Contract law - Application for order for specific performance for payment and access to site in terms of a building contract between the parties. The Pre-contract misrepresentation - the Respondent claims that it was induced to enter into the contract by false representation made by the Applicant's representative and submits the contract is null and void. The Respondent also claims in a counter- application cancellation of the contract alleging that it is illegal and unenforceable in that the Applicant is not a registered contractor in terms of the Construction Industry Council Act/ 2013 (CIC) and its Regulations.
Held: Misrepresentation having been established and that it induced signing of the contract, it vitiated consent of the Applicant to enter into the contract, and therefore the contract is invalid. Further that section 38 (1) of the CIC is clear that the unregistered status of the contractor precluded it from lawfully undertaking any construction works for a public or private sector contract awarded in terms of competitive tender. The effect of this is, in my view that the awarding of the tender/contract to the Applicant was illegal and as such, unenforceable by this court.