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Read the scenario below and answer the questions that follow - NSC Consumer Studies - Question 5 - 2016 - Paper 1
Question 5
Read the scenario below and answer the questions that follow. Deon, a first-year student, found an affordable unit in a sectional title complex close to the technic... show full transcript
Worked Solution & Example Answer:Read the scenario below and answer the questions that follow - NSC Consumer Studies - Question 5 - 2016 - Paper 1
Step 1
Identify type of contract referred to in paragraph 1 and give TWO legal implications of signing this contract for Deon.
Answer
Deon is in a lease/rental agreement as he has signed a contract to occupy the unit for a specified period.
Two legal implications include:
- Deon is obliged to pay the rent as stipulated in the contract.
- The landlord must ensure the unit is habitable and address any maintenance issues.
Step 2
Name FIVE contractual terms and conditions that should be stated in the contract that Deon signed.
Answer
- Date on which Deon can move into the unit.
- Length/duration/expiry date of the lease.
- Deposit amount and its refund conditions.
- Responsibilities regarding property maintenance.
- Conditions under which the landlord must approve alterations to the unit.
Step 3
Step 4
Discuss FOUR advantages of the type of ownership for the landlord of the unit.
Answer
- It gives the landlord a sense of security and independence.
- The property can serve as collateral for securing a bank loan.
- It is a solid investment since the property's value can appreciate over time.
- The landlord receives a steady income by renting the unit out.
Step 5
Explain what Deon should have done to protect himself legally, before he signed the contract and moved into the unit.
Answer
Deon should have conducted a thorough inspection of the property before signing the contract. This includes looking for existing damages and making a list of any defects present to ensure he is not held responsible later.
Step 6
Give FIVE reasons why Deon’s water and electricity could have been higher than those of other tenants in the unit.
Answer
- Deon had friends living with him, which increased overall consumption.
- They frequently hosted loud parties, leading to higher energy use.
- The use of multiple hair clipping machines in the barber business contributed to higher electrical usage.
- The broken oven and running toilet caused unnecessary waste of water.
- More frequent activities requiring water, such as cooking for guests, increased consumption.
Step 7
Discuss why Deon should be entitled to get his deposit back when he moves out.
Answer
Deon has proof of the issues he reported, supported by video evidence showing the damages existed prior to his tenancy. Additionally, the landlord's refusal to rectify problems indicates negligence, which can legally justify the refund of the deposit.