exclusion clauses

Question 1

what is an exclusion clause?

Answer 1

term that prevents liability for breach of contract

Question 2

what are the rules relating to the construction and interpretation of contracts?

Answer 2

exclusion clause usually put in contract by someone in stronger bargaining postion-e.g. mobile phone contract

interpretation not exact science

starting point for analysis is use of language in contract-ordinary english words will mean what they say-(Pink Floyd Music v EMI Records)

what would reasonable man interpret to be meaning of the contract-(Investors Compensation Scheme v West Bromwich Building Society)

Question 3

what are common law controls?

Answer 3

clause that seeks to either limit or exclude liability for breaches of the contract

• whether agreement signed-(Lestrange v Graucob)
• any notice within term is incorporated in the contract-(Olley v Marlborough Court Hotel)
• whether term is incorporated as a result of previous dealing of the parties-(Hollier v Rambler Motors)-courts reluctance to imply exclusion clauses if they can avoid it