Since many contractual disputes, perhaps the majority, arise from disagreements over the importance of contractual provisions, the interpretation of treaties is an important area. In the event of the debtor`s insolvency (or liquidation in the case of an enterprise), the contract is not terminated immediately; their decision is left to the discretion of a representative or a judicial officer to whom the immovable property gifted by the insolvency is handed over. This party decides to terminate or terminate the contract or to make it live if it is in the best interest of the estate. The proceedings are governed by the Insolvency Regulation.  Where the parties are under a distance contract, the question arises as to when and where the acceptance will take place. The general rule of South African law follows information theory, which requires an effective and conscious agreement between the parties, so that the agreement is only concluded when the bidder is aware of the supplier`s acceptance. The place or place of conclusion of the contract is usually the place where the acceptance is brought to the attention of the tenderer. Therefore, if the contractual language is clear and unambiguous or if any uncertainty can be satisfactorily resolved by linguistic treatment, the evidence is surrounding circumstances – d.b. The issues that were probably available to the parties when concluding their contract – useless and therefore inadmissible: in verba nulla ambiguitas est, non debet admitti voluntatis quaestio. If the internal treatment is not clearly in accordance with the intention of the parties, the interpreter must examine the broader context in order to draw useful conclusions from the nature of the contract, its object and the context in which it was concluded.
In other words, it is only when an examination of language in its contextual context does not create sufficient security (the degree of security required is left to the discretion of each judge) that evidence can be provided by “surrounding circumstances”. However, even then, it is not possible to resort to evidence of what happened between the parties during the contract negotiations, unless taking into account the “surrounding circumstances” cannot resolve the difficulty. A contract confers rights and duties on privileges, but cannot impose them externally (penitus extranei). If more than two parties enter into a contract, their participation in the allocation of their rights and obligations must be determined. . . .