Exclusion Clauses Flashcards
What is the principal of freedom of contract?
People can agree to terms they want to but this may lead to a power imbalance
What is the test for an exclusion clause?
- Is the clause part of the contract?
- Are there any statutory limitations on its effectiveness?
What is ‘caveat emptor’?
You agree to what you sign even if you have not read it
What is needed for an exclusion clause to be incorporated?
- Knowledge
- Reasonable steps to bring clause to party’s attention
What was held in Hollier v Rambler motors?
Clause can be incorporated by prior dealings
What is contra proferentum in the construction of an exclusion clause?
- Ambiguity is interpreted against relying party to avoid unduly penalisation
What is S.3 UCTA?
In standard forms, no exclusion for breach or non-performance unless to is reasonable
What is S.31 CRA 2015?
No exclusion of terms implied into contracts to supply goods
What is S.57 CRA 2015?
No exclusion of terms implied into contracts to supply services