officer appointed by the minister. 5) SPECIALIST COURTS labour court, administrative court and small claims court. Detailed Notes Zimbabwean Context The Supreme Court Section 80 (1) of the Constitution provides for the creation of a Supreme Court which shall be the superior court of record and the final court of appeal for Zimbabwe. Subsection (2) and (3) provide that the Supreme Court shall consist of: (a) the Chief Justice; (b) such other judges of the Supreme Court, being not less than two, as the President may deem necessary, and (c) any additional judge or judges appointed for a limited period by the Chief Justice, such additional judges to be serving High Court or Supreme or former Supreme Court or high Court judges. As has been noted above, the Supreme Court, in addition to appellate jurisdiction, exercises original jurisdiction in cases where any person alleges that the Declaration of Rights has been, is being or is likely to be contravened in relation to him (or, in the case of a person who is detained, if any other person alleges such a contravention in relation to the detained person) that person may apply to the Supreme Court for redress. The Supreme Court therefore has a vital role to perform in the enforcement of the Declaration of Rights contained in the Constitution. Ordinary appeals are usually determined by a panel of at least three judges, one of who may not be an additional judge, and occasionally by a panel of two judges. In constitutional matters, the Justice Minister or the Chief Justice may direct that the case be heard by a panel of at least five judges, in which case only two members of the panel may be additional judges. The Chief Justice may, in his discretion, appoint a larger panel to hear any particular matter. The High Court Section 81 (1) of the Constitution provides for the creation of a High Court as a superior court of record. Subsection (2) and (3) provide that the High Court shall consist of: (a) the Chief Justice; (b) the Judge President of the High Court; and (c) such other judges of the High Court as may from time to time be appointed. And (d) any
  • 16. PRINCIPLES OF LAW Supreme Court Judge appointed as an acting High Court Judge by the Chief Justice after consultation with the Judge President. The Administrative Court The Administrative court was established in 1979 by section 3 of the Administrative Court Act and has special jurisdiction conferred on it by statute over particular matters but generally, the Court acts as a court of appeal from a wide range of administrative tribunals. The Administrative Court is special within the meaning of section 92 of the Constitution. Administrative Court Judges, known as Presidents, are appointed by the President after consultation with the judicial Service Commission (section 92 (1)). The condition of service of an Administrative Court President may not be amended during his term of office nor may his office be abolished without his consent (section 92(1)). By virtue of the provision of section 79A (d) and79B, the judges of special courts such as the Administrative Court are subject to the same constitutional safeguards as regards independence of a judiciary as Supreme Court and High Court judges. However, the section 86(tenure) and 87 (removal) do not appear to apply to judges of special courts such as the Administrative Court. The jurisdiction of the Administrative Court includes original jurisdiction in relation to land acquisition cases under the Land Acquisition Act and also appellate jurisdiction in matters relating to various publication laws such as the Access to Information and Protection of Privacy Act. Magistrates' Court Magistrates' Courts are the courts of first instance in criminal matters and therefore occupy the important position of deciding on bail land remand accused persons in most cases. The importance of this position is thrown into relief when the large number of allegations of violence in police custody and the large number of cases in which charges are not preferred or are eventually withdrawn are considered. The System for the Administration of the Courts The central figure in the administration of the Zimbabwe court system is the Registrar of the relevant court. The court Registrar is responsible, inter alia, for fixing the amount of security to be lodged by an applicant following the filing of an election petition. The Registrar had direction as to whether to allow access to court records in the High Court and the Supreme Court. The Registrar is also the person administering the court roll and who is therefore in control of assigning hearing dates for cases. Messengers of the court and sheriffs are responsible for serving court process and enforcing court orders. It is self-evident that without the service of process or the effective enforcement of court orders, much of the purpose of litigation, both civil and criminal, is rendered otiose. The distinction between civil and criminal processes Criminal Cases A criminal case, which is handled by local, state, or federal courts, involves an acting representative of the government, generally a prosecutor, district, attorney, or grand jury, pressing charges against individuals or entities suspected of committing crimes. Crimes, and hence criminal cases, can be defined as those actions or disputes where a violation of public law occurs. For criminal cases, the alleged crimes may have also afflicted victims in a manner that also warrants civil suits being filed, which will allow victims to collect damages for their injuries and losses. Civil Cases Civil cases are initiated when a wronged party, the plaintiff, files a complaint with the court of appropriate jurisdiction. The delivery of this complaint against named wrongdoers, known as defendants, is the action known as filing a lawsuit or bringing suit. While civil cases may involve criminal actions, these trials are completely separate from the proceedings of a criminal trial. Additionally, civil cases cover the gamut of disputes, disagreements, and grievances a plaintiff feels cannot be resolved sufficiently with defendants without court intervention. Within the legal system, various types of civil cases may include: Page 15 of 81 rmmakaha@gmail.com
  • 17. PRINCIPLES OF LAW Page 16 of 81 rmmakaha@gmail.com • Divorce • Child support • Child Custody • Alimony • Contractual disputes • Personal injury tort claims • Product liability • Class action suits • Wrongful death • Medical malpractice • Intellectual property disputes • Libel, slander, and defamation of character • Estate planning disputes • Property and zoning disputes • In essence, any disagreement that is not in violation of criminal laws in a given jurisdiction is an eligible civil case, as well as the damages stemming from some criminal cases. In all civil cases, plaintiffs will be seeking remedy from a defendant or defendants. Remedy will often come in the form of a court mandated judgment that attempts to rectify, through judicial ruling, the outcome of a dispute. Additionally, remedy can be achieved in civil cases through settlement, which may be provoked in light of the costs and potential losses stemming from an impending civil trial. Remedies sought by plaintiffs in a civil case may take a number of forms including: • Settlement • Damages • Injunction • Declaratory judgment CRIMINAL LAW CIVIL LAW Regulates the conduct of individuals and the state. Regulates the conduct of individuals. State is involved. The state is not involved. The major aim is to rehabilitate the offender. The aim is to compensate the innocent party for wrong done. An act or the act prohibited must have happened. There cannot be a crime unless the prohibited act has happened. An action may arise even before the wrong has been done. The wrong doer must have had the intention to commit the offence. An action arises even if the wrong doer had no intention to prejudice or injure the other party The act complained of must be unlawful. There is no need to establish that the act is unlawful. Proof beyond reasonable doubt Proof is on a balance of probabilities If convicted or found guilty a fine or punishment is If found liable, damages are payable to the wronged imposed and payable to the state. party or person. Prosecution is initiated by the state. Action is initiated by the wronged party. Variable CRIMINAL CIVIL 1.Definition Composed of rules formed/organized by the state which prohibit certain acts on pain of punishment. Concerns private affairs as opposed to state concerns 2.Initiators The state initiates the case. The plaintiff starts the case 3.Summons The member of the police issues it. Issued by the messenger of court 4.Costs Costs are met by the state Costs are met by the individual 5.Judgement Upon conviction, the offender may be subjected to a fine, imprisonment, whipping, and in extreme cases death penalties. Offender will be liable to a fine The basic idea behind a civil action is to compensate the individual who has been wronged or to declare rights and obligations.
  • 18. PRINCIPLES OF LAW payable to the state and the injured ends up in no financial gain. 6.standard of proof The onus of proving the crime rest on the state and the standard required is proof beyond reasonable doubt. Page 17 of 81 rmmakaha@gmail.com Rest upon a balance of probabilities. 7.Prosecution The decision to prosecute a crime lies with the state more particularly with the state more particularly with the A.G. certain requirements must be met before a private prosecution is initiated. • A certificate (nolle prosequei) declining to prosecute must be obtained from the A.G’s Office. • The person seeking the action must show that s/he has a direct interest in the matter. The harm caused amounting to a crime must affect him/her directly. The plaintiff is the person bringing the action. The plaintiff has a discretion to bring action to court or to waiver his/her rights. 8.Pleadings A docket is opened – to plead guilty/ not guilty. Only statements of claims are used by the plaintiff and the defendant. 9.Parties involved Defendant Vs Complainant Plaintiff, Aggrieved, Wronged, Prejudiced Vs Defendant. 10.Offence The act prohibited must have happened. There cannot be a crime unless the prohibited act has happened.e.g.Murder, somebody must have been killed. An action may arise even before the wrong has been done.e.g. one can seek an interdict that the other party be prevented from doing something.NB: the innocent party has a duty to minimize his loss. 11.Intention The wrong must have had intention to commit the offence.e.g.murder; there must be intention to kill. An action arises even if the wrongdoer had no intention to prejudice or injure another. 12.Unlawful acts The act complained of must be unlawful. There is no need to establish that the act is unlawful. 13.Aim The major aim is to rehabilitate the offender. He is punished for his conduct. It also aims at deterring the offender and other like-minded persons. The aim is to compensate the innocent party for wrong done or to declare rights and obligations. (These topics carry weighting of 3% of the examination.)
  • 19. PRINCIPLES OF LAW LAW OF CONTRACT Definition of a contract 1. A contract is a lawful agreement between 2 or more persons/parties/people within the limits of their contractual capacity, with the serious intention of creating a legal obligation, communicating such intentions without vagueness, each to the other being of the same mind as to the subject matter, to perform positive or negative acts which are possible of performance. 2. A contract is an agreement between two or more parties which, if it contains the elements of a valid legal agreement, is enforceable by law or by binding arbitration. That is to say, a contract is an exchange of promises with specific legal remedies for breach. These can include Compensatory remedy, whereby the defaulting party is required to pay monies that would otherwise have been exchanged were the contract honored, or an Equitable remedy such as Specific Performance, in which the person who entered into the contract is required to carry out the specific action they have reneged upon. 3. A contract is an agreement that can be enforceable by law. An agreement is an offer and its acceptance. An agreement which can be enforceable by law must have some essential elements. The essentials for a valid contract – to be studied in detail viz.: 1. The agreement must be lawful. The objective of the agreement must be lawful. Any act prohibited by law will not be valid and such agreements cannot be treated as a valid contract. John rents out his house for the business of prostitution or for making bomb, the acts performing there are unlawful. Hence such agreement cannot be treated as a valid contract. Therefore the consideration as well as the object of the agreement should be lawful. CASES: Ex turpi causa rule, ( from a dishonorable cause an action does not arise) is a legal doctrine which states that a claimant will be unable to pursue a cause of action, if it arises in connection with his own illegal act. Particularly relevant in the law of contract, tort and trusts, ex turpi causa is also known as the illegality defence, since a defendant may plead that even though, for instance, he broke a contract, conducted himself negligently or broke an equitable duty, nevertheless a claimant by reason of her own illegality cannot sue. MURPHY VS TENGENDE, The issue was about dealing in foreign currency, pounds and Zimbabwe dollars. It was held that the 2 had no license to deal in forex so their transaction was unlawful In pari delicto rule, “in equal fault (better is the condition of the possessor) is a legal term used to indicate that two persons or entities are equally at fault, whether the malfeasance in question is a crime or tort. The phrase is most commonly used by courts when relief is being denied to both parties in a civil action because of wrongdoing by both parties. The phrase means, in essence, that since both parties are equally at fault, the court will not involve itself in resolving one side's claim Page 18 of 81 rmmakaha@gmail.com
  • 20. PRINCIPLES OF LAW over the other, and whoever possesses whatever is in dispute may continue to do so in the absence of a superior claim. The doctrine is similar to the defense of unclean hands, both of which are equitable defenses. Comparative fault and contributory negligence are not the same as in pari delicto, though all of these doctrines have similar policy rationales. DUBE VS KHUMALO, the 2 were involved in an adulterous affair, which was Page 19 of 81 rmmakaha@gmail.com rendered unlawful. 2. Contractual capacity, All majors or adults who do not suffer from any legal disability can enter into a contract. There are certain categories of persons who have either capacity or cannot enter into a contract at all. These are; o Minors (kids) o Insolvent persons o Drunken persons o Prodigals (Mitchell vs. Mitchell Others) o Mentally ill persons (Pheasant Vs Warne) o Alien enemies o Artificial persons o Persons convicted of certain crimes Parties entering into an agreement must be competent and capable of entering into a contract. If JOHN agrees to sell a Government property to ANGIE and ANGIE agrees to buy that property, it could not be treated as a valid agreement as JOHN is not authorized or owner of the property. If any of the party is not competent or capable of entering into the agreement, that agreement cannot be treated as a valid contract. According to the law of contract, every person is competent to contract who is of the age of majority according to the law to which he is subject and who is of sound mind, and is not disqualified from contracting by any law to which he is subject. So it is clear that the party must be of sound mind and of age to enter into a valid agreement which can be treated as a valid contract. CASES: involving Minors capacity o EDELSTEIN VS EDELSTEIN o DAMA VS BERA o STATTAFORD VS OBERHOLZER CONTRACTUAL CAPACITY The agreement must be made within the limits of the parties’ contractual capacity. While the General rule is that every person is able to contract freely within the limits of the law, the following are persons of limited contractual capacity whose power to enter into binding agreements is subject to special rules: 1. Minors 2. Married women subject to the marital power of their husbands 3. Mentally ill persons 4. Drunk persons 5. Prodigals/Spendthrifts 6. Insolvent person 7. Alien enemies 8. Artificial Persons 9. Illegal Associations In addition they may be subject to certain disqualifications under various statutes, just as persons who have been convicted of crime are. 1. MINORS A Minor is an unmarried person under the age of 18 years. He is under the custody and lawful authority of a guardian whose duty it is to maintain the minor until he can maintain himself, administer property and assist him in contracting. The guardian is normally a natural guardian, i.e. the father or the mother where the father is dead, a court has awarded the sole guardianship to her, or the child is illegitimate, but may be appointed by a deceased natural guardian’s will or by the High Court (the upper guardian of a child).
  • 21. PRINCIPLES OF LAW NB: When a person marries before majority age he is tacitly emancipated/acquires majority status. Contracts made by a minor are considered under two heads: a). Those made without the guardian’s assistance and;(unassisted contracts) b). Those made with the guardian’s assistance or made on the minor’s behalf by the guardian.(Assisted contracts) Page 20 of 81 rmmakaha@gmail.com UNASSISTED CONTRACTS General Rule: a contract made by a minor without the guardian’s assistance is void as far as the minor is concerned and valid as far as other party is concerned. The authority for this proposition is the Dutch Jurist, Voet, quoted in the case of Edelstein Vs Edelstein; “from the principles of the law it is clear that a minor who contracts without the assistance of his guardian can render others under an obligation to himself, but does not himself become obliged to them….. [as] on the minor’s side a contract entered into without the assistance of his guardian is ipso jure (by the law itself) null and void.” A minor who contracts without his guardian enjoys the best of both worlds. He binds the other party to him but does not bind himself to the other party. The option of treating the contract as void or valid rests with the minor (or, more precisely, his guardian who acts for him). If the minor elects to treat the contract as valid, he can compel the other party to perform; he will then also have to fulfill his own part of the contract. If the minor prefers to treat the contract as void, the other party cannot compel him to perform his part of the bargain; a minor who has already performed can recover from the other party whatever he has paid or delivered, but he may not keep what he has received under the contract because this would unjustly enrich him at the other party’s expense. He must restore it, though not necessarily in full. CASE: Edelstein Vs Edelstein FACT: A female minor whose parents were divorced ( the mother was awarded custody but the father remained the natural guardian)entered into an ante nuptial contract with E. later in 1918, she and E were married with the implied consent of her father, who was informed of the proposed marriage and did not object. In 1947 E died leaving over £100 000. and the wife, considering the marriage to have been out of community of property because of the ante nuptial contract, accepted certain benefits under E’s will. In 1949, when she consulted her legal advisers with a view to drawing up her own will, the validity of the ante nuptial contract was questioned and she sought an order declaring the marriage in community of property. Of the parties cited as respondents, only the Commissioner for Inland Revenue opposed the order to avoid losing £33 000. death duties. HELD: The wife was bound by the ante nuptial contract on the ground that, while it had excluded community of property and profit and loss, it had conferred benefits on her through promises in it of marriage settlements by E. HELD: A minor is not bound by an unassisted contract even one to his benefit. The minor may elect to hold the other party bound, in which event the minor will also have to perform his obligations. But should the minor choose to escape the contract, he is bound only to the extent of his enrichment. Furthermore, unlike an ordinary contract, an ante nuptial contract cannot be ratified by a minor on attaining majority as this would amount to an impermissible alteration of the matrimonial property regime. The wife was granted the order that the marriage was in community of property. A minor may acquire without his guardian’s assistance a perfectly valid obligation, which is sometimes not contractual even though it arises in the course of attempting to contract, in the following circumstances: a). ENRICHMENT where a minor is unjustly enriched in terms of an unassisted contract, the contract remains void and he is not bound by it but he is under an obligation to make restitution to the other party to the extent to which he has been enriched; he is not obligation to restore whatever he has received pursuant to the contract, but only so much as still remains in his possession at the time of the action or the surrogates of such residue.(Case: Edelstein Vs Edelstein). In other words, where necessaries are supplied to a minor, he incurs an obligation to pay their value property purchased with money, or the proceeds of property, originally received must be yielded up; money spent on necessaries which would otherwise have had to be paid for out of the minor’s estate has to be accounted for. He is not liable for depreciated or destruction of property, or for money squandered or lost. CASE: Tanne Vs Foggitt FACTS:
  • 22. PRINCIPLES OF LAW Foggitt a minor, without his guardian consent, entered into an agreement with T, the principal of a business college, to attend typing classes for two weeks in May and the whole of April. He paid for the March lessons but then stopped attending and refused to pay the April account. HELD: Foggitt benefited from the contract only to the extent of the lessons actually received and those lessons having been paid for. Page 21 of 81 rmmakaha@gmail.com There was no further obligation on him. b). FRAUDULENT MISREPRESENTATION Where a minor fraudulently misrepresents his age or pretends he has been emancipated and so deceives another person, who is induced to contract with the minor believing him to be of age and emancipated, the minor incurs an obligation. This obligation is not contractual for the contract is void and the minor is not bound by it, but delictual because fraud is a delict and the minor is bound to make good to the other party any loss he has suffered as a result of the fraud. Moreover, the minor is precluded from obtaining the remedy of restitution by which would otherwise be entitled to reclaim whatever he has paid or delivered in pursuance of the agreement. c). TACIT EMENCIPATION Where a minor is tacitly emancipated, he can incur a binding contractual obligation within the field of his emancipation. Tacit emancipation occurs when one is allowed by his guardian to carry on business or any other occupation on his own behalf but the minor can contract to the extent to which he has been emancipated. i.e. the guardians consent has been given in advance. The test for determining whether the minor has been emancipated is whether the minor is economically independent and whether his guardian allows him a measure of contractual freedom. A separate place to live and the carrying on of his own business may be indicative that his guardian has permitted him to enter into contracts without assistance and that he has been emancipated but these factors are not conclusive evidence. It must be borne in mind that whilst emancipation can provide capacity to act, it is not a means of terminating minority. An emancipated minor therefore still needs his guardian’s permission when he wants to get married. He also requires the consent of his guardian if he wishes to alienate or burden any fixed property belong to him, for such transactions he may also require the consent of the courts. CASE: Dama Vs Bera FACTS: Bera an Indian girl nearly 16 old had been earning her living as a servant for some 4 to 5 years. She lived with her parents but retained control of her income and paid a certain sum to them for board and lodging. The employer failed to pay the girl. HELD: Bera was tacitly emancipated and could sue Dama, her employer, for the wages due. d). RATIFICATION Where a minor contracts without his guardian’s consent the contract may be subsequently ratified by the minor on attaining majority either expressly or by conduct/impliedly. CASE: Stuttaford and Company Vs Oberholzer FACTS: Oberholzer bought a motor cycle from Stuttaford on hire purchase while still a minor. After attaining his majority, shortly afterwards he continued to use the motorcycle but when sued for the installments due he set up his minority at the time as a defense to the action on the contract and tendered the return of the motor cycle and treats it as his own. HELD: Oberholzer had ratified the contract hence was bound by it. e). STATUTORY EXCEPTIONS A minor is entitled to contract on his own behalf under the following statutes: Insurance Act (Cap 196 ;s 37), provides a minor without his guardian’s consent can effect a life policy and pay the premiums as they fall due but shall not cede or surrender the policy while he is a minor without guardians consent. Post Office Savings Bank Act (Cap 249;s 9), provides deposits made by or on behalf of a minor may be repaid to him after he has attained the age of 7 years in every respect as if he were of full age.
  • 23. PRINCIPLES OF LAW Building Societies Act (Cap 189;s 19), provides a minor over the age of 16 years can be a member or depositor with any building society without his guardians’ consent and enjoy all the privileges and obligations attaching to the members or depositors. Page 22 of 81 rmmakaha@gmail.com ASSISTED CONTRACTS A minor is bound by contracts made on his behalf by his guardian or made by himself with his guardian’s assistance given at the time, beforehand or afterwards. CASE: Skead Vs Colonial Banking and Trust Company Ltd FACTS: Skead, a minor, with his guardian’s consent, signed a promissory note for £37 in payment of the first premium in a twenty-year endowment assurance policy for £750. in favour of Skead, the note to become due eight days after he attained his majority. At the time Skead contemplated marriage and the policy was considered the best means of his saving money. After the due date Skead was questioned by Colonial Bank, the holder of the note, and replied that he had no funds to pay it. HELD: Skead was liable because as the contract had been made with the consent of his guardian acting bonafide and reasonably as it was not to his prejudice, he was liable to pay. Since he was going to benefit even if the guardian died, the assurance policy doesn’t expire. NB: if the contract is to the minor’s prejudice, he may obtain an order setting it aside, in which case the guardian may be personally liable. CASE: Wood Vs Davies FACTS: The father and natural guardian of Wood, a minor who had inherited a sum of money, bought on his son’s behalf a house then worth £1550 for £1750, payable in installment until majority, installments were paid out of interest on the inheritance. On Wood attaining majority a considerable sum still owed and the installments would absorb a large portion of the interest. Wood, until majority, had lived in the house with his parents. On attaining majority Wood sued for cancellation of the sale and return of installments paid with interest. HELD: There was serious and substantial prejudice to Wood, he was entitled to restitution and the contract should be cancelled. But Davies the seller was to be given credit for a sum of money representing the value of the use of the house during the period in which Wood lived in it with his parents. NB: The guardian’s consent may be express or tacit, or may be implied from the fact that the guardian with full knowledge of the transaction raised no objection. NB: A guardian need not consent to the contract before it is made; it is sufficient if, knowing of the terms, he gives his consent after the event and so ratifies the contract. 2. MARRIED WOMEN SUBJECT TO THE MARITAL POWER OF THEIR HUSBANDS. Married women subject to the marital power of their husbands have limited power to contract. The wife’s capacity is similar to that of a minor under the guardianship of her husband. She ha no power to enter into any contract and bind herself, or her husband, without the knowledge or consent of her husband, unless such contract is subsequently ratified by him. If she purports to do so, the contract is void. People marry without an ante nuptial contract in which case the subject themselves to the common law regime of community of property, community of profit and loss and marital power, or enter into an ante nuptial contract before their marriage excluding these common law consequences. Variable consequences of: Marriage in Community (Civil Marriage) Chapter 5.11. (Without ante nuptial contract) Community of Property Property between spouses shall vest into a joint estate. This means that all their present and future property whether vested in them at the time of or during marriage becomes the common or joint property of both spouses in equal undivided shares.
  • 24. PRINCIPLES OF LAW Community of liabilities All the liabilities of either spouse whether incurred by them before or during the marriage becomes the joint liability of both spouses. The property brought into the marriage by one party may consequently be sold to pay the premarital debt of the other. Community of Profit and Loss The legal effect is that all profits made by either party during the marriage fall into the community and all loses incurred by either party must be shared by both. It follows that the spouses have no separate property. Insolvency of the Joint Estate If the husband cannot pay the debts of the joint estate, the estate is in an insolvent condition. In this event, the joint estate may be sequestrated by the creditor but the private estate of the wife cannot be sequestrated.e.g. Inherited things Marital Power of the Husband. Husband acquires what is known as the marital power consisting of the guardianship of his wife and the power of administration. The husband shall not abuse the marital power. Marriage out of Community of Property (with ante nuptial Contract) It is made by the parties before the marriage and this means agreement before the marriage. Such a contract whether, in writing or not it is always binding on the parties themselves after the marriage but it has no force or effect against any other person unless it has been duly registered in the Deeds Registry. Page 23 of 81 rmmakaha@gmail.com Customary Law Marriage. A woman married in terms of customary law Chapter 5. 07 Customary Marriage Act, is incompetent to enter into contract and will need the assistance of the guardian or her husband. Marriages are in two forms. Customary Union (kutizira) Customary Marriage Act/African Marriage (this is done by any Magistrate) Customary Law marriage is common law and the General Rule is that the marriage creates community of property, community of profit and Loss in a joint estate of which the husband has the sole right and power of administration and the wife has no say in this administration. The common law can be varied by ante nuptial contract entered into before marriage and properly executed and registered. The presumption of limited legal capacity to contract is waived if the women can show that she is emancipated. A married woman may own property acquired by her own labour.e.g. Cattle, pots and utensils and this is not subject to the husband’s control. The following circumstances are where the Joint Estate incurs an obligation through the act of the Wife: a). ENRICHMENT If the wife purports the contract and the joint estate is enriched, the husband in his capacity as administrator of the joint estate will incur an obligation based on the law of unjust enrichment. CASE: Karsten Vs Forster FACTS: Forster sued Karsten, a woman married in community of property, for £50 which Karsten had agreed to pay Forster in considering of his singing a certain option for the sale of a farm. Karsten pleaded that the contract was void because it was signed by her when she was married in community of property and the husband had not consented. HELD: Karsten and her husband had been enriched by the sale of the farm, which would not have taken place if Forster had not been induced to sign the option and the husband was bound by the contract. b).NECESSARIES (Include food, clothing, medical and dental expenses and other business connected with the household) The General Rule is that; All wives, whether married in or out of community of property, are entitled to make contracts for household necessaries without reference to their husbands. Where the marriage is in community of property, the Joint Estate is bound and only the husband in his capacity as its administrator may e sued during marriage. If the marriage is dissolved before the debt is paid, the trader can sue the husband for the whole debt or the wife for half, a husband who pays the whole debt will recover half from his ex-wife.
  • 25. PRINCIPLES OF LAW Where the marriage is out of community, husband and wife are jointly and severally liable to the trader, which means he can sue either husband or wife for the whole amount. If he collect payment from the husband, that is the end of the matter. When he chooses to sue the wife, or if she pays voluntarily, the wife has a right of recourse against the husband for his pro-rata of the debt, determined according to the relative means of the spouses. When the parties are living together, even a notification to the supplier that the husband has withdrawn his wife’s right to Page 24 of 81 rmmakaha@gmail.com pledge his credit has no legal effect It is no defense to a supplier’s claim for the husband to his wife had no need to buy on credit. CASE: Clark Co Vs Lynch FACTS: Clark sued Lynch for R122.in respect of necessaries of life and household necessaries supplied to his wife. HELD: The wife has power to bind the husband in respect of all those matters reasonably incidental to that organized family establishment, whether the articles furnished are consumed or used by the husband or the wife or children or their servants or anyone else who is living with them either permanently or temporarily as part of the joint establishment of the marriage partners. A notification to a supplier that the husband has withdrawn his wife’s right to pledge his credit has no legal effect so long as the wife and husband continue to live in, or during any period when they subsequently re-establish, a common household. The husband in an action for an amount owed in respect of necessaries supplied to his wife cannot rely on the fact that his wife has been provided with sufficient funds to make it unnecessary for her to buy on credit. Where a wife abuses her rights her husband can terminate her authority to pledge his credit by obtaining an interdict from the court. CASE: Traub Vs Traub FACTS: A wife was not short of any reasonable necessity or luxury but was incurring debts which amounted to gross extravagance and prodigality. HELD: The husband should be granted an interdict restraining his wife from binding his credit. If the wife is living apart from her husband owing to his fault she can bind his credit, but not where the common household is broken up by the wife’s conduct. CASE: Gammon Vs McClure FACTS: G met his wife on the way out to settle in South Africa and married her soon after arrival. Not long after settling in Grahamstown he grew tired of her and forced her to return to Cape Town where she bought necessaries. HELD: A husband is bound to support his wife who left him owing to his misconduct and is liable to pay for necessaries supplied to her. NB: A husband is not liable for necessary services rendered to his wife after she has unlawfully deserted her husband and is living apart from him. If, after the common household has broken up, the husband adequately provides for his wife and notifies a supplier that he is doing so and will not pay for necessaries supplied to her, the supplier cannot sue the husband for the cost of necessaries supplied after receipt of the notice. If, although the marriage has actually been dissolved, the husband comport himself as if the marriage still exists, he will continue to be liable. CASE: Thompson Vs Model Steam Laundry Ltd. FACTS:
  • 26. PRINCIPLES OF LAW After divorce, T hired a house in which he, his children and his former wife, in the capacity of manageress of the household, lived , to outward appearance as a married couple with children. The former wife pledged his credit for laundry work. Page 25 of 81 rmmakaha@gmail.com HELD: T was liable on implied agency, namely authorization of his former wife to pledge his credit for household necessaries. Whether articles bought by a wife are necessaries or not is for the court to decide and in deciding t has regarded to the social standing and means of the parties and their habits of life in the past. C).PUBLIC TRADER A public trade is one in which the wife indicates to the public, expressly or impliedly, that she is open to do business with any person, whatever the business or profession carried on. A married woman openly carrying on any retail or wholesale trade may validly contract in all matters connected with such trade and may consequently bind herself and her husband and sell and burden the stock of the business. (Grotius 1.5.23) Wessels J said: “It appears to e an established law that where a woman married in community of property carries on business as a public trader she is deemed to be acting as her husband’s agent in every transaction entered into by her in connection with that business. It is equally clear that the assets and liabilities of the business do not fall outside the joint estate of the parties so as to form part of a separate estate.” The husband’s consent to the trading may be withdrawn y him or terminated by his insanity. D). AUTHORITY OF THE COURT Where a husband is absent from the country, or unreasonably withholds his consent to his wife’s contracts, the court may authorize her to contract, either specially or generally. E). STATUTORY EXCEPTIONS A woman married in community of property can contract under the following statutes. Insurance Act (Chp 196; s 39) provides that a married woman may effect and own a life policy, hold acquire and dispose of any interest in a life policy, hold and dispose of any moneys, or any asset acquired with those moneys, accruing from any interest in a life policy, in all respects as if she were a single woman of full age and capacity. Post Office Savings Bank Act (Chp 249; s 10) provides a married woman, whether under marital power or not, may be a depositor and with or without assistance execute all necessary documents, give all necessary aquittances and enjoy all the privileges and be liable to all the obligations attaching to depositors. Building Society Act (Chp 189;s 19) provides that a married woman whether under marital power or not, may be a member of or deposit with any building society, and may, without her husband’s consent or assistance, execute all necessary documents and generally have all the privileges and obligations attaching to members or depositors. 3. MENTALLY ILL PERSONS A contract made by a mentally ill person is Void if at the time of the agreement he could not understand and appreciate the transaction into which he entered or if his consent was motivated or influenced by an insane delusion caused by mental disease. CASE: Lange Vs Lange FACTS: At the time of his marriage L understood the nature of the contract and appreciated the nature of the obligations he was undertaking, but he was already suffering from a mental disease and his volition in entering into the marriage was influenced by auditory hallucinations caused by the disease. HELD: The marriage should be declared null and void ab intio ( from the beginning). NB: it is not necessary to prove that a person, owing to mental disease, did not understand or appreciate the nature of the contract; proof that his consent was motivated or influenced by an insane delusion caused by mental disease is sufficient. Whether or not a mentally ill person could understand and appreciate the transaction is a matter of fact in which the court will consider all the relevant evidence. A mentally ill person may incur an obligation on the grounds of enrichment. Where a person has been declared mentally disordered or defective under the Mental Health Act (Act 23 of 1976), the order operates while in force so as to create a rebuttable presumption that he is mentally ill and any contract made by him will be void unless it be proved that at the time he was in full possession of his faculties or his state of mind was such that he was able to understand the nature of the contract and appreciate properly the duties and responsibilities created by it.
  • 27. PRINCIPLES OF LAW CASE: Prinsloo’s Curators Vs Crafford and Prinsloo Page 26 of 81 rmmakaha@gmail.com FACTS: P, who had been declared of unsound mind by order of court, married C in community. At the date of the marriage the order was still in force but P was as a fact of sound mind and entered into the contract voluntarily and fully understanding its significance. HELD: The marriage was Valid. 4. DRUNK PERSONS Where a person enters into a contract while so drunk that he does not know he is entering into a contract or has no idea of the terms, the contract is void but not if the drunk person is merely more easily persuadable or more willing to conclude the contract. Intoxicated Persons. Intoxicated, acute or chronic, which makes a party unaware that he is contracting or unable to appreciate the nature of the contract, renders the contract void. Intoxication of a lesser degree will be of significance only if induced by the other party to the contract in order to gain an unfair advantage, in which case restitution will be granted. NB: A drunk person can incur an obligation on the ground of enrichment. 5. PRODIGALS. A prodigal, who is a person declared by the court to be incapable of managing his affairs as a result of a propensity to squander his assets, cannot contract with regard to his property and if he does so the contract is void, but apart from his property he is entitled to contract freely. A person who is recklessly frittering away his estate may, at the instance of a relative or other interested person, be interdicted from contracting without the assistance of a curator appointed by the court. CASE: Cillie Vs Cillie FACTS: A wife alleged that her husband to whim she had been previously married but from whom she was now divorced, was squandering his assets and was almost continually under the influence of liquor. HELD: An order should be granted declaring C a prodigal, interdicting him from dealing with his property and appointing a curator bonis to his property. CASE: Mitchell Vs Mitchell Others FACTS: M had been declared incapable of managing his affairs and curator bonis had been appointed by the court. Thereafter M without the curators’ consent married. HELD: A curator bonis deals with the estate of a person under curatorship and not with his person. In his personal relationship to others not affecting his estate the curator has no right to interfere. If he chooses to marry, the curator cannot interfere except in so far as it relates to his property. Where a person under curatorship has not been declared a lunatic, the curator has no locus stand to upset his marriage merely because marriage entails maintenance. • If a prodigal contracts without his curator’s consent the contract may be subsequently ratified by the curator. 6. INSOLVENT PERSONS. Insolvency is the condition of a person when his financial position reaches the stage that he is unable to pay his debts or his liabilities exceed his assets. In such an event the condition of the debtor may be officially recognized by the law for the protection not only of his creditors, but also of other persons. The Insolvency Act (Chp 303) provides that the court may, at the instance of the debtor himself or of his creditors, grant an order sequestrating the estate of the debtor.
  • 28. PRINCIPLES OF LAW The effect of a sequestration order is that the debtor becomes statutorily insolvent and all his property is placed under the control of a trustee who realizes it and distributes the proceeds among the various creditors in accordance with the Insolvency Act. The Insolvent becomes subject to legal disabilities and these continue until his estate has been finally distributed and he has been rehabilitated. The following restrictions are placed on the Insolvent’s freedom of contract: a). An Insolvent may not contract in such a way as to purport to dispose of any property of his insolvent estate (s 37 (2) (a) of the Insolvency Act) b). He may not without the written consent of his trustee enter into any contract whereby his estate is likely to be adversely affected. (s 37 (2) (b) ). c). He may not without the written consent of his trustee have any interest in, or be employed in, the business of a trader who is a general dealer or a manufacturer. (s37(3)) • If the Insolvent contracts in breach of these provisions, the contract is not void but remains valid until set aside by the trustee. • Also, where an insolvent without his trustee’s consent alienates property acquired after sequestration to a person who was not aware and had no reason to suspect that the estate was sequestrated, the alienation shall be valid. (s 40(1) Page 27 of 81 rmmakaha@gmail.com 7. ALIEN ENEMIES An Alien enemy is a person residing or carrying on business in enemy territory and any contract made with him in times of war is void as public policy requires that the state should not be hampered in its prosecution of the war nor the enemy in any way assisted. Where an enemy subject resides in Zimbabwe, he has full contractual capacity and any contract made with him is valid unless bad as against public policy. His internment appears to make no difference unless performance becomes impossible as a result of supervening impossibility of Performance. 8. ARTIFICIAL PERSONS In principle an artificial person’s contractual capacity is determined by its constitution. If it is created by special statute (Cold Storage Commission or Air Zimbabwe), reference must be made to that statute; if by Royal Charter (British South African Company) to that Charter. If it is a company registered under the Companies Act (Chp 190), its contractual capacity is determined by the objects clause of its memorandum of association, either expressly there conferred or such as may fairly be regarded as incidental to , or consequential upon, the specified objects. If an artificial person enters into a contract which it has no contractual capacity to make, the contract is void and cannot be ratified. NB: Re Jon Beauforte (London) ltd. A company, which was authorized by its memorandum to carry on business of costumiers and gown-makers, embarked on the business of making veneered panels and erected a factory for this purpose. The company later went into liquidation. Three creditors, a firm of builders who constructed the factory, a firm who supplied veneer, and a firm who supplied coke, all proved in the liquidation. The liquidator rejected their claims. HELD: Their claims were rightly rejected on the ground that the contractors were ultra vires (beyond the company’s powers). NB: Rules of unjust enrichment should apply to the rights of the parties in any ultra vires transaction. 9. ILLEGAL ASSOCIATIONS An illegal association has no locus standi in judicio (right to appear and be heard) and any contract made by it is void and unenforceable. But under the doctrine of unjust enrichment a remedy lies against its members who have derived benefits at the expense of others to which they were not entitled and any person trading with an illegal association or with its members has a liability to pay for benefits received by him. 3. Intention to contract, The parties entering into a contract must have an intention to create a legal relationship. If there is no intention to create a legal relationship, that agreement cannot be treated as a valid contract. Generally there is no intention to create a legal relationship in social and domestic agreements. Invitation for lunch does not create a legal relationship. Certain
  • 29. PRINCIPLES OF LAW agreements and obligation between father and daughter, mother and son and husband and wife does not create a legal relationship. An agreement wherein it is clearly mentioned that This agreement is not intended to create formal or legal agreement and shall not be subject to legal jurisdiction in the law of courts. cannot be treated as a contract and not valid. Page 28 of 81 rmmakaha@gmail.com CASES: BLOOM VS AMERICAN SWISS WATCH COMPANY 1955 WATERMEYER VS MURRAY (counter offer), one party offered to sell a farm to the other party on certain terms, the other party did not accept unconditionally but countered the offer setting his own terms of the offer. The original offeror decided not to offer his farm. CARLILL VS CARBOLIC SMOKEBALL COMPANY o One of the most famous cases on forming a contract is Carlill v. Carbolic Smoke Ball Company, decided in nineteenth century England. A medical firm advertised that its new wonder drug, the smokeball, would cure people's flu, and if it did not, buyers would receive £100. A significant number of people sued for their £100 when the product did not work. Fearing bankruptcy, Carbolic argued the advertisement was not to be taken as a serious, legally binding offer. It was merely an invitation to treat, or mere puff, a gimmick; however, the court of appeal held that to a reasonable man, Carbolic had made a serious offer. People had given good consideration for it by going to the distinct inconvenience of using a faulty product. Read the advertisement how you will, and twist it about as you will, said Lord Justice Lindley, here is a distinct promise expressed in language which is perfectly unmistakable. CRAWLEY VS REX KILBURN VS ESTATE KILBURN, the promise made by the husband was not a serious one that the husband had no intention of paying his wife the sum. The intention of the husband was that the wife should claim the sum if and when the husband went insolvent. It was held that there was no obligation and the wife could not claim the bond. 4. Agreement to be communicated and not vague, Wording of the agreement must be clear and not uncertain or vague. Suppose John agrees to sell 500 tones of oil to Mathew. But, what kind of oil is not mentioned clearly. So on the ground of uncertainty, this agreement stands void. If the meaning of the agreement can be made certain by the circumstances, it could be treated as a valid contract. For example, if John and Mathew are sole trader of coconut oil, the meaning of the agreement can be made certain by the circumstance and in that case, the agreement can be treated as a valid contract. According to the law of contract, Agreements, the meaning of which is not certain or capable of being made certain, are void. CASES: CANTOR VS CANTOR Husband promised wife that he will give her “something”, “sometime”. LEVESTEIN VS LEVESTEIN, courts can give meaning on the contract from evidence before it. 5. Parties must be of the same mind (consensus ad idem) The parties to the contract have a mutual understanding of what the contract covers. For example, in a contract for the sale of a mustang, the buyer thinks he will obtain a car and the seller believes he is contracting to sell a horse, there is no meeting of the minds and the contract will likely be held unenforceable. CASES:
  • 30. PRINCIPLES OF LAW MARITZ VS PLATLEY, auction - marble metal piece on which stood a mirror, the auctioneer put it up and it was sold to Platley, when the auctioneer later put up the mirror, Platley protested claiming that he had bought the metal piece and the mirror. GEORGE VS FAIRMCARD HOTEL, courts will not assist a foolish mistake Page 29 of 81 rmmakaha@gmail.com due to carelessness. BHIKAGEE VS SOUTHERN AVIATION, even though he did not understand the language the party entered into a contract. 6. The contract must be possible to perform. If the act is impossible of performance, physically or legally, the agreement cannot be enforced by law. There must be possibility of performance of the agreement. Impossible agreements like one claims to run at a speed of 1000km/hour or Jump to a height of 100feet etc. would not create a valid agreement. All such acts which are impossible of performance would not create a valid contract and cannot treated as a valid contract. In essence, there must be possibility of performance must be there to create a valid contract. CASE: PETERS FLAMMAN VS KOKSTAD MUNICIPAL COMPANY o Before Peters Flamman had completed to light the streets as per contract, World War broke out. The 2 were Germany nationals imprisoned as alien enemies as a result were not able to perform part of their obligation. The court ruled that as a result of imprisonment, it had rendered their performance impossible and consequently there was no breach of contract. It was a case of termination of contract due to supervening impossibility. OTHER ESSENTIALS FOR A CONTRACT TO BE VALID 1. Agreement not expressly declared void: For example Restraint of marriage. If John promises to pay $50 to Mary if she does not marry throughout her life and Mary promise not to marry at all. But this agreement cannot be treated as a valid contract owing to the fact that, restraint of marriage expressly declared void. Some of the agreement which have been expressly declared void are agreement in restraint of legal proceedings, agreement in restraint of trade, agreement in restraint of marriage and agreement by way of wager. 2. Proper offer and it s acceptance: To create a valid contract, there must be two or more parties. One who makes the offer and the other who accepts the offer. One person cannot make an offer and accept it. There must be at least two persons. Also the offer must be clear and properly communicated to the other party. Similarly acceptance must be communicated to the other party and the proper and unconditional acceptance must be communicated to the offerer. Proper offer and proper acceptance should be there to treat the agreement as a contract which is enforceable by law. The contract involves an offer (or more than one offer) to another party, who accepts the offer. For example, in a contract for the sale of a piano, the seller may offer the piano to the buyer for $1,000.00. The buyer's acceptance of that offer is a necessary part of creating a binding contract for the sale of the piano. Please note that a counter-offer is not an acceptance, and will typically be treated as a rejection of the offer. For example, if the buyer counter-offers to purchase the piano for $800.00, that typically counts as a rejection of the original offer for sale. If the seller accepts the counter-offer, a contract may be completed. However, if the seller rejects the counter-offer, the buyer will not