Terms: Common Law of Exclusion Clauses

Question 1

L’Estrange v Graucob

Answer 1

• Mrs L’Estrange was bound by the exclusion clause in the contract for the cigarette vending machine, regardless of the fact that she had not read it.

Question 2

Curtis v Chemical Cleaning and Dyeing Co.

Answer 2

• The cleaners could not rely on the exclusion clause because of the oral explanation made to Mrs Curtis that they were only excluding liability for damage to beads and sequins.

Question 3

Olley v Marlborough Court Hotel

Answer 3

• The clause was not incorporated in the contract since it was on a notice on a wall inside the Olley’s bedroom in the hotel and could not have been known about when they made the contract.

Question 4

Chapelton v Barry Urban District Council

Answer 4

• It was unreasonable to assume that Mr Chapelton would automatically understand that the ticket was a contractual document, and the council was liable for his injuries.

Question 5

Thompson v London, Midland and Scottish Railway Co.

Answer 5

• It was of common knowledge that railway journeys were contracts and there were terms of carriage involved. The fact that Mrs Thompson was illiterate and could not read did not alter the legal position.

Question 6

Thornton v Shoe Lane Parking Ltd.

Answer 6

• The customer is bound by the terms of the contract as he can assume that all the terms are set out in the first notice as in Chapelton

Question 7

McCutcheon v David MacBrayne Ltd.

Answer 7

• Previous dealings are only relevant if they prove knowledge of the terms is actual and not constructive assent to them.

Question 8

Transocean Drilling UK Ltd v Providence Resource plc

Answer 8

• If the exclusion clause is clear, contra proferentum has no application.