Terms of a contract Flashcards
1
Q
What are the different terms in a contract?
A
Express/Implied Warranty Condition Exception clauses Innominate terms
2
Q
Under what circumstances will express terms not be valid?
A
Parties are basically free to agree to whatever they want to unless the terms are invalid due to statutory provisions or are against public policies.
3
Q
What is the effect of breach of express or implied terms? (when to repudiate a contact)
A
- Contract may state that in a event of a certain breach, the innocent party can terminate the contract.
- When party in breach refuses to perform
- When breach of condition
- When the breach deprives innocent party of substantially the whole benefit
4
Q
What are the implied terms under Sale of Goods Act?
A
- Satisfactory Quality
- Fitness for purpose
- Title (only applies if its the same nature of business)
- Correspond to Description
- Sample (For bulk quality)
5
Q
How to know if the exclusion or limitation clauses are valid?
A
- Incorporation (if introduced after the offer and acceptance no longer valid, it must also be made clear)
- Interpretation (For the clause to be valid it cannot be ambiguous or vague)
- It must comply with the Unfair Contract Terms Act. (69)
6
Q
How to know if the exclusion or limitation clauses are valid?
A
- Incorporation (if introduced after the offer and acceptance no longer valid, it must also be made clear)
- Interpretation (For the clause to be valid it cannot be ambiguous or vague)
- It must comply with the Unfair Contract Terms Act. (69)
7
Q
Can the business be excluded if they breach a contract with consumer?
A
- If sale of goods liability is breached, cannot be excluded
- Breach of condition cannot be excluded
- Depends if the clause is reasonable
8
Q
Can the business be excluded if they breach a contract regarding negligence?
A
- Death or personal injury (Cannot be excluded)
2. Other damage or loss (can be excluded if clause is reasonable)
