Shapiro v Roth [1911] ZAWLD 12 (28 April 1911)

Contract - Condition Precedent - Trading on Mining Stands - Partnership - Recognition of Partner by Board - Act 35 of 1908, sec. 94 (2).

An agreement between the applicant and respondent provided for the carrying on of a trading business, on certain mining stands, by them in partnership. Prior to the agreement, the said business belonged to the respondent. A clause stipulated that "the parties hereto shall apply for the recognition of the party of the other part (the applicant) as a partner under the laws and regulations relative to the Rights to Trade on Mining Areas in terms of this agreement, and, if refused, then this agreement shall ipso facto lapse and become void".

Held, that the obtaining of the applicant's recognition was not a condition precedent to the applicant becoming a partner under the agreement, and that sec. 94 (2) of Act 35 of 1908. did not 'make the agreement void ab initio.