Question: Read the case study below and answer the questions that follow. The law of contract acts as a golden thread throughout all elements concerned with
Read the case study below and answer the questions that follow. The law of contract acts as a golden thread throughout all elements concerned with daily business transactions. Agreements are constantly being entered into for various purposes. A contract is binding in law and each party must deliver and perform according to their obligations as mutually agreed upon in the contract. Hydroshiny Inc is owned by siblings Leon and Kate. The business is based in Durban. Leon manages the company's financial elements, and his sister Kate manages the procurement aspects. The business currently employs one (1) hairdresser. The business also offers a mobile hair and nail salon. Kate wishes to improve the profit margin, as it has been extremely difficult for the business post-COVID-19. Kate has researched and heard about a new innovative hair styling tool with multiple functions. Kate is certain that this will attract new customers to their salon. She pitches the idea to Leon and they both agree to source the hair styling tool and sell it to their customers.
Question 3 (25 Marks) Leon has recently convened with Kate to discuss the financials of the company as the business has been struggling post COVID-19. Leon has stated that there is no longer a need to employ the hairdresser at Hydroshiny Inc because they have introduced innovative styling tools, which in essence does the same task as the hairdresser employed at the salon. Leon wishes to understand the various ways in which an employment contract can be terminated. 3.1 You are required to list TEN (10) ways in which an employment contract may terminate. You must thereafter provide a full discussion for each point which you have listed. (20 Marks) 3.2 Is Leon legally allowed to terminate the contract of the hairdresser employed at Hydroshiny Inc based on the above set of facts? Apply the relevant principles, which you have discussed above, and provide a detailed explanation. (5 Marks
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