Exam terms

Question 1

THREE CONTRACTUAL WAYS TO VARY RISK

Answer 1

1. Limitation of Liability Clauses - limit liability – “cap”
2. Exclusion Clauses (also known as exemption clauses)- kills the liability
3. Indemnity Clauses – moves liability

Question 2

grounds of liability for contract and tort

Answer 2

contract- breach of contract. tort- negligence

Question 3

Contra proferentem rule goes against who ?

Answer 3

party who prepared the contract usually take or leave basis

party who seeks to rely on the ambiguous provision eg the beneficiary of the exclusion clause

Question 4

what courts will do with contra proferentem rule?

Answer 4

any ambiguities in the exemption clause will strike the exclusion clause down

Question 5

grey list terms

Answer 5

if they fail the fair and reasonable test

Question 6

Capacity for under 18s

Answer 6

Under 16 has no contractual legal capacity.

16-18 has partial capacity and can be challenged before the reach 21.

Question 7

Legislation for capacity

Answer 7

AGE OF LEGAL CAPACITY (SCOTLAND) ACT 1991

Question 8

Legislation if an obvious mistake is made in a contract

Answer 8

Law reform miscellaneous provisions (Scotland) act 1985

Question 9

Legislation for blacklist terms and grey list terms

Answer 9

unfair contract terms act 1977

Question 10

Courts will not asses the fairness of what and what? What legislation is this under?

Answer 10

Subject matter(unless misrepresentation) and price(unless they don’t have capacity) s64 of consumer rights act 2015

Question 11

What 6 things does the consumer rights act 2015have?

Answer 11

Black list terms and grey list terms and conform too its description.
The seller has a right to sell the goods
The goods will be of satisfactory quality when in a business to a consumer.
The goods will match their description

Question 12

If a term excludes something which is not good quality then it will be?

Answer 12

Blacklisted

Question 13

If there is a meal on a menu it is a?

Answer 13

Invitation to treat as they only have a limited stock.

Question 14

Seeing an exclusion clause means that they? And what case goes with this?

Answer 14

Accept it
Olley v mulbrugh court limited
Thornton v shoe lane parking

Question 15

If there is a contract between people say what in the exam?

Answer 15

Say who they are e.g consumer and producer or provider or dealer.

Question 16

If a term is expressed excluding something and is grey list then what act and section does that come under?

Answer 16

Consumer rights act 2015 s62

Question 17

What is an example of some terms that are given in the unfair terms list?

Answer 17

Changing the price of something after a contract has been made. You can compare this in an exam to test the fairness of a term.

Question 18

If my jacket was stolen in a restraint clauset what would you argue?

Answer 18

Can argue that there was a reasonable expectation for them to protect your jacket or
It is not the main business for them so it is reasonable.

Question 19

Food that came only a small portion are the goods of a satisfactory quality?

Answer 19

Yes, they were not burnt

Question 20

If fish and chips are £200 then is that fair?

Answer 20

It is fair as the fair and reasonable test doesn’t come under cost or subject matter.

Question 21

Was it misrepresentation that there was only a small portion of chips?

Answer 21

No as there was no picture or anything that they said to mislead them.

Question 22

Terms excluding negligence need to be what?

Answer 22

They need to be specific as any ambiguity will be struck down by the contra prefferendum rule.

Question 23

Frustration of a contract do people need to carry on?

Answer 23

No, no one has the obligation to continue with the contract. Can quote the case where war broke out and the polish people got their money back for the engines.

Question 24

Is satisfactory quality between person to person or buisness to person?

Answer 24

Business to person.

Question 25

If there is a misdescription of the car then what remedies are available?

Answer 25

Depends if negligent, fraudulent or innocent. But can reject the car. If obviously accepted in its defective state then cannot reject car.