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Introduction to Business and Commercial Law: Understanding Legal Foundations

This module provides an overview of essential legal principles in business and commercial law. It covers the definition and significance of law, its division in the South African legal system, and the origins influenced by Roman-Dutch and English law. Key sources of law such as legislation, common law, and judicial precedent are discussed. The module also explores the divisions of power among the legislature, executive, and judiciary, as well as outlines civil and criminal procedures. Additionally, it examines contracts, essential requirements for validity, and alternative dispute resolution methods.

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Introduction to Business and Commercial Law: Understanding Legal Foundations

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  1. Business & Commercial Law 2013 Module 1 – Introduction to law : part 1

  2. Law • Law is a set of rules governing human conduct, recognised as binding by people and enforced by the State

  3. Division of law

  4. The SA Legal System Origins of our law Our law is based on Roman-Dutch Law and is also influenced by Roman Law & English Law

  5. The Sources of our Law • Legislation (Acts or statutory law) • The Constitution • Common Law • Judicial Precedent ( Stare Decisis) • Customary Law • Old Authorities • Foreign Law & Textbooks etc (persausive)

  6. Example – Consumer Protection Act 68 of 2008

  7. The Divisions of Power Legislature – makes the law Executive – implements & enforces the law Judiciary – interprets the law & determines disputes

  8. Court System

  9. Civil Procedure • Civil procedure provides the rules for civil matters in the Courts • Litigation commences by way of either an application or an action procedure

  10. Action Procedure • Summons • Appearance to defend • Request for further particulars • Reply • Plea (& counterclaim) • Discovery • Trial • Judgment • Appeal • Execution

  11. Application Procedure • Notice of Motion with Founding Affidavit • Answering Affidavit • Replying Affidavit

  12. Criminal Procedure • Complaint laid at SAPS • Arrest & charged • Bail • Plea • Trial • Verdict • Evidence in mitigation / aggravation • Sentencing • Appeal

  13. The problems with the Court system • Adversarial • Time consuming • Costly

  14. Alternative Dispute Resolution • Negotiation • Mediation • Arbitration

  15. The Law of Contract • A contract “can be described as an agreement concluded by two or more persons with the serious intention of creating legally enforceable obligations”. • Havenga (2010)

  16. Requirements of a valid contract • Consensus • Capacity to Act • Legality • Possibility of Performance • Formalities

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