Contract 3 Content of a Contract Part I

Question 1

<p>Equivalent term of S.8 SGA in SGSA 1982 and in CRA 2015</p>

Answer 1

<p>S.15 SGSA 1982 and S.51 in CRA 2015</p>

Question 2

<p>What does CRA 2015 stand for</p>

Answer 2

<p>Consumer Rights Act 2015</p>

Question 3

<p>Three ways by which an exemption clause can be incorporated into the contract</p>

Answer 3

<p>signature</p>

<p>it is no defence not to have read or understood the terms in the small print.</p>

<p>defences: non est factum: a party that has no understanding of the document they have signed and that there was a fundamental difference between wht they signed and what they thought they had signed</p>

<p></p>

<p>Notice:</p>

<p>the party making the notice must have taken reasonable steps to bring it to the attention of the other party. the more onerous and unusual the clasue, the heavier is the burden to give notice. must be brought before or at the time the contract is concluded</p>

<p>The fact that the innocent party is illiterate will not avail him.</p>

<p></p>

<p>and course of dealings</p>

Question 4

<p>Can an exemption cover all sort of breach and damage alleged (construction)?</p>

<p>Consider the Contra Proferentem rule</p>

<p>Consider if an exemption clausecan cover all cases of negligence</p>

<p>Consider if the clause can cover very serious breach</p>

Answer 4

<p>Yes but: if the clause is ambiguous, the court will interpret the clause against the party relying on it (Houghton v Tragalgar Insurance)</p>

<p>Exemption clause for negligence is valid if it expressly exempts liability for negligence or if it contains words that are wide enough to include negligence, provided that the courts has not restricted a liability to a liability other than negligence.</p>

<p>if the exemption clause is clearly worded, liability for very serious breach can be prevented</p>

Question 5

<p>Define Express terms</p>

Answer 5

<p>Terms specifically agreed by the parties, either orally or in writing</p>

Question 6

<p>Desribe CRA 2015s.49s.51s.52</p>

Answer 6

<p>S.49 Service/work will be carried out with reasonable care and skillS.51 Reasonble price where no price has otherwise been fixedS.52 Service/work will be performed in reasonable time where no time has otherwise been fixed</p>

Question 7

<p>Explain the rules for course of dealings to imply an exemption clause?</p>

Answer 7

<p>A course of dealings can provide notice after a contract is finalised. But it must be consistent in both frequency and terms.3 - 4 times per month over 3 years is a course of dealings (Kendall (Henry) & Sons v Lilico & Sons ltd)3 - 4 times in 4 years is not (Hollier v Rambler Motors)If the signing of the contract is not consistent, the course of dealing may be deemed not sufficiently consistent (McCutcheon v MacBrayne)</p>

Question 8

<p>Describe the gist of SGSA 1982 s,15</p>

Answer 8

<p>reasonable price if there is no express term provided for this</p>

Question 9

<p>Describe the gist of SGSA 1982 s.3</p>

Rule on inspection

Answer 9

<p>services/goods in service contract must correspond with the description</p>

<p>Buyer must rely on descrpition</p>

<p>May still apply where goods have been inspected</p>

Question 10

<p>Equivalent term of S.14 SGA in SGSA 1982 and in CRA 2015</p>

Answer 10

<p>S.4 SGSA 1982 and S.9 S.10in CRA 2015</p>

Question 11

<p>Define 'reasonable steps' to introduce an exemption clause by notice:</p>

(Timing)

Answer 11

<p>Following Parker v South Eastern Railway, the factors are:</p>

<p>Position prominence type of clause</p>

<p>The reasonable steps must occur before the contract is finalised.</p>

Question 12

<p>Describe the gist of SGA s.13 (3)</p>

Answer 12

<p>if there is a description, the goods must corresponds with the description

Buy must rely on description

May still apply where goods have been inspected</p>

Question 13

<p>Describe CRA 2015 s.9 s.10 s,11</p>

Answer 13

<p>the goods are of satisfactory quality
the goods are fit for purpose
the goods correspond with the description</p>

Question 14

<p>What is an onerous clause What are the rules for an onerous clause to be accepted as an exemption clause?</p>

Answer 14

<p>a clause that implies heavy obligation on the part of the claimant</p>

<p>Onerous clause must be explicitly drawn to the attention of thee other party (red hand pointing to it in red ink)</p>

<p>Printed on foot of delivery note does not amount to reasonable steps.</p>

Question 15

<p>3 conditions where a signature will be accepted to incorporate an exemption clause into a contract</p>

Answer 15

<p>Following L'estrange v Graucob Ltd</p>

<p>the clasue is legible</p>

<p>and signed by the claimant the document is a contractual document</p>

<p>However if the clause is misrepresented it will be invalid (Curtis v Chemical Cleaning & Dyeing Co)</p>

Question 16

<p>Equivalent term of S.13 and S.14 SGSA 1982 in CRA 2015</p>

Answer 16

<p>S.49 and S.52 in CRA 2015</p>

Question 17

<p>Describe the gist of SGSA 1982 s.4</p>

Answer 17

<p>The service must be of satisfactory quality

The service must be reasonably fit for purpose the buyer makes known to seller, either expressly or by implication</p>

Question 18

<p>Describe the gist of SGA s.14</p>

Answer 18

<p>(2) The goods are of satisfactory quality</p>

<p>(3) reasonably fit for purpose that the buyer makes known to seller, either expressly or by implication</p>

<p></p>

<p>Seller must be in the course of business to a commerical buyer</p>

Question 19

<p>What does SGA 1979 stand for</p>

Answer 19

<p>Sales of Goods Act 1979</p>

Question 20

<p>What does SGSA 1982 stand for</p>

Answer 20

<p>Supply of Goods and Services Act 1982</p>

Question 21

<p>Describe the gist of SGA s.8</p>

Answer 21

<p>in the absence of an express term, a reasonable price should be paid</p>

Question 22

<p>In what four ways terms can be implied by the courts?</p>

DICT

Answer 22

<p>(i) Based on local custom or trade (Hutton v Warren) C

(ii) Based on previous course of dealings between the parties D
(iii) Based on presumed intention of the parties- business efficacy test and the officious bystander test I

(iv) due to the type of contract (liverpool city council v Irwin and Another) (Tenants withheld rent for the squalid condition of the property)</p>

T

Question 23

<p>Describe the gist of SGSA 1982 s.14</p>

Answer 23

<p>In the absence of an express term, the service will be carried out within a reasonable time

only applies if contract is silent on point</p>

Question 24

<p>what kind of contractual ties that SGSA 1982 govern?</p>

Answer 24

<p>Contracts for services and contracts for work and materials not made between trader and consumer</p>

Question 25

<p>Describe the gist of SGSA 1982 s.13</p>

Answer 25

<p>If acting for the course of business, service will be carried out with reasonable care and skill</p>

Question 26

<p>Following Parker v South Eastern Railway - two types of notice by which an exemption clause is incorporated:</p>

Answer 26

<p>Actual notice: the innocent party must know of the clause

Constructive notice: the party relying on the clause must have taken reasonable steps to bring it to the other's notice</p>

Question 27

<p>Equivalent provision of s. 13 and s.14 of SGSA 1982 in CRA 2015</p>

Answer 27

<p>s.49 and s. 52 in CRA 2015</p>