exclusion clauses Flashcards
(15 cards)
What is an exclusion clause?
- An exclusion clause excludes or limits liability for breach of contract
- in general the courts allow the parties to agree to any terms they want under the contract of freedom. However, if one person has more power the the courts can limit this
Thornton v Shoelane Parking
the exclusion clause was not part of the contract when the agreement was made so it was not effective
L’Estrange v Graucob 1934
if the exclusion clause is a written agreement that the party has signed then they have accepted the exclusion clause as part of the contract
(would be a different outcome now due to the consumer rights act)
Curtis v Chemical Cleaning
the effect of an oral statement, it becomes whatever the term is
Olley v Marlborough
hotel claimed that they were not liable due to the exclusion clause, the agreement was made at reception but the exclusion clause was in the bedroom so it isn’t valid
Hollier v Rambler Motors
- prior dealings
because he had only used the garage 3-4 times it wasn’t frequent enough so the exclusion clause wasn’t part of the contract
What is the Contra Proferentem Rule
- where there is a doubt about the meaning of a term, the words will be construed against the person who made it
Transocean Drilling UK LTD v Providence Resources PLC
there were complicated terms in the contract. The parties of the agreement were in equal bargaining power. This rule is to be used when the term is both one sided and ambiguous
McCutcheon v David MacBrayne
example case of the contra proferentem rule
it was unclear so it was used against the company
What are some statutory controls
> consumer rights act 2015
excluding liability for implied terms
cannot exclude liability for death or personal injury from negligence
What are some restrictions of terms?
> fairness test (in the consumer rights act)
- the grey list
Where is the definition of unfair terms in the consumer rights act
Section 62
define unfair terms
as those of which who put the consumer at a disadvantage by limiting the consumers rights or disproportionately increasing their obligation
what is the grey list
a list of unfair terms
Give some examples of terms on the grey list
- terms that allow disproportionate charges
- terms that allow the trader to change the price after the consumer is bound