Exclusion Clauses Q&A
These are the Exclusion Clauses and Limitation Clauses Questions and Answers. You will find a lot of examples of Q&As available for the kinds of questions you could get on your coursework or examination. The answers are given discuss problems that looks at Exclusion Clauses. There is a mix of essay questions and problem questions with answers to guide you. These notes will demonstrate to students how to approach legal essays and how to provide straightforward advice.
Question 1
What, if any, are the differences in scope between the Unfair Contract Terms Act 1977 and the Unfair Terms in Consumer Contracts Regulations 1999?
Question 2
Kate parks her new sports car in Wood Lane private car park. When she entered the car park, she paid for her parking. Consequently, she has affixed a ticket to her window. When she returns to her car, she discovers that her car has been seriously dented.
She complains to the management of Wood Lane private car park about the damage to the car. The management, while sympathetic, point out the terms and conditions on the back of the ticket which state that “management is not responsible for any damage” and that “cars are parked at owners’ risk”.
Discuss the validity of the exclusion/exemption clause in the terms and conditions of the ticket at Wood Lane private car park.
Question 3
Dannii runs a garage business selling and repairing cars. Dannii buys a used car at an auction held by Cheryl. Over the years, Dannii has bought dozens of cars from Cheryl’s auctions. Dannii likes to buy cars from Cheryl as all cars are put up for sale without any reserve price, and Dannii has made many profitable purchases. Dannii has seen signs on Cheryl’s premises which state ‘All cars are sold subject to my standard terms and conditions – available on request’. Dannii has never requested sight of the terms and conditions. This state:
‘All vehicles are sold as seen. Customers are advised to inspect vehicles before bidding. Cheryl accepts no liability for their condition.’
Dannii has the car which she has bought delivered to her garage by car transporter later that evening. The following day, Dannii sells the car to Simon. While Simon’s credit card details are being processed and before handing over the keys, Dannii hands Simon a document headed ‘Sales Advice’ giving details of the transaction. At the foot of the document are printed the words: ‘For terms and conditions, see reverse’. Included on the reverse side of the document is the following clause:
‘Dannii cannot be held responsible for the condition of any vehicle sold. All liability for the quality or fitness for purpose of vehicles is excluded.’
A week later the car fails its MOT. To make it roadworthy will require repairs costing £500. Notwithstanding its condition, the car is worth what Simon paid for it. Louis brings his taxi to Dannii to be repaired. Louis signs a document headed ‘Work Sheet’ giving details of the work to be carried out. At the foot of the document are printed the words: ‘For terms and conditions, see reverse’. Included on the reverse side of the document are the following clauses:
‘The customer acknowledges that any parts supplied have not been manufactured by Dannii and that accordingly Dannii has no liability for their quality or fitness for purpose.
Subject to clause 1, Dannii’s liability for loss arising from work carried out shall not exceed the price agreed for such work.’
To repair the taxi Dannii fits a new part which she purchased from her regular supplier, Parts-4-U. Unknown to Dannii, the part is defective. Had Dannii tested the part after fitting it, as a reasonably competent mechanic would have done, she would have discovered the fault. When collecting the car, Louis pays Dannii’s £400 bill. A week later, the part fails while Louis is driving a customer to the airport. As a result of the failure, the taxi crashes injuring Louis and his customer. The taxi will cost £1,000 to repair. Louis is off work for six weeks because of his injuries, losing £2,000 in fares as a result. What contractual liability, if any, arises from these facts?
Question 3
Norman brought a faulty ladder LADUP and the contract created a series of limitation and exclusion clauses. Although the question has not been included the answer highlights all elements the question asks.
