Offer to purchase
Legal agreements online for South African’‘s by South African’‘s
GET YOUR LEGAL AGREEMENTS AND DOCUMENTS ONLINE… Fast and FREE ! ! Download Here
-
-
1. Introduction
What is an offer to purchase ?
Living in an era where a great percentage of South Africans have
access to technology has opened a vast gateway for the sale and
purchase of products. This subsequently resulted in templates for
sale and purchase agreements becoming increasingly popular with
the added benefits of speed and convenience for consumers. It is
now possible to create professionally drafted South African
templates within minutes.
A template is a professionally designed document which can be
used for legal purposes, for business, or even for personal use.
This article will set out the legal implications of using templates for
an agreement of sale and purchase in South Africa, and identify
the considerations that consumers should be mindful of when
using a sale and purchase template.
-
Best Free Offer to purchase 2020
-
-
2. Contract of sale and purchase
-
The most common contractual form is the contract of sale
and purchase. This type of contract can be briefly described as a
legally enforceable agreement between one party to buy
goods/services and another party to sell the goods/services. In
other words, there should be an offer by the seller and an
acceptance of the offer by the buyer.
A contract acts as a guide for the parties to ensure that they have
discussed the essential elements of their agreement.
In order for an agreement to be identified as a proper contract of
sale and purchase the contract has to have the following essential
elements:
business sales agreement template
2. 1 consensus – there must be an agreement between the
parties on all material aspects of the contract;
2. 2 capacity – the parties must be able to contract;
2. 3 formalities – the contract usually has a certain form which needs to be observed;
2. 4 legality – the agreement must be lawful;
2. 5 possibility – the parties must be able to perform the
obligations in terms of the contract;
2. 6 certainty – the contract must have a definite content in order
for the obligations therein to be enforced
-
-
-
3. Templates for agreements of sale and purchase in South Africa
- free business sale agreement template - word
-
A sale and purchase template should generally contain the following clauses:
3. 1 the name, address, identity numbers, and marital status of
the buyer and seller;
3. 2 a clear description of the item which is being sold;
3. 3 the selling price and the form of payment which the buyer
and seller agree upon, as well as payment of a deposit, if
any;
3. 4 whether the sale is subject to the buyer obtaining a loan, if
so, the amount of the loan and the date by which the loan
must be obtained should be specified;
3. 5 confirmation that no amendments to the agreement of
sale and purchase are valid unless it is in writing and signed
by the buyer and seller or an agent of either party.
South Africans have not only become more familiar with using
legal contract templates but are gradually becoming more positive
towards it. This can be attributed to the growth of local internet
users, the increased use of technological devices, and an enabling
legal framework that protects the consumer involved in
agreements of sale and purchase.
The provision of legal contract templates has grown significantly in
South Africa and it is expected to grow further as more locals are
enjoying the ease with which a wide variety of products can be
purchased and sold in an easy and convenient manner.
3. 6 Benefits of templates for sale and purchase agreements
Contracts for Purchase :
Offer to purchase a business
Offer to purchase a picture
Offer to purchase a vehicle / car
Offer to purchase books
Offer to purchase live stock
Offer to purchase immovables
Offer to purchase check list
Offer to purchase instalment sale
Benefits
Percentage
Convenience
86%
Ease of use
65%
Price
90%
Selection
89%
A large number of South Africans connect to the internet via their
mobile devices or computers and therefore these devices are seen
as key in growing the online industry.
free sales agreement template south africa
This is why it is important to note the significance of continually
progressing with technology and how the utilization of legal
contract templates has also grown exponentially in South Africa.
With thousands of templates being produced it has become
effortless to search and select a template that meets all the
requirements for the type of agreement of purchase and sale you
wish to conclude.
-
-
4. The legal effects of a sale and purchase contract
-
free Shareholders agreement south africa
4. 1 Passing of ownership – in most contracts of sale, the
purchaser acquires ownership of the product/service upon
execution of the contract of sale.
In terms of immovable property the property is transferred by
way of registration in a Deeds Office.
In the case of movable property ownership is transferred
upon delivery coupled with payment of the purchase price.
4. 2 Risk and benefit – the general rule is that the risk and benefit
passes to the buyer once the goods are delivered, unless the
agreement of purchase and sale states otherwise.
4. 3 Examining the goods – the consumer has the right to
examine the goods, and is not responsible for any loss or
damage to any goods unless such damage resulted from the
negligent or reckless actions of the consumer.
-
-
5. Security and privacy
-
It is important to be aware of the security and privacy issues that
are associated with using legal contract templates, such as,
fraudulent use of credit cards, computer viruses, unsolicited email
messages, and theft of information.
In order to minimize these security and privacy risks you should
review the security features offered by the service provider and
pay attention to security alerts.
It is also crucial to ensure that you have the appropriate security
features for storing information. An example would be SET (secure
electronic transaction) that has been developed by Visa and
MasterCard, which ensures that sensitive information cannot be
seen by the business and is not stored on the website.
Consumers now have the choice of purchasing high quality web
designs from premium templates or simply purchasing a more cost
effective template that lacks variety but not quality. The supplier of
these templates has to ensure that their site runs smoothly with
minimal to no difficulty experienced by the consumer, and
further that they provide the consumer with complete security of
their private information.
-
- free Time-Sharing agreement under sectional title
6. Considerations when using a sale and purchase template
-
Prior to using a template for a sale and purchase agreement, there
are certain aspects to keep in mind to ensure that you made the
right choice:
6. 1 Limited budget –there are numerous cheap templates that
are developed online which primarily assist business
owners or private individuals with a professional design
without the need to pay excessive fees;
6. 2 Repetition of legal contract templates – there are thousands
of templates being produced and this can result in the same
template being used by more than one person. It is sensible
to customize the template you have selected so that it is best
suited to your needs and has an element of uniqueness;
6. 3 Selecting the right design – the template you choose should
match your business and aesthetic needs. The template
should provide you with both the function and the look that
you aim to have;
6. 4 Mobile responsive templates – this ensures that consumers
receive an ideal experience no matter what type of device
they use to view the templates.
6. 5 Flexibility of customizing a purchased template – you need to
ensure that you choose a template that will allow you to
make the necessary changes you wish to have. This secures
you from paying for a template with a default design and no
room for alteration.
6. 6 The most recent template – an outdated template may
encounter unexpected functionality issues, and the templates
may not be in keeping with the developments of the law.
It is crucial to choose a template that has adapted to these
changes in order to avoid the risk of purchasing an invalid
template. The content of the template should be clear, lawful
and up-to-date.
-
-
7. Advantages and disadvantages of a sale and purchase template
-
Advantages
Disadvantages
Minimizes risk – having a contract will provide the grounds for taking legal action if there is a failure to perform obligations.
Not drafted by an attorney – certain clauses may not be in keeping with legal standards.
Clarity – the contract will contain all the important details and expectations of each party.
Missing provisions – certain key provisions to a contract may be missing from the template.
-
-
8. How long is an offer to purchase valid for in South Africa?
-
There is no specific time period of validity, however, there are four instances which make provision for the lapse of the offer:
• The sale agreement provides a blank section for the buyer to fill in how long the seller has to accept the offer. The seller in turn has a
number of days to either accept or reject the offer. When this period comes to an end the offer is declared null and void.
• If the offer is revoked by the buyer, provided that the agreement does not state that the offer is irrevocable for a certain period and
it must be brought to the seller’‘s attention in that time frame.
• If the seller rejects the offer.
• Death of either party prior to the offer being accepted results in an automatic lapse of the offer. If the offer has been signed and
accepted, all rights and duties arising from the contract will be passed to the deceased estate.
-
-
9. Force majeure in relation to Covid-19
-
Force majeure is an event that occurs which is beyond the control
of the parties to the contract, for example, a war, a riot, or a natural
disaster.
As a result of the Covid-19 pandemic and the subsequent national
lockdown many people who entered into contractual agreements
were hindered. For this reason, the parties to a sale and purchase
contract may wish to include a force majeure clause which gives
the right to either party to suspend the contract until the event
passes, or to cancel the contract altogether.
-
-
10. Conclusion
-
As more South Africans have access to the internet the more
transactions are being performed by using legal contract templates
for sale and purchase agreements.
When parties negotiate the sale and purchase of goods, they need
to give special attention to the relevant written terms of their
contract. This will result in more certainty as to whether all the
parties involved have the same understanding in respect of each
contractual term.
The world of law can be complicated, especially for those who are
not trained lawyers, yet it is inescapable. Every single person
operates within the law to some degree. This is why it is important
to understand the legal implications of using a legal contract
template for your agreement of sale and purchase.
___________________________________________________________
Hi, I’‘m Kailash Pillay, an attorney from the city of Johannesburg. My passion for the law
stems from a desire to improve upon the lives of the vulnerable who fall prey to a
corrupt system.
I studied at the University of Johannesburg where I obtained my Bachelor of Laws
degree, the starting point to the long journey of becoming a legal practitioner.
This profession has taught me to persevere through the complexities of the law and to
continually develop my skills as a legal professional. I’m here to educate & inform the public on legal matters.
-
Legal App FREE Download - We Handle Your Case On The Go
