QUESTION $4(15$ Marks$)$

Mark has an innovative idea. He wants to include a catering component into his business. He invites local businesses, media houses and social media influencers to his event called $$A night of Saffron$.$ What sets Mark apart from other catering businesses will be his uniquely crafted Saffron dishes. These dishes are meant to exhibit a $$taste of Durban$.$ He contracts with Spices Galore to supply him with Saffron so that his wife Samantha can prepare the dishes. On the morning of the event, Samantha is eagerly awaiting her final ingredient to finish off her dishes, when she receives a call from the owner of Saffron Galore to apologise stating that they are unable to source the saffron due to their local supplier in Durban not having stock of saffron. The owner notes that Samantha can check in Pietermaritzburg for saffron as she has heard from a friend that saffron is plentiful in that area as the manufacturer has a store. The owner of Saffron Galore stated that it was impossible to perform their obligations as the shortcoming was extraordinary in nature. Mark and Samantha are angry as they have a legally binding contract with Saffron Galo

You are required to provide legal advice to Mark and Samantha on their problem. You are expected to outline the relevant law, cite applicable case law, and provide a legal opinion on the above problem.

QUESTION $5$

Mark and Samantha$$s son Tyron has recently obtained his driver$$s license. They believe that it would be a great idea for him to take a gap year from studying and work in their business. They decide that Tyron will be employed as a chauffeur to transport the bride and groom in their luxury vehicle. The insurance broker enquires with Mark about the designated driver for the luxury vehicle. Mark mentions that he will be the sole driver. Mark also mentions that the vehicle will be used for personal purposes, aiming for a more affordable monthly premium. As a result of Mark's $35$ years of driving experience, the insurance company classifies him as a low$-$risk driver, which aligns with his intention to maintain the vehicle's use for personal needs only. However, whilst en route to the bridal couple's home, Tyron unfortunately collides into his cousin Jacob$$s vehicle. Jacob$$s vehicle is extensively damaged. Due to the fact that Tyron is Jacob$$s younger cousin, he decides not to take any legal action against him. A few months later, Tyron receives a legal notice from Jacob$$s insurance company ABC insurers stating that they are pursuing legal action to recover the costs of the damage on Jacob$$s car.

$5\mathrm{.}1$ Tyron is angry as he notes that his cousin Jacob expressly stated that he would not sue him. He further states that the insurance company has no legal standing in this matter. Based on the facts presented to you above, comment critically on whether the insurance company has legal standing in this matter. You must cite the applicable doctrine.

$5\mathrm{.}2$ Samantha$$s sister Tammy is an insurance broker. She tells Tyron not to worry as she will ask the head of the legal department who happens to be her neighbour to disregard this matter, as she has a personal interest in it$.$ Evaluate the actions of Tammy.

$5\mathrm{.}3$ Mark has been diligent in the payment of his premiums. He also has never claimed from his insurance since inception of his contract.

You are appointed to assess the facts of the matter and propose a recommendation to the insurance company. Based on the facts presented above fully discuss as to whether the insurance company ought to honour the agreement to indemnify Mark against the damage.