Exemption Clause In Contract Law

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Condition is an important term of the contract, going to the very root of the contract. In an event of a breach of condition, the innocent party would be allowed to discharge his/her obligations and also be able to claim for damages for the breach from the contract breaker. A relevant law case for Conditions would be Poussard v Spiers (1876). Warranties are a relatively less important term as it is secondary in nature and does not go to the root of the contract. Breach of warranty does not entitle a contract to be discharged but it allows the injured party to claim damages. A relevant case law for Warranties would be Bettini v Gye (1876). An Innominate term is the third term of the contract. It is also known as a term with no name. Depending…show more content…
First guideline would be that, The clause must form part of the contract. Next, Clause must be brought to the victim’s attention. Third guideline would be, Oral undertaking overrides an exemption clause. Fourth guideline would be, Clause covers the kind of loss or damage that has occurred. Fifth guideline would be, Contra proferentum rule applied by courts when interpreting an exclusion clause. Last guideline would be, The statutory effect of Unfair Contract Terms Act (“UCTA”) especially section 2(1). Section 2(1) is an exemption clause that excludes liability for death of personal injury due to the negligence is void. This basically means that if a company was negligent and because of the negligence, caused personal injury or death; therefore there is no exemption clause that could protect the company from such a…show more content…
The notice for the “Terms and Conditions” was on a yellow poster which was at the side of the counter where the purchase of tickets for the event was made by Andrew and Bob. Therefore, it is reasonable to conclude that only Andrew had noticed the exemption clause near the TixMaster, where the purchase of tickets had been made. Third, Oral undertaking overrides an exemption clause. For this, however there is no evidence. Fourth, Clause covers the kind of loss or damage that has occurred. Thus, the clause covers the injuries of sprains to Andrew’s and Bob’s wrists and abrasions and cuts to both their elbows and faces that occurred during the concert from a group of fans whom surged forward to get close to the performers of the event. This occurred mainly due to the lack of security personnel even though the event had a sell-out attendance. Fifth, Contra proferentum rule applied by courts when interpreting an exclusion clause. This rule is not applicable as the clause appears to be clear. Lastly, The statutory effect of Unfair Contract Terms Act (“UCTA”) especially section 2(1). Andrew and Bob both suffered personal injury as they both sustained injuries. The sustained sprains to their wrists and abrasions and cuts to their elbows and faces. Thus, the exemption clause is void under UCTA as the clause states to avoid liability for personal injury or

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