Mr Chikuni
Law Of Purchase And Sale
Definition-:
A sale is a contract in which one party delivers a thing to another who on his part promises to pay a certain price i.e. exchange of property for a price which is exchange of a merx for a pretium. A contract by which one party delivers, transfers or promises/ agrees to deliver or transfer a thing to another who in turn promises to pay a certain price in money consideration.
Essentials
Agreement-Animus-Intention
Animus venendi – agreement or intention to sell. One party must agree to sell.
Animus emendi – agreement or intention to buy. The other party should agree to buy. Goods held on behalf of seller for le to third parties do not amount to amount to a contract of purchase and sale. Holder is an agent and has not agreed to buy therefore there is no agreement of sale.
Where there are disguised contracts, the law will take them for what they really are.
Disguised agreements are those in which the parties pretend the contract is something other than it really is eg where sale of land is disguised as a lease.
Formalities must be met. The agreement may be oral but the following requires writing formalities.
Sale of land plus any interest in land except where it is an auction or a lease or a mining claim. Such contracts must be reduced to writing and signed by parties or agents with written consent, failing of which the contract is void. The property must be defined or described with precision for identification.
Where execution in writing has, by express agreement, been made a condition precedent for contract validity.
Merx – thing-subject matter
Prepared by Mbira Leonard, Masvingo Poly. [Msc. Finance & Investments, NUST]
Page 1
The subject matter must be defined with sufficient certainty- it must be clear to both contracting parties on what is being bought and sold.
All appurtenances essential for the effective use and enjoyment of the property sold are, as
Definition-:
A sale is a contract in which one party delivers a thing to another who on his part promises to pay a certain price i.e. exchange of property for a price which is exchange of a merx for a pretium. A contract by which one party delivers, transfers or promises/ agrees to deliver or transfer a thing to another who in turn promises to pay a certain price in money consideration.
Essentials
Agreement-Animus-Intention
Animus venendi – agreement or intention to sell. One party must agree to sell.
Animus emendi – agreement or intention to buy. The other party should agree to buy. Goods held on behalf of seller for le to third parties do not amount to amount to a contract of purchase and sale. Holder is an agent and has not agreed to buy therefore there is no agreement of sale.
Where there are disguised contracts, the law will take them for what they really are.
Disguised agreements are those in which the parties pretend the contract is something other than it really is eg where sale of land is disguised as a lease.
Formalities must be met. The agreement may be oral but the following requires writing formalities.
Sale of land plus any interest in land except where it is an auction or a lease or a mining claim. Such contracts must be reduced to writing and signed by parties or agents with written consent, failing of which the contract is void. The property must be defined or described with precision for identification.
Where execution in writing has, by express agreement, been made a condition precedent for contract validity.
Merx – thing-subject matter
Prepared by Mbira Leonard, Masvingo Poly. [Msc. Finance & Investments, NUST]
Page 1
The subject matter must be defined with sufficient certainty- it must be clear to both contracting parties on what is being bought and sold.
All appurtenances essential for the effective use and enjoyment of the property sold are, as