Contract Law Case Study: Bianca, Northando, and Property Sale Dispute

This case study analyzes a contract law dispute between Bianca and Northando concerning a property sale agreement. The central issue revolves around whether the parties fulfilled their obligations within the stipulated timeframe and whether the court can order specific performance. The agreement involved the sale of a property ('Vlakhoek') mortgaged by Bianca, with Northando obtaining a loan to complete the purchase. The analysis examines the concept of specific performance as an equitable remedy, considering factors such as the readiness of the parties to perform, the absence of a valid reason for non-performance, and the potential for significant monetary and mental losses. The case explores whether the court can compel Bianca to specifically perform the contract, given the circumstances, and whether she can be held liable for breach of contract. The study concludes that the court can consider specific performance and may find Bianca in breach. The assignment includes a bibliography of relevant books, journals, and case studies, such as Chappell v Times Newspapers Ltd and Jeffrys v Jeffrys.

Running head: CONTRACT LAW
CONTRACT LAW
Name of the Student
Name of the University
Author Note

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Issue:
 Whether Bianca and Northando performed their part of the sale agreement within the
specified time?
 Whether Bianca can be asked for the specific performance of the contract made
between her and Northwando?
 In what scenario court can ask for specific performance of the contract after the expiry
of the stipulated time of a performance?
Rule:
The rule regarding the specific performance of a contract as an equitable remedy and
when this remedy is applicable is discussed in this case.
Analysis:
Northando and Bianca entered into a sale agreement in August 2019, regarding the
purchase of a property named ‘Vlakhoek’, which was in mortgage with Moody’s bank
because Bianca while buying it from Sebenzile kept the property as a security for the loan.
According to the terms of the sale agreement, the purchase price shall be payable within
60days from the signing of the sale deed by a bank guarantee and other legal tenders
acceptable to the seller. Northando also obtained a loan from the Hilarious Bank, to complete
the purchase. It has been seen that till 30th November 2019, the property was not transferred
in the name of Northando by Bianca. Further, on the 1st of December, 2019, Northando sold
the property to another purchaser named Makabongwe. Northando issued a summon against
Bianca for the specific performance of the contract that has been made for the sale of the
property named 'Vlakhoek’. Further, she has claimed an amount of E850000 for legal
consultation and other specific legal and bank charges that have been borne by her with the
expectation of completion of the sale agreement.

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It can be seen that specific performance is an equitable remedy under common law
that is usually offered by the equity court in those cases where there exists a contract between
the parties which has been made fulfilling all requisites of a valid contract1. Further, where
the party upon whom such non-performance happens was fully ready to perform his or her
part of the contract and he or she has the full expectation that the other party will also
perform his or her part of the contract2. The Court can order specific performance of a
contract considering the fact when the non-performance of the breach causing party took
place without reason and for such breach, the party interested in the performance of the
contract have to bear the huge monetary and mental loss3. Specific performance can also be
awarded in those cases where the particular subject matter of the contract cannot be replaced
through monetary precautions. Therefore, considering the fact of the case, it can be said that,
the contract was supposed to be performed within October 2019. But neither of the parties
took the initiative or informed each other about the reason of non-performance on their part.
However, if Northando is ready with the money which she was supposed to pay to Bianca by
October 2019, then, the court can ask for specific performance of the contract by Bianca4.
Further, the court can hold Bianca liable for breach of contract, as she revoked the contract
without informing Northando.
Conclusion:
It can be concluded that the court can ask for a specific performance of the contract by
Bianca regarding the contract of sale. Further, the court might not grant other monetary
remedies as specific performance is the remedy in substitute for damages.
1 Jeffrys v Jeffrys[1841] 1 Cr & Ph 138
2 Cartwright, J., 2016. Contract law: An introduction to the English law of contract for the civil lawyer.
Bloomsbury Publishing.
3 Tito v Waddell (No 2) [1977] Ch 106
4 Chappell v Times Newspapers Ltd[1975] 1 WLR 482

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Bibliography:
Books and Journals:
Cartwright, J., 2016. Contract law: An introduction to the English law of contract for the civil
lawyer. Bloomsbury Publishing.
Case Studies:
Chappell v Times Newspapers Ltd[1975] 1 WLR 482
Jeffrys v Jeffrys[1841] 1 Cr & Ph 138
Tito v Waddell (No 2) [1977] Ch 106