Assignment 1 Business Law

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Botswana College of Distance & Open Learning Diploma in Business Management Business Law Assignment: 1 Mmoniemang Motsele Student No: 201006379 1

Transcript of Assignment 1 Business Law

Page 1: Assignment 1 Business Law

Botswana College of Distance & Open Learning

Diploma in Business Management

Business Law

Assignment: 1

Mmoniemang Motsele

Student No: 201006379

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Question 1

Part A

a) Falseb) Truec) Trued) Falsee) Falsef) Trueg) Trueh) Truei) Truej) Est ius dicere non facere: means that it is the function of the judge to state the law not

to make (True).

Part B

1. A2. E 3. E4. E5. B

Part C

Emptio spei: Emptio spei is the denomination in Latin of one contractual figure coming from Straight Roman, whose literal translation would be “transaction of esperanza".

The term is used in Straight to designate a contract by means of which a person (buying) pays a price to another one (salesman) in exchange for a thing that perhaps takes place in the future and perhaps no, assuming the risk of paying the price although the thing does not get to take place.

Pactum de non cedendo (prohibition of cession) reservation exempting contractual or ability to transfer permissions (REC) of the agreement transfer road. The restriction can rely on the necessity of obtaining the consent of the debtor or the fulfillment of the other conditions laid down in the agreement.

The clause has legal power to buyer claims, if it knew, or when the contract is in writing stating the claim.

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 Caveat subscriptor -- Latin for "let him who signs beware." It refers to the sale of something of value in which the seller does not disclaim responsibility prior to the sale. In this situation, the seller assumes liability to the buyer for any deviations from the specifications stated in the written sales contract.

Fiduciary - a person to whom property or power is entrusted for the benefit of another.

Mora debitoris: Occurs when performance is possible but debtor, who is aware that performance is required, fails to perform on time (Broderick Properties Ltd V Rood 1962).

Question 2

a) Business in Botswana benefit from dictates of business law- The business community benefit because if the seller sell poor quantity to the buyer, the

buyer can sue and get compensation for poor quality product or service.

- If the buyer is not paying on time he/she can also be sued using case law

- The law encourages the parties to honor their obligations to a contract

- The law enables any breaches to be solved in a systematic manner using case laws such as judicial precedent

- The business law enables the parties to carry act business transactions on a willing buyer and willing seller relationship which encourages openers and fairness.

- Business law through its case laws enables the community to sue using judicial precedents

Sources of law in Botswana

Judicial Precedent: Under the doctrine of judicial precedent stare decisis, earlier decisions of higher courts are binding on lower courts dealing with the similar matters at a later date. When dispute arise between the parties lawyers on both sides will usually argue the matter in court before a judge. At the end of the arguments the judge makes a decision usually resolving the matter in favour of the successful party.

Before reaching his decision the judge usually reviews all existing relevant law and then formulates and applies a legal principle to the facts before hi. The principles laid down in the case may form a binding or persuasive precedent to be followed by the courts, in later disputes involving similar issues.

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Legal principle laid down in the case is known as the ratio decidendi (the rationale for the decision). This is what binds later courts dealing with a similar matter. What the judges says in passing the law is known as obiter dictum and is strictly not binding.

Common lawRoman Dutch law is said t be the common law of Botswana which was inherited from the Cape Colony. This is a hybrid system combining the common law of Holland which the Dutch settlers, at the Cape brought with them and English law. Where there is a Botswana precedent in existence on a particular matter, the courts will follow it. Where there is no local precedent the courts are guided by decisions from South Africa, England or other Roman Dutch common law jurisdiction such as Zimbabwe.

Customary lawIt is derived from societal customs of indigenous people of Botswana. Botswana is inhabited mainly by Tswana speaking tribes. Each of these tribes has its own customs, traditions and political system. These customs and systems form the customary law of these tribes. Customary law is very important in areas such as marriage, succession and land law.

LegislationThis is a very important source of law in Botswana. Legislation or statute law refers law passed by Parliament in the form of Acts of Parliament. The bulk of Botswana law is statute. These include the Constitution and Citizenship Act. The constitution is the most authoritative law in Botswana, and any statutory provision which conflicts with the Constitution is invalid. A lot of business law is statutory although it is in some cases supplemented by important common law principles. Example The Company’s Act (Cap 42.01), the Income Tax Act No. 12 of 1995. The Employment Act (47:01) and the Bill of Exchange (Cap 46:02).

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Question 2 CLease form

Botswana Residential Lease Agreement

             THIS LEASE AGREEMENT (hereinafter referred to as the "Agreement") made and entered into this 18day of February, 2011, by and between

Mmoniemang Motsele (hereinafter referred to as "Landlord") and

Angela Boteti __________________________________________________________________ (hereinafter referred to as "tenant").  

Witnesses:           Whereas, Landlord is the fee owner of certain real property being, lying and situated in Gaborone , such real property having a street address of Dikokwana Road (hereinafter referred to as the "Premises").                  

            Whereas, Landlord desires to lease the Premises to Tenant upon the terms and conditions as contained herein; and        

            Whereas, Tenant desires to lease the Premises from Landlord on the terms and conditions as contained herein;                 

            Now, therefore, for and in consideration of the covenants and obligations contained herein and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:                 

1. Term.  This Agreement shall commence on 1st March, 2011 ("Commencement Date"). [check either A or B]:

A. Month-to-Month: This Agreement shall continue as a month-to-month tenancy. If at any time Tenant desires to terminate the tenancy, Tenant may do so by providing to Landlord written notice of intention to terminate. Such notice to terminate must be provided to Landlord at least 30 days prior to the desired date of termination of the tenancy. If at any time Landlord desires to terminate the tenancy, Landlord may do so by providing to Tenant such written notice of intention to terminate at least 30 days prior to the desired date of termination of the tenancy. Notices to terminate may be given on any calendar day, irrespective of Commencement Date.

B. Lease: This Agreement shall continue as a lease for term. The termination date shall be on (date) 28th February 2012 at 11:59 PM. Upon termination date, Tenant shall be required to vacate the Premises unless one of the following circumstances occurLandlord and Tenant formally extend this Agreement in writing or create and execute a new, written, and signed agreement

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2. Rent.  Under the terms of this Agreement, "Rent" shall consist of all monetary obligations owed to Landlord by Tenant in accordance with this Agreement. However, the Security Deposit shall not be considered Rent. Tenant shall pay to Landlord Two Thousand PULA (P2000) per month as Rent for the Term of the Agreement. Due date for Rent payment shall be the 1st day of each calendar month and shall be considered advance payment for that month.

Acceptable forms of payment of Rent to Landlord shall be: Cash Payment shall be made to Landlord under the following name and address: Mmoniemang Motsele

In the event that any payment by Tenant is returned for insufficient funds ("NSF") or if Tenant stops payment, Landlord may require in writing that Tenant pay Rent in cash for three months, and that all future Rent payments shall be remitted by Tenant to Landlord by money order or cashier's check.

5. SECURITY DEPOSIT.  As a security deposit, Tenant shall deposit with Landlord the sum (not to exceed the equivalent of one month's rent) of Two Thousand PULA(P2000), receipt of which is hereby acknowledged by Landlord. Under New York law, the type of dwelling determines how the Landlord must handle the security deposit. Therefore, the parties shall place their initials after the appropriate provision.

If the Premises is a house, duplex, or an apartment in a building with five or fewer units, then the following provision shall apply: Such security deposit shall be returned to Tenant, without interest, and less any set off for damages to the Premises upon the termination of this Agreement. Tenant Initials: AB Landlord Initials: MM

USE OF PREMISES.  The Premises shall be used and occupied by Tenant as a private dwelling, and no part of the Premises shall be used at any time during the term of this Agreement by Tenant for the purpose of carrying on any business, profession, or trade of any kind, or for any purpose other than as a private dwelling. CONDITION OF PREMISES.  Tenant stipulates, represents and warrants that Tenant has examined the Premises, and that they are at the time of this Lease in good order, repair, and in a safe, clean and tenantable condition. 

7. ASSIGNMENT AND SUB-LETTING.  Tenant shall not assign this Agreement, or sub-let or grant any license to use the Premises or any part thereof without the prior written consent of Landlord.  A consent by Landlord to one such assignment, sub-letting or license shall not be deemed to be a consent to any subsequent assignment, sub-letting or license. 

8. ALTERATIONS AND IMPROVEMENTS.  Tenant shall make no alterations to the buildings or improvements on the Premises or construct any building or make any other improvements on the Premises without the prior written consent of Landlord. 

9. NON-DELIVERY OF POSSESSION.  In the event Landlord cannot deliver possession of the Premises to Tenant upon the commencement of the Lease term, through no fault of Landlord or its agents, then Landlord or its agents shall have no liability, but the rental herein provided shall abate until possession is given. 

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10. HAZARDOUS MATERIALS.  Tenant shall not keep on the Premises any item of a dangerous, flammable or explosive character that might unreasonably increase the danger of fire or explosion on the Premises or that might be considered hazardous or extra hazardous by any responsible insurance company. 

10. UTILITIES.  Tenant shall be responsible for arranging for and paying for all utility services required on the Premises. 

11. MAINTENANCE AND REPAIR; RULES.  Tenant will, at its sole expense, keep and maintain the Premises and appurtenances in good and sanitary condition and repair during the term of this Agreement and any renewal thereof.  Without limiting the generality of the foregoing, Tenant shall: 

Not obstruct the driveways, sidewalks, courts, entry ways, stairs and/or halls, which shall be used for the purposes of ingress and egress only;

Keep all windows, glass, window coverings, doors, locks and hardware in good, clean order and repair;

Not obstruct or cover the windows or doors;

Not leave windows or doors in an open position during any inclement weather; 

Not hang any laundry, clothing, sheets, etc.  from any window, rail, porch or balcony nor air or dry any of same within any yard area or space;

Not cause or permit any locks or hooks to be placed upon any door or window without the prior written consent of Landlord;

Keep all air conditioning filters clean and free from dirt;

13. DAMAGE TO PREMISES.  In the event the Premises are destroyed or rendered wholly uninhabitable by fire, storm, earthquake, or other casualty not caused by the negligence of Tenant, this Agreement shall terminate from such time except for the purpose of enforcing rights that may have then accrued hereunder.  The rental provided for herein shall then be accounted for by and between Landlord and Tenant up to the time of such injury or destruction of the Premises, Tenant paying rentals up to such date and Landlord refunding rentals collected beyond such date. 

14. INSPECTION OF PREMISES.  Landlord and Landlord's agents shall have the right at all reasonable times during the term of this Agreement and any renewal thereof to enter the Premises for the purpose of inspecting the Premises and all buildings and improvements thereon. 

15. SURRENDER OF PREMISES.  Upon the expiration of the term hereof, Tenant shall surrender the Premises in as good a state and condition as they were at the

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commencement of this  Agreement, reasonable use and wear and tear thereof and damages by the elements excepted.  

16.  ANIMALS.  Tenant shall be entitled to keep no more than two (2) domestic dogs, cats or birds.

17. LATE CHARGE.  In the event that any payment required to be paid by Tenant hereunder is not made within three (3) days of when due, Tenant shall pay to Landlord, in addition to such payment or other charges due hereunder, a "late fee" in the amount of Three hundred PULA(P300).

18. NOTICE.  Any notice required or permitted under this Lease or under state law shall be deemed sufficiently given or served if sent by Botswana certified mail, return receipt requested, addressed as follows:If to Landlord to: Mmoniemang MotseleLandlord's Name]P/ Bag 0022 Gaborone [Landlord's Address]

If to Tenant to: Angela Boteti [Tenant's Name]Box V1453Ramotswa[Tenant's Address]

As to Landlord this ______ day of ________________________, 20_____.  LANDLORD:

Sign: _______________________ Print: ____________________ Date: ______________ As to Tenant, this ______ day of ________________________, 20_____.  TENANT ("Tenant"):

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QUESTION 3 A

i) Advise Mr Thabo on his legal rights. (3 marks)

The issue is whether Thabo can get both the watch and computer. There is a decided case similar to this. In Maritz v Pratley, supra, the Court held that an auction sale was void by reason of an error in corpore, and it apparently rejected the seller's contention that the conditions of sale (requiring purchasers to acquaint themselves with the merx and making the sale voetstoots) precluded the purchaser from relying upon that mistake.” Mr Thabo should have enquired or seek clarity on the items before he assumed that the items were regarded as one. Since the facts are similar this means Thabo is not entitled to get both the computer and watch and this renders the contract void

ii) What advice can you give to the auctioneer? (3 marks)

The auctioneer should always make it clear to the bidders that by bidding items one at a time.

iii) What type of mistake is this, according to contract law? (3 marks)

The mistake is unilateral mistake. A unilateral mistake is where only one party to a contract is mistaken as to the terms or subject-matter contained in a contract. On the other hand in Maritz v Pratley (1894) items were displayed for auction, each bearing a number for identification. Prospective purchasers were requested to inspect the goods which were to be put up for auction. A mirror was displayed on a marble table and Pratley made a bid on the table thinking that the mirror formed part of the table. He refused to pay separately for the mirror and was sued by the auctioneer for the purchase price. The court ruled that there had been a mistake (error) regarding a fact material to the contract and consequently no consensus had been reached. The contract was therefore void.

QUESTION 3 B

i) Advise Boitumelo on his legal right. (3 marks)

The issue is whether Boitumelo is entitled to claim for a reward arising from an advert which she was not aware of. A general offer to the public is one which can generally be accepted by any member of the public who meets the specifications of that offer. In general advertisements are not an offer but mere '' INVITATIONS TO TREAT'' but in this circumstance the advertisement was interpreted as an ''offer'' since it was seriously made and there was '' animus contrahendi'' by the defendant. See also Bloom V American Swiss Watch Co. 1915 AD 100 It was held in this case that even though the defendants had made an offer to anyone who dispatched information leading to the arrest of thieves that had stolen certain jewellery from the defendant and recovery thereof, the plaintiff could not recover the reward advertised since he was unaware of it, therefore he lacked the 'animus contrahendi''

A contract is concluded on the basis of ''consent'' between one or more parties. You cannot

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accept something which you are not aware of. (Bloom V American Swiss Watch Company 1915) Unfortunately, Boitumelo has no right to claim a reward. ii) Advise the company on its legal rights. (3 marks)

Since Boitumelo gave information at the time when he was not aware of the offer he was not entitled to a reward. In Williams v Carwardine the court answered yes in situation where the offeree performed what was required by the offeror. However in R v Clarke the court on the basis of the motive ruled performance did not amount to acceptance.iii) If Boitumelo had read the advertisement first before bringing the information, would you give him different advice and why? (2 marks).

If he had read the advert the fact would have been the same as the Carlil case and he was going to be rewarded. The advertisement by Zhing Zhong to pay a reward of P25 000 appears to the person who found the advert and preformed unto it. This is an offer when considered in the light of principle set out in Williams v. Carwardine (1893).

Facts An advertisement for reward was posted by the defendant for information leading to the arrest and conviction of a murder suspect. The plaintiff, an eyewitness to the murder, provided the necessary information, but only to ease her conscience when she believed she was dying. The defendant refused to give the plaintiff the reward claiming that she was induced to provide the information not by the reward itself, but by other motives. The plaintiff sued for breach of contract.

Issue Where a party accepts an offer of reward for motives other than the reward itself, does an enforceable contract result?

Ratio Acceptance of an offer constitutes a legally binding agreement, regardless of the motives for acceptance. The advertisement for reward issued by the defendant constituted an offer. The plaintiff, in providing information that led to the conviction of the murderer, accepted the offer. The fact that the plaintiff performed the necessary conditions set out in the offer, regardless of her motives, is sufficient to make a binding contract.

Held The Court held that the Plaintiff was entitled to the reward.

QUESTION 3 C

i) Advise Mr Milton of his legal rightsMr. Milton will have to act according to Actio quanti minoris. Actio quanti minoris: An action in which the purchaser of a good claims a reduction of the price proportionate to the reduction in value caused by a defect. Basically, it is a remedy granted to the buyer to reduce the price of something she has bought and that has hidden defects. The idea is to provide the buyer with a remedy that permits her, if it is in her best interest, to keep the goods while paying a price which represents what she would have paid, had she known of the defects in the good. (Heaviside v Jordan 1903) Lung sickness in cattle.

ii) Advise Mr Brian of his legal rights

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Brian has right to claim a reduced price or cancel the sale completely. Milton did not tell him the truth. There was a misrepresentation of cattle not having disease by Milton.

iv) If, Milton had told Brian on the actual status of his cattle, and Brian proceeded to pay the purchase price, would your advice be different? If so how/why not?The court will give no remedy to the purchaser who discovered a latent defect unless the seller had granted an express warranty against such. However, when the defect could have been discovered by the buyer by a thorough inspection (a "patent defect"), the buyer cannot possibly succeed in a claim against the seller unless the seller actively took steps to hide the defect from a normal inspection. If the seller can prove genuine innocence, however, or he or she can show that the buyer was aware of the latent defect, the case may be decided in favor of the seller. In this case

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QUESTION 4Law of sale: A contract of sale is a legal contract an exchange of goods, services or property to be exchanged from seller (or vendor) to buyer (or purchaser) for an agreed upon value in money (or money equivalent) paid or the promise to pay same. It is a specific type of legal contract. This law has the purpose of promoting the protection of customers and thereby contributing to the sound development of the national economy by prescribing the matters those product providers should explain to customers in the sale It should also be noted that there is a duty of "good faith" in sale of goods. Good faith" can be defined as the duty to make an honest and sincere effort to fulfill obligations under the contract. There can be no fraud or intentional seeking of unfair advantage.

Elements for the contract of sale

1. There must be two parties

There must be at least two parties, i.e. one buyer and the other seller.  A person cannot buy his own goods.  For example Shyam is the owner of certain goods, but he is not aware of this fact.  Ram pretends to be the owner of the goods and sells them to Shyam.  Since the goods already belong to Shyam, he cannot buy his own goods, hence there is no sale and the contract is not valid. (Bell vs. Lever Bros. Ltd.)  There is exemption in the case of a part owner. For the purpose of sale of partnership property, partners are not regarded as separate persons.  They cannot be both seller and buyer. But a partner may sell goods to the firm or buy goods from the firm. However, a part owner can sell his ownership to another part owner. 

2. Subject matter of Sale must be "goods" The subject matter of contract of sale must be movable goods. Sale and purchase of immovable property is regulated by the Transfer of Property Act.  Contracts relating to services are also not treated as contract of sale.  So the subject matter of contract must be goods which can be movable.

3.  Transfer of property in the goods:  It is the ownership that is transferred in a Contract of sale.  Property means the general property in the goods and not merely a special property.    The general property is transferred from seller to the buyer in a contract of sale. When the goods are pledged, it is only the special property which is transferred i.e., possession of the goods is transferred to the pledgee while the ownership rights remain with the pledger. 

4.  The purchase priceit must be a fixed or easily ascertainable sum of money. Where parties do not stipulate a fixed purchase price but agree that the buyer will pay a reasonable price the contract will probably be regarded as invalid since purchase price cannot be easily ascertained.

5. Delivery of the article: Until the article has been delivered to the buyer; the buyer only has a personal right in respect of the seller to enforce the delivery of the article. The buyer cannot acquire a real right of the article (that is ownership until delivery has taken place.

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Rights and duties of the buyer

1. Paying the purchase price: It is the buyer’s duty to pay the price in accordance with the terms of the contract. Usually a price will be expressly fixed in a contract for the sale of goods. In the unusual case of no such price being stated then the Sale of Goods Act 1979 further suggests that in this instance a price must be ‘reasonable’ and the payment should be due in cash at the seller’s residence.

2. Accepting the delivery of the goods sold: one of the fundamental duties between a buyer and seller in a contract for the sale of goods is that the seller has a duty to deliver the goods and the buyer has a duty to accept the goods in accordance with the terms of the contract.

Rights and duties of the seller * Before sale

To disclose material defects in the property or title To produce the title-deeds for inspection To answer relevant questions as to title To execute conveyance To take care of the property and title deeds To pay the outgoings

* After sale To give possession to the buyer To covenant for title To deliver title deeds on receipt of the price

Risk of Loss when a Sales Contract is breached

There are many ways to breach a sales contract, and the transfer of risk operates differently depending on which party breaches. Generally, the party in breach bears the risk of loss

When the Seller Breaches

If the goods are so nonconforming that the buyer has the right to reject them, the risk of loss does not pass to the buyer until the defects are cured (that is, until the goods are repaired, replaced, or discounted in price by the seller) or until the buyer accepts the goods in spite of their defects (thus waiving the right to reject). For example, a buyer orders blue widgets from a seller, F.O.B. seller's plant. The seller ships black widgets instead. The black widgets (nonconforming goods) are damaged in transit. The risk of loss falls on the seller. Had the seller shipped blue widgets (conforming goods) instead, the risk would have fallen on the buyer.

If a buyer accepts a shipment of goods and later discovers a defect, acceptance can be revoked. Revocation allows the buyer to pass the risk of loss back to the seller, at least to the extent that the buyer's insurance does not cover the loss.

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When the Buyer Breaches

The general rule is that when a buyer breaches a contract, the risk of loss immediately shifts to the buyer. There are three important limitations to this rule:

1. The seller must already have identified the contract goods;2. The buyer bears the risk for only a commercially reasonable time after the seller has

learned of the breach.3. The buyer is liable only to the extent of any deficiency in the seller's insurance coverage.

Termination: Occurs when either party pursuant to a power created by agreement or law puts an end to the contract otherwise than for its breach.  On "termination" all obligations which are still executory on both sides are discharged but any right based on prior breach or performance survives.

The importance of contract of sale to soft drink business:

Contract law: Contract law deals with the exchange of legally-binding agreements and documents between two or more parties. A contract is usually a concrete document, but it may also be oral or implied by the acts of the parties. A simple example of a contract implied by acts of the parties is when you’re required to pay the dentist for the services you received during a regular dental checkup.

Contract law is necessary for any business to run effectively. Contract law ensures that all agreements between the business and other parties are legal. It falls under private law in the civil law system, specifically under the law of obligations. It seeks to regulate voluntary legal regulations between people with respect to contracts and agreements. The law of contract is very important in business as well as in day-to-day life. It governs most commercial transactions: sale and carriage of goods, insurance, hire purchase, rental agreements and employment, to name a few. It is therefore vital for managers of company to be aware of contract law and learn business especially in breach of contract

Contract lawyers can ensure that all details and stipulations in the contract are met.

Law of lease:

The lease is a legal binding contract. It is a contract calling for the lessee (user) to pay the lessor (owner) for use of an asset. A rental agreement is a lease in which the asset is tangible property. Leases for intangible property could include use of a computer program (similar to a license, but with different provisions), or use of a radio frequency (such as a contract with a cell-phone provider). A gross lease is when the tenant pays a flat rental amount and the landlord pays for all property charges regularly incurred by the ownership from lawnmowers and washing machines to handbags and jewelry.

Duties of land lord

Seller’s Duty to Disclose Defects

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Traditionally, the seller of real property had no duty to disclose hidden or latent defects to the buyer, absent a fiduciary duty or other special circumstances.  A buyer could recover only when the seller intentionally misrepresented facts about the property or physically concealed known defects.

Delivering the leased premises to tenant: it is the duty of the landlord to deliver the tenant the use and occupation of the leased premises. Where the land lord is in breach of the duty to deliver, the tenant may claim specific performance, thereby compelling the landlord to deliver the premises

Placing the leased premises in a proper state of repair. Property must be in a proper state of repair both internally and externally.

Maintaining the leased premises in a proper state of repair: Make all repairs and do whatever is necessary to put and keep the rental premises in a fit and habitable condition. If the land lord’s failure to maintain the premises constitutes a serious breach of the contract the tenant will be entitled to cancel the lease and vacate the premises.

Question 3 D

Precedent: The doctrine of binding precedent or stare decisis lies at the heart of Botswana legal system. The doctrine refers to the fact that within the hierarchical structure of Botswana courts a decision of the high court will be binding on courts lower than it in that hierarchy. When judges try cases they will check to see if a similar situation has come before a court previously. If the precedent was set by a court of equal or highest status to court deciding the new cases, then the judges in the present case should follow the rule of law established in the earlier case.

The hierarchy of the court: Every court is bound by the decisions of the superior courts within its area of jurisdiction, unless the decision of the superior courts is based on obvious errors such as failure to into account a statutory provision that hardly be any difference on the matter.

The Botswana court is bound by the decision of the Court of Appeal. A bench of two judges is bound by a decision of the full bench and a single bench by the decision of a bench constituted in either of the two ways mentioned above.

The court of appeal is not bound by its previous judgment but will normally follow them in the interest of certainty. The high court is not bound to follow its earlier decisions, if it is convinced it was wrong (Morgan Moalthodi v Kgabjwana Mekgwe)

The high court judge is not bound to follow the decision of another high court judge. Nevertheless a high court judge will not depart from the decision of another high court judge.

Magistrate courts do not make precedent. They are bound by the judges of court of appeal and high court. In general one magistrate does not necessarily follow the judgment of another magistrate if for no other reason than that the judgments of magistrate courts are not reported.

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References

Business Law, 5th ed, D Kelly A Holmes & R Hayward, Routledge Cavendish, 2005

Smith and Keenan’s Law for Business, Denis Keenan,13th ed, Pearson Education, 2006

BPP ACCA F4 Study text 4th Ed. June 2009

www.opentuion.com: Introduction to Business Law

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