To learn

Question 1

Rice v Great Yarmouth Boat Club

Answer 1

Ratio: An innominate term is one which can be broken in so many different ways and with such varying consequences that the parties cannot be taken to have intended that any breach shall entitle the innocent party to terminate the whole contract.

Question 2

Lombard North Central v Butterworths

Answer 2

Ratio: Court will usually give effect to the intentions of parties in classifying terms. Not always - Schuler v Wickman

Question 3

The Milalis Angelos

Answer 3

Ratio: An ‘expected readiness to load clause’ = a condition

Question 4

Bunge v Tradax

Answer 4

Ratio: If time of performance is of the essence, it will be a condition.

Question 5

Charles Rickards Ltd v Oppenheim

Answer 5

Ratio: Time can become of the essence by the innocent party serving notice that it is so.

Question 6

Harvey v Ventilatoren Fabrik Oelde

Answer 6

Ratio: Incorporation cannot be by reference if the defendant knows the claimant cannot read the clause.

Question 7

Henderson v Stevenson

Answer 7

Ratio: Where a document does not have clear words on the face of it, directing attention to an exemption clause, it is unlikely to be incorporated/

Question 8

Sugar v London, Midland and Scottish Railway

Answer 8

Ratio: If clauses have been rendered illegible, it is unlikely they will be considered incorporated.

Question 9

Chemical Transport v Exnor Craggs Ltd

Answer 9

Ratio: Signature will incorporate onerous clause except in extreme circumstances.

Question 10

Andrews Bros v Singer

Answer 10

Ratio: Contra Proferentem Rule - any ambiguity in a clause will be construed against the proferens.

Question 11

K/S Victoria Street v House of Fraser

Answer 11

Ratio: Courts are now less likely to use contra proferentem in commercial contracts.

Question 12

St Albans City Council v International Computers Ltd

Answer 12

Ratio: Even where a party’s general terms have been subject to negotiation, they are still ‘standard terms’ for the purpose of UCTA.

Question 13

Commercial Management Ltd v Mitchell Design and Construct Ltd

Answer 13

Ratio: If limitation clauses are from one party’s standard terms, even if other clauses are negotiated or come from the other party, UCTA will apply.

Question 14

The Flamar Pride

Answer 14

Ratio: If bespoke alterations are made to a party’s standard terms, UCTA will not apply.

Question 15

Stewart Gill Ltd v Horatio Myer and Co Ltd

Answer 15

Ratio: Sch 2 should be considered in all circumstances when applying reasonableness test.

Question 16

Plantation Holdings (FZ) LLC v Dubai Islamic Bank

Answer 16

Ratio: Compensation is the fundamental principle of expectation interest.

Question 17

McGlinn v Waltham Contractors

Answer 17

Ratio: The claimant must act reasonably in regard to defective works.

Question 18

Johnson v Unisys Ltd

Answer 18

Ratio: An employer may have a general duty under implied duty to employee to prevent employee from suffering mental distress.

Question 19

Malik v BCCI

Answer 19

Ratio: Generally no damages for loss of reputation unless consequent financial loss.

Question 20

Chaplin v Hicks

Answer 20

Ratio: Loss of opportunity is recoverable in damages if the lost chance is quantifiable in monetary terms and there was a real and substantial chance that the opportunity might have come to fruition.

Question 21

Jackson v Royal Bank

Answer 21

Ratio: For the remoteness test from Hadley v Baxendale, the state of knowledge is that of the parties at the time of entering the contract.

Question 22

The New Flamenco

Answer 22

Ratio: Credit must be given for benefits caused by acts of mitigation.

Question 23

White and Carter v McGregor

Answer 23

Ratio: Duty to mitigate does not preclude a party, when suing on a debt, from going to the expense of performing his side of the contract after the other party has wrongfully repudiated.

Question 24

The Alaskan Trader

Answer 24

Ratio: To affirm a contract after a breach, the party must have a legitimate interest in doing so.

Question 25

Hounslow LBC v Twickenham Garden Developments

Answer 25

Ratio: To affirm a contract after a breach, the party must be able to do so without the co-operation of the other contracting party.

Question 26

Evening Standard v Henderson

Answer 26

Ratio: A negative injunction is an enforcement of a negative stipulation

Question 27

William Robinson and Co v Hever

Answer 27

Ratio: Court may limit the injunction to what it considers reasonable.