This agreement must clearly state the names of the parties between whom the agreement is concluded. These include the owner who transfers the rights to a particular property and the name that accepts those rights. What are the consequences of a land buyer who appoints a candidate under an appointment clause contained in the contract: what are the rights and obligations of the candidate? To overcome the possibility of “double taxation,” a substitution clause can be used instead of an appointment clause. Such a clause provides that if the principal obliged wishes to enter into the contract to sell a property, the contract to sell the property is terminated on the written request of the buyer (representative) before the purchase price is guaranteed and the buyer is not in default. In such cases, s5 (2) (a) is also applicable. To avoid delays, the conclusion of the new sales contract must coincide with the termination of the previous sales contract. “If the contract stipulates that the property is sold to a designated buyer and/or nominee (or similar terms), the designated buyer may appoint an additional replacement or buyer at least 14 days before the settlement date, but the buyer in question is personally responsible for the correct performance of all the buyer`s obligations under this contract.” In general, these agreements have a clause that speaks to the measures to be taken when a contracting party to the agreement violates the terms of the aforementioned agreement. A compromise clause is present in most agreements and stipulates that if a clause of the agreement is violated or if a dispute arises with respect to the terms of the agreement, the matter will be settled by arbitration. The clause mentions where the arbitration will take place, that is, the seat of arbitration, the language in which the proceedings are conducted and the manner in which arbitrators are appointed. It is worth mentioning the date on which the agreement was reached, as well as the area in which the agreement is enforceable. In addition, the agreement must clearly state the law under which it is regulated and how the contract is terminated. It is also worth describing how the agreement should be amended. The three essential conditions of a contract for the sale of the property are: the clear identification of the property, an agreed purchase price and the identity of the parties.
Therefore, once an agent has signed and considers the other two elements to be completed, the sales contract is effectively concluded and binding on the parties. An oral appointment does not affect the contract for the sale of real estate, as discussed in more detail in Du Roof Group (Pty) Ltd/Van Breda e.a. (3128/08) [2009] ZAWCHC 152 (October 16, 2009). (ii) if the sale cannot be auctioned on the day the sale contract is concluded. Section 16 of the Act effectively requires an agent to make an appointment before midnight, the day of the sale, by disclosing the details to the seller and providing the seller with the client`s documents, otherwise the property in question is presumed to be acquired by the person who entered into the sale contract. This agreement is necessary when a property owner wishes to transfer certain rights to a property to a nominaire in order to enable him to perform certain tasks on behalf of the owner.