Exclusion Clauses

Question 1

Exclusion clauses are important especially for large companies who cannot be responsible for all of their employees actions

Answer 1

Photo Production v Securicor

Question 2

New case of established course of dealing - to do with whether the exclusion clause could apply. There had been numerous previous dealings where C received ts & cs

Answer 2

Spurling v Bradshaw

Question 3

Is there a recognised trade practice? If yes, exclusion incorporated

Answer 3

British Crane Hire Corp v Ipswich Plant Hire

Question 4

contra proferentem generally. Ambiguity will be resolved against the party relying on the clause - must ensure that clause is clear

Answer 4

Andrews Bros (Bournemouth) Ltd v Singer & Co

Question 5

Contra proferentem and liability for negligence
Just because an exclusion clause could include negligence, this does not mean that it will - this must be made clear and unambiguous

Answer 5

White v John Warrick

Question 6

Contra proferentem and liability for negligence
Wording was not clear about negligence but where negligence is the only liability that could arise, the exclusion clause does apply to it - otherwise it would be meaningless (2)

But if the clause was merely a warning - not a clause to exclude liability, then negligence cannot be excluded

Answer 6

Rutter v Palmer

Alderslade v Hendon Laundry

Hollier v Rambler Motors

Question 7

Contra proferentem and liability for negligence

three requirements for negligence liability to be excluded

Answer 7

Canada Steamship v The King

Question 8

Courts are more lenient with business to business contracts when it comes to excluding liability for negligence

Answer 8

HIH Casualty & General Insurance v Chase Manhattan Bank

Question 9

Contra proferentem and clauses which limit liability

There is no different between clauses that limit or exclude liability

Answer 9

Atlantic Shipping v Dreyfus - Lord Sumner

Question 10

Contra proferentem and clauses which limit liability

Limitation clauses are viewed less strictly than exclusion

Answer 10

Ailsa Craig Fishing v Malvern - Lord Wilberforce

Question 11

Exclusion clauses and misrepresentation - cannot rely on clause if its nature has been misrepresented

Answer 11

Curtis v Chemical Cleaning & Dyeing

Question 12

Cannot exclude liability for your own fraud

Answer 12

HIH Casualty & General Insurance v Chase Manhattan Bank